Final answer:
The preschool teacher's activity aids in developing phonological awareness by highlighting alliteration, helping students recognize the same starting sounds in different words.
Step-by-step explanation:
The preschool activity described, where students walk around the room to find and name groups of five objects or pictures that begin with the same sound, best supports the early literacy concept of C. Developing phonological awareness by recognizing alliteration. This is evident when they find groups with the same initial sounds, such as 'bat', 'ball', 'box', 'boat', and 'bug', which all start with the 'b' sound, and 'chair', 'chart', 'chain', 'chick', and 'cherry', which all start with the 'ch' sound. This activity helps preschool students to listen for and identify the same starting sounds in words, a key component of phonological awareness, which is crucial for learning to read and write.