Unformatted text preview: o Competitors value chains may differ o Ex. Airline Industry: TWA and United have similar value chains, whereas People Express’s value chain is different o IF value chains differ, the level of efficiency from the chains, will determine relative cost position o If value chains are different, differences lie within subset of activities, meaning firms can balance the effect of these differences on the relative cost position, by comparing the cost of these differing activities. 2. its relative position vis-à-vis the cost drivers of each activity...
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- Spring '08
- Firm, value chains, cost advantage