In which of the following situations would the suppliers have the strongest bargaining power?
A)coffee planters during a season of frost that decreases production
B)companies negotiating compensation during a booming economy
C)providers of logistic support during an economic slowdown
D)a wholesaler declaring a stock-clearance sale

Question

Quizplus · Accepted Answer

In situation A, the suppliers (coffee planters) are facing a natural disaster (frost) that has decreased production. This means that the supply of coffee beans has decreased while demand remains constant, giving suppliers stronger bargaining power to negotiate higher prices for their limited supply of goods.

In Which of the Following Situations Would the Suppliers Have