CA Intermediate · Financial Management and Strategic Management · Strategic Analysis: Internal Environment
Meera Pharma's managers classify its activities under Porter's value chain. Which of the following is a SUPPORT activity rather than a primary activity?
Technology development is a support activity. In Porter's value chain, primary activities are inbound logistics, operations, outbound logistics, marketing and sales, and service, while procurement, technology development, HRM and firm infrastructure support them.
- AOutbound logistics
- BMarketing and sales
- CTechnology developmentCorrect
- DOperations
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 technology development is the support activity.
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