Question

A business takes raw inputs (such as bread and cheese ), processes them (prepares them on a grill), and converts them to outputs (grilled cheese sandwich ) for selling to customers. Sales of the grilled cheese sandwich to customers represents which segment of the supply chain?
A. Internal
B. Downstream
C. Upstream

Answer 1

Answer:

A. Internal

Explanation:

Internal supply chain refers to the chain of activities within a company that concludes with providing a product to the customer. This process involves multiple functions within companies such as sales, production, and distribution.

Processing of the grilled cheese and bread fall under the production option, while sake of the sandwich falls under sales and distribution.

Answer 2

Answer: B. Downstream

Explanation: Downstream supply chain refers to a chain of activities within a company that involves the provision of finished goods, services and products to the customer. This process involves the sales of the goods and services to customers. The sales of the sandwich to customers falls under the downstream segment of the supply chain.