Powerful suppliers can increase an organization's profits,especially if the organization cannot pass on price increases to its customers.

Question

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Powerful suppliers can actually decrease an organization's profits as they can negotiate higher prices for their goods or services, reducing the organization's margins. If the organization cannot pass on these price increases to its customers, it may have to absorb the cost, further reducing profits.

Powerful Suppliers Can Increase an Organization's Profits,especially If the Organization