Value chain

Value chain,

Definition of Value chain:

  1. Interlinked value-adding activities that convert inputs into outputs which, in turn, add to the bottom line and help create competitive advantage. A value chain typically consists of (1) inbound distribution or logistics, (2) manufacturing operations, (3) outbound distribution or logistics, (4) marketing and selling, and (5) after-sales service. These activities are supported by (6) purchasing or procurement, (7) research and development, (8) human resource development, (9) and corporate infrastructure.

  2. A company conducts a value-chain analysis by evaluating the detailed procedures involved in each step of its business. The purpose of a value-chain analysis is to increase production efficiency so that a company can deliver maximum value for the least possible cost.

  3. A value chain is a business model that describes the full range of activities needed to create a product or service. For companies that produce goods, a value chain comprises the steps that involve bringing a product from conception to distribution, and everything in between—such as procuring raw materials, manufacturing functions, and marketing activities.

  4. The process or activities by which a company adds value to an article, including production, marketing, and the provision of after-sales service.

How to use Value chain in a sentence?

  1. Sometimes as a product progresses and times change it will end up going up the value chain making it worth more and more.
  2. Value chains help increase a business's efficiency so the business can deliver the most value for the least possible cost.
  3. A value chain is a step-by-step business model for transforming a product or service from idea to reality.
  4. The value-chain theory analyzes a firm's five primary activities and four support activities.
  5. There was a highly sought managerial candidate that could keep the vital but failing value chain going for the company whose bottom line was beginning to suffer, thereby keeping overhead in check.
  6. The end goal of a value chain is to create a competitive advantage for a company by increasing productivity while keeping costs reasonable.
  7. Meanwhile, Thailand will continue to struggle with an education system inadequate for moving up the value chain.
  8. Knowing the value chain will help you set the correct price for your companies products or services to get the most profit.

Meaning of Value chain & Value chain Definition