The firm’s value chain is a concept used in business to identify sources of competitive advantage. It encompasses all the activities involved in the production and delivery of goods and services from raw materials procurement, research and development, manufacturing, marketing and sales, distribution, customer support and after-sale service. Each activity can be broken down into its component parts such as supplier relations, technology use, product design and customer relationships. By understanding each activity within the chain, businesses can make decisions that increase their efficiency and effectiveness while remaining competitive on the market. Ultimately, the goal of the firm’s value chain is to help a business operate more profitably by reducing costs and increasing revenues.