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Introduction
The aim of the report is to recommend a supplier for our new range of
leisurewear. A committee from the Purchasing Department was presented with a
shortlist of five potential suppliers to select from. The criteria considered
was price, quality, delivery and flexibility.
Findings
It was found that, taking the companies' overall ratings into
consideration, there was negligible difference between suppliers. Consequently,
the committee decided to narrow its focus to the area considered to be of major
importance for QuayWest's image, namely quality and price.
Consort Trading Despite offering the best deal financially, the company is
unable to guarantee garments compliant with EU standards.
Samokovska Although it produces goods of an extremely high quality for
exclusive markets, this supplier charge high prices,part of which would
necessarily be passed on to customers.
Namlong Sportswear The poor standards of craftsmanship make it difficult to
justify paying the prices quoted.
Shiva Trading Sample items from this supplier show an acceptable quality
level. Furthermore, the deals currently on offer make it an attractive
option.
Hai Xin Group There is some doubt as to whether garments produced by this
company would meet EU standards. In view of this, the prices appear unreasonably
high.
Conclusions
It was felt to be unwise to risk compromising the company's image by using
suppliers of low quality goods. Similarly, using an expensive supplier could
affect QuayWest's reputation for value for money.
Recommendations
Consequently, it is suggested that QuayWest negotiates a contract with
Shiva Trading. |
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