Jones Company has identified an item for which the supply risk is high and the value of the purchase to the firm is low.A recommended sourcing strategy for Jones is to:
A)Multiple source.
B)Increase efficiencies.
C)Build partnerships.
D)Consolidate purchases.

Question

Quizplus · Accepted Answer

Multiple sourcing is the recommended strategy for a high supply risk and low-value purchase item. This strategy involves spreading the risk across multiple suppliers instead of relying on a single source. By having multiple suppliers, the company can also negotiate better prices and terms, thus reducing costs. This strategy also helps to ensure continuity of supply, as any disruption from one supplier can be offset by the others.

Jones Company Has Identified an Item for Which the Supply