Maintaining Multiple Suppliers for Each Item Can Actually Increase the Probability

question 35

True/False

Maintaining multiple suppliers for each item can actually increase the probability and level of supply base risk.

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Definitions:

Significantly Influenced

A condition where an investor has a considerable but not controlling interest in another company, able to affect its policies without direct control.

Non-Strategic Investments

Investments made without a long-term plan or alignment with the core goals of an investor or organization.

Short Or Long-Term

A classification that distinguishes between assets, liabilities, or goals based on the duration, typically under or over one year, respectively.

Equity Securities

Financial instruments that signify an ownership position in a publicly-traded corporation, such as stocks.