Critical assessment of resource-based view theory-take Haagen-Dazs as the case company

The Resource-Based View (RBV) has been widely adopted to analyse multinational enterprises' (MNEs) competitive advantages through internal resources. However, its limitations in addressing external environmental factors remain underexplored. This study critically evaluates RBV's applicability by examining Haagen-Dazss paradoxical performance: its success in the U.S. market versus its struggles in China. Using the VRIO framework, we identify how sustainable advantagessuch as brand culture and a direct operating modeldrove U.S. dominance, while temporary advantages (e.g., premium ingredients) failed in China due to local competition and market heterogeneity. Further analysis reveals that RBV overlooks critical external factors, including income disparities and competitive intensity, which significantly undermined Haagen-Dazss Chinese strategy. Empirical data confirm that Chinas price-sensitive consumers and rising domestic brands reduced Haagen-Dazss market share to 1%. The findings argue that MNEs must integrate macro-environmental analysis with RBV to navigate diverse markets. This research advances international business theory by bridging RBVs internal focus with external contingencies, offering strategic insights for MNEs expanding globally.