Final answer:
The value chain is a concept that describes the activities a company performs to create and deliver a product or service. Companies can use it to improve profits and offer better service by optimizing each step of the value chain. Starbucks is an example of a company that utilizes the value chain effectively.
Step-by-step explanation:
The value chain is a concept that describes the activities a company performs to create and deliver a product or service to its customers. It includes all the stages, from sourcing raw materials to marketing and distribution. By analyzing and optimizing each step of the value chain, companies can improve their profits and offer better service.
An example of a company that uses the value chain to its advantage is Starbucks. They focus on sourcing high-quality coffee beans, perfecting their roasting process, training their baristas, and creating a welcoming atmosphere in their stores. By paying attention to each aspect of the value chain, Starbucks has been able to differentiate itself from competitors and build a strong brand, leading to increased profits and customer loyalty.