| 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.