All of the Following Are Advantages of a Cost-Based Supplier

question 19

Multiple Choice

All of the following are advantages of a cost-based supplier evaluation system except _____.

• A)total cost approach
• B)specific areas of supplier nonperformance identified
• C)objective supplier ranking
• D)greatest potential for long-range improvement
• E)good for firms with limited resources

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Definitions:

Trade Barriers

Measures implemented by governments to restrict or control the exchange of goods and services across borders, such as tariffs and quotas.

Inefficient Industry

An economic sector that fails to utilize resources optimally, resulting in lower productivity and output.

Job Losses

The elimination of positions within a company due to reasons such as economic downturns, restructuring, or automation.

Globalization

The process by which businesses, cultures, and national borders become more interconnected and interdependent, often through increased trade and communication.