Norske Skog is a global supplier of publication paper with mills and sales offices on five continents. The Norwegian company's core business is newsprint and magazine paper for its 2,300 customers worldwide. It has a partnership with many of its customers and develops special paper grades in co-operation with its customers. Sarah DeJohn, its chief executive, announced the company would be downsizing in 2003 due to falling demand for paper. (Demand for publication paper is affected by economic activity in the market and printed media advertising revenue.)
-A newspaper publishing company trying to reduce the costs of newsprint would most likely engage in a _____ purchase.

Question

Quizplus · Accepted Answer

A modified rebuy is when a buyer wants to modify product specifications, prices, terms, or suppliers. In this case, the newspaper publishing company is likely looking to reduce costs, which may involve changing terms or suppliers, fitting the definition of a modified rebuy.

Norske Skog Is a Global Supplier of Publication Paper with Mills