Article ID: | iaor1991191 |
Country: | United States |
Volume: | 29 |
Start Page Number: | 23 |
End Page Number: | 26 |
Publication Date: | Jun 1988 |
Journal: | Production and Inventory Management Journal |
Authors: | Das Chandrasekhar |
Keywords: | purchasing |
Buyer, do not take a discount offer for its face value. Chances are you will do better if you set your own cost target, compare vendors, and develop counterproposals. Whether the number of vendors is 1 or 100, and discounts are of the incremental or all-units type, a simple graph (illustrated) does a much better job than any price-break algorithm.