Question

Ralph works for a manufacturing company in Ohio. Recently, he called in a department manager to assist in the purchase of some heavy machinery. After consulting the department manager, Ralph is considering a change in product specifications and characteristics and expects suppliers to meet his requirements. Which of the following is evident here?
A) Modified rebuy
B) New task
C) Straight rebuy
D) Product differentiation
E) Reverse auction

Answer 1

Answer:

The correct answer is letter "A": Modified rebuy.

Explanation:

A modified rebuy is a purchase usually made within a supply chain where a supplier has bought some goods initially but for the next purchase, the supplier requests changes in the purchase -whereas price, product specifications or terms- to better match the supplier's demands.