A value-adding activity is one that adds cost to a product or service but does not increase its market value.

Question

Quizplus · Accepted Answer

A value-adding activity is one that increases the market value of a product or service, thus justifying the additional cost. It can include improving quality, adding features or services, enhancing customer experience, or providing better packaging or branding. Activities that add cost without adding value are considered non-value-added or wasteful and should be minimized or eliminated.

A Value-Adding Activity Is One That Adds Cost to a Product