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Organizational Conflict Management - Coggle Diagram

- - - - Competition to establish lower prices, launch better products and retain customers is always present. That's why companies must continually examine the value they offer in order to maintain a competitive advantage.
      - Difference Between Value Chain and Supply Chain
        You may be familiar with the concept of supply chain and find it very similar to value chain. Most of the time both are juxtaposed and complement each other; however, we can find substantial differences.
        On the one hand, the value chain is a set of interrelated activities whose main objective is to obtain a competitive advantage. Therefore, this is taken from the customer's point of view.
        On the other hand, the supply chain focuses more on operations related to the efficient management of materials, production, suppliers and, in general, reducing losses. As you can see, all this is taken from the point of view of the company.
        
        Value chain components
        In general terms, we can divide the components of the value chain into two categories: primary and secondary. The specific activities in each of these will vary according to each industry.
- - - - The business model is made up of the activities that are carried out in a company and the system that they follow to develop them, the structure that links those activities together and the people who participate in the different steps of the process. The goal is to find cohesion among its four pillars, which is not necessarily easy.
        A crucial point to keep in mind when thinking about innovative businesses is that it is not about looking for new needs to satisfy in potential or existing customers. The needs already exist. The objective of innovation is to find the way to satisfy that need in another way, with a value offer that convinces people, and that is more attractive than the competition, of course.
        
        “Companies should not spend time, resources and put a lot of emphasis on the development of products and services with an existing business model. Different studies show that they will not gain a competitive advantage in the market”, maintains one of the conclusions of the investigation.
        This does not mean that updates or improvements in products or services should be set aside, but rather that this process must go hand in hand with innovation within the business strategy.