Väärtusahelate

Väärtusahela (Value Chain) is a concept originating from Michael Porter’s analysis of competitive advantage. It refers to the full range of activities and processes that a firm, industry or economy performs to bring a product or service from initial conception to final consumption. The term is widely used in business strategy, supply chain management, and economic development literature.

In practice a value chain is broken into primary activities – raw material procurement, production, marketing and distribution, and service – as well as supporting activities such as procurement, technology development, human resources, and firm infrastructure. Each linkage within the chain adds incremental value, and the overall efficiency of these connections determines the cost structure and profit potential of the end product.

Countries and regions analyse their national value chains to identify comparative advantage, promote structural transformation, and design industrial policy. For instance, Estonia’s electronics and information technology sectors have evolved through a specialised value chain that links research institutions, start‑ups, domestic manufacturers, and export markets. Globalised value chains have also sparked debates about labour standards, environmental impact, and intellectual property rights, particularly in the context of environmentally sustainable production and circular economy initiatives.

Academic studies often measure the performance of a value chain using metrics such as added value per unit, productivity gains, and market share. Policymakers employ value chain mapping to negotiate trade agreements, design subsidies, and support sectoral upgrading. As a dynamic framework, the value‑chain approach continues to adapt to digitalisation, platforms, and network economies, making it an essential tool for understanding how value flows through modern markets.