Like "ABC Inventory Analysis," the Tier One, Tier Two, and Tier

question 75

True/False

Like "ABC inventory analysis," the tier one, tier two, and tier three supplier designations are based upon the annual level of purchases made with the suppliers.

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Definitions:

Legitimacy

The recognition or acceptance of something as lawful, proper, or rightful.

Objective Criteria

Impartial and unbiased standards or benchmarks that are used to evaluate or make decisions.

Constructive Bargaining

Negotiation characterized by cooperative strategies aimed at mutual benefit.

High Trust

A situation or relationship characterized by a strong belief in the reliability, truth, ability, or strength of a party, often critical for successful negotiations.