The Bargaining Power of Buyers Increases If

question 26

Multiple Choice

The bargaining power of buyers increases if

• A)there are many large buyers.
• B)the input in question has few substitutes.
• C)the input in question is not a critical component of production.
• D)there are wide variations in the quality of inputs from supplier to supplier.

---

Definitions:

Nonmanufacturing Business

A business that primarily sells services or goods that are not produced by the company, such as retail or consulting.

Primary Budget

The initial budget plan created for a specific period, outlining expected income, expenses, and allocations before any adjustments.

Directing

The process by which managers, given their assigned level of responsibilities, run day-to-day operations.

Controlling

In management, it refers to the process of setting standards, measuring actual performance, and taking corrective action to ensure the achievement of an organization's objectives.