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Cadena de Valor
Cadena de Valor
CHAIN
Universidad de Guanajuato. DCEA.
Comercio Internacional
Introduction
§0 Michael Porter’s Value chain concept is
one of the most valued concept in
today’s market because the Value chain
tells us how we can differentiate our
products by analyzing the chain of
events which occur within our company.
§1 Differentiation is very important in
today’s saturated market, naturally
Porter’s Value chain is being referred in a
lot of management studies.
§2The Value chain of porter comprises of total 9 steps – The first 5 are
the primary activities which are the basics in any company and are
the activities which provide strength and sustainability to the
company. The remaining 4 are the support activities or also known
as the secondary activities and these are used by the company for
differentiation as well as maintenance of the organization. Both, the
primary as well as the secondary activities are necessary for the firm
to survive.
Primary activities of
Porter’s value chain
§3Inbound logistics – Bring raw material from source to the company.
The value chain can be enhanced in this step by improving the
quality of raw material as well as optimizing the cost of inbound
logistics.
Primary activities of
Porter’s value chain
§6Marketing and sales – The marketing and sales apply push as well as
pull strategy to increase the sales of the product. The company
exists to make profits and if profits can be increased by marketing
and sales, than the company has to use these tools. However,
marketing needs to be done in the right manner to build brand
equity and sales should be done in the proper channel without any
false commitments given to customers to add value to the end
product and the brand.
Secondary activities
involved in the
Porter’s Value chain
§8Procurement – The management of vendors and the procurement of
the raw material on a timely basis is where procurement comes in.
§9Technology development – No product can survive if the company
does not keep it updated as per the latest technology.
Case study
§12 Single store in Seattle in the year
1971.
§13 Mission: “to inspire and nurture the
human spirit – one person, one cup
and one neighborhood at a time.”
Primary Activities
Inbound Logistics
Operations
Outbound Logistics
Service
Support Activities
Infrastructure
Technology Development
Procurement