VRIO Table Template

Create a custom report online with our VRIO table template! Add the data, choose your favorite template, and enjoy the result.

Table of content

💡 What Is It?
💸 Why Use It?
📊 How-to Guide
🍟 VRIO Table Example
📍 References

💡 What Is a VRIO Analysis Table?

VRIO is a strategic methodology framework that enables researchers to analyze resources within an organization. It assists in identifying a company’s competitive advantage. Only four aspects comprise the analysis table: Value, Rarity, Inimitability, and Organization.

💸 Why You Should Use the VRIO Analysis Template

The VRIO table template is quite a popular tool as it is both applicable and user-friendly. It can give an insight into where the company stands regarding competitors. Many organizations, such as Apple and Amazon, use it. Besides, the framework is simple enough to understand for any business or management student.

The VRIO table relies on four aspects:

First	Whether your company, service, or product is valuable and can provide a competitive advantage.
Second	Whether its resources are rare, hard to obtain, or relevant.
Third	Whether it is difficult, expensive, or even possible for the competitors to replicate what your business has.
Fourth	Whether there is an organizational structure that allows your company to exploit its valuable resources.

If you have identified that your company, service, or product has all four aspects, you can achieve a sustainable advantage.

📊 How to Do VRIO Analysis

First of all, you should gather what resources the company has. These include the types of capital listed below:

material,
non-material,
human,
financial.

After obtaining this information, it's time to evaluate them with a VRIO table analysis. Determine the worth of the gathered resources. For that, try asking yourself any of the following questions.

☝ Value

Does your company have a strong brand image? What is it?
What is your primary competitive edge?
Do consumers need your resources? Can they find a replacement?
What talents your staff has? What are their unique abilities?

☝ Rarity

Can your competitors access your resources?
How many competitors can copy what you do?
Will your resources remain in demand in the future? For how long?

☝ Imitability

Can your competition make an equivalent alternative to your product or service?
Is it easy to copy the creation process? Is it expensive?
Do you possess a trademark?

☝ Organization

Is your company culture encourages creativity?
Is there an organizational structure in place?
Can the company take advantage of the resources it has?

With the resources evaluated, you can fill out a VRIO table template. You can use the one on this page since it can visualize your conclusions colorfully.

🍟 Example: VRIO Analysis of McDonald's

To truly understand the framework above, you may need to see how it works in reality. That’s why we’ve prepared an example for you! See a VRIO analysis of McDonald's internal resources and try to decide whether they offer a sustained competitive advantage.

VRIO Aspect	McDonald’s Resources
✅ Valuable?	Financial resources. The brand is widespread, popular, and prosperous. Local food. It is both a profitable and reputable resource. Employees of the company. A workforce is highly trained and loyal.
✅ Rare?	Only several companies have similar financial resources. The local food is not as challenging to find. Competitors can use such products freely. McDonald’s staff is tricky to obtain because they are highly trained and loyal. The company establishes a good work environment to ensure its employees’ comfort.
✅ Imitable?	McDonald’s financial means are nearly impossible to imitate. The business has gathered these resources throughout the years of successful operations. Competitors can acquire access to the local food without much trouble. Other businesses can train their employees just as well. It is possible to provide a healthy workplace and compensation package.
✅ Organized?	The company uses its financial resources strategically to grow and create opportunities. McDonald’s has a well-established system that allows it to launch a transport corridor for fresh and local food everywhere. The business strives to ensure that its staff is trained and respected in every restaurant worldwide.

Now you can try our VRIO table template to visualize this example. You can also check business analyses of other companies and products.

And thank you for reading our article! We hope our explanations and template were handy. Share this page with those who might benefit from this easy-to-use business tool and try other study apps we’ve made.

Updated: Apr 9th, 2024