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A Supermarket Chain Business does not produce a physical product. Its role is to manage the flows of inventories of physical goods from supplier to warehouse to store to shelf, and finally to customer. A typical customer purchases a shopping list of goods from the store to replenish a home inventory.

In relocating these goods, two vertically integrated businesses are involved:
  • Store Business
  • Warehouse Business

A single Warehouse Business acquires goods from suppliers and distributes them to many Stores. Each Store Business displays the goods on shelves so customers can buy them. Four inventory flows are shown on the diagram as separate core processes, to indicate that they occur at different points in time.
©1995-2012 Ackley Associates   Last revised: 12/10/10