A Disadvantage of the Single Supplier Strategy Is

question 61

Multiple Choice

A disadvantage of the single supplier strategy is

• A) the risk of creating a new competitor
• B) the lack of cost savings for customers
• C) the risk of not being able to build a trusting relationship
• D) all of the above

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Definitions:

Variance

The measurement of the spread between numbers in a data set, indicating how much the numbers diverge from the average.

Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of values, often used in finance to assess the volatility of an investment.

Certainty Equivalent Rate

The certain return providing the same utility as a risky portfolio.

Risk-Free Investment

An investment that is expected to return its original investment value without any loss.