Cost Management: A Strategic Emphasis 5th Edition by David Stout, Edward Blocher, Gary Cokins

Exercise 18

Explain the uses of value-chain analysis.

Step 1 of 5

Value-chain analysis

It is a strategic analysis tool which is help to use firm’s activities in the effective manner with the better understanding of the competitive firms. Under the value chain analysis efforts taken to add value of the product to the customer. As the management is better understand the firm’s competitive advantage and make strategy and accordingly to become cost leadership. Value chain also include product design, research and development, and the advertisement.