JCPenney Looks at Several Capabilities When Selecting a Paper Supplier

question 38

Multiple Choice

JCPenney looks at several capabilities when selecting a paper supplier. These organizational buying criteria include on-time delivery, the availability, quality and quantity of selected grades of paper, forestry management and sustainable practices, and price. This examination would be done during the ________ stage of the organizational buying decision process.

• A) procurement analysis
• B) break-even analysis
• C) purchase decision
• D) information search
• E) alternative evaluation

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Definitions:

Equilibrium Wage

The wage rate at which the quantity of labor supplied and the quantity of labor demanded are equal.

Price of Output

The amount of money charged for a product or service produced by a business or an economy.

Labor

The application of human physical and intellectual labor in the creation of goods and services.

Capital Equipment

Long-term assets acquired or used by a business for the production of goods and services, such as machinery, buildings, and vehicles.