Apple
Inc. is an American multinational technology company headquartered in
Cupertino, California, that designs, develops and sells consumer electronics,
computer software, and online services. It is considered one of the Big Tech
technology companies, alongside Amazon, Google, Microsoft, and Facebook.
VRINE Model is an analytical
framework that appraises an organization's capabilities and resources which can
give it a competitive advantage in its industry. It analyzes the
organization's internal strengths with five different tools or perspectives.
These are: Value, Rarity, Inimitability, Non-Substitutability, and
Exploitability
These
five tools collectively assess the organization’s market standing on the basis
of its most competitive products and suggest future strategies which can help
it in beating the competition in the most profitable and effective way
(Antoldi, Cerrato, Depperu, 2012). The following section comprehensively describes
the VRINE Model for Apple Inc. And explains how its products fall on these five
dimensions and lead it to ensure marvelous financial performance.
1-
Value .
Apple
operates in a highly advanced and rapid-paced industry. Therefore; a product,
resource, or capability is valuable for the company only if it enables it to
stand out among alarge number of rivals in the industry. At present, the most
successful product in the world in any consumer electronics categoryis iPhone
-- developed by Apple Inc. It is also considered as the most innovative and
multi-functionality smart phone which canperform numerous functions with its
highly advanced technology and super-fast processing speed (Apple, 2013). This
smart phone played the greatest role in making Apple Inc. The most competitive,
successful, innovative, and the largest ITCorporation by revenues. Similarly,
the company's other top products like iPad, iPod, Mac systems, Apple TV,
iTunes, etc. aresuccessful due to the value which they give to the company for
its research and investment, and to their consumers against theirmoney (Apple,
2013).
2-
Rarity
Although
Apple products like iPhone, iPad, iPod, iTunes, Macintosh system, etc. are
highly advanced and valuable; they cannot be called rare because of the
presence of a large number of competitive products in the market. However,
Apple Inc. comes up as the first-mover in its industry most of the times. Its
iPhone, iPad, iPod, iTunes, and App Store have remained the only products or
services of their kind in the past. This rarity ended when other smart phone,
consumer electronics, and computer manufacturers diversified and modernized
their businesses and started competing Apple with similar products.
3-
Inimitability and Non-Substitutability:
Due to the rapid advancements
in the field of Computers and
Information Technology, Apple products are no more inimitable. One of the major
reasons for greater market share of Android and Windows as compared to iOS and
Macintosh is their compatibility with the products in which they are used.
Apple's iOS and Macintosh do not support any other technological product than
iPhone and Mac systems.
4- Exploitability:
Apple products are highly
exploitable to market. The high level of appreciation and brand loyalty among
consumers help Apple Inc. To exploit its resources and manufacturing
capabilities to avail the attractive opportunities from the market and keep
itself on the top of the list of innovative IT companies of the world.
References
Apple, (2013). Apple Info.
Retrieved on January 17th, 2013, from <http://www.apple.com/about/>
Cadle, J., Paul, D., &
Turner, P. (2010). Business Analysis Techniques: 72 Essential Tools for
Success, 1st Edition. London: British Computer Society
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