Question detail
CycleNest serves local families while changing supplier; the case evidence includes gross profit margin of ?3,484, sales of 589 units, and a 13% change in costs or demand. Which option best applies Analyse factors affecting supplier choice, including price, quality and reliability?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
The role of procurement
Question
- A. Use price, reliability, supplier, quality to judge unit contribution, customers impact, and the business objective in Suppliers, logistics and supply chains.
- B. Give only a definition of The role of procurement without using the case evidence.
- C. Treat stakeholders and shareholders as identical and ignore the effect on customers.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use price, reliability, supplier, quality to judge unit contribution, customers impact, and the business objective in Suppliers, logistics and supply chains.
Explanation
Choose this response because Use price, reliability, supplier, quality to judge unit contribution, customers impact, and the business objective in Suppliers, logistics and supply chains. The case evidence gives ?4,984, 589 units, and 13%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse stakeholders and shareholders, miss the customers, or ignore the business objective.
Common mistake
Suppliers, logistics and supply chains common mistake 1
Giving a vague answer instead of directly addressing: Analyse factors affecting supplier choice, including price, quality and reliability..
Answer by clearly explaining how to analyse factors affecting supplier choice, including price, quality and reliability..
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