Question

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

Answer 1

The value chain involves adding usefulness to an organization's products or services. It represents the production stages of a product, such as design, manufacture, and marketing. Technological advances have enabled firms to specialize in specific parts of the value chain, benefiting international trade.

Step-by-step explanation:

The value chain is the sequence of business functions in which usefulness is added to the products or services of an organization. A value chain describes how a product is developed in stages, each stage adding some value to the final product. For instance, when producing the iPhone, the value chain includes designing in the United States, getting parts from Korea, manufacturing in China, and advertising back in the United States. Thanks to technology, firms can now split the value chain, focusing on specific stages and specializing in certain areas to enhance productivity and innovation.