Which of the following statements concerning value chain analysis is false?
A)The goal of value chain analysis is to find areas where a company can either add value or reduce cost.
B)The value chain focuses on the entire production process, as well as the sale of the product and service after the sale.
C)If a company cannot compete in a specific area of the value chain, it might consider the option of outsourcing that portion of the value chain to someone who can perform it better.
D)Throughout most industries, the most successful firms are the ones that operate within the entire value chain, thereby overseeing every aspect of the value chain for the customer.

Question

Quizplus · Accepted Answer

This statement is not entirely true. While it may be true in some industries, there are also successful companies that specialize in only one aspect of the value chain and outsource the rest. For example, some companies may focus solely on design and outsource manufacturing and distribution.

Which of the Following Statements Concerning Value Chain Analysis Is