Which of the following is a primary activity in Porter’s value chain?

Prepare for the CIMA Strategic Management (E3) Exam with comprehensive flashcards and multiple-choice questions. Each question offers hints and explanations to ensure you are ready for your test!

Multiple Choice

Which of the following is a primary activity in Porter’s value chain?

Explanation:
Porter’s value chain splits activities into primary and support. Primary activities are those that directly create value by moving inputs toward output and delivering the product to customers. Inbound logistics fits here because it covers receiving, storing, and distributing inputs, and these steps directly affect production efficiency, cost, and quality. They occur at the start of the value chain and set up everything that follows, so they are a direct part of value creation. Procurement and human resource management are usually classified as support activities—they underpin the chain but don’t directly transform inputs into the product. Marketing and sales is also a primary activity, showing that several stages directly contribute to value; however, inbound logistics is a clear example of a primary activity focused on the initial handling of inputs.

Porter’s value chain splits activities into primary and support. Primary activities are those that directly create value by moving inputs toward output and delivering the product to customers. Inbound logistics fits here because it covers receiving, storing, and distributing inputs, and these steps directly affect production efficiency, cost, and quality. They occur at the start of the value chain and set up everything that follows, so they are a direct part of value creation. Procurement and human resource management are usually classified as support activities—they underpin the chain but don’t directly transform inputs into the product. Marketing and sales is also a primary activity, showing that several stages directly contribute to value; however, inbound logistics is a clear example of a primary activity focused on the initial handling of inputs.

Subscribe

Get the latest from Passetra

You can unsubscribe at any time. Read our privacy policy