Sole Sourcing Is Advantageous to Suppliers Because It Provides Them

question 70

Multiple Choice

Sole sourcing is advantageous to suppliers because it provides them with predictable and profitable demand and allows them to

• A) market their products predominantly to large organizations.
• B) build long-term relationship with organizational buyers.
• C) assimilate the advantages and disadvantages of the organization.
• D) identify organizations based on their geographical proximity.

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Definitions:

Organization-Level

Pertains to processes, characteristics, or outcomes that are collective in nature and pertain to the entirety of an organization.

Merit Pay

A compensation strategy that rewards employees based on their performance and achievements, rather than their tenure or position.

Profit Sharing

A company's practice of distributing a portion of its profits to its employees, often as a part of their compensation package.

Piece Rate Plan

A compensation system where employees are paid based on the quantity of work they produce or tasks they complete.