Question

Role of value chain analysis in strategy formulation

Answer 1

Explanation:

A company's value chain allows it to create a competitive advantage over its competitors.

A strong value chain management team helps a company create high value and a strong competitive advantage in any or all of the value chain's five steps.

Answer 2

Answer:

Value chain analysis is a strategy tool used to analyze internal firm activities. Its goal is to recognize, which activities are the most valuable (i.e. are the source of cost or differentiation advantage) to the firm and which ones could be improved to provide competitive advantage.