Internal Business Arrangements

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Institutional Affiliation

6. This part focuses on the internal arrangements within the individual businesses you have
Investigated — how they organize their businesses to implement their business strategies. Use
Porter’s Value Chain Analysis Model to analyze organizations in the industry.
The aim here is to explain how different businesses organize their processes to achieve their organizational objectives. You should choose to concentrate on at least two contrasting
Organizations in your segment to illustrate competitive responses. Justify your choice.
As this question requires some knowledge of internal processes, you may find it difficult to
Obtain specific information. Use whatever information is available to you to address this
Question as best you can.

Porter’s value chain analysis is a model that has been developed by Michael Porter to assist in determination of an organizations competitive advantage. The completion as regards to porter’s model is purely based on the primary and secondary activities (Nicovich, Dibrell, & Davis, 2007). Porter talks of activities that are value added. A deeper search of what Porter really meant to convey is that a product or a service has value addition if it goes through these activities that have been set out. In fact, in accordance to Porter, the activities are different and they perform different roles. Henceforth, the activities are divided into to functional classes; primary activities and secondary activities.

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(Nicovich, Dibrell, & Davis, 2007)

Porter elucidates that primary activities are the core activities for which an organization exists. The secondary activities are classifiable as the support activities. Categorization of activities as support activities is based on a simple basis of the assistance that the functions offer to ensure