Thursday, January 14, 2021

Apple VRINE Model

 

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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