medic products company mpc is known for developing innovative and high quality produ 540547

The Value Chain and Core Competency

Medic Products Company (MPC) is known for developing innovative and high-quality products for use in hospitals and medical and dental offices. Its latest product is a nonporous, tough, and very thin disposable glove that will not leak or split and molds tightly to the hand, making it ideal for use in medical and dental procedures. MPC buys the material it uses in making the gloves from another company, which manufactures it according to MPC’s exact specifications and quality standards. MPC makes two models of the glove—one white and one transparent—in its own plant and sells them through independent agents who represent various manufacturers. When an agent informs MPC of a sale, MPC ships the order directly to the buyer. MPC advertises the gloves in professional journals and gives free samples to physicians and dentists. It provides a product warranty and periodically surveys users about the product’s quality.

Required

1. Briefly explain how MPC accomplishes each of the primary processes in the value chain.

2. What is a core competency? Which one of the primary processes would you say is MPC’s core competency? Explain your choice.