ExpertMedium2 marksMultiple Choice
ACCA · Question 24 · Business & Technology
Section A
The procurement manager at "AgriSupply" is negotiating a new contract with a tractor manufacturer. Instead of aggressively haggling to get the lowest possible price, she works with the manufacturer to find efficiencies in the supply chain so that AgriSupply gets a lower price while the manufacturer maintains their profit margin.
Which negotiation strategy is the procurement manager employing?
Section A
The procurement manager at "AgriSupply" is negotiating a new contract with a tractor manufacturer. Instead of aggressively haggling to get the lowest possible price, she works with the manufacturer to find efficiencies in the supply chain so that AgriSupply gets a lower price while the manufacturer maintains their profit margin.
Which negotiation strategy is the procurement manager employing?
Answer options:
A.
Distributive (Win-Lose) negotiation
B.
Integrative (Win-Win) negotiation
C.
Accommodating (Lose-Win) negotiation
D.
Avoiding (Lose-Lose) negotiation
How to approach this question
Identify the outcome goal: both parties benefit (lower price for buyer, maintained margin for seller). This is a win-win scenario.
Full Answer
B.Integrative (Win-Win) negotiation✓ Correct
Integrative negotiation (often called win-win) focuses on collaboration and problem-solving to find solutions that satisfy the interests of both parties, building long-term relationships.
Common mistakes
Confusing Distributive and Integrative terms.
Practice the full ACCA BT — Business & Technology Practice Exam 3
52 questions · hints · full answers · grading
More questions from this exam
Q01Section A
"AeroDrones Ltd" is a technology startup specializing in autonomous delivery drones. R...MediumQ02Section A
"GreenHarvest" is a large agro-tech firm planning to build a new processing facility. ...EasyQ03Section A
"AquaPure" operates a municipal desalination plant providing essential drinking water ...MediumQ04Section A
"Solaris" manufactures residential solar panels. Recently, a breakthrough in cheap, re...MediumQ05Section A
"MediCare Mutual" is a healthcare provider that is entirely owned by the patients who ...Easy