CS Professional · Strategic Management and Corporate Finance · Managing the Multi-Business Firm and Analyzing Strategic Edge
In Porter's value chain, which of the following is classified as a primary activity rather than a support activity?
Outbound logistics is a primary activity in Porter's value chain. Primary activities directly create and deliver the product, while procurement, human resource management and technology development are support activities that serve all primary activities across the firm.
- AProcurement of raw materials and supplies for the firm
- BOutbound logistics for delivering finished goods to distributorsCorrect
- CHuman resource management across the firm
- DTechnology development and process research
Explanation
Porter's primary activities are inbound logistics, operations, outbound logistics, marketing and sales, and service. Procurement, HRM, technology development and firm infrastructure are support activities. Procurement is often confused as primary because it deals with inputs, but it supports all activities.
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