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Unformatted text preview: e firm can charge for that product given competitive pressures) and
• C (the costs of producing that product)
The two basic strategies for creating value are 1. differentiation 2. low cost 6 of 40 Strategic Positioning
A firm’s strategy, operations, and organization must all be consistent with each other in order to achieve a competitive advantage and superior profitability. 7 of 40 Operations: The Firm as a Value Chain
Firms are essentially value chains composed of a series of distinct value creation activities, including production, marketing, sales, materials management, R&D, human resources, information systems, and the firm infrastructure.
Value creation activities can be categorized as 1. primary activities
2. support activities 8 of 40 Operations: The Firm as a Value Chain
1. Primary Activities: involve creating the product, marketing and delivering the product to buyers, and providing support and after‐sale service to the buyers of the product
2. Support Activities: provide the inputs that allow the primary activities of production and marketing to occur 9 of 40 Operations: The Firm as a Value Chain
The Value Chain 10 of 40 Organization: The Implementation of Strategy
Organization architecture refers to...
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- Spring '14