THE ROLE OF THE VALUE CHAIN IN ENSURING THE COMPETITIVENESS OF ENTERPRISES
Main Article Content
Abstract
Introduction. Studying the needs of consumers is an important task for enterprises that work in the mass market. The needs determine the characteristics of goods. These characteristics form competitive advantages, which can ensure the market stability of enterprises.The value chain helps entrepreneurs concentrate on the processes that form the added value, and exclude processes that do not create value.
Value chain concept can be used in determining the possible sources of competitive advantages and the formation of market stability of enterprises.
Purpose. The purpose of the article is to define the role of the value chain in shaping the competitive advantages and ensuring the market stability of enterprises and their associations.
Methods. The method of theoretical analysis, the method of generalization, comparison ae used.
Results. Consumer value is one of the main characteristics when purchasing goods for consumers. It manifests itself through the possibility of choosing a particular product from a large number of similar goods. The key role in the choice of the goods belongs to the value of the goods, the quality of the goods, logistical support, other characteristics of the goods, etc.
Value for the consumer is a characteristic of the product, which is determined by market attractiveness and willingness to pay.
The value chain can be used by the enterprise as a tool that shapes consumer preferences. Using the value chain concept can help enterprises significantly reduce the cost of production and sales of products. This will help make the goods more attractive to consumers.
Sources of competitiveness can also be determined using a value chain. Competitive advantages will make it possible to increase sales volumes. The value chain can be used by managers in the formation of an effective enterprise development strategy and in operational planning.
Analysis of the value chain allows you to identify the processes that form a high added value. Managers should pay special attention to these processes.
Originality. The obtained results showed that the use of the value chain concept can become an instrument for increasing the efficiency of enterprises’ activities. Using this concept will provide businesses a competitive advantage. This will provide companies a sustainable competitive position. Alternative configuration values may be used by associations of undertakings..
Conclusion. The value chain allows companies to identify advantages in competition. The main task of constructing the value chain is to determine the strategic directions of the development of the main and auxiliary processes in the formation of the real value of the product for the consumer.
Using the value chain increases the efficiency of the enterprises.
In addition, the value chain allows enterprises to identify areas of strategic development that are built on competitive advantages.
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