StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

PURCHASING PRACTICES - Assignment Example

Comments (0) Cite this document
Summary
To successfully purchase machinery for our company from China, there are a number of critical factors that may come into play. The three critical success factors in our case are economic,…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER94.3% of users find it useful
PURCHASING PRACTICES assignment
Read TextPreview

Extract of sample "PURCHASING PRACTICES"

Purchasing Practices: Critical Success Factors Unlike domestic purchases, international purchases are affected by numerous factors. To successfully purchase machinery for our company from China, there are a number of critical factors that may come into play. The three critical success factors in our case are economic, cultural and political in nature. Economic factors that come into play include exchange rates, tariffs, inflation and level of competition (Ellram). The exchange rate between the Canadian dollar and the Chinese Yen determines the cost of purchasing and transporting the purchased commodities. If the exchange rate is unfavorable, there is a likelihood that we may be forced to cancel any purchases or reduce the quantities purchased. In purchasing commodities from China, we will need to adjust the value of the items for inflation both in China and in Canada. This could significantly adjust the value of the items.
China and Canada have different cultures and trade practices. Business etiquette in China is heavily based on Chinese culture and if we are to complete and business, we have to adhere to the rules of engagement. China’s government has a significant say on the manner that business is conducted within the country. At the moment, there is a relatively open policy that encourages international businesses to engage in business transactions with their local companies. It is thus expected that we will face little opposition from the authorities if we were to purchase the items from a Chinese supplier. Furthermore, there are reduced tariffs on purchases made from china and this should help reduce the cost of the purchases (Ellram).
Works Cited
Ellram, Lisa M. "Key Success Factors and Barriers in International Purchasing Partnerships." Management Decision 29.7 (1991). Print. Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“PURCHASING PRACTICES assignment Example | Topics and Well Written Essays - 250 words - 1”, n.d.)
PURCHASING PRACTICES assignment Example | Topics and Well Written Essays - 250 words - 1. Retrieved from https://studentshare.org/professional/1683839-purchasing-practices-assignment
(PURCHASING PRACTICES Assignment Example | Topics and Well Written Essays - 250 Words - 1)
PURCHASING PRACTICES Assignment Example | Topics and Well Written Essays - 250 Words - 1. https://studentshare.org/professional/1683839-purchasing-practices-assignment.
“PURCHASING PRACTICES Assignment Example | Topics and Well Written Essays - 250 Words - 1”, n.d. https://studentshare.org/professional/1683839-purchasing-practices-assignment.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF PURCHASING PRACTICES assignment

Purchasing & Supply Chain Management

... College: Purchasing and Supply Chain Management Introduction Blacks Leisure group is a British outdoor retailer that deals with a range of leisure products and services encompassing horse racing, casinos, water sports, fitness classes, bird watching, cinemas, land sports, music concerts, videogames, among others. These products falls into four major categories, namely, recreation, tourism, sports and hospitality. The group is currently running in one of the most competitive industries. In order for the Blacks to remain the market leaders, it is absolutely necessary for it to get acquainted with consumer preferences, industry trends and competition and also consumer preferences. This article shall focus on the matters regarding...
6 Pages(1500 words)Essay

Purchasing Development

...?Demonstrate an understanding of the key role of the purchasing system as an integrated part of the overall development of organizational strategy According to Jones (1997), purchasing systems refer to the procedures set to procure materials, services and supplies for use in an organization’s day to day use. It is necessary to choose a procurement system by design rather than going for a general all-purpose one. The problem with general or ready to made procurement systems is that they are a general fit and even though they might let’s say cater to about 90% of the procurement needs, still there remains a 10 % chance that some things might left behind by their usage. For instance, a general purpose purchasing system might procure materials...
6 Pages(1500 words)Assignment

Current Purchasing and Supply Chain Practices in E-procurement

... Number Due Current Purchasing and Supply Chain Practices in E-procurement Introduction E-procurement is thebusiness-to-business, business-to-government or business-to-consumer process of making purchases or selling supplies, services or work through the internet or other forms of information systems. Indeed as e-commerce continues to gain root courtesy of the developments realized in Information and Communication Technology (ICT) it seems every single sector is being transformed. E-procurement therefore involves the use of Electronic Data Interchange and Enterprise Resource Planning. It is basically facilitated through the use of various software applications which enhance the process of supplier management and complex auctions. The value...
11 Pages(2750 words)Essay

Purchasing Habits

...Introduction This is a study of people's purchasing habits; the reasons as to why people do or don't buy products. This study seeks to answer questions like what, where, why, when and how people buy or do not buy products (Delbert 2009). The study of consumer buying behaviour starts from the market all the way to the consumer but in between, it has several determining factors that lead the customer into making a decision for or against buying a particular product [Own]. Consumer buying behaviour There are certain environmental factors that affect a consumers buying behaviour and these depend on the marketing vigour of the producing company. These stem from the marketing concept of the four P's: place, promotion, price, and product...
8 Pages(2000 words)Essay

Purchasing Power Parity

...PURCHASING POWER PARITY "Purchasing power parity" or "PPP" expresses the notion that with a unit of purchasing power, say one dollar or one euro, it should be possible to purchase the same bundle of goods and services anywhere in the world (Neary, 2004). In economics, purchasing power parity (PPP) is the method of using the long-run equilibrium exchange rate of two currencies to equalize the currencies purchasing power. It is based on the law of one price, the idea that, in an efficient market, identical goods must have only one price. Purchasing power parity is often called absolute purchasing power parity to distinguish it from a related theory relative purchasing power parity, which predicts the relationship between the two countries...
10 Pages(2500 words)Coursework

Purchasing management

...Order # 168833 Nike’s Supply Chain Management Strategy Executive Summary “Nike is a manufacturer, but really its just a marketing company." (Shanley in 2003)1 This quote really sums it up all. Nike is all about marketing and the backbone of any marketing is the supply chain that supports it. The Futures plan was envisaged in the seventies to prop up the demand supply stability and it proved to be a financial boon to Nike as Retailers had to book orders nine months in advance. This also gave stability to its supply chain and it offered it an opportunity to build a profitable Purchase structure. Nike understands that suppliers are a real source of competitive advantage and an extension of the company. It treats them like partners...
3 Pages(750 words)Essay

Global Purchasing

...GLOBAL PURCHASING A STUDY OF PURCHASE PROCESS AT SWISHER SYSTEMS CORPORATION TABLE OF CONTENTS Page 3 2 Introduction – Purchasing 4 3 Purchasing Methods at Swisher 5 4 Recommendations 7 5 Bibliography 8 1 Abstract Swisher System Corporation, a small Industrial Heating company, is unable to expand and the reason appears to be unusually high Inventory holdings that blocks capital holds it back. Old purchase methods relying on the MRP systems and ignoring modern software systems for tracking inventory needs and selecting suppliers are other reasons that contribute to its stagnation. The entire purchase system covering both Bottleneck and Strategic Products has been explained together with the advantage of Inventory control...
4 Pages(1000 words)Essay

PURCHASING

...Introduction In every organization, whether it is a restaurant or any other specific type of organization, various processes go side by side in orderto achieve a desired set of goals and objectives. These goals and objectives can only be achieved when the organization will operate its processes efficiently and effectively. If these processes are not operated in an appropriate manner, accomplishment and achievement of desired objectives can never be possible. When we talk about such processes which are essential for the achievement of targeted goals and objectives, we must talk about purchases, which is one of the most important process or function of any organization. We can say that when we need to perform any specific task regarding some...
8 Pages(2000 words)Essay

Purchasing assignment

... Purchasing assignment Introduction Purchase is regarded as an act of securing or sourcing for goods by simply placing request stating the specification to a supplier or vendor. When buying, the first thing to do is to develop a list or order of requirements based on what, quality and quantities you want. This list or order is the one taken to the vendor for procurement. This can be well supplemented by developing a relevant purchase order that also specify date and time of delivery (Buck, 2008). Purchasing is an either important process that could be done formally or informally (Buck, 2008). It is important to note that any of the methods of buying acknowledge the fact that safety of the item is guaranteed. This paper will demonstrate how...
3 Pages(750 words)Essay

Assignment of Priciples and practices of management

...Assignment of Principles and practices of management Question 1 A group of workers in a medical examiners office informally agreed that they wouldnot wear blue jeans to work because such casual wear seemed unprofessional. The office did not have a dress code. The workers created a(n): (B) norm 2 A virtual team1 is defined as a team composed of geographically and/or organizationally dispersed coworkers who use telecommunications and information technologies to accomplish an organizational task. 3 An understanding of which of the following would help waiters at a restaurant understand the positive consequences of working hard to be courteous and agreeable to each other and to customers? (A) Organizational behavior 2 4 Individuals...
7 Pages(1750 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Assignment on topic PURCHASING PRACTICES assignment for FREE!

Contact Us