Value chain activities can be categorized as:
A) primary activities and secondary activities
B) input activities and throughput activities
C) profitable activities and unprofitable activities
D) primary activities and support activities
E) value creation and value delivery

Question

Quizplus · Accepted Answer

The most commonly used categorization of value chain activities is into primary activities and support activities, as identified by Michael Porter. Primary activities are those involved in the physical creation of the product, sale and transfer to the buyer, and after-sales assistance. Support activities are those that are necessary for the primary activities to take place, including procurement, technology development, human resource management, and firm infrastructure. This distinction is important because primary activities are generally more directly related to creating value for the customer, while support activities are necessary for the smooth functioning of the company but do not directly create value for the customer.

Value Chain Activities Can Be Categorized As