In a Time of Distress Prices, Which of the Following

question 112

Multiple Choice

In a time of distress prices, which of the following is TRUE?

• A)The vendor division should set the transfer price at the distress price on a long-term basis for stability within the overall company.
• B)The vendor division should cease production.
• C)The purchasing division should pay normal prices.
• D)In the short-term, the transfer price should be the distress price as long as this exceeds the incremental costs.
• E)The distress price should be ignored as it is a function of the market, not of the internal capacities of the overall company.

Understand the roles, goals, and strategies of mediators and process consultants in maintaining control and improving interaction dynamics.

Appreciate the mediators' balancing act – ensuring power balance, controlling the process, and maintaining neutrality to guide parties toward agreement.

Understand the role and impacts of third-party interventions in negotiation processes.

Recognize the differences between mediation and arbitration as forms of dispute resolution.

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