VRIO and its role in gaining sustainable competitive advantages

AuthorBlerta Aliu
Balkan Journal of Interdisciplinary Research
IIPCCL Publishing, Graz-Austria
ISSN 2410-759X
Acces online at www.iipccl.org
Vol. 5 No.2
September, 2019
VRIO and its role in gaining sustainable competitive advantages
Blerta Aliu
Competitive advantage givesorganization the edge over its competitors and the ability to
generate greater value. More sustainable these advantages are, the harder it is for competitors
to neutralize them.In this paper the main focus is the de nition of the VRIO structure and
its role in gaining sustainable competitive advantages. The analysis of this structure enables
the recognition of resources, organizational skills and the di culty of their reproduction
elsewhere.Bearing in mind that organizations nowadays operate in a dynamic and complex
business environment, it is necessary to concentrate on creating competitive advantages so
that they maintain their position. They are primarily interested in turning their strengths into
sustainable competitive advantage. Of course, one of the resources that plays a huge role in
gaining these advantages are human resources. People play a signi cant role in the success
of any organization. But what is extremely challenging for organizations is who those people
are and how they di er depending on where they operate.I tried to illustrate the increasing
importance of human resources and their impact on the organization's performance in today's
competitive environment. Considering that such important resource in multiple situations was
neglected, I wanted to point out how muchthe organization gives priority to these resources in
such business conditions.
I hope and believe that this paper will be a good example of the fact that we need to address the
most relevant issues in order to be successful in the business world. And this can be achieved
by successful management of human factor as avery important and essential resource to the
development of the organization's strategy.
Keywords: VRIO, sustainable, competitive advantage, human resources.
The VRIO structure makes a di erence in the performance of the organization as a
whole. Based on the analysis of this structure, the organization is likely to avoid using
non-worthwhile resources that do not contribute to its performance.
The VRIO structure is a tool used to analyze the rm's internal resources and identify
whether they can be a source of sustainable competitive advantages. The purpose of
the research is to identify sustainable competitive drivers in an unstable and uncertain
environment, which is considered to be one of the biggest challenges for strategists.
Purpose of the research
The main objectives of this paper:
Using VRIO framework to analyze whether the rm’s resources are t to gain
competitive advantage,
Achieving competitive advantages through engagement of qualitative human
Identifying the constraining factors of the implementation of this tool.

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