A first-tier supplier provides products or services directly to a firm.
In the supply chain, a second-tier provider follows a first-tier supplier. A supply chain's majority of participants are both suppliers and buyers.
The suppliers of the company and the procedures for maintaining relationships with them are included in the upstream segment of the supply chain. The organizations and procedures used to distribute and deliver goods to clients make up the downstream component.
The active management of supply chain activities is known as supply chain management (SCM), and it is done to increase customer value and create a long-lasting competitive advantage. It shows a deliberate effort on the part of supply chain management companies to create and manage supply chains as effectively and efficiently as they can.
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