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Allstar has a single valuable product in Allright, it’s non-drowsy allergy medication but that aside, the VRIO analysis demonstrates that largely, there is likely no competitive advantages to be had by any of the various brands in this segment. The products here are common and each brand is able to make the same remedies outside of proprietary blends (which a non-drowsy allergy formula or alcohol-free children’s medication ARE NOT) in a formula that the company is able to patent which would provide copy protection, there are no competitive advantages to be had by any brand in this space. Company: SWOT AnalysisAnother tool Allstar can use to assess advantages and opportunities it may have versus other brands is a SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis which is defined by Kotler and Keller (2016) as “A framework that allows managers to synthesize insights obtained from an internal analysis of the company’s strengths and weaknesses (S and W) with those from an analysis of external opportunities and threats (O and T) to derive strategic implications.” Unlike the VRIO analysis, this reviews Allstar from an exclusively internal perspective and doesn’t account for external standardizationamong the competition. The SWOT matrix below has the internal views of Strengths and Weakness columns to array against the external forces of the Opportunities and Threats rows. This method is helpful in not only identifying those different value propositions but in prioritizing the characteristics that could create advantage or eliminate vulnerability if resources are dedicated to transforming them. Some of the threats (legal restrictions, for example) are completely unavoidable but persistent and therefore impossible to eliminate them but rather should be planned for in terms of mitigation and process development reserve. 7Cates, Nilda: MBAFPX2012
Company: 5 Forces Analysis A professor at Harvard University, Michael Porter, developed the Five Forces model as a framework that identifies five forces that determine the profit potential of an industry and shape a firm’s competitive strategy (Team, 2014). This picture painted by this framework is one of extremes. Those five forces that can be used to help Allstar develop its goals and marketing strategy are:Porter Five ForceIntensityCompetitive Rivalry Within The IndustryLow, Moderate, HighBargaining Power Of CustomersLow, Moderate, HighThreat Of New EntrantsLow, Moderate, HighBargaining Power Of SuppliersLow, Moderate, HighThreat Of Substitute ProductsLow, Moderate, HighCompetitive Rivalry Within the Industry: The rivalry between existing competitors for the same customers in the marketplace for market share and profitability (Team, 2014) can have varying intensity.