Supporting Activities Contribute to a Margin and Are Easier to Calculate

question 24

True/False

Supporting activities contribute to a margin and are easier to calculate than primary activities.

---

Definitions:

Selective

Characterized by careful choice, especially based on very discerning taste or preferences.

Administered Vertical Marketing System

A coordinated distribution channel structure where members remain independent but their activities are centrally coordinated by a dominant member without formal ownership between them.

Corporate Vertical Marketing System

A structured marketing system in which a single company controls multiple levels of production, distribution, and sales within its organization.

Operating Capital

Funds used by a company to cover its day-to-day operational expenses, necessary for maintaining business operations.