A useful way to understanding the purpose of strategy is to think of the firm as a(n)________, composed of a series of distinct activities, including production, marketing, materials management, R&D, human resources, information systems, and the firm infrastructure.
A)activity network
B)value constellation
C)task succession
D)value chain

Question

Quizplus · Accepted Answer

The best choice is D, "value chain," because it refers to the concept of the firm as a series of distinct activities that add value to the end product or service. Option A, "activity network," is not a commonly used term in this context. Option B, "value constellation," refers to the network of firms and stakeholders that work together to create value in a particular industry, and is not specific to an individual firm. Option C, "task succession," does not accurately capture the concept of the firm as a series of distinct activities that work together to create value.

A Useful Way to Understanding the Purpose of Strategy Is