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Chapter 26: Working with suppliers

Chapter 26: Working with suppliers. What is a supplier?. An organisation that provides a business with the materials it needs in order to carry out its business activities For a manufacturer, suppliers will mainly provide the raw materials and components needed to produce the finished good

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Chapter 26: Working with suppliers

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  1. Chapter 26: Working with suppliers

  2. What is a supplier? • An organisation that provides a business with the materials it needs in order to carry out its business activities • For a manufacturer, suppliers will mainly provide the raw materials and components needed to produce the finished good • For a retailer, suppliers will invariably provide the finished goods that the retailer sells.

  3. Choosing effective suppliers • Main factors a business will consider when choosing a supplier are: • Prices • Payment terms • Quality • Capacity • Reliability • Flexibility

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