In the Sourcing/purchasing Design Matrix, There Are Three Variables: Contract

question 63

Multiple Choice

In the sourcing/purchasing design matrix, there are three variables: contract duration, transaction costs and specificity (assume levels as short, medium and long for contract duration and for the rest, low, medium and high) .Vendor managed inventory belongs to

• A)long contract duration, high transaction costs and low specificity.
• B)short contract duration, high transaction costs and low specificity.
• C)long contract duration, low transaction costs and low specificity.
• D)long contract duration, high transaction costs and high specificity.
• E)long contract duration, low transaction costs and high specificity.