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In a typical supply chain, in which direction does value-add travel?
Suggested Answer: B
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Value flows downstream, originating with suppliers and moving toward the end customer. A typical chain is tiered suppliers OEM/producer distributors/retailers customer. Short cited term: ''value moves downstream'' (L5M7 Study Guide, p.4).
4 comments · newest first
TI
Tijuana
20 hours ago
I thought value-add went from the retailer to the supplier, but that seems counterintuitive. I need to double-check my notes on this!
TI
Tiffiny
6 days ago
I feel like the answer might be B, but I keep mixing up the roles of the distributor and the retailer in these scenarios.
LA
Lamar
11 days ago
I remember a practice question that mentioned value flows through the supply chain, but I can't recall if it starts from the OEM or the retailer.
ST
Stevie
16 days ago
I think value-add travels from the first supplier to the customer, but I'm not entirely sure.