Which of the following statement (s) is true about the concept of 'value chain'?

All of the above

The correct answer is Option : All of the above

Option 1: A value chain is the whole series of activities that create and build value at every step. This is correct.

Option 2: The total value delivered by the company is the sum total of the value built up all throughout the company. This is correct.

Option 3: Michael Porter developed this concept in his book 'Competitive Advantage'. This is correct.

"A value chain is the whole series of activities that create and build value at every step. The total value delivered by the company is the sum total of the value built up all throughout the company. In simple words 'Value Chain' is a high level model of how business receive raw-materials, add value to the raw-materials through various processes and sell as finished products to customers. 'Value Chain' analysis looks at every step of business, from raw-materials to the eventual end users, with one goal to deliver maximum value. Michael Porter introduced the value chain analysis concept in his 1985 book ‘The Competitive Advantage’. Porter suggested that activities within an organisation add value to the service and products that the organisation produces and all these activities should be run at optimum level if the organisation is to gain any real competitive advantage. If they are run efficiently, the value obtained should exceed the costs of running them i.e. customers should return to the organisation and transact freely and willingly. Michael Porter suggested that the organisation is split into ‘primary activities’ and ‘support activities’."