Provide four circumstances where suppliers are opportunities for a business

Name the 4 most important factors for businesses when choosing suppliers:

Explain why businesses need suppliers.

Powerful suppliers capture more value by charging higher prices, limiting quality or services, or shifting cost to industry participants. Which of the following supplier-related factor will impose constraints on the profitability of the industry participants?Group of answer choicessuppliers depend heavily on the industrysuppliers are less concentrated than industry participantscredible threat of forward integrationmany substitutes being available for supplier products

What is one of the primary objectives of market dialogue with suppliers?  A. Finalize the contract terms and conditions  B. Identify potential suppliers to exclude from the bidding process  C. Evaluate the performance of current suppliers  D. Create a competitive environment for suppliers to bid

There are positives and negatives for a business in saucing suppliers local, nationally or from overseas. Sometimes there is no choice while at other times there is much choice. For example, if you sell new cars you have no choice but to get your supplies from overseas as there are no car manufacturers in Australia. On the other hand, if you were to source IT support services for your new business there would be a range of companies locally, nationally and internationally that could provide personal or on-line support. So how does a business make a decision on who to get their supplies from? What are some considerations they will have to think about? Complete the table below which asks you to think about local and overseas sourcing and what might be an advantage and a disadvantage for each of the considerations.