The Value Chain tool for creating customer value is used in

The Value Chain\" tool for creating customer value is used in marketing strategy to: Select one: a. compare a firm\'s value proposition with the competitor\'s at each stage of the value chain to identify opportunities for improvement and/or differentiation. b. determine the place customers want to buy and how they want to buy our products. C. ensure that all of our company\'s departments and employees are consistently delivering the value our customers expect d. all of the above

Solution

The correct answer is option d.

Value creation is nothing but the primary objective of any business to create value for customers, employees, investors etc. by using different business strategies. It is nothing but the action that increase the worth of the goods, services of the organization. Primary activities in value creation in Porter value chain include inbound Logistics, Operations, Outbound Logistics, Marketing and Sales, and services. The secondary activities include human resource management, technology, infrastructure and procurement.

A value chain in marketing is nothing but the set of activities performed by the firm in particular industry for the purpose of delivering a valuable product or service for market. Value chain is important because it helps the company to lead its competitive advantage and increase profits. It helps the firm to exceed the value created to the cost of creating that value. It create long lasting impression in customers and result in creating customer loyalty. Customer loyalty is the tendency based on the behavior and attitude to prefer one brand over the other due to its quality, customer service, performance, etc. It provide good customer experience and result in customer satisfaction.