Value chain

developing a value chain for e-business

1. a Value Chain for E -business By Mayuri Gadkar Prasanna Bapure

2. Content Business model Meaning of Value Chain History Porter’s model Value chain for e-business Integration of organization Applications

3. What Is A Business Model? The e-Business model, like any business model, describes how a company functions; how it provides a product or service, how it generates revenue, and how it will create and adapt to new markets and technologies.

4. Meaning A  value chain  is a chain of activities that a firm operating in a specific industry performs in order to deliver a valuable  product  or  service  for the market .

5. History The concept comes from business management and was first described and popularized by  Michael Porter  in his 1985 best-seller, Competitive Advantage: Creating and Sustaining Superior Performance.

6. Why Value chain for e-business?

7. Why Value chain for e-business A process-oriented approach to electronic business and electronic government allows to study electronic transaction between market partners, consumers and citizens as well as public administration including NGO's

8. Internet technologies should broaden the capacity to act of organizations and of individuals, promote transactional contacts and exchange relations, and lead to an open society with cultural originality and variety. For this purpose the opportunities and risks of electronic means of communication must be weighed against each other and the protection of intellectual property and of the private sphere maintained .

9. The effective delivery of value to a customer, requires that a company organize its structure and functions according to the type of product or offering delivered. The   value chain, describes a linear set of steps, which could be activities or business processes such as design, production and sales , whereby a manufacturing company delivers value which delivers model striving for overall efficiency and cost reduction by increasing the efficiency and reducing the cost of each business process . Each step is independent and separable, and can be  outsourced , or contracted out to another company. The value chain becomes a supply chain when a company uses the inputs and activities of other companies in its manufacturing process.

10. Integration Of Organization Or Enterprise Operations

11. Applications Describes how a company functions; how it provides a product or service, and how it produces revenue Indicates how a company will create and adapt to new markets and technologies Shows how a company can be successful provided that all the components work together in a cooperative and supportive fashion. Helps management to focus on the whole business, not just on one activity

12. References The Economist Intelligence Identifying E-Business Model: A Value Chain-Based Analysis ZENG Qingfeng , HUANG Lihua University of Fribourg (Switzerland)   -   Department of Informatics  http:// www.eiu.com Porter, M (1985):  Competitive Advantage: Creating and Sustaining superior Performance   N.Y. Free Press Evans P, Wurster T (2000):  Blown to bits: How the new economics of Information transforms strategy  Harvard Business School Press Porter M, Millar VE (1985):  How information gives you competitive advantage  Harvard Business Review Vol 63 Issue 4 Jun/July 1985 pp 149-160 Rayport , J Sviokla , J (1995):  Exploiting the virtual value chain  Harvard Business Review Vol 73 Issue 6 November/December 1995 pp 75-85 Ridderstrale , J Nordstrom K (2002):  Funky Business  Financial Times Prentice Hall