Value chain model is a set of necessary measures to provide the product or service activities. The essence of the value chain model is to create a range of activities evaluated by customers. Activities can be the first in that customers benefit directly (for example, content creation) or can be supportive, and this means that customers indirectly benefit from these activities (such as accounting).
In the development of the value chain, it should ask the following questions:
What are the activities required to make my customers happy
What a group of concerned activities do my competitors provide this same value (above) for clients
If it indicated all activities house or outsourcing
What is the cost of each activity in the value chain
It may reduce the cost by reducing non-value-added activities
Cycle to create value
Cycle to create value is the business owner's ability online to take scarce resources such as time and money and turn it into a competitive advantage.
Time / money:
Before starting the online business you need to access the availability of scarce resources, such as time or money. This is not entirely true that you can make money online with zero investment. While the investment to start online can be low, and the truth is should be an initial investment: the investment is paying well with time or money. If you can not invest the time and money in your online business, then you are better off waiting until you can.
Develop a strategy
The next step in the process of creating value is to develop a strategy. Strategy is a set of activities that are going to do to make your time or money on rent.
Primary jurisdiction
A core competency of online business because of their ability to convert coordinated input through effective production processes that create added value for customers.
Input
It may be input in the form of information, services or staff outsourcing. A business with the ability to coordinate resources to achieve maximum value for customers is likely to do better than work that waste resources. Founder of knowledge goes a long way in improving the company's core competencies.
Operations
Every business system or set of processes needed to transform inputs into outputs. For example, the process can be bloggers use the time (input) or the money to hire a writer (input) to create content that add value to customers (outputs). Processes involved are activities such as: how to find the relevant topics, and the coordination of blog entries, etc..
Produce
The final product is what the customer gets to enjoy that in the case of blogger that produce content.
Competitive advantage
A combination of investment and efficiency of basic strategy is competitive advantage in business on the Internet. The more time or money from online business needs to perform and can develop more business strategies, which in turn increases the basic skills.
Online business highly competitive have the ability to not only make your time or money on production, but can also be coordinated as others to increase supplies available in their business.
In the development of the value chain, it should ask the following questions:
What are the activities required to make my customers happy
What a group of concerned activities do my competitors provide this same value (above) for clients
If it indicated all activities house or outsourcing
What is the cost of each activity in the value chain
It may reduce the cost by reducing non-value-added activities
Cycle to create value
Cycle to create value is the business owner's ability online to take scarce resources such as time and money and turn it into a competitive advantage.
Time / money:
Before starting the online business you need to access the availability of scarce resources, such as time or money. This is not entirely true that you can make money online with zero investment. While the investment to start online can be low, and the truth is should be an initial investment: the investment is paying well with time or money. If you can not invest the time and money in your online business, then you are better off waiting until you can.
Develop a strategy
The next step in the process of creating value is to develop a strategy. Strategy is a set of activities that are going to do to make your time or money on rent.
Primary jurisdiction
A core competency of online business because of their ability to convert coordinated input through effective production processes that create added value for customers.
Input
It may be input in the form of information, services or staff outsourcing. A business with the ability to coordinate resources to achieve maximum value for customers is likely to do better than work that waste resources. Founder of knowledge goes a long way in improving the company's core competencies.
Operations
Every business system or set of processes needed to transform inputs into outputs. For example, the process can be bloggers use the time (input) or the money to hire a writer (input) to create content that add value to customers (outputs). Processes involved are activities such as: how to find the relevant topics, and the coordination of blog entries, etc..
Produce
The final product is what the customer gets to enjoy that in the case of blogger that produce content.
Competitive advantage
A combination of investment and efficiency of basic strategy is competitive advantage in business on the Internet. The more time or money from online business needs to perform and can develop more business strategies, which in turn increases the basic skills.
Online business highly competitive have the ability to not only make your time or money on production, but can also be coordinated as others to increase supplies available in their business.
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