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CIPS Updated L4M5 Exam Questions and Answers by kayla

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CIPS L4M5 Exam Overview :

Exam Name: Commercial Negotiation
Exam Code: L4M5 Dumps
Vendor: CIPS Certification: CIPS Level 4 Diploma in Procurement and Supply
Questions: 395 Q&A's Shared By: kayla
Question 64

Ranjit is a facilities category buyer for a hospital in the UK and is managing an overseas sourcing project for security guard clothing and personal protective equipment. Ranjit is aware that foreign exchange fluctuations can create risk for his organisation and would like to remove this risk. Ranjit has asked the international suppliers to quote in GBP sterling. Will Ranjit’s approach remove the fluctuation risk for the hospital?

Options:

A.

No, as the risk will sit with the buyer as the value of GBP sterling may increase

B.

No, as the value of the supplier’s currency may decrease

C.

Yes, as the risk will sit with the supplier

Discussion
Question 65

Which of the following is a source of power in organisational relationships?

Options:

A.

Referent power

B.

Given power

C.

Tactical power

D.

Intruded power

Discussion
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Question 66

Where a market consists of a large producer of a product with high market power, it is known as:

Options:

A.

A monopolistic structure

B.

An oligopoly structure

C.

A monopoly structure

D.

A monopsony structure

Discussion
Question 67

Ben Dunne is a procurement manager and is responsible for a contract that supplies translation services to his organisation. Ben has the authorisation to extend the contract for a further two years, but has aimed for a further 2% discount. Ben is aware that the supplier's previous performance has been inconsistent, but during the negotiation Ben asks the supplier to present their performance to date on this contract. Which stage of the negotiation cycle is this?

Options:

A.

Preparation

B.

Bargaining

C.

Agreement

D.

Testing

Discussion
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