Value chain positioning: Performance and partnerships

Abstract

The value chain is widely discussed by academics and practitioners. Among the numerous issues to be resolved one is of pressing importance; where in an industry value chain should the individual firm operate. The traditional strategy models would suggest that a SWOT or PEST analysis would resolve this problem; however it is likely only to present a partial solution. While both techniques have their merits they do not answer contemporary issues such of those of intra and inter-organisational costs and control. This working paper explores current thinking in value chain analysis and management and introduces contributions from the expanding literature in attempt at moving the topic closer to resolving an important question that many organisations seek an answer for: just where in the value chain should I locate? Who with? And for how long?