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CIPS L4M5 Certification is highly respected in the procurement and supply chain industry and is recognized globally. It demonstrates that the candidate has the knowledge and skills required to conduct successful negotiations with suppliers and vendors. Commercial Negotiation certification is ideal for professionals who are looking to advance their careers in procurement and supply chain management. Employers value this certification as it shows that the candidate has a deep understanding of negotiation principles and can apply them in real-world situations.

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CIPS Commercial Negotiation Sample Questions (Q258-Q263):

NEW QUESTION # 258
A buying organisation with a low spend and the reputation for paying late might be viewed by a supplier as which of the following?

A. Core
B. Develop
C. Exploit
D. Nuisance

Answer: D

Explanation:
To answer this question, you should know The seller's perspective as in 'How to Negotiate Professionally':
In the scenario, the buyer's spend is low, while they seem unattractive to seller (as they tend to pay late). So the buyer is classified as Nuisance in seller's perspective.

NEW QUESTION # 259
Which of the following are signs indicating that TOP is using coercive power in commercial negotiation?
Select TWO that apply.

A. Technical expertise
B. Demonstrating fairness and respect
C. Use of guilt
D. Positive references
E. Withdrawal of benefits

Answer: C,E

Explanation:
:
Coercive power comes from the belief that a person can punish other for non-compliance, and can be considered as the flip side of reward power. Coercive power rests in the individual's ability to change other people's behaviour through threat, intimidation, use of guilt, ability to embarrass or shame, or withdrawal of benefits,...

NEW QUESTION # 260
Which of the following are most likely to be fixed costs of an airline? Select TWO that apply.

A. Purchase of aircraft
B. Advertising and promotion
C. Catering services
D. Flightcrew training
E. Fuel

Answer: A,D

Explanation:
Explanation
Fixed costs (FC) are costs that do not vary with volume. To an airline once aircraft are purchased, flight crews trained and departures scheduled, costs are disproportionately fixed.
Variable costs (VC) arethose which vary with the amount produced. Fuel, catering services and marketing are examples of variable.
LO 2, AC 2.1

NEW QUESTION # 261
Finding the middle ground between buyer and supplier by moving towards each other's position is a satisfactory way to complete contract negotiations and maintain ongoing relations for future negotiations. Is this statement correct?

A. Yes, because the buyer will always move further than the supplier
B. No, because the other party will take advantage if you move your position
C. No, because it will damage your credibility in contract negotiations
D. Yes, because both parties will get as close to their end result as possible

Answer: D

Explanation:
Finding a middle ground, also known ascompromise or convergence, is a hallmark of collaborative or integrative negotiation. It allows both parties to secure partial wins, supports longer-term relationships, and promotes ongoing goodwill for future dealings.
"Negotiators must balance assertiveness with cooperation. Meeting halfway can lead to agreements that meet minimum needs of both parties while preserving the relationship." (L4M5 Commercial Negotiation, 2nd edition, Section 1.1 - Collaborative Approaches to Negotiation)

NEW QUESTION # 262
Which of the following is a description of mark-up?

A. Profit expressed as a percentage of variable costs
B. Profit expressed as a percentage of fixed costs
C. Profit expressed as a percentage of the selling price
D. Profit expressed as a percentage of costs

Answer: D

Explanation:
Mark-up is defined as profit expressed as a percentage of the cost. It calculates the profit margin based on the cost price rather than the selling price, which allows companies to determine how much they are earning over their production or purchase costs. This aligns with standard accounting and CIPS definitions of mark-up in procurement contexts.

NEW QUESTION # 263
......

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L4M5 STUDY GUIDE & REAL L4M5 BRAINDUMPS - LATEST VALID

L4M5 study guide & real L4M5 braindumps - latest valid