When There Is a Minimal Need for Close Long-Term Cooperation

question 7

Multiple Choice

When there is a minimal need for close long-term cooperation between a company and its suppliers, which of the following strategies is the most appropriate?

• A)Full integration
• B)Taper integration
• C)Competitive bidding
• D)Long-term contracting
• E)Diversification based on economies of scope

Understand the roles of different third-party interventions in dispute resolution.

Define and differentiate between essential negotiation concepts such as bargaining zone, reservation points, and negotiation pitfalls.

Identify common negotiation pitfalls and understand how to avoid them.

Recognize the importance and techniques of active listening and constructive feedback in effective team membership and negotiation.

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Definitions:

Competitive Intelligence

The systematic gathering, analysis, and application of information about competitors, market trends, and other external factors affecting an organization's competitive position.

Standardize

The process of making something conform to a standard.

MRO Supplies

Maintenance, Repair, and Operations (MRO) supplies are goods used in the production process but do not become part of the end product, including lubricants, safety equipment, and cleaning supplies.

Decentralization

The distribution of decision-making power away from a central authority, allowing for more localized or divisional decision control.