Final answer:
Supply chain management increases efficiencies in product and service flows, through technology, transportation, labor policy improvement, and specialization in the value chain.
Step-by-step explanation:
The statement that best describes supply chain management is that it seeks to increase efficiencies at each level in the upstream and downstream flow of products and services. This involves coordinating and optimizing aspects from procuring raw materials to delivering the finished product to the consumer. Supply chain management aims for the efficient and effective management of the supply chain to ensure that products are produced and distributed in the right quantities, to the right locations, and at the right time, while minimizing costs and meeting customer demand.
Advancements in technology, transportation methods, and labor policies are significant for improving supply chain efficiency. Sharing new technologies, especially with developing countries, can lead to faster and more refined products. Additionally, protecting labor rights and integrating these considerations into supply chain management can further benefit the overall process and outcomes.
The trend towards splitting up the value chain in international trade allows for specialization and intra-industry trade that drives economic gains. Decentralizing production across various firms and countries enables efficient and innovative production, focusing on particular stages of the value chain.