Business and Purchasing Terms

Front

Competitive bidding process

Back

A method of collecting price quotes from suppliers vying for an order or job.

Front

Credentials

Back

Information about a person’s or business’s skills, abilities, and qualifications.

Front

Goods

Back

Tangible objects that can be manufactured or produced for resale.

Front

Guarantee

Back

A promise made to the consumer that a product’s purchase price will be refunded if that product is not satisfactory; often called a money-back guarantee.

Front

Invoice

Back

The formal, printed record of a sale that includes all necessary information as to the buyer, the seller, items purchased, amounts, prices, delivery date, credit or discount terms, etc.

Front

Make-or-buy decision

Back

The act of determining whether to produce a needed part or purchase it from a supplier.

Front

Manufacturer

Back

A type of producer that changes the shapes or forms of materials so that they will be useful to consumers.

Front

Negotiation

Back

The process of one party reaching an agreement with another party to meet specific needs or wants.

Front

Productivity

Back

The amount and the value of goods and services produced (outputs) from set amounts of resources (inputs).

Front

Profit margin

Back

A ratio of net profit (after taxes) divided by net sales that reflects the profit per dollar of sales.