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WK 2 - DQ 8 - lie A company’s center of gravity is the...

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MGT/498 – Strategic Management University of Phoenix Professor:  TUGTEKIN GOKAYDIN Katie Williams 12/11/2011 Week 2 – Assignments Discussion Question #8: What is value chain analysis and how is it used? Well from what I understand value chain analysis is split into two different segments, one being upstream and the second being downstream. However, in terms of what a value chain analysis is, our textbook describes this as being a way to analyze the complete value chain of a product. According to (Wheelen, & Hunger, 2010, p. 145), “Note that even if a firm operates up and down the entire industry chain, it usually has an area of expertise where its primary activities
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Unformatted text preview: lie. A company’s center of gravity is the part of the chain that is most important to the company and the point where its greatest expertise and capabilities lie-its core competencies.” I believe that companies use the value chain analysis as a way to define their primary activities. However, I have to say that this part has me a bit confused, and I am not entirely sure that this is correct, so any feedback on this would be greatly appreciated. References: Wheelen, T. L., & Hunger, J. D. (2010). Concepts in Strategic Management and Business Policy: Achieving Sustainability (12th ed.). Upper Saddle River, NJ: Prentice Hall....
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