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CIPS Exam L4M6 Topic 7 Question 37 Discussion

Actual exam question for CIPS's L4M6 exam
Question #: 37
Topic #: 7
[All L4M6 Questions]

Phone Maker Incorporated is a manufacturer of mobile phones. It is considering investing in a partnership with its supplier of batteries and circuit boards as it wishes to produce new models of its phone more regularly. What is the main driver for Phone Maker Incorporated?

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Suggested Answer: B

The correct answer is 'Conduct regular audits'. This is explained on p.153. You wouldn't do an appraisal on a supplier in a partnership relationship as both parties are equal. Threatening a partner isn't good for the relationship and a damages clause would be used in a contractual relationship rather than a partnership.


by Gracie at Apr 23, 2024, 09:29 PM

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Deeanna
4 days ago
Definitely 'Changes in the marketplace'. The mobile phone industry is so fast-paced, they need to adapt quickly to stay relevant.
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Stevie
14 days ago
Hmm, I'd guess the main driver is 'Reduced product life-cycles'. Phone makers are always trying to stay ahead of the competition with the latest and greatest models.
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Leanna
19 days ago
I think it could be a combination of both cheaper costs and changes in the marketplace.
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Yuki
24 days ago
I disagree, I believe it's changes in the marketplace that is driving their decision.
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Ivan
25 days ago
I think the main driver for Phone Maker Incorporated is cheaper costs.
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