Value Chains

Value chains measure the value of process or products over a range of variables, such as steps in process or capabilities. You can use value chains to measure product coverage in the marketplace against competitors, or as a strategic business measure to understand the most logical approach in weighing risk factors.

Creating a Market Opportunity Value Chain

A market opportunity value chain measures market coverage either internally—within an organization—or against competitors. Notice in Figure 26.27 that the market opportunity value chain for a small publisher measures the coverage of their books’ accomplishment level and the company’s coverage against it. By using Excel’s formatting and drawing tools, you can create value chains for presentations or strategic initiatives for future approaches to the marketplace.