Re-Defining the Independent Film Value Chain

9672 WordsOct 30, 201239 Pages
Re-defining the Independent Film Value Chain A paper by Peter Bloore Introduction: An industry value chain or system could be summarized as a connected series of activities, that combine to create and deliver a product (or value) to customers. These activities could include research and development, manufacturing, packaging, marketing, and distribution. Strictly speaking, a value chain represents those activities as carried out within a single company, and a value system represents those activities being carried out by a series of different businesses or freelancers, acting together to create and deliver the product. The value chain and system has already been applied by business academics and consultants in various sectors, including…show more content…
The value chain is a framework for identifying all these activities and analyzing how they affect both a company 's costs and the value delivered to buyers.” (Porter 2001 pg 74) However some products are not created and delivered to the end user by a single company. To accommodate this Porter created the concept of the “value system”, which includes the individual value chains of all the separate companies or players who are co-operating within an industry to deliver a final product. As shown in the It was developed from existing concepts of business systems being used by the consultants McKinsey and co., and writers like Gluck (1980), Bauron (1981) and Bower (1973); as cited by Porter 1985, pg 36). 2 2 diagram below, this could include the suppliers of raw materials, the manufacturers, the distributors (or channels) and the end buyers. It is important to note that the value chain concept does not in any way attempt to represent the flow of revenue back through the chain from the exploitation of the product. It is only concerned with value addition during production and distribution. Porter has also subsequently observed the effects
Open Document