A local sportswear business is preparing to order branded water bottles for a charity race. Procurement has found a manufacturer offering a very low price, ...
Question 1 Report
A local sportswear business is preparing to order branded water bottles for a charity race. Procurement has found a manufacturer offering a very low price, but its bottles are made from plastic that cannot be recycled. Market research shows many customers attending the race prefer sustainable products.
(a) Identify one procurement objective that is relevant to this order. [1]
(b) Explain why the business should consider customer preferences when selecting the manufacturer. [2]
Answer Details
(a) One relevant procurement objective is to obtain suitable-quality goods [1]. Securing sustainable materials, achieving value for money, or ensuring reliable supply are also acceptable objectives.
(b) Customers attending the race may prefer recyclable bottles [1]. Selecting bottles that meet this preference could increase sales or protect the business's reputation [1]. The cheapest supplier is not necessarily best value if its product conflicts with what customers value.
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