Which of the following statements about supply chains is true?

• A. Supply chains are only relevant in the agricultural sector.
• B. Supply chains refer to the network of individuals, organizations, resources, activities, and technology involved in the creation and sale of a product.
• C. Supply chains only include the final stage of selling products to consumers.
• D. Supply chains do not affect the price of goods in the market.

Answer: (B)

Verified step by step guidance

1. Step 1: Understand the concept of a supply chain. A supply chain is the entire system involved in producing and delivering a product or service, from the initial raw materials to the final consumer.
2. Step 2: Recognize that supply chains are not limited to any single sector, such as agriculture; they exist in virtually all industries including manufacturing, retail, technology, and services.
3. Step 3: Identify the components of a supply chain, which include individuals, organizations, resources, activities, and technology that work together to create and sell a product.
4. Step 4: Note that supply chains encompass all stages of production and distribution, not just the final selling stage to consumers.
5. Step 5: Understand that supply chains can influence the price of goods in the market because they affect costs, efficiency, and availability of products.