Question

A company has decided that it no longer needs to extensively count and inspect the products it buys from a particular supplier. This suggests that the buying company has is in the volume consolidation stage of developing procurement strategy.

Answer 1

Answer: False

Explanation:

The VOLUME CONSOLIDATION Stage is where a company attempts to reduce the number of suppliers that it has and consolidates the volume of sales it does through them.

This strategy helps in having a better relationship with suppliers as well as earning a claim on their business which would go a long way in price negotiation.