Starbucks Uniqueness as VRIO Resource
Starbucks VRIO analysis revealed that the resources and capabilities of the company include its prime and strategic locations, global brand recognition and equity, aesthetic appeal and concept of stores, larger size and strong global presence, human resource management and company culture, leveraging technology and mobile outlets, customer loyalty and cult status and good corporate social responsibility image (Geereddy, n.d). The prime and strategic locations of Starbucks served as a temporary competitive advantage. This is not costly to imitate, hence competitors may also use it as their competitive advantage. This is the same with expansion to global markets, use of technology and good corporate social responsibility image because all of those resources and capabilities can be adopted by competitors. On the other hand, the company culture, customer loyalty and brand recognition that Starbucks already have serve as a permanent competitive advantage for the company. For instance, Starbucks has established unique projects such as Starbucks Card and Starbucks Reward which strengthen the company’s relationship with its consumers through customer satisfaction and loyalty.
Starbucks Uniqueness as VRIO ResourceStarbucks VRIO analysis revealed that the resources and capabilities of the company include its prime and strategic locations, global brand recognition and equity, aesthetic appeal and concept of stores, larger size and strong global presence, human resource management and company culture, leveraging technology and mobile outlets, customer loyalty and cult status and good corporate social responsibility image (Geereddy, n.d). The prime and strategic locations of Starbucks served as a temporary competitive advantage. This is not costly to imitate, hence competitors may also use it as their competitive advantage. This is the same with expansion to global markets, use of technology and good corporate social responsibility image because all of those resources and capabilities can be adopted by competitors. On the other hand, the company culture, customer loyalty and brand recognition that Starbucks already have serve as a permanent competitive advantage for the company. For instance, Starbucks has established unique projects such as Starbucks Card and Starbucks Reward which strengthen the company’s relationship with its consumers through customer satisfaction and loyalty.
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