Q31. A procurement professional is preparing for a negotiation of purchasing non-critical commodity products. He knows that the product can be easily replaced by other substitutes in the market. The negotiation for these products is typified by which of the following?

Q32. What is the most likely outcome when two organisations with adversarial relationship negotiate with each other?

Q33. A procurement professional is sourcing low value items. He conducts market analysis and realise that these items can be provided by many suppliers and switching cost between suppliersis relatively low. He also assume that the relationship between buyer and supplier will be transactional rather than long-term. According to Thomas-Kilmann conflict model instrument, which of the following is the most appropriate style that the procurement professional should adopt when negotiating with these suppliers?

Q34. Which of the following is the process enabling the buyer to sharewith the supplier their purposes and needs to focus on some specific areas such as quality, cost, social and environmental standards, etc in the supplier’s bids?

Q35. In a commercial negotiation,a procurement professional believe that the larger the order quantity from buyer, the lower the supplier’s average costs. Is this assumption true?

Q36. Which of the following are examples ofnon-verbal negotiation? Select THREE that apply.

Q37. Which of the following is the most appropriate pricing arrangement in contracts where major inputs are commodities?

Q38. Which of the following is most likely a consequence of falling interest rate?

Q39. Which of the following are tools that help procurement visualise cost breakdowns of products and services purchased from supplier?
1. Spend candlesticks
2. Spend tree
3. Aggregate expenditure model
4. Spendwaterfall

Q40. End users are the only stakeholders that are involved in the preparation of a negotiation. Is this statement true?

Q41. A procurement professional is negotiating with a supplier on cleaning service. She realises that there are huge cost-saving opportunities if the supplier agrees to reduce its mark-up and unnecessary employee benefits.
Supplier’s mark-up and employee benefits are examples of which of the following?

Q42. Which of the following are signs indicating that the trust between buyer and supplier has improved? Select TWO that apply.

Q43. The trust is built based on the other party’s professional qualifications or proven or certified technical capability or experience is known as…?

Q44. Which of the following is a disadvantage of absorption costing method?

Q45. Stalemate is morelikely to happen if both parties trade more variables in a commercial negotiation. Is this assumption true?

Q46. Which of the following method should be used in negotiation if both parties want to communicate verbally and non-verbally without having to meet face-to-face?

Q47. Which type of power is considered the opposite of coercive power?

Q48. Which of the following are types of questions that are useful in opening and testing phases of a negotiation?
Select the TWO that apply.

Q49. Which of the following will help to indicate personality preferences in four dimensions?

Q50. There are no commitments in hypothetical questions. Is this statement true?

Q51. A buying organisation with a low spend and the reputation for paying late might be viewed by a supplier as which of the following?