In the value chain, which option represents a support activity?

In the value chain, which option represents a support activity?

• A. Inbound logistics
• B. Marketing and sales
• C. Technology development
• D. Service

Answer: (C)

In the value chain, activities are divided into primary activities that directly create or deliver value, and support activities that provide the framework, resources, and capabilities those primary activities rely on. Technology development fits squarely in this second group because it covers things like research and development, IT systems, and design improvements that enable all parts of the chain to operate more efficiently and innovatively. While inbound logistics, marketing and sales, and service are essential, they are direct value-adding activities themselves—moving materials, promoting offerings, and supporting customers—whereas technology development provides the underlying capabilities that make those primary activities better.

In the value chain, activities are divided into primary activities that directly create or deliver value, and support activities that provide the framework, resources, and capabilities those primary activities rely on. Technology development fits squarely in this second group because it covers things like research and development, IT systems, and design improvements that enable all parts of the chain to operate more efficiently and innovatively. While inbound logistics, marketing and sales, and service are essential, they are direct value-adding activities themselves—moving materials, promoting offerings, and supporting customers—whereas technology development provides the underlying capabilities that make those primary activities better.