The Value Chain Is the Sequence of Business Functions in Which

question 170

Multiple Choice

The value chain is the sequence of business functions in which ________.

• A) value is deducted from the products or services of an organization
• B) producing and delivering the product or service is of prime importance
• C) products and services are evaluated with respect to their value to the supply chain
• D) usefulness is added to the products or services of an organization

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Definitions:

Producer Surplus

The difference between the amount a producer is willing to accept for a good or service and the actual price they receive.

Monopolist

An entity or individual that holds a monopoly, having exclusive control over the supply of a particular good or service in the market.

Marginal Cost

The uplift in collective cost emerging from the making of an additional unit of a good or service.

Producer Surplus

Producer surplus is the difference between what producers are willing to accept for a good or service versus what they actually receive, reflecting their economic benefit.