The Value Chain and Evaluating the Industry

Read these sections on the value chain and Porter's five forces. While you read, think about the impact information technology can have on these concepts.

Value Chain

Key Takeaway

  • The value chain provides a useful tool for managers to examine systematically where value may be added to their organizations. This tool is useful in that it examines key elements in the production of a good or service, as well as areas in which value may be added in support of those primary activities.