{"id":36818,"date":"2025-09-29T11:39:10","date_gmt":"2025-09-29T11:39:10","guid":{"rendered":"https:\/\/certifeka-edu.com\/programs\/strategic-marketing-professional-certificate\/lessons\/lesson-4-how-to-improve-the-value-chain-3\/"},"modified":"2025-09-29T11:39:10","modified_gmt":"2025-09-29T11:39:10","slug":"lesson-4-how-to-improve-the-value-chain-3","status":"publish","type":"lesson","link":"https:\/\/certifeka-edu.com\/ar\/programs\/strategic-marketing-professional-certificate\/lessons\/lesson-4-how-to-improve-the-value-chain-3\/","title":{"rendered":"Lesson 4: How to Improve the Value Chain ?"},"content":{"rendered":"<p><img decoding=\"async\" width=\"96\" height=\"114\" src=\"https:\/\/certifeka-edu.com\/wp-content\/uploads\/2025\/04\/logos-png-01-296x57-1.png\" alt=\"\" srcset=\"https:\/\/certifeka-edu.com\/wp-content\/uploads\/2025\/04\/logos-png-01-296x57-1.png 96w, https:\/\/certifeka-edu.com\/wp-content\/uploads\/2025\/04\/logos-png-01-296x57-1-10x12.png 10w, https:\/\/certifeka-edu.com\/wp-content\/uploads\/2025\/04\/logos-png-01-296x57-1-42x50.png 42w\" sizes=\"(max-width: 96px) 100vw, 96px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/p>\n<h2>Lesson 4: Tools Of Analysis<\/h2>\n<h3 style=\"text-align: center;\">How to Improve the Value Chain ?<\/h3>\n<h5>When a firm takes into account its value chain, it needs to consider its value proposition, or what sets it apart from its competitors.<\/h5>\n<h5>Value chain analysis is designed to improve profits by creating a product or service that is so superior that customers are willing to pay more than the cost to develop it.<\/h5>\n<h5>But improving a value chain for the sake of improvement should not be the end goal. Instead, a company should decide why it wants to improve its value chain in the context of its competitive advantage to differentiate itself from its peers.<\/h5>\n<h5>Two common competitive advantage strategies include low-cost provider or specialization\/differentiation of product or service.<\/h5>\n<details id=\"e-n-accordion-item-4290\" open>\n<summary data-accordion-index=\"1\" tabindex=\"0\" aria-expanded=\"true\" aria-controls=\"e-n-accordion-item-4290\" >\n\t\t\t\t\t Low-cost provider<br \/>\n\t\t\t<svg aria-hidden=\"true\" viewbox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><br \/>\n\t\t\t<svg aria-hidden=\"true\" viewbox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><br \/>\n\t\t\t\t\t\t<\/summary>\n<h5 id=\"el_1736587298750_379\" tabindex=\"0\" contenteditable=\"\" data-element-id=\"ebookHeading4\" data-node-type=\"text\" data-magic=\"col-description\">value chain analysis focuses on costs and how a company can reduce those costs.<\/h5>\n<\/details>\n<details id=\"e-n-accordion-item-4291\" >\n<summary data-accordion-index=\"2\" tabindex=\"-1\" aria-expanded=\"false\" aria-controls=\"e-n-accordion-item-4291\" >\n\t\t\t\t\t Specialization<br \/>\n\t\t\t<svg aria-hidden=\"true\" viewbox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><br \/>\n\t\t\t<svg aria-hidden=\"true\" viewbox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><br \/>\n\t\t\t\t\t\t<\/summary>\n<h5 id=\"el_1736587298750_379\" tabindex=\"0\" contenteditable=\"\" data-element-id=\"ebookHeading4\" data-node-type=\"text\" data-magic=\"col-description\">value chain analysis focuses on the activities that create a unique product or differentiation in service.<\/h5>\n<\/details>\n<h5 id=\"el_1736587298750_379\" tabindex=\"0\" contenteditable=\"\" data-element-id=\"ebookHeading4\" data-node-type=\"text\" data-magic=\"col-description\">value chain analysis focuses on costs and how a company can reduce those costs.<\/h5>\n<h5 id=\"el_1736587298750_379\" tabindex=\"0\" contenteditable=\"\" data-element-id=\"ebookHeading4\" data-node-type=\"text\" data-magic=\"col-description\">value chain analysis focuses on the activities that create a unique product or differentiation in service.<\/h5>\n<h3 style=\"text-align: center;\">Example<\/h3>\n<h5>Let&#8217;s go back to our asset management stautes,<\/h5>\n<h5>After the value chain is identified, then the asset manager should determine its competitive advantage and pursue activities that go towards reaching those goals. In this case, the asset manager wants to pursue a differentiation strategy by delivering a product with steady, top-quartile returns over three years.<\/h5>\n<h5>Based on the drivers of uniqueness Porter identified, the firm needs to focus on its policies and decisions and learn to differentiate itself in terms of performance.<\/h5>\n<h5>By focusing on these drivers, the two primary activities of the investment team, operations, and the traders, along with all the identified support activities, can manage a product that achieves its differentiated competitive advantage.<\/h5>\n<h5>Value chain analysis is a handy management tool that identifies the activities that go into creating a superior product or service that is highly valued by customers.<\/h5>\n<h5>The outcome of creating this highly valued product is that customers are willing to pay a premium, which exceeds its costs, thereby delivering higher profit.<\/h5>\n<h5>The usefulness of this model created by Michael Porter is mostly seen in its ability to break down work products into various activity groups to strategically focus the management on what are beneficial activities, and what creates value.<\/h5>\n<h5>It also concentrates a company to determine a vision utilizing a competitive advantage strategy that will drive future products and services.<\/h5>\n<h5>Supporting activities are further validated in the process, creating an understanding that these sometimes overlooked activities are integral to the value chain and value proposition for a company.<\/h5>","protected":false},"comment_status":"open","ping_status":"closed","template":"","class_list":["post-36818","lesson","type-lesson","status-publish","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Lesson 4: How to Improve the Value Chain ? - Certifeka-edu<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/certifeka-edu.com\/ar\/programs\/strategic-marketing-professional-certificate\/lessons\/lesson-4-how-to-improve-the-value-chain-3\/\" \/>\n<meta property=\"og:locale\" content=\"ar_AR\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Lesson 4: How to Improve the Value Chain ? - Certifeka-edu\" \/>\n<meta property=\"og:description\" content=\"Lesson 4: Tools Of Analysis How to Improve the Value Chain ? 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