Question

Usually, this is how demand works in a five-tier linear supply chain: supplier, manufacturer, wholesaler, retailer, and consumers. Explain the concept. Retailer's demand (R) is the sales to consumers. Wholesaler's demand is _____.

Answer 1

In a five-tier linear supply chain, the wholesaler's demand is the quantity of products that the wholesaler wishes to purchase from the manufacturer.

Step-by-step explanation:

In a five-tier linear supply chain, the retailer's demand (R) represents the sales made to consumers. The wholesaler's demand is the quantity of products that the wholesaler wishes to purchase from the manufacturer, in order to sell to retailers. The wholesaler acts as the intermediary between the manufacturer and retailer, and their demand is influenced by various factors such as market demand, inventory levels, and pricing strategies.