One of the Assumptions on Which the Purchasing-Supplier Satisfaction Model

question 4

Multiple Choice

One of the assumptions on which the purchasing-supplier satisfaction model is based is that:

• A)the satisfaction level cannot be assessed well enough to draw definitive conclusions.
• B)the purchaser and supplier always have the same perceptions of the same relationship.
• C)attempts to move to a different position fall only in the win-lose and win-win categories.
• D)an unsatisfied party may use various tools to improve the relationship.
• E)there are few tools and techniques available to move positions or improve stability.

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Definitions:

Worth

The value or importance of something, often measured in terms of money or utility.

Marginal Utility

The additional satisfaction or utility received by a consumer from consuming one more unit of a good or service.

Consumer Surplus

The divergence between the sum consumers are prepared and financially capable to pay for a good or service and the sum they actually disburse.

Marginal Utility

The extra pleasure or benefit received from using an additional unit of a product or service.