L4M5 Actual Questions – Instant Download 165 Questions [Q41-Q58]

NO.41 Which of the following is the most appropriate pricing arrangement in contracts where major inputs are commodities?

NO.42 Which of the following are macroeconomic factors that may have influence to the commercial negotiation?
Select TWO that apply

NO.43 An oil refinery plant imports much of its crude oil from overseas. A procurement manager in the refinery suggests that fixing the crude oil contract price for 36 monthswould be beneficial for the company. Would this be a right thing to do?

NO.44 A public agency opens a tendering process for a road building project that lasts approximately 1 year. They post theirrequirements on public journal and receive some interests. After conducting due diligence process and selecting the lowest bidder, the project commences. However, the supplier complains that price of material increases because of a shortage of supply, thenthey demands an 5% uptick in contract value. The agency investigates the increment and sees that there is indeed a fluctuation in prices of supplier’s input. They are likely to accept the proposal, but they are also concerned that supplier may demand more. To avoid making another concession with the supplier, which of the following should be a priority action of the agency?

NO.45 When is the best time in procurement process in which procurement should get involved so that the cost-saving opportunities are the greatest?

NO.46 Which of the following is considered a strength of a ‘logical’ style negotiator?

NO.47 Which of the following are intangible values created by trust in business relationships? Select TWO that apply.

NO.48 Which of the following are most likely to be fundamentals of Fisher & Ury’s principled negotiation?
1. Depersonalise the argument
2. Focuson positions
3. Generate creative options
4. Using subjective criteria

NO.49 Information generated through Purchase Price Cost Analysis can be useful to the purchaser, by helping to identify which of the following costs relating to the supplier? Select the THREE that apply.

NO.50 JCB is a large manufacturer of heavy machinery. The CPO is going to a negotiation with a Chinese supplier about procuring some major components. He is wondering about balance of power in the negotiation. Which of the following micro factors are most likely to shift the balance of power towards the buying organisation in this commercial negotiation? Select TWO that apply

NO.51 Which of the following can help both parties to break the vicious cycle of blame when a relationship needs repairing? Select TWO that apply.

NO.52 If a negotiation results in an offer which does not meet the buyer’s minimum requirements, which of the following could the buyer pursue?

NO.53 A purchasing manager is having a negotiation with a supplier to extend the duration of the contract. In order topersuade the supplier to cut the cost by 10%, she promises to shorten the payment period from
45 days to 30 days for each delivery. The supplier’s representative does not agree the offer and clearly states that his proposed price is already lower than the market price. The purchasing manager has used which type of power?

NO.54 During a negotiation, a procurement manager suggests that the two companies should split the difference which would benefit both the supplier and buyer. Which persuasion method is she using?

NO.55 Which of the following is the area where two or more negotiating parties may find common ground?

NO.56 Which of thefollowing is an objective of proposing phase?

NO.57 At which stage in a negotiation would questions be asked to obtain missing information?

NO.58 According to Dr. Mari Sako, which of the following is potentially the weakest trust to be built?