A smaller supplier with limited capacity for growth may need to eliminate some existing customers to meet the increased requirements of a larger customer.

Question

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If a smaller supplier wants to focus on meeting the increased requirements of a larger customer, they may have to prioritize their resources and eliminate some existing customers that may not align with their new growth strategy. This could be because they do not generate sufficient revenue or because they require more time and resources than the supplier can spare.

A Smaller Supplier with Limited Capacity for Growth May Need