How do you measure the value, rarity, imitability, and organization of your VR offerings?

1 What is the VRIO framework?

The VRIO framework is a strategic analysis model that evaluates four dimensions of a resource or capability: value, rarity, imitability, and organization. This model can help you determine if a resource or capability can give you a sustained competitive advantage over your rivals. It can also help you answer questions such as how your VR offering creates value for customers and your business, how unique it is compared to competitors, how easy or difficult it is for competitors to copy or substitute your VR offering, and how well you leverage your VR offering to achieve your goals and objectives.

2 How to use the VRIO framework?

To use the VRIO framework, you need to identify your key resources and capabilities that are relevant to your VR offering. These can be tangible or intangible, such as technology, skills, brand, content, partnerships, etc. Then, you need to evaluate each resource or capability according to the four criteria of the VRIO framework. You can use a simple yes/no scale or a more nuanced rating system. For each criterion, ask yourself: does the resource or capability enable you to meet customer needs and expectations, and generate revenue or reduce costs? Is it limited in supply or availability in the market, and is it difficult to obtain or access by others? Does it have a high cost or complexity of replication, and is it protected by legal or social barriers? Does it align with your vision, mission, values, and culture, and is it supported by your policies, processes, and systems?

3 How to create your own VRIO template?

A VRIO template is a visual representation of your VRIO analysis that can help you summarize and communicate your findings. You can create your own VRIO template using a spreadsheet, a diagram, or a table. To do so, list your key resources and capabilities that are relevant to your VR offering in the first column or row. Assign a value, rarity, imitability, and organization rating to each resource or capability in the following columns or rows, using symbols, colors, or numbers to indicate the ratings. Analyze the results and identify your strengths, weaknesses, opportunities, and threats. A resource or capability that scores high on all four criteria is a source of sustained competitive advantage, while one that scores low on one or more criteria is a source of competitive parity, temporary advantage, or disadvantage. Finally, use your VRIO template to inform your strategic decisions and actions, such as prioritizing investments, improving performance, differentiating your offering, or exploiting opportunities.

4 Examples of VRIO templates

To illustrate how to create and use a VRIO template, here are some examples of VRIO templates for different VR offerings. Note that these are hypothetical and simplified examples, and you should conduct your own VRIO analysis based on your specific situation and data.

5 # VRIO template for a VR training platform

| Resource/Capability | Value | Rarity | Imitability | Organization |

|---------------------|-------|--------|-------------|--------------|

| VR technology | Yes | No | No | Yes |

| Content library | Yes | Yes | Yes | Yes |

| User feedback | Yes | No | No | Yes |

| Customer service | Yes | No | Yes | Yes |

| Brand reputation | Yes | Yes | Yes | Yes |

In this example, the VR training platform has a sustained competitive advantage in its content library and brand reputation, as they are valuable, rare, hard to imitate, and well-organized. The VR technology and user feedback are sources of competitive parity, as they are valuable and well-organized, but not rare or hard to imitate. The customer service is a source of temporary advantage, as it is valuable and well-organized, but not rare and easy to imitate.

6 # VRIO template for a VR gaming studio

| Resource/Capability | Value | Rarity | Imitability | Organization |

|---------------------|-------|--------|-------------|--------------|

| VR technology | Yes | No | No | Yes |

| Game design | Yes | Yes | Yes | Yes |

| User engagement | Yes | Yes | No | Yes |

| Marketing strategy | Yes | No | Yes | Yes |

| Talent pool | Yes | Yes | Yes | Yes |

In this example, the VR gaming studio has a sustained competitive advantage in its game design and user engagement, as they are valuable, rare, hard to imitate, and well-organized. The VR technology is a source of competitive parity, as it is valuable and well-organized, but not rare or hard to imitate. The marketing strategy and talent pool are sources of temporary advantage, as they are valuable and well-organized, but not rare and easy to imitate.