The Value Chain

The value chain concept is highly useful in understanding the major activities through which a firm creates, communicates, and delivers value for its customers. Many firms attempt to take advantage of the value chain to create a competitive advantage. In this activity, you will match the following statements into the primary activities of the value chain.

The value chain concept holds that every organization represents a synthesis of activities involved in designing, producing, marketing, delivering, and supporting its products. It is critical to align the various elements of the value chain, meaning that all facets of the company are working together to ensure that no snags will negatively impact the firm$$s value proposition. The value chain identifies nine relevant strategic activities the organization can engage in that create$/$impact both sides of the value equation: benefits and costs.

Read the description for each company. Then, match the company to the primary activity of the value chain to which it describes.

Marketing and Sales Inbound Logistics Service Outbound Logistics Operations

Match each of the options above to the items below.

DeSable Products, an original equipment manufacturer $($or $$OEM$),$ buys iron ore to use in the production of automobile transmissions.

No answer

Hines Motors, an automobile manufacturer, buys automobile transmissions from DeSable Products.

No answer

Zippy Transportation, a shipping company, has a contract with Hines Motors to deliver automobiles to Hines$$ car dealer showrooms.

No answer

Marshall Hines Motors, a car dealership, is one of the leading dealers of Hines automobiles in its local market.

No answer

After each purchase, Marshall Hines Motors calls customers to measure their satisfaction with their new Hines car.