This paragraph will briefly explain the primary activities of the value chain. The category of Inbound Logistics covers all input activities including inventory control, warehousing and returns to suppliers. The Operations category includes the process of transforming inputs into sellable goods. This includes assembly and packaging. Outbound Logistics includes order processing and the physical distribution of the product to buyers.
Service includes enhancements to the value of the product, such as installation, repair or training.
On the other hand, a restaurant will be primarily concerned with operations. This paragraph will briefly explain the support activities of the value chain. Technology Development is concerned with improvements to product and process. Human Resource Management refers to all activities involved with personnel, such as recruiting, hiring, training, development, and compensation. Although Porter uses value chain analysis for discussing cost advantage, differentiation and technology, this paper is concerned with the use of information technology to achieve competitive advantage and will not focus on cost advantage or differentiation.