An assessment conducted on the chain of interlinked activities of an organization or set of interconnected organizations, intended to determine where and to what extent value is added to the final product or service is known as

Value chain analysis (VCA) is a procedure where a company determines its core and auxiliary operations that provide value to its finished product and then analyse these activities to cut costs or boost distinction.

In other words, the value chain is a representation of the internal processes a company goes through to convert inputs into outputs.

Its objective is to identify the operations that are most valuable to the company (i.e., the source of cost or differentiating advantage) and those that may be enhanced to give the company a competitive edge.

Hence, an assessment conducted on the chain of interlinked activities of an organization or set of interconnected organizations, intended to determine where and to what extent value is added to the final product or service is known as Value Chain Analysis.

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