You're negotiating a new contract with a supplier, who wants to increase his rates for orders below a minimum quantity.Which statements or actions should you apply in this situation? Instruction: Choose all options that best answer the question. Say "I understand you need higher volume sales to overcome low profit margins, but maybe we could look into lowering the penalty percentage rate" Tell your supplier that you won't be able to justify an increase in purchases to senior management, as they're currently looking for cutbacks Make it clear to your supplier that he risks losing your business because of this rate increase Give the supplier different options that include a slight increase in the current order quantity Say "Your rates are too high, and I think your minimum order quantity is unrealistic"
You're negotiating a new contract with a supplier, who wants to increase his rates for orders below a minimum quantity.Which statements or actions should you apply in this situation? Instruction: Choose all options that best answer the question. Say "I understand you need higher volume sales to overcome low profit margins, but maybe we could look into lowering the penalty percentage rate" Tell your supplier that you won't be able to justify an increase in purchases to senior management, as they're currently looking for cutbacks Make it clear to your supplier that he risks losing your business because of this rate increase Give the supplier different options that include a slight increase in the current order quantity Say "Your rates are too high, and I think your minimum order quantity is unrealistic"
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
Related questions
Question
You're negotiating a new contract with a supplier, who wants to increase his rates for orders below a minimum quantity.
Which statements or actions should you apply in this situation?
Instruction: Choose all options that best answer the question.
Say "I understand you need higher volume sales to overcome low profit margins, but maybe we could look into lowering the penalty percentage rate"
Tell your supplier that you won't be able to justify an increase in purchases to senior management, as they're currently looking for cutbacks
Make it clear to your supplier that he risks losing your business because of this rate increase
Give the supplier different options that include a slight increase in the current order quantity
Say "Your rates are too high, and I think your minimum order quantity is unrealistic"
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