en     ru     jp
 
 
private banking
private banking
private banking
private banking
private banking
private banking
private banking
     
 
Home
      
Knowledge Base
      
Financial Glossary
      
Value Chain
       
 
Back

Value Chain

 Search definitions     
  Search  

Value Chain
A High-level model of how businesses receive raw materials as input, add value to the raw materials through various processes, and sell finished products to customers.
    
Value-chain analysis looks at every step a business goes through, from raw materials to the eventual end-user. The goal is to deliver maximum value for the least possible total cost. A value chain is a chain of activities. Products pass all activities of the chain in order and at each activity the product gains some value. The chain of activities gives the products more added value than the sum of added values of all activities. It is important not to mix the concept of the value chain, with the costs occurring throughout the activities. A diamond cutter can be used as an example of the difference. The cutting activity may have a Low cost, but the activity adds to much of the value of the end product, since a rough diamond is a lot less valuable than a cut diamond.
Posted by  Spintelligent (Pty) Ltd
 
  Back  
  Print  
  Email  

 

private banking
private banking
private banking
private banking
private banking
private banking
Get Adobe Flash Player to view the media
FlashPlayer required to view the media

 
Home News Library Newsletters Event Calendar Advertise About Contact FAQ
Privacy Policy     Terms of Service
 

©