Competitive bidding is most effective when all of the following conditions apply except ____.
A) the buying firm can provide qualified suppliers with clear descriptions of the items or services to be purchased
B) volume is high enough to justify the cost and effort
C) the firm does not have a preferred supplier
D) the item is a new or technically complex item with only vague specifications
E) None of these choices conditions apply to competitive bidding.

Question

Quizplus · Accepted Answer

Competitive bidding is not effective for new or technically complex item with only vague specifications as suppliers may not have a clear idea of what is required and may not be able to provide accurate bids. Therefore, the best choice is D, as it contradicts the statement.

Competitive Bidding Is Most Effective When All of the Following