In some cases, a firm may be looking to develop a long-term relationship with a potential supplier, particularly if the supplier is in the "Routine" quadrant of the Strategy Portfolio Matrix and the category of spend is low volume and routine to the company's business.

Question

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In the Strategy Portfolio Matrix, the "Routine" quadrant typically includes items that are low in both value and risk to the company. These are often standardized items that can be easily sourced from multiple suppliers. Developing long-term relationships is more common for items in the "Leverage" or "Strategic" quadrants, where the spend category is of higher volume, value, or strategic importance to the company.

In Some Cases, a Firm May Be Looking to Develop