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Each of the following scenarios describes some cost item for organizations in recent years. For each scenario, identify which function of the value chain that
Each of the following scenarios describes some cost item for organizations in recent years. For each scenario, identify which function of the value chain that cost would represent (R&D, Design, Purchasing/Producing, Marketing, Distributing, or Customer Service.) Note: The companies and products used in this exercise are real companies with a strong sustainable practices commitment. GreenShipping is a service that companies can use to purchase carbon offsets for the carbon generated by shipments to customers. Any shipments made with UPS, FedEx, or USPS can be tracked. The GreenShipping calculator uses weight, distance traveled, and mode of transport to calculate the carbon generated by that shipment. A carbon offset is then purchased so that the shipment becomes carbon neutral. The carbon offset helps to fund the development of renewable energy sources. The cost of these carbon offsets to the company making the shipment to the customer would fall into which function in the value chain? e. The Red Wing Shoe Company manufactures work boots. The company has a philosophy that products should be repaired, not thrown away. After the 12-month warranty has expired on Red Wing boots, the company offers free oiling, free laces, low-cost replacement insoles, and low-cost hardware repairs. The cost of operating this shoe repair service would fall into which function in the value chain? f. Nyloboard produces decking materials made from recycled carpet. The cost of the research into how to create Nyloboard from recycled carpet would fall into which function in the value chain
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