Submitted by: Submitted by laduy
Views: 154
Words: 258
Pages: 2
Category: Business and Industry
Date Submitted: 05/17/2013 03:47 AM
Duy la
Ba495
Class preparation notes
VRIO
Apple vs Samsung
Apple
In term of Innovation
Value: yes
Rare : Yes
Imitate: Yes
Organization: Yes
Apple competitive advantage has been through its brand, innovation and loyalty. They have been created competitive advantage for itself through customer loyalty by their extreme innovation. When the first IPhone came out, they have recreated the smartphone market and being the leader. Next, they brought a completely new market to the industry which is the tablet, and also has been really successful. They have created value through their innovation, and also make it rare through their unique design language and integrated software (iOS), which is completely impossible for the competitor to imitate. Their organization strategy also has performing pretty well, result of $145 billion cash on hand.
Samsung
In term of innovation
Value: Yes
Rare: No
Imitate: Yes
Organization: Yes
Samsung is direct competitor to Apple. In term of innovation, Samsung hasn’t had a big jump in innovation like what Apple did like creating a completely new market or products. However, they still created value in their own way. For example, they have been a leader in Android smartphone market. It’s not rare but it’s hard to imitate due to the unique value that Samsung offer to their customer through innovative marketing. In term of organization, Samsung somehow has cost advantage compared to competitor due to lower labor cost in Korea, higher capacity utilization and lower depreciation cost. Raw material, labor and depreciation, R&D, SG&A are sustainable higher for competitors.