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antoniya [11.8K]
4 years ago
5

Rice Dazzle Inc. has been making the same breakfast cereal for 50 years. Recently, sales have plummeted. To counteract this, the

company created a new package that included an endorsement by a celebrity. As a result, sales increased close to previous highs. However, the cereal itself remained the same. According to the VRIO framework, is the new packaging a valuable resource for Rice Dazzle?
Business
1 answer:
pogonyaev4 years ago
8 0

Answer:

No

Explanation:

The new packaging did not improve the product itself.

According to the VRIO framework, in order for the packaging to be a valuable resource it has to enable the company to exploit opportunities or defend against threats, it also needs to help organizations to increase the perceived customer value by increasing differentiation or/and decreasing the cost of the product. If the resources do not meet this condition, it can lead to competitive disadvantage.

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According to my research on different business strategies and tools, I can say that based on the information provided within the question the term being described is called an enterprise architecture. Like mentioned in the question this is a blueprint/road-map that defines the structure and operation of an organization in order to achieve it's mission in the most effective way possible. Which is used by almost every business since it is an essential step in the business' success.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

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Rodrigo should accept that extra business. His marginal revenue product from additional business equals the marginal cost. He will not make an accounting profit or loss but may gain a long term customer. He should decline any additional business only if the marginal cost is greater than the marginal revenue product.

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