What are primary activities in a firm primarily involved in?

The concept of primary activities in a firm originates from Michael Porter's value chain framework, which emphasizes the activities directly involved in creating and delivering a product or service. The primary activities encompass everything from raw material procurement through production to sales and after-sale support.

Focusing on the correct answer, creating the product and after-sale support captures the core functions of a business that add direct value to the end customer. This includes the processes of inbound logistics (sourcing and receiving inputs), operations (transforming inputs into the final product), outbound logistics (distribution of the product), marketing and sales (promoting the product), and service (support after the sale).

This definition aligns with the understanding that primary activities are essential for generating value and facilitating customer satisfaction. They are the foundational elements that contribute to the company's competitive advantage and ultimately its profitability.