“The value chain provides a useful framework for examining the areas where costs are incurred within a business. The value chain is a set of linked processes or activities that begins with acquiring resources and ends with providing goods and services that customers value” (Langfield-smith et al, 2015, p 44).

REQUIRED:

1) With reference to the above statement, describe what is meant by the value chain.

2) Explain how the value chain may be used to estimate costs.

3) Describe each segment of the value chain and explain why information about costs in the various segments of the value chain can be useful to managers.

4) Identify and explain the major purposes of value chain using examples from your selected annual report/ annual review of one of top 100 manufacturing companies listed on ASX. 

Write response in 1500 words for second part.