Concepts: supply chain, industrial chain, ecological chain and ecological chain

Supply chain refers to the network structure composed of raw material suppliers, manufacturers, distributors, retailers and final consumers who participate in the production and circulation of products through the connection with upstream and downstream members.

Industrial chain is a concept that includes four dimensions: value chain, enterprise chain, supply chain and spatial chain (as shown in the following figure). These four dimensions form an industrial chain in the process of mutual docking and balance. This "docking mechanism" is the internal mode of industrial chain formation. As an objective law, it regulates the formation of industrial chain like an "invisible hand".

Industrial chain is a concept in industrial economics, and it is a chain-like relationship form objectively formed between various industrial departments based on certain technical and economic relations and according to specific logical relations and spatial and temporal layout relations.

Value chain is a concept put forward by Michael E. Porter from the perspective of enterprise's own value generation mechanism. Every enterprise is a collection of activities in the process of product design, production, sales, delivery and assistance, all of which can be expressed by value chain.

Ecological chain, also known as ecosphere, is a more grand concept. Ci Hai explained that ecology is the state of existence and development of living things in a certain environment. For example, the community with a shared future for mankind is a global ecological chain.

The purpose of supply chain risk management is to maximize the overall benefit of supply chain; The purpose of supply chain risk management is to realize the synergy of industrial chain; The purpose of value chain risk management is to maximize value; The purpose of ecological chain risk management is to realize the balance of ecosystem.

Industrial chain, supply chain, value chain and ecological chain all need risk management and insurance.