4 years, 1 month ago

The Business Model as a Value Chain

Link: http://it.toolbox.com/blogs/ea-matters/the-business-model-as-a-value-chain-73103?rss=1

In the 1980s, Michael Porter proposed the Value Chain (VC) concept to illustrate the operation  of a company.

Value Chain is a set of activities that an organization carries out to deliver value to its customers and return a margin of profit to the company and stakeholders.

The profit is the VC margin, as in Porter’s picture.