Traditional Culture Encyclopedia - Traditional customs - What is the driving force of traditional procurement mode?

What is the driving force of traditional procurement mode?

Supplier selection and price negotiation.

1. supplier selection: in the traditional procurement mode, supplier selection is one of the key driving forces. Enterprises need to find suppliers who can provide high-quality, reliable and reasonably priced products or services. By establishing long-term cooperative relations with suppliers, enterprises can obtain stable supply and reduce procurement costs.

2. Price negotiation: In the traditional procurement mode, price is the core content of negotiation between the two parties. Enterprises hope to get the lowest price through negotiation to reduce the procurement cost. Suppliers hope to get higher prices through negotiations to increase profits. The result of price negotiation will directly affect the procurement cost of enterprises and the income of suppliers.