Procurement Negotiation Quiz

What is the definition of negotiation?

• A process of reaching an agreement that is mutually satisfactory to both buyer and seller

• A conversation that aims to reach a result where either party reaps benefits

• A discussion that involves consideration and deliberation over multiple issues of a deal

• An agreement between two or more parties, as to what each party will do for the other

What is the difference between bargaining and negotiation?

• Bargaining is an informal situation, while negotiation is a legal scenario

• Bargaining aims for a win-win situation, while negotiation aims for one party to reap benefits

• Bargaining is a conversation, while negotiation is a discussion

• Bargaining is focused on price, while negotiation covers various aspects of a deal

What is the purpose of negotiation?

• To get the fair and reasonable offer especially price

• To exercise control over the manner in which the contract is performed

• To ensure that the contract is performed in a timely manner

• All of the above

What are the benefits of negotiation?

• Lower overall cost of supply

• Better quality, durability, and performance

• Improved supplier reliability and service

• All of the above

When do we need a negotiation?

• When we are given no choice

• When we need each other's consent

• When it is the only way to get what we want

• All of the above

What are the negotiation skills?

What are the stages of negotiation?

• Introduction Stage, Discussion Stage, Agreement Stage, Post-Negotiation Stage

• Planning Stage, Execution Stage, Evaluation Stage

• Preparation Stage, Presentation Stage, Closing Stage

• Initiation Stage, Communication Stage, Resolution Stage

What can time deadlines/pressures do in a negotiation?

• Lead to soften demands

• Increase the pressure to reach agreement

• Both of the above

• None of the above

What should be done when the supplier asks for a concession on a critical component?

• Accept the concession without any explanation

• Reject the concession without any explanation

• Handle it by giving a credible explanation

• Ignore the request and move on

What should be done with last minute concessions or add-ons by the opponent?

(a)  

• Accept them without any further dis
• Re-open and re-examine all the othe
• Ignore them and proceed with the ne
• Reject them and end the negotiation