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Porter's Value Chain

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1) Discuss the concepts of value, margin, and value chain as defined by Porter.

2) Describe the process by which organizations develop their information systems.

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Solution Summary

Porter's value Chain, value and margin are explained. The development of the information systems in organizations are examined. The solution is 528 words with two (2) non-APA references.

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Porter discussed "Value Chain" as an analysis of the activities in an organization and its link to its competitive position. Value chain analysis evaluates the "value" or importance of each particular activity in relation to the production or achievement of its goal. An organization is composed of its people, money and machinery. However, only when they are arranged into systems and become systematic activities that an organization can produce something that customers are willing to buy. An organization's ability to perform the activities and manage their relationships is a source of its competitive advantage.
Porter has also grouped activities into two: primary and support activities. Those directly responsible for the production or delivery of the product or ...

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