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Identify and describe EA’s value chain and value chain costs. Discuss whether EA has evolved any of its activities into competencies that give the company a competitive advantage.
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* Identify and describe EA's value chain and value chain costs. Discuss whether EA has evolved any of its activities into competencies that give the company a competitive advantage. Value Chain Value Chain describes the activities within and around an organization which together create a product or service. Primary activities are directly concerned with the creation or delivery of a product or service. Support activities help to improve the effectiveness of efficiency of primary activities. (Johnson, Scholes & Whittington, 2005) Value Chain in EA for Creating Value Primary Activities In-bounds * EA is able to negotiate volume discounts with console makers (Sony & Nintendo) that supplied the CDs and DVDs. Operations * EA has a virtuous strategy for the game creation and evaluation. * State-of-the-art tools use to allow for more cost-effective product development and to efficiently convert games designed on one game platform to other platforms. (Compatibility of games) * Have a strong relationship with console manufacturers. * Has an...
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