Analyse the resources and capabilities of the company and how they might contribute to a position of sustainable competitive advantage.

This question attracts most of the marks as it spans three weeks of study (Weeks 9, 10 and 11), where you learnt about internal analysis. First, read the materials and take notes. Considering the company’s activity in the UK Hotel industry and using the skills you developed in Week 9, trace the resources and capabilities profile of the company. You may demonstrate these by using a diagram similar to the one used in Activities 9.6 and 9.7. Discuss how resources underpin capabilities (relevant examples can be found in Section 5).

Once you have identified the relevant resources and capabilities, use one of the frameworks presented in Week 10 to appraise them (VRIO framework or value chain) and to discuss how resources and capabilities underpin competitive advantage of the case company. To demonstrate the application of the framework of your choice, you may use relevant diagram(s).

Finally, develop your answer further by selecting one of the topics in Week 11 that is relevant to your argument. Choose the most relevant topic from: capabilities development (Section 1), dynamic capabilities (Section 2) or functional strategies that the company can adopt to enhance its competitive advantage (Section 3).

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