Which of the Following Statements Best Describes the Plan Contracting

question 70

Multiple Choice

Which of the following statements best describes the plan contracting process of procurement management?

• A)It obtains bids,information,proposals,or quotations from potential providers.
• B)It documents requirements for products and services and identifies potential providers.
• C)It determines what is needed and when.
• D)It reviews the offers and starts the negotiations with the preferred provider.

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Definitions:

Allocative Efficiency

A state of the economy in which the distribution of resources among different uses is optimal, reflecting consumer preferences and maximizing total societal welfare.

Productive Efficiency

A situation in which a goods or services are produced at the lowest possible cost, utilizing all available resources efficiently.

Monopoly Power

The ability of a single supplier to control the market price and supply of a product or service.

Brand Loyalty

A consumer's preference to buy a particular brand’s product over others, often reflected in repeated purchases.