Value Chain and Components Used for Value Creation Questions
This assignment covers chapter three, Internal Analysis: Distinctive Competencies, Competitive Advantage, and Profitability, and chapter four, Building Competitive Advantage through Functional-Level Strategy.
Chapter 3 Questions:
- Define value creation and the components that can be used to determine value creation per unit. How value creation is related to competitive advantage?
- What is a value chain? Why is efficiency so important in an organizations’ value chain activities?
- What building blocks in value creation can an organization use to sustain competitive advantage?
- What does internal analysis help a company to determine? How does this process contribute to the overall health (value creation, competitive advantage, profitability) of the company?
- Why do companies fail? How does competitive advantage relate to failure?
Chapter 4 Questions:
- What are functional level strategies? How can functional level strategy contribute to efficiency?
- Describe economies of scale and how it relates to competitive advantage. What strategic significance does economies of scale have for a company?
- How does innovation relate to competitive advantage? What can be done to sustain innovation in a company?
- How does customer relations contribute to competitive advantage? What is the effect of customer relations on value creation and its components?
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