Relevance To The Business World
The virtual value chain offers a view that encompasses the entire network along with its employment of IT. The VVC model has a relationship to the supply chain and the goal of that relationship is to produce materials, information and knowledge for the market. IT maintains the relationship among the members of the chain. The VVC model does not indicate any shifts in the market, or how and when the customer’s needs will change.
New technological developments in IT are drastically changing the way businesses operate. Virtual business’s internal and external relationships are managed by IT and value adding and generation of ideas are relying more and more on IT. This trend has led to a different approach to value chain thinking. Using this approach Mary Cronin separates the VVC into three elements: inputs from supplier, internal operations, and customer relations.
- The inputs from supplier element focuses on the Internet and how it can add value to the business’ acquisition activities. In other words, businesses use the Internet to find different suppliers quickly (effective) and for different purposes (efficient).
- The internal operations element encompasses events which are based on the effective procurement and distribution of information within the business. It is essential that businesses can emulate this model because of the large role information plays in the business world. With use of the Internet, the business can procure and distribute information globally with relative ease and low cost.
- The customer relations element applies information directly from the customers’ needs and attitudes about the product or service to add value. The Internet provides the direct information about the customer’s needs and attitudes. The Internet is also used to distribute information about the products and services to the market (i.e. electronic catalogues). Following the distribution, forums and discussion groups collect the necessary information about the products and services that the business provides.
Read more about this topic: Virtual Value Chain
Famous quotes containing the words relevance to, relevance, business and/or world:
“... whatever men do or know or experience can make sense only to the extent that it can be spoken about. There may be truths beyond speech, and they may be of great relevance to man in the singular, that is, to man in so far as he is not a political being, whatever else he may be. Men in the plural, that is, men in so far as they live and move and act in this world, can experience meaningfulness only because they can talk with and make sense to each other and to themselves.”
—Hannah Arendt (1906–1975)
“The most striking fault in work by young or beginning novelists, submitted for criticism, is irrelevance—due either to infatuation or indecision. To direct such an author’s attention to the imperative of relevance is certainly the most useful—and possibly the only—help that can be given.”
—Elizabeth Bowen (1899–1973)
“My business is to teach my aspirations to confirm themselves to fact, not to try and make facts harmonize with my aspirations.”
—Thomas Henry Huxley (1825–95)
“Whether or not the world would be vastly benefited by a total banishment from it of all intoxicating drinks seems not now an open question. Three-fourths of mankind confess the affirmative with their tongues, and I believe all the rest acknowledge it in their hearts.”
—Abraham Lincoln (1809–1865)