Value chain - part 2

In this lesson

1. 0:00 Understanding Porter's value chain
2. 0:37 Identifying secondary activities
3. 1:07 Distinguishing primary and secondary activities
4. 2:18 Adding value through the value chain
5. 3:00 Mastering value chain structure and examples

About this lesson

We work through two practical examples that show you how to distinguish between primary and secondary activities, then apply this knowledge to real business scenarios. You'll discover why understanding the value chain structure matters: it helps you analyse how organisations create competitive advantage, whether through cost leadership or differentiation, and how to spot where value is added across the entire business. The video breaks down the secondary activities—procurement, human resources, infrastructure, and technology—and explains what each one does. Then we tackle a trickier question about inbound logistics, showing you how to work through the options logically and avoid common mistakes. By the end, you'll be confident identifying activities like hiring staff as human resource management or recognising an advertising campaign as part of marketing and sales. The key takeaway: master the structure of the value chain, understand how activities link together, and you'll be able to spot opportunities for adding value through efficiency or creating premium offerings your organisation can charge more for.

Duration: 3m