Johnson Company makes widgets, which it then sends to Smith Company.Smith Company puts the widgets in packages.Smith Company is considered by Johnson to be a:
A)Critical customer.
B)Upstream product supplier.
C)Aftermarket supplier.
D)Downstream product supplier. Companies that enhance finished goods are considered downstream product suppliers.

Question

Quizplus · Accepted Answer

Smith Company is adding value to the widgets produced by Johnson Company by packaging them, making them a downstream product supplier.

Johnson Company Makes Widgets, Which It Then Sends to Smith