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In a series of books, Michael Porter of the Harvard Business School defines and elaborates the concept of the "Value Chain". Porter's theory is broadly
accepted and widely influential. The Value Chain framework is a useful guide for analyzing a business unit within the context of its market and competitive position so as to clearly identify prescriptive
actions to reduce costs, improve productivity and to gain competitive advantage or merely to "stay in the game".
An abbreviated schematic of Porter's framework is presented here including:
1. Elements of Industry Structure
2. Positioning vis-a-vis the industry
leaders.
3. Positioning the product.
4. The Value Chain.
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