The VRIO framework evaluates a firm's resources according to four questions: value, rarity, imitability, and organization. Resources that are valuable, rare, costly to imitate, and supported by a firm's organization can provide sustained competitive advantage. Resources that are valuable and rare but easily imitated only provide temporary advantage. Resources that are not rare provide no advantage over competitors. The VRIO framework helps firms assess which resources provide opportunities to exploit environmental factors or neutralize threats.