Which of the following statements is true regarding the leverage of supply chain savings? Supply chain leverage is about the same for all industries. Supply chain savings exert more leverage as the firm's purchases are a smaller percent of sales. Supply chain savings exert more leverage as the firm's net profit margin decreases. Supply chain leverage depends only upon the percent of sales spent in the supply chain. None of these is true.

Which of the following statements is true regarding the leverage of supply chain savings? Supply chain leverage is about the same for all industries. Supply chain savings exert more leverage as the firm's purchases are a smaller percent of sales. Supply chain savings exert more leverage as the firm's net profit margin decreases. Supply chain leverage depends only upon the percent of sales spent in the supply chain. None of these is true.

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Chapter2: The Purchasing Process

Section: Chapter Questions

Problem 1GPE

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		Supply chain leverage is about the same for all industries.
		Supply chain savings exert more leverage as the firm's purchases are a smaller percent of sales.
		Supply chain savings exert more leverage as the firm's net profit margin decreases.
		Supply chain leverage depends only upon the percent of sales spent in the supply chain.
		None of these is true.