Briefly describe the concepts of value, margin, and value chain as defined by Porter

What will be an ideal response?

Porter defined value as the amount of money that a customer is willing to pay for a resource, product, or service. The difference between the value that an activity generates and the cost of the activity is called the margin. A value chain is a network of value-creating activities. That generic chain consists of five primary activities and four support activities.

Business

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As a company gains more experience with reuse, the firm gains more benefits. However, the firm also has to take into account:

A) that cost will grow as well. B) that there will be a need for less staff. C) that the defect rate will increase. D) that the software may need to be completely rewritten. E) its business processes.

Business

Factors to consider when selecting a ________ include conformance to quality standards, extension of trade credit, and timely delivery

A) Supplier B) Sales representative C) Customer D) Banker E) Lawyer

Business