Which of the Following Statements About the Supplier Selection Stage

question 16

Multiple Choice

Which of the following statements about the supplier selection stage of the business buying decision process is true?

• A) Price is the only factor businesses consider before making a purchase decision.
• B) Even companies that have adopted a total quality management approach consider price to be the most important factor in choosing a supplier.
• C) Price and warranty are the only two factors businesses consider before making a purchase decision.
• D) Buyers do not negotiate for better terms before making a final supplier selection.
• E) Before selecting a supplier, many companies consider the supplier's reputation, ethical corporate behaviour, and honest communication.

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Definitions:

Initial Margin

The initial deposit required when trading securities or derivatives, serving as a guarantee against potential losses.

Market Order

A type of order to buy or sell a security immediately at the best available current price.

Initial Margin

Initial margin refers to the percentage of the purchase price of securities (e.g., stocks or futures) that an investor must pay for with their own funds when using a margin account.

Limit-Buy Order

An order to purchase a security at or below a specified price, ensuring the buyer pays no more than the predetermined price.