Browse MBAs SECTION 9: Strategy & Competitive Advantage

The Value Chain Analyzer

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The Value Chain Analyzer

Analyse my value chain to find where I create advantage and where I bleed
cost.

The business and its activities: [DESCRIBE FROM INPUTS TO CUSTOMER]
My basis of competition: [COST / DIFFERENTIATION]

Provide:
1. The primary and support activities and where value is added
2. Where my costs concentrate and where I could be more efficient
3. Where I differentiate (or could) in the chain
4. The activities to own vs outsource given my strategy
5. The linkages — where improving one activity helps another

Tie it to my strategy: if I compete on cost, find the cost; if on
differentiation, find where value is created and where it's wasted.

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