Lucas worked for an old-school business owner. When Lucas presented the idea of building relational exchanges with key vendor and buyers, the owner was skeptical at best. He told Lucas, "I'm not at all interested in having people feel good about business. It's not a party." Lucas then told him it could increase profits, and the owner took a new interest. Which of the following is NOT a way Lucas could demonstrate that relational exchanges would increase profits?

Question

Quizplus · Accepted Answer

Lucas's argument is about building relational exchanges to increase profits through efficiency and trust, not necessarily about getting the lowest price on materials. Strong relationships can lead to benefits like flexible deliveries, reduced purchasing costs, and less need for testing due to trust in the quality of in-bound materials, but they don't guarantee the lowest price on materials, as prices can be influenced by market conditions and negotiation skills.

Lucas Worked for an Old-School Business Owner