Value Chain & Value System Analysis

The value-chain concept models the internal process of an organisation. Value-chain analysis looks at every step from raw materials to the eventual end-user — right down to disposing of the packaging after use in order to assess the current activities versus the activities of rivals. There are two types of activities depicted by the value chain:

• Primary Activities: these include Inbound Logistics, Operations, Outbound Logistics, Sales and Marketing and Service

• Support Activities: these include administration and infrastructure, Human Resources Management, Procurement, and Product/Technology Development.

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