Q35. Cigarettes and alcohol are often described as having an ‘inelastic price’. What does this mean?

Q36. A restricted market is a market where there are only a small number of capable and competent suppliers. Which of the following is not a reason for a marketplace to be restricted?

Q37. Which of the following are NOT one of the four key principles of procurement in the EU?

Q38. The use of technical jargon can result in what?

Q39. Which of the following are characteristics that differentiate between a partnership relationship and traditional contracting relationships? Select THREE.

Q40. Tim manages the procurement department at a large retailer. He wants to ensure that his team are achieving value for money in their procurement activities. Which of the following should Tim set up?

Q41. In a partnership who is responsible for decision making?

Q42. Gabriel is a procurement manager who wishes to explore a new avenue to procure products for his company. His manager has told him that he should invite internal stakeholders to a meeting to get their feedback. Who should Gabriel invite? Select THREE.

Q43. Which of the following would you use to qualify new suppliers? Select THREE.

Q44. Fred is a new procurement manager at a large engineering firm. They procure 100s of components and use these to make kitchen appliances such as kettles and toasters. He has been asked by his manager to look into procuring a new component which will go into a new environmentally friendly kettle and has been asked to ensure that the firm receives value for money. What should Fred do?

Q45. Which of the following is a valid reason for ending a relationship with a supplier?

Q46. Victoria runs a hotel and has recently had several security issues such as attempted robberies. She has decided that she needs to hire a security firm to ensure these issues don’t continue. She has done some research and has found there are several local security firms who may be able to provide services to her hotel. However, she hasn’t decided exactly what she would require the security firm to do. What should be Victoria’s next steps?

Q47. Beyond Say is a manufacturer of diamond rings. It sources a lot of different parts to create its products including diamonds, gold, cardboard boxes for the rings to go in, as well as stationary and copier paper for the offices. Although it doesn’t buy many diamonds, these represent a large part of Beyond Say’s spend. Which category of spend would diamonds represent?

Q48. What is the correct order of the stages of team development?

Q49. Why is it more difficult for buyers in the public sector to build relationships with suppliers?

Q50. Intellectual Property Rights (IPR) include items such as copywrite and trademarks. A buyer is considering entering into a partnership with their supplier to create a new product which will be released in two years’ time. Should IPR be included into a contract between partners?

Q51. Janet runs a factory which produces 1 million bread rolls every day. It requires a large amount of flour, and for this to be delivered regularly- in time with manufacturing operations. There are very few suppliers in the market place that can deliver the quality of flour Janet requires in the quantities required. Janet has just established a contract with Friendly Flour Limited – what type of supplier is Friendly Flour Limited to Janet?