Companies selling their goods to nonprofit organizations often charge a premium over their normal prices because these organizations are largely indifferent to price.

Question

Quizplus · Accepted Answer

Nonprofit organizations are often very sensitive to price and try to obtain goods and services at the lowest possible cost. They may also negotiate discounts with suppliers based on the volume of purchases or the long-term nature of the relationship.

Companies Selling Their Goods to Nonprofit Organizations Often Charge a Premium