Which of the following is not one of the guidelines for purchase decisions?
A) Purchasing decisions should be based primarily on the product cost.
B) Purchasing personnel traditionally have been rewarded primarily for negotiating low prices.
C) Low purchase cost often does not equal low overall cost.
D) Pressing suppliers for ever-lower prices will minimize their profits.

Question

Quizplus · Accepted Answer

The guideline that purchasing decisions should be based primarily on the product cost is not accurate. Effective purchasing decisions consider a range of factors beyond just the initial cost, including quality, reliability, supplier relationships, and total cost of ownership.

Which of the Following Is Not One of the Guidelines