VRIO Analysis Template: Applying Barney (1991)
Case Company:
Step 1: Identify Key Resources or Capabilities
List 3–5 core resources or capabilities the firm possesses:
Resource/Capability Description
1.
2.
3.
4.
5.
Step 2: Apply the VRIO Criteria
Assess each resource against the VRIO framework:
Non-
Valuable Rare Inimitable Competitive
Resource/Capability substitutable
(Y/N)? (Y/N)? (Y/N)? Implication
(Y/N)?
1.
2.
3.
4.
5.
Competitive Implication Key:
• No to all → Competitive Disadvantage
• Valuable only → Competitive Parity
• Valuable + Rare → Temporary Competitive Advantage
• All VRIO → Sustained Competitive Advantage
Step 3: Strategic Recommendation
• Which resource offers the strongest potential for sustained competitive advantage?
• How should the firm protect or leverage it further?
• Are there resources that need to be developed, acquired, or improved?
Your Observations:
Prepared By:
Date: