ExpertEasy1 markMultiple Choice
ACCA · Question 32 · Syllabus A: Business organisation and its external environment
According to Porter's Value Chain, which of the following is classified as a 'Primary Activity'?
According to Porter's Value Chain, which of the following is classified as a 'Primary Activity'?
Answer options:
A.
Human Resource Management
B.
Inbound Logistics
C.
Technology Development
How to approach this question
Recall the 5 primary activities: Inbound Logistics, Operations, Outbound Logistics, Marketing & Sales, Service.
Full Answer
B.Inbound Logistics✓ Correct
Porter's Value Chain divides activities into Primary (directly adding value to the product: Inbound Logistics, Operations, Outbound Logistics, Marketing & Sales, Service) and Support (Firm Infrastructure, HR, Technology, Procurement).
Common mistakes
Thinking HR is a primary activity because people are important. In this model, HR supports the primary functions.
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