Which statement best captures the purpose of a value chain analysis?

Which statement best captures the purpose of a value chain analysis?

• A. It evaluates external industry forces to determine competitive intensity.
• B. It assesses supplier power and buyer power in isolation.
• C. It breaks the firm into primary and support activities to identify inefficiencies and potential enhancements across the chain.
• D. It forecasts currency exchange rates for global operations.

Answer: (C)