One Advantage of the _____ Strategy of Purchasing Raw Materials

question 38

Short Answer

One advantage of the _____ strategy of purchasing raw materials is that an organization can negotiate lower rates by pitting one supplier against another.

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Definitions:

Separate Legal Entities

A status whereby a business is legally considered an independent entity from its owners, allowing it to own property, incur debt, sue, and be sued.

Minimum Contacts Test

A legal standard used to determine whether it is appropriate for a court in one jurisdiction to assert personal jurisdiction over a defendant from another jurisdiction.

Jurisdiction

Jurisdiction refers to the official power to make legal decisions and judgments, often within a specific geographical area or over certain types of legal cases.

Close Corporations

Close corporations are privately held businesses where all shareholders are typically involved in the day-to-day operations, and shares do not trade publicly.