Question

Which of the following is NOT a support activity of a company’s Value Chain?

Group of answer choices

IT management

General management

Purchasing

Customer support

New product development

Which of the following could be considered an Operations activity in the Value Chain?

Group of answer choices

Manufacturing process improvements

Building a product

Receiving materials

Shipping a product

Warranty repairs

Answer 1

Option D Customer Support

Services like Customer Support is the primary activity of Value Chain.This includes activities to maintain products and enhance consumer experience—customer service, maintenance, repair, refund, and exchange. For an e-commerce company, this could include repairs or replacements, or warranty.

A company's value chain identifies the primary activities it performs that create customer value and the related support activities.Support activities within the Porter’s Value Chain Analysis assist the primary activities and they form the basis of any organization.

Option C Receiving Materials

Procurement is the acquisition of inputs, or resources, for the firm. This is how a company obtains raw materials, thus, it includes finding and negotiating prices with suppliers and vendors. This relates heavily to the inbound logistics primary activity, where an e-commerce company would look to procure materials or goods for resale.