Question

Create VRIN analysis table of Under Armour and explain by your own words

Under Armour VRIN	Support competitive advantage	Support competitive advantage	Sustain competitive advantage	Sustain competive advantage
Resource or Capability	Valuable	Rare	Inimitable	Nonsubstit	Pass?

Answer 1

Under Armour VRIN	Support competitive advantage	Support competitive advantage	Sustain competitive advantage	Sustain completive advantage
Resource or Capability	Valuable	Rare	Inimitable	Non substitutable	Pass?
Financial Resources	Somewhat	No	Yes	No	Yes
Supply Chain Management and Distribution	Yes	No	No	No	No
Marketing and Product Innovation	Yes	Yes	Yes	Yes	Yes
Brand Image	Yes	Yes	Yes	No	Yes

Explanation:

1. Financial Resources: Under Armour has shown growth in the revenue, even in the problematic North America division. Sales of the company were under $4billion, which was on the third place in the industry. UA has shown a higher growth rate than Nike or Adidas.

2. SCM and Distribution: The supply chain and distribution is the biggest pitfall for the company. Increased inventory, the shift from specialist to mid-range retailers are questioning the distribution strategy of the company. The company has taken the initiative by reducing SKUs to improve that SCM and distribution side of the business.

3. Marketing and Product Innovation: Specially designed garments from blended fabric, female sportswear, and brand promotion by associating with professional football team creates a sustainable competitive advantage for the company.

4. Brand Image: UA has created brand awareness and customer loyalty for the brand, as in this industry these aspects are crucial for success. Though premium prices, the sales of the company has been increasing since last five years. The brand image is increased by word of mouth strategy for UA.

Hope this will help.