Practice Test Geeks(APP) Accredited Purchasing Practitioner Certification Practice Test
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Negotiation & Supplier Management Flashcards

7 cards from real APP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Negotiation & Supplier Management flashcards as text

  1. A purchasing practitioner wants to strengthen negotiation leverage before a major contract renewal. Which action BEST builds that leverage?

    Answer: Conduct a formal competitive bid process with alternate suppliers

    Running a competitive bid introduces credible alternatives, which is the most direct way to increase buyer leverage.

  2. In supplier scorecards, which metric best reflects a supplier's ability to respond to sudden demand changes?

    Answer: Flexibility and responsiveness score

    Flexibility and responsiveness measures how quickly a supplier adjusts capacity or lead times when buyer demand fluctuates.

  3. During negotiation, the supplier states: 'This is our final price — take it or leave it.' What tactic is the supplier using?

    Answer: Fait accompli

    A 'take it or leave it' ultimatum is a fait accompli tactic, presenting a position as non-negotiable.

  4. A buyer is negotiating payment terms and wants to improve cash flow. Which term change achieves this?

    Answer: Changing from Net 30 to Net 60

    Extending payment terms from Net 30 to Net 60 means the buyer retains cash longer, improving working capital.

  5. Which supplier relationship strategy is most appropriate for a highly strategic, sole-source component with high supply risk?

    Answer: Collaborative partnership with joint development

    High strategic value and high supply risk call for deep collaborative partnerships that align interests and reduce mutual vulnerability.

  6. A Total Cost of Ownership (TCO) analysis for a supplier should include which cost category that invoice price alone misses?

    Answer: End-of-life disposal and maintenance costs

    TCO captures costs over the entire lifecycle, including disposal and maintenance, which invoice price does not reflect.

  7. Which negotiation approach focuses on expanding value for both parties rather than splitting a fixed amount?

    Answer: Integrative negotiation

    Integrative (interest-based) negotiation seeks to create value by addressing the underlying interests of both parties.