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Question 141

Which of the following types of raw materials would be most appropriate to source via an Internet-based trading exchange?

    Correct Answer: D

    Internet-based trading exchanges are best suited for materials that are commoditized and have many suppliers. This ensures a competitive marketplace where efficient price discovery and streamlined procurement processes can be achieved. Inexpensive material that has many sources aligns well with these characteristics, making it ideal for sourcing via an Internet-based trading exchange.

Discussion
Wild3dOption: D

Internet-based trading exchanges are typically used for sourcing materials that are commoditized and readily available from multiple sources. These exchanges provide a platform for buyers and sellers to connect and transact for standardized materials or commodities. Inexpensive materials with multiple sources fit this profile, as they are often traded in a competitive marketplace with many potential suppliers. The use of an Internet-based trading exchange can help facilitate efficient price discovery, competition among suppliers, and streamlined procurement processes for such materials.

DoctoreOption: B

why not B