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Which of the following is a Support activity as per Porter's value chain modela.Outbound logisticsb.Procurementc.Operationsd.Service

Question

Which of the following is a Support activity as per Porter's value chain model

  • a. Outbound logistics
  • b. Procurement
  • c. Operations
  • d. Service
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Solution

Break Down the Problem

  1. Identify the main components of Porter's value chain model.
  2. Classify the listed activities into primary and support activities.

Relevant Concepts

  1. Porter's Value Chain Model: It consists of primary activities and support activities.
    • Primary activities include inbound logistics, operations, outbound logistics, marketing and sales, and service.
    • Support activities include firm infrastructure, human resource management, technology development, and procurement.

Analysis and Detail

  1. Outbound Logistics: This is a primary activity involved in delivering the finished product to customers.
  2. Procurement: This is a support activity that involves acquiring goods and services necessary for the business's operations.
  3. Operations: This is another primary activity focused on transforming inputs into outputs (products or services).
  4. Service: This is also classified as a primary activity related to after-sales support and services.

Verify and Summarize

  • Out of the options given:
    • Outbound logistics, operations, and service are primary activities.
    • Procurement is specifically identified as a support activity.

Final Answer

b. Procurement is the support activity as per Porter's value chain model.

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