Value Chain Analysis

Value Chain Analysis (VCA) is the process whereby a firm determines the costs associated with organizational activities from purchasing raw materials to manufacturing product(s) to marketing those products, and compares these costs to rival firms using benchmarking.

Definition

According to the Strategic Management by David and David (15th edition),

Value Chain Analysis (VCA). The process whereby a firm determines the costs associated with organizational activities from purchasing raw materials to manufacturing product(s) to marketing those products, and compares these costs to rival firms using benchmarking.