Cips examstopics cips Level 4 Diploma In Procurement And Supply L4m5 Reddit Questions by Harper-rose q81 vce pdf

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Exam Name:	Commercial Negotiation
Exam Code:	L4M5 Dumps
Vendor:	CIPS	Certification:	CIPS Level 4 Diploma in Procurement and Supply
Questions:	317 Q&A's	Shared By:	harper-rose

Question 12

Premium pricing strategies used by suppliers are characterised by which of the following? Select TWO that apply.

Options:

Products are charged at a price based on supplier's reputation

This strategy is often used when supplier attempts to enter new market

Price is based on cost structures

Typically found in the early part of the product life cycle

Premium price is determined by variable costs only

Discussion

Question 13

Which of the following is potentially a major source of conflict?

Options:

Power imbalance

Information gathering

Shared goals and values

Teamwork

Discussion

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Question 14

Which of the following are examples of variable costs?

Options:

1 and 3 (Building and site rent and Raw materials expenditure)

2 and 3 (Annual insurance premium and Raw materials expenditure)

1 and 4 (Building and site rent and Delivery costs for materials)

3 and 4 (Raw materials expenditure and Delivery costs for materials)

Discussion

Question 15

In order to mitigate all risks involved in the negotiation process, the buyer only needs to undertake pre-negotiation research on the supply market and establish a BATNA. Is this a correct suggestion?

Options:

No, the buyer should also keep the top management and all employees informed

No, the buyer should make preparations in other areas such as determining the negotiation team

Yes, establishing a fallback position is important because it signifies that the negotiations will reach an impasse

Yes, because the market price should be the target price of the negotiations