The Tourism local value chain illustration shows how a VC approach is a methodology that involves assessing and working towards the growth of an entire value chain - not one particular market ator - to ultimately help those that the development organization is targeting. The below tourism local value chain shows five major segments, including accommodation (hotels/lodges/camps), food & beverages (restaurants, market/wholesaler/retailer/producer), souvenirs (souvenir shops/markets sellers, craftsman/local producer), transportation (regional & local, bus/taxi/car/rental), and excursions (guides/tour/operators/travel agencies). The Value Chain framework is a model that helps to analyze specific activities through which firms can create value and competitive advantage. Companies use value chain analysis to deliver the most value for the least possible total cost.
