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Which of the following best describes support activities in Porter’s value chain?

  1. They directly produce the services or products

  2. They assist primary activities to enhance their effectiveness

  3. They involve customer interactions

  4. They focus primarily on human resource recruitment

The correct answer is: They assist primary activities to enhance their effectiveness

Support activities in Porter’s value chain are designed to enhance the effectiveness and efficiency of the primary activities, which are directly responsible for producing goods and services. These support activities include functions such as human resource management, technology development, and procurement. Their role is to provide the necessary backing for primary activities to operate smoothly and excel in delivering value to customers. By focusing on enhancing the capabilities of the primary activities, support activities contribute to the overall competitive advantage of an organization. For example, effective human resource practices can ensure that the primary activities are staffed with skilled and motivated employees, while advanced technology can streamline operations to reduce costs and improve quality. The other descriptions do not accurately capture the essence of support activities. While primary activities are focused on the creation and delivery of products and services, support activities do not directly produce anything themselves. Customer interactions are typically part of primary activities like marketing and sales, rather than support activities. Although human resource recruitment is indeed a function of support activities, it is too narrow to represent the entire scope of what support activities encompass within the value chain.