CMA Intermediate · Operations Management and Strategic Management · Strategic Analysis and Strategic Planning
A firm's value chain analysis classifies which of the following as a support activity rather than a primary activity?
Human resource management is a support activity in Porter's value chain. Primary activities are inbound logistics, operations, outbound logistics, marketing and sales, and service, while support activities cover procurement, technology development, HRM and firm infrastructure.
- AOutbound logistics
- BHuman resource managementCorrect
- COperations
- DMarketing and sales
Explanation
Porter's primary activities are inbound logistics, operations, outbound logistics, marketing and sales, and service. Support activities are procurement, technology development, human resource management and firm infrastructure. Hence human resource management is the support activity.
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