CIPS Exam L4M6 Topic 10 Question 43 Discussion

Actual exam question for CIPS's L4M6 exam

Question #: 43
Topic #: 10

When developing a supplier partnership, a buyer can take either a strategic or reactive approach. What would be a reason for a reactive approach?

AYou discover that the supplier has a high profit margin

BThe buyer wishes to create a new product and requires input from a supplier

CSudden changes in the marketplace

DIt will allow for consolidation in the supply chain

Show Suggested Answer

Suggested Answer: C

The correct answer is 'Sudden changes in the marketplace' -- this is a reason a buyer would be reactive. Reactive is when something happens to you and it forces you to act in a certain way. The other options would be strategic rather than reactive. P. 163

by Carey at Jul 05, 2024, 05:40 AM

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Luis

5 months ago

Sudden changes in the marketplace? That's like me trying to catch up with my kids. Gotta be quick on your feet!

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Rory

5 months ago

High profit margin? What, are we trying to squeeze the supplier dry? Nah, that's not the way to build a partnership.

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Danica

4 months ago

Yeah, sudden changes can force a reactive approach.

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Cristal

4 months ago

C) Sudden changes in the marketplace

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Beckie

4 months ago

A) You discover that the supplier has a high profit margin

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Chaya

4 months ago

Yeah, sudden changes can force a reactive approach.

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Melodie

4 months ago

C) Sudden changes in the marketplace

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In

4 months ago

A) You discover that the supplier has a high profit margin

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Terrilyn

4 months ago

C) Sudden changes in the marketplace

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William

5 months ago

A) You discover that the supplier has a high profit margin

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Santos

5 months ago

True, but sometimes unexpected changes require a more reactive approach to adapt quickly.

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Asuncion

5 months ago

But wouldn't a strategic approach also consider market changes and plan ahead?

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Emeline

5 months ago

Creating a new product? Definitely need that supplier input. Gotta go with option B.

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Nobuko

4 months ago

Discovering a supplier with a high profit margin could also lead to a reactive approach. Option A is something to consider.

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Dana

4 months ago

Consolidation in the supply chain can be a good reason for a reactive approach. Option D might be the best choice for that.

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Mauricio

4 months ago

Sometimes sudden changes in the marketplace can force a reactive approach. Option C could be necessary in those situations.

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Julio

5 months ago

I agree, getting input from the supplier is crucial for creating a new product. Option B is the way to go.

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Caprice

5 months ago

Hmm, I'm not so sure. Consolidation in the supply chain seems like a pretty strategic move to me.

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Nichelle

5 months ago

C) Sudden changes in the marketplace

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Nichelle

5 months ago

A) You discover that the supplier has a high profit margin

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Deane

5 months ago

That makes sense. Reacting to market changes quickly can be crucial for a buyer.

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Laurel

5 months ago

Sudden changes in the marketplace? That's gotta be it. Responsive and adaptive, that's the way to go.

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Albina

5 months ago

C) Sudden changes in the marketplace

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Ivette

5 months ago

A) You discover that the supplier has a high profit margin

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Santos

6 months ago

I think a reason for a reactive approach could be sudden changes in the marketplace.

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