ICYB · Question #38
In an organization is the sum total of all the processes which occur in the business to take inputs and turn them into customer desired outputs is called the Value Chain.
The correct answer is A. True. Option A (True) is correct. The Value Chain, a concept introduced by Michael Porter, describes the full set of business activities - from inbound logistics and operations to marketing, sales, and service - that transform raw inputs into outputs valued by customers. Every…
Question
In an organization is the sum total of all the processes which occur in the business to take inputs and turn them into customer desired outputs is called the Value Chain.
Options
- ATrue
- BFalse
How the community answered
(22 responses)- A73% (16)
- B27% (6)
Explanation
Option A (True) is correct. The Value Chain, a concept introduced by Michael Porter, describes the full set of business activities - from inbound logistics and operations to marketing, sales, and service - that transform raw inputs into outputs valued by customers. Every process in an organization that adds value along this journey is part of the chain.
Why B (False) is wrong: There is no distractor here beyond the true/false binary - "False" would incorrectly deny the standard definition of a Value Chain, which is widely accepted in business and operations management literature.
Memory tip: Think of a literal chain - each link is a business process, and the chain only has value if every link connects inputs to a customer-desired output. If the chain produces something nobody wants, it's not a Value Chain - it's just cost.
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