Database

DECLARE @iColumns INT, @sql VARCHAR(2500),@cProduct VARCHAR(10) 

SET @sql = ''

DECLARE curProducts CURSOR FOR SELECT DISTINCT product FROM Table1
OPEN curProducts
FETCH NEXT FROM curProducts INTO @cProduct
WHILE @@FETCH_STATUS = 0
BEGIN
	SET @sql = @sql + ', (SELECT count(supplier) FROM Table1 t2 WHERE t2.supplier = t1.supplier and t2.product = ''' + @cProduct + ''') as ' + @cProduct
	FETCH NEXT FROM curProducts INTO @cProduct
END

close  curProducts
DEALLOCATE curProducts

SET @sql =  'SELECT Supplier ' + @sql + ' FROM Table1 t1 GROUP BY supplier'
exec(@sql)

SELECT PRODUCT, SUPPLIERS, COUNT(SUPPLIERS)
FROM MYTABLE
GROUP BY PRODUCT, SUPPLIERS