Which of the following BEST describes the value chain?
A) A management information system which tracks the costs of products through the manufacturing process
B) The minimizing of inventory levels to reduce storage, insurance and finance costs
C) All activities that contribute to the continuous improvement of business operations
D) The whole sequence of activities that add value to the goods and services sold to end-users

Question

Quizplus · Accepted Answer

The value chain refers to the entire sequence of activities from raw material acquisition to the delivery of finished goods to the end-users. This process involves all activities that add value to the products or services being sold. Therefore, option D is the correct description of the value chain. Option A refers to a management information system, while option B talks about minimizing inventory levels, and option C discusses the continuous improvement of business operations, but these do not capture the essence of the value chain.

Which of the Following BEST Describes the Value Chain