BOREALIS Harvard Case Solution & Analysis


Value chain diagram for Borealis:                            


  •  1.      Inbound logistics include the process of holding raw materials, transportation charges of bringing raw material of Borealis Company.

  • 2.      Operations include the core process of borealis of making polyolefin’s after converting raw materials into work in process.
  • 3.      Outbound logistics include the process of converting raw material into polyolefin’s (finished goods) and now it is thetime to send this product into market. For example,carriage charges to send finished goods into the market.
  • 4.      The third point is marketing and sales process, which includes the making advertisement of their products although borealis facing advertising difficulties but this process also includes enhancing the company’s by different means.
  • 5.      Services include the after selling products services although Borealis’ products are not in nature which requires after sale services.

Polyolefin (Product) Value Chain Analysis:

The analysis of value chain includes the headings which are relevant to the polyolefin.

Inbound Logistics:

This product requires different types of resources such as Oil, natural gas etc., however these two are the main inventory for producing polyolefin and holding cost of these inventories and bringing them in warehouse process held in the heading of inbound logistics for Borealis Company.Nonetheless, the holding cost of these types of inventory is costly.


The production process of the polyolefin describes the operations heading, however the production process includes multiple steps.The first step is making the distillation of inventory (Oil and gas), secondly the crushing out the larger molecules of polyolefin into smaller molecules, lastly making of molecules of larger chains at plant.

Outbound Logistics:

                                   It includes the delivery of polyolefin or plastic products to their customers.The process of transferring the product by Borealis Company is known as outbound logistics.

Marketing and Sales:

Although the market related to this industry sometimes becomes depressed, therefore Borealis needs to expand its process of making more sales through different means, however under the heading the polyolefin sales growth and its demand lies. Recently short term market of the product declined due to the reduction in inventory because of reduction in the prices of inventory.................

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