What is a Value Chain? Definition, Activities & Benefits

A value chain is a series of activities and processes that a company engages in to create and add value to its products or services. It starts with the sourcing of raw materials and ends with the delivery of finished products to customers. Each activity in the value chain contributes to the overall value of the product or service and helps the company to achieve its competitive advantage. The value chain includes activities such as research and development, production, marketing, distribution, and customer service. By analyzing and improving each activity in the value chain, companies can increase their efficiency and profitability.