CORe Exam Dumps | CBA Incorporated is an up-and-coming automobile manufacturer. CBA issues a request for proposal (RFP)

<< Prev Question Next Question >>

Question 9/132

CBA Incorporated is an up-and-coming automobile manufacturer. CBA issues a request for proposal (RFP) for a supplier of a new radiator, to be designed by the supplier in accordance with specifications created by CBA.
Two bidders are Interested: Supplier X, with whom CBA currently does business, and Supplier Y, who is new to CBA. The firm plans to make the chosen supplier a single source for all of CBA's radiators in return for collaborative design development and open book pricing, so that profit margins can be agreed to and set. The suppliers respond to the RFP, and Supplier X quotes a much higher price than Supplier Y. Given this situation, which of the following should CBA do?

A. Conduct a should cost analysis for the radiator and offer the contract to the supplier that can meet the cost and the design specifications

B. Contract with Supplier Y, as it is offering a lower price than Supplier X

C. Engage Supplier X in negotiations with senior management about the merits of a win-win strategy and the opportunities that CBA is offering in terms of volume

D. Inform Supplier X that the should cost price is the final offer, and terminate negotiations and source elsewhere if Supplier X refuses to accept the offer

Question 9/132

LEAVE A REPLY

Download PDF File