Value Chain Of The Bank

2448 WordsJun 28, 201510 Pages
Value chain of the bank Lanfu Ma A value chain is a set of activities that a firm operating in a specific industry performs in order to deliver a valuable product or service for the market. The concept comes from business management and is first described and popularized by Michael Porter in his best-seller, Competitive Advantage. In this article, the value chain of the bank I worked for will be analyzed. The value chain of the bank is the value chain system composed by value activities which are independent in either economic effect or technology. Those value activities aim to implement the service business and get the profit. According to the strategy of value chain, bank value activities can be divided into two categories: primary activities and support activities. The primary activities are the various value activities related to internal and external logistics, marketing and after-sales service. Support activities are the value activities which support the primary activities and support between the primary activities mutually by banking infrastructure, technology development, human resource management, and various banking functions. With the rapid development of personal computers and database as well as the dramatic rise of the Internet, information technology, information technology has been part of banking business, and changed the commercial bank value chain profoundly. First, the computer can assist the bank to establish a database and various
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