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1- price
2- quality
3- delivery performance
4- shipping costs
5- all the above
Price including all types of cost should be competitive, and time of delivery is also very important factor. so my answer is all of the above.
Prices should be competitive, No Compromise on quality, Delay in delivery might cause delay in production, SCM used EOQ,
So my answer is
5 - All the above
all above is the correct answer >>>>>
1) Price - The main factor while selecting any vendor, as you have not seen the vendor and not their Product. It will be the first component of selection. Competitive prices will help penetration in new market.
2) Shipping cost - Once the deal is confirmed with a vendor, lower shipping cost will help the purchaser to reduce the final cost.
3) Delivery Performance - This is the third stage, wherein the goods will be made available to the purchaser at the right time. i.e. if the product is seasonal the goods should be available during the season and not after that.
4) Quality - Once the purchaser has used the product and liked the quality, he will be placing repetitive orders.
Hence in Supply chain all the four factor are considered while selecting a vendor.
The Supply Chain is a backbone of FMCG, so while selecting the supplier (vendor) all the mentioned elements are important and have to be taken in to consideration. A compromise on any one will result in either loss in revenue, loss of goodwill, loss of market share or losing of customer to other competitor. Hence I will go with option5)
All of the above factors has importance for the business for achieving different objectives
All four points is required to get a good vendor from the market
all above is the correct answer
