Supply Chain

A supply chain is a network that a firm builds to perform the production of a good or service. This network includes individuals, entities, information and other resources that are pooled together to efficiently conduct the production of a good or service.

Companies monitor their supply chains ultimately to reduce variable costs and expenses at various points throughout the production of a good or service. More mature companies with high levels of working capital can choose to vertically integrate supply chains, which involves the ownership of all levels of the supply chain network involved in the production of a good or service.  

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