Ask Question
BusinessBusiness
16 May, 21:41

Firms that buy inputs from suppliers have more bargaining power when: A. the costs of switching suppliers are low B. they purchase a relatively small quantity of product C. there are many other buyers in the market D. the suppliers sell highly differentiated products

+2
Answers (1)
  1. 16 May, 21:58
    0
    Correct statement is A

    Explanation:

    Bargaining refers to the process where buyer approximately pays the price of a product which he desires by negotiating with the seller.

    When there is bulk quantity purchased then bargaining power increases, also if there is a very low cost for change in supplier then the buyer will choose the supplier offering least rate.

    If there are many buyers for reasonably less number of suppliers then bargaining power of buyers will be least.

    If the products are different from each other sold by different suppliers then bargaining power cannot be exercised, as each product will be identical to each supplier.

    Thus, the correct option is Statement A
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Firms that buy inputs from suppliers have more bargaining power when: A. the costs of switching suppliers are low B. they purchase a ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
More important than being catchy or well written, a mission statement should be Question options: accurate. succinct. bold. visionary.
Answers (1)
Name a common traits of a sole proprietor
Answers (1)
A client has a massage and asks the company bookkeeper to mail her the bill. the bookkeeper should make which entry to record the invoice
Answers (1)
What would happen to the economy if the president disbanded the board
Answers (1)
If sales of Saudi Arabian oil to the rest of the world increase and Saudis use the proceeds to buy foreign goods, which of the following increases? A. Saudi Arabian net exports but not Saudi Arabian net capital outflow B.
Answers (1)
New Questions in Business
Employers bond employees who handle cash receipts because fidelity bonds reduce the possibility of employing dishonest individuals and Deter dishonesty by making employees aware that insurance companies may investigate and prosecute dishonest acts.
Answers (1)
1. A complaint of sexual harassment by a part-time worker in a hardware business was upheld when the Tribunal found that the employer had failed to take sufficient action in relation to the employee's report of inappropriate behaviour.
Answers (1)
Suppose that the government sets a price floor for milk that is above the competitive equilibrium price With the price floor, consumers are willing to purchase the quantity indicated where the price floor intersects the With the price floor, the
Answers (1)
Choose the best revision of the previous sentence. Because many executives have access to company jets boards of directors have a responsibility to ensure that shareholders are not footing the bill for personal travel.
Answers (1)
Who puts the federal budget together?
Answers (1)
Home » Business » Firms that buy inputs from suppliers have more bargaining power when: A. the costs of switching suppliers are low B. they purchase a relatively small quantity of product C. there are many other buyers in the market D.
Sign Up Forgot Password?