ABC's core activity is which?

Study for the IBDP Business Management Test. Engage in quizzes with flashcards and multiple choice questions. Each question offers insights and explanations. Prepare thoroughly for your exam!

Multiple Choice

ABC's core activity is which?

Explanation:
What’s being tested is identifying the main way a company creates value—the primary product or service the business delivers and the core operations it runs around that product. Concrete manufacturing fits this best because ABC’s central business is producing and selling concrete. Its plants, batching and mixing processes, and distribution are all built to turn raw materials into concrete for the construction sector, which is the primary revenue driver. The other options describe activities that would belong to different kinds of businesses (software development, marketing consultancy, or financial auditing) and don’t align with what ABC primarily produces. So the core activity is concrete manufacturing.

What’s being tested is identifying the main way a company creates value—the primary product or service the business delivers and the core operations it runs around that product. Concrete manufacturing fits this best because ABC’s central business is producing and selling concrete. Its plants, batching and mixing processes, and distribution are all built to turn raw materials into concrete for the construction sector, which is the primary revenue driver. The other options describe activities that would belong to different kinds of businesses (software development, marketing consultancy, or financial auditing) and don’t align with what ABC primarily produces. So the core activity is concrete manufacturing.

Subscribe

Get the latest from Passetra

You can unsubscribe at any time. Read our privacy policy