Application of the VRIN (Value, Rarity, Inimitability, Non-substitutability) framework to assess Sandlands Vineyards' sustainable competitive advantage involves considering their value to customers, rarity of their resources and capabilities, the difficulty of imitating these, and the lack of substitutes of their products. Detailed information about Sandlands Vineyards and their market is required for a definitive conclusion.
To determine if Sandlands Vineyards has a sustainable competitive advantage in the premium wine market, we need to use the VRIN framework. The VRIN framework assesses the Value, Rarity, Inimitability, and Non-substitutability of resources or capabilities of a firm.
Firstly, the Value of Sandlands pertains to the quality of their wine, their reputation, and their pricing strategy. If these bring significant value to the customers, then they have a potential advantage.
Secondly, Rarity is about whether the resources or capabilities are unique to Sandlands. If their techniques or the quality of their grapes are not easily available or copied by competitors, they have a potential advantage.
Thirdly, Inimitability is about whether competitors find it hard to replicate those resources. A unique location, unique grape varieties or exclusive processes can provide this advantage.
Lastly, Non-substitutability checks if there are no direct substitutes for what Sandlands offers. If customers cannot find similar quality, taste, or price wine easily, this gives them an advantage.
To conclude, a definitive answer requires detailed information about the vineyard and the premium wine market. But the VRIN framework provides a good starting point to assess this.
#SPJ11
Answer:
Incentive/Pressure.
Explanation:
The fraud triangle is a model that describes factors which motivates people to commit fraud. Usually all these factors come into play before a fraud is committed.
The three elements of the fraud triangle are opportunity, pressure or incentive, and rationalisation.
The incentive in the given scenario is the compensation through large salaries, stock options, and bonuses tied to the company's working capital growth provided the management of Premium Discovery company.
This pressure or incentive drives the CEO to hold meetings to ensure management is on track to increase operating income each month.
Answer:
You will have $1,276 in your account after 5 years.
Explanation:
The interest rate information is given for 6 years but the question is only asking the amount after 5 years, so I only make the calculation for that.
Rate in:
Assuming interest in compounded throughout five years, the amount you will have in your account is:
FV = 1,000 * (1 + 0.04) * (1 + 0.045) * (1 + 0.05)* (1 + 0.055) * (1 + 0.06) = $1,276
Answer:
the depreciation expense at the end of the first year, December 31 is $ 8,250
Explanation:
Straight line Method of Depreciation Charges the same amount of depreciation over the useful life of the asset.
Depreciation Charge = (Cost - Salvage Value) / Useful Life
Depreciation Charge = ($50,000-$6,000) / 4 years
= $11,000
Apportionment of Depreciation Charge
From April 5 to December 13 there are 9 months
Therefore depreciation for the year is apportioned as follows :
Depreciation Charge = 9/12× $11,000
= $ 8,250
B. price elasticity of demand is 3.0 and the price of the good decreases
C. price elasticity of demand is 0.5 and the price of the good increases
D. all of the above
Answer:
Option D
All of the above
Explanation:
Price elasticity of demand is given as
Price elasticity of demand = % change in quantity demanded/ % change in price.
Change in quantity demanded will definitely lead to an increase in total revenue. Hence the formula can be revised to become:
Change in quantity demanded = Price elasticity of demand X % Change in price
Option A : If Price elasticity of demand is 1.2 and the price of the good decreases.
This will cause an increase in total revenue since we will be dividing by a reducing denominator
Option B: price elasticity of demand is 3.0 and the price of the good decreases:
This will cause an increase in total revenue since we will be dividing by a reducing denominator
Option C: price elasticity of demand is 0.5 and the price of the good increases:
This is a case of inelastic demand since price elasticity is < 1. In inelastic demand, the price of the good does not affect the change in demand significantly. This is the case of essential goods. Hence, the total revenue will still increase.
Answer:
A. price elasticity of demand is 1.2 and the price of the good decreases
Explanation:
Price elasticity of demand refers to the relationship change that occurs in the price for goods and the quantity demanded, the relationship change have an impact the business total revenue.
Revenue is the amount of money a business firm make from the sales of goods and services, it is the total number of units sold multiplied by the price per unit, and as the price or the quantity sold changes, the revenue also changes. Total revenue is the amount or price of an item multiplied by the number of units sold.
When demand is elastic at a given price level, the firm cut its price, this is because the percentage decrease in price will result in an even larger percentage increase in the quantity sold, therefore raising the total revenue.
Changes that are occurs are:
if the Price elasticity of demand is inelastic i.e less than 1 and a firm increases its price, the total revenue increases.
if the Price elasticity of demand is elastic i.e greater than 1 and a firm decreses its price, the total revenue increases.
if the Price elasticity of demand is elastic i.e greater than 1, and a firm increases its price, the total revenue decreases.
Answer:
The COQ is -$10,000
Explanation:
The COQ can be represented by the sum of two factors: Cost of Good Quality and Cost of Poor Quality.
The Cost of Good Quality (CoGQ) includes the prevention and appraisal cost and the Cost of Poor Quality (CoPQ) includes internal and external failures.
The formula of COQ is:
COQ = CoGQ + CoPQ
If
CoGQ= $10,000 + $ 50,000 = $ 60,000
and
CoPQ= -$30,000 - $ 40,000 = -$ 70,000
CoPQ values are negative because they are reductions of wate and returns of bad products
then:
COQ= $ 60,000 - $ 70,000
COQ= -$ 10,000