Question: a . Explain the difference between primary and support activities in value chain analysis, using MDFB as a case study. Based on the information provided
a Explain the difference between primary and support activities in value chain analysis, using MDFB as a case study.
Based on the information provided in the document, here is the assessment of MDFBs primary activities in the value chain:
a Inbound Logistics:
MDFB has a relatively efficient inbound logistics process, as the main vendor for materials is located nearby, allowing for timely deliveries. However, there are issues with storage, as raw materials are often stacked outside and mixed together, which complicates the production process.
b Operations:
The operations at MDFB face several challenges, including an unclear organizational structure and material flow. The production processes are not welldefined, leading to inefficiencies. The company has had to adjust its operations due to local resident protests, indicating operational constraints.
c Outbound Logistics:
MDFB has a low level of damage in its products due to effective quality control processes in place for both samples and finished goods. However, the company may face challenges in managing logistics effectively, especially with the distribution of products to various cities.
d Marketing and Sales:
MDFB employs both online and offline marketing strategies, successfully promoting its products. The company has embraced digital platforms to reach a broader audience and has established a licensing cooperation model. This indicates that marketing and sales activities are wellsupported.
e Service:
The service aspect of MDFB appears to be functioning well, as there are no reported problems in this area. The company continues to see an increase in customers and sales, suggesting effective customer service and support.
Based on the information provided in the document, here is the assessment of whether MDFB has the supporting activities in the value chain:
a Firm Infrastructure:
MDFB faces challenges in its firm infrastructure, particularly in finance management, as there is no dedicated personnel to regulate corporate finance. This indicates that while there is some level of infrastructure, it is not fully developed or effective.
b Human Resource Management:
The company lacks a clear organizational structure, which affects human resource management. Employees tend to rely on each other for problemsolving, and there is no clear career planning or job specification. This suggests that human resource management is not adequately supported.
c Technology Development:
MDFB has good personnel working on computer software development and equipment design, indicating that technology development is adequately supported. There are no specific problems reported in this area.
d Procurement:
MDFB relies heavily on a single vendor for fabric procurement and faces issues with managing procurement effectively. The company often buys materials without a clear plan, leading to inefficiencies. This indicates that procurement is not wellsupported.
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