Internal Analysis

06 Internal Analysis In this part, the report will briefly illustrate the result from analysing the internal environment of CEMEX by supply chain analysis and resources and competences framework and VRIO model. 6. 1 Value Chain Analysis Activities| Resources| Competencies|PrimaryActivities| Supply chain management| | * Good relationships with products suppliers and transportation companies| | Operations| – Internal design| – Import products from Vietnam| | Distribution| – Indirectly: wholesalers, retailers – Stylist packaging| * Knowledgeable salespersons| | Sales and marketing| – Advertising campaigns focus mainly on B2B websites and trade fair| – Effective marketing strategy to differentiate from competitors | | Service| Good relationships with suppliers of different products in Vietnam. Support team for developing new products and help wholesalers to finding new suppliers for other products in Vietnam, India†¦| SupportActivities| Prod uct R&D, Technology and system development| – Market Research and developing new design. | – Rights to copyrights and patents of weaving and designs of carpets/rugs| | Human Resources Management| – 10 employees| * Excellent executive team * Highly skilled employees | | | | |According to threshold/distinctive resources and competencies framework, the defined resources and competencies can be categorized as following: Threshold resources – Distribution system – Opponents’ suppliers – Internal design – Research and development team Threshold resources – Distribution system – Opponents’ suppliers – Internal design – Research and development team Threshold competences * Knowledgeable and enthusiastic staff, especially salespersons – Effective and trusted wholesalers/importers Threshold competences Knowledgeable and enthusiastic staff, especially salespersons – Effective and trusted wh olesalers/importers Distinctive resources – Excellent managing team – Sale and marketing team – Strong cash position Distinctive resources – Excellent managing team – Sale and marketing team – Strong cash position Distinctive competences – Strong brand name – Customer loyalty – Good quality and competitive price products Distinctive competences – Strong brand name – Customer loyalty – Good quality and competitive price products . 2 VRIO Framework Resource/ competency| Valuable? | Rare? | Difficult to imitate? | Exploitable? | Competitive implication| Excellent managing team| Yes| Yes| Yes| Yes| Sustained competitive advantage| Distribution system to wholesalers/retailers| Yes| No| No| Yes| Competitive Parity| Brand/name| Yes| Yes| No| Yes| Temporary competitive advantage| Sales and marketing team| Yes| Yes| No | Yes| Temporary competitive advantage| Customer loyalty| Yes| Yes| Yes| Yes| Sustained com petitive advantage|