A Company's Value Chain Identifies

question 116

Multiple Choice

A company's value chain identifies

• A) the steps it goes through to convert its net income into value for shareholders.
• B) the primary activities it performs in creating value for its customers and the related support activities.
• C) the series of steps it takes to get a product from the raw materials stage into the hands of end-users.
• D) the activities it performs in transforming its competencies into distinctive competencies.
• E) the competencies and competitive capabilities that underpin its efforts to create value for customers and shareholders.

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Definitions:

Externalities

Economic side effects or consequences of an industrial or commercial activity that affect other parties without being reflected in the cost of the goods or services involved, either positively (benefits) or negatively (costs).

Third Parties

Third parties refer to individuals or entities that are not directly involved in a transaction or agreement but may be indirectly affected or have an interest in it.

Main Source

is the primary origin or initial supplier of information, goods, or services.

Revenue

The total amount of income generated by the sale of goods or services related to a company's primary operations.