Value Chain Analysis By Harvard Business School

1012 Words Oct 19th, 2015 5 Pages
Value chain analysis is presented by Harvard Business School professor Michael Porter. It is a tool to determine the companies’ competitive advantages. A company has many resources, capabilities and competitive advantages, If the enterprise as a whole to consider, it is difficult to recognize these competitive advantages, we have to break down business activities, and considering these individual activities themselves and their relevance to determine the company 's competitive advantage. Value chain analysis method depending on business as a series of input, conversion, and output sequence set. Each activity may generate added value behavior for the final product, thereby enhancing the competitive position of the enterprise. The key to achieve the corporate strategy is the enterprise through information technology to optimize the key business processes. Enterprise through the application of information technology in the value chain analysis process, to enhance the competitiveness of the enterprise. Enterprise production and business activities can be divided into basic activities and support activities. Basic activity is the production and operation of substantive activities, can generally be divided into raw material supply, production, processing, product storage and transportation, marketing and after-sales service. These activities are directly related to the processing flow of physical goods, it is a basic value-added activities of enterprises. Support activity is the…
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