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L4M6 Exam Dumps : Supplier Relationships

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Supplier Relationships Questions and Answers

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Question 1

‘tail spend’ is a common category used in procurement and describes a category of items. What characteristics do theses items have?

Options:

A.

High value, low volume

B.

High value, high volume

C.

Low value, high volume

D.

Low value, low volume

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Question 2

A 'restricted market' is likely to arise when the entry costs for new suppliers are prohibitively high, and levels of market profitability amongst existing suppliers may be relatively low. Is this a true statement?

Options:

A.

No, entry costs are low in all markets due to technology, and this is increasing profitability significantly

B.

Yes, these markets usually have only a small number of competent and capable suppliers

C.

No, usually these markets have a regular flow of new suppliers entering them

D.

Yes, new entrants are low; however, due to high competition, profit levels are always very high

Question 3

Which of the following are features of a partnership sourcing relationship compared with a traditional adversarial relationship? Select TWO that apply.

Options:

A.

Emphasis on quality with zero defects

B.

Emphasis on the lowest price

C.

Emphasis on inspection of incoming supplies

D.

Emphasis on short-term relationship

E.

Emphasis on long-term relationship

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