4.2 Analysis of key resources, capabilities and competencesSelecting a business strategy that details valuable resources and distinctive competences, defining a strategy for all resources and capabilities and ensuring that they are all employed and exploited and building and regenerating valuable resources and distinctive skills is essential. The analysis of key resources, capabilities and competencies describes the external environment that is subject to rapid change. Based on this information a company must be prepared and know its internal resources and capabilities and offer a more confident strategy. Furthermore, resources and capabilities are the main source of profitability. Resources include intangible, material and human resources. Capabilities describe the environment and the strategic environment. Key competencies include technical knowledge and skills. In this section we will try to describe in detail the three segments which are resources, capabilities and key competences. 4.2.1 Tangible Resources Tangible resources include four different areas of importance. Tesco currently has strong financial, technical and physical resources and moderate organizational capabilities. Financial Resources: Tesco maintains a strong financial outlook as shown below. • Revenue growth for the Top Drive segment in the third quarter of 2011 was $83.6 million. Increase resulting from increased sales, operational days for the rental fleet and sales and after-sales support. Tubular Services revenue growth for the third quarter of 2011 was $38.1 million, an increase of 9 percent over the previous quarter. This increase comes from increased customer demand for shale resources. Casing Drilling revenues in the third quarter of 2011 were 5.3 million compared to 3.9 million in the 2011 quarter.• Operating margin at top drive...... middle of document......13 , the company acquired automated gangway technology from Custom Pipe Handlers Canada, Inc (nytimes.com, 2014).4.2.4 Summary of Tesco's Resources and CapabilitiesIn summary, Tesco Corporation has strong resources and capabilities throughout.In the section tangible, there is a strong presence of financial, technical and physical resources. Furthermore, there is a moderate presence of organizational capabilities. In the intangible section, Tesco Corporation has a strong presence in human resources, innovation and reputation. Furthermore, Tesco has valuable and strong capabilities. Core competencies are critical to the sustainability of a company. Tesco has a high capacity presence. They are high in the areas of design, technology, training and research and development. Furthermore, Tesco has a superior presence in the manufacturing sector.