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One of the disadvantages of a contract manufacturer is the retention of market control.
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- How can a sales or lease contract be effectively managed to ensure mutually beneficial outcomes for both parties involved?How can an organization effectively manage sales and lease contracts to optimize revenue generation, minimize risk, and ensure compliance with legal and ethical standards?What strategies can an organization employ to optimize sales and lease contract management processes, ensuring effective negotiation, monitoring, and enforcement of terms to maximize revenue generation and maintain strong customer relationships?
- Contract management can be defined as ‘the activities of a buyer before, during and after a contract is signed, to ensure that all parties to the contract understand and fulfil their contractual obligations’. Contracts may be for specific projects or for the supply of good or services over a period of time, typically between one to three years depending upon circumstances and objectives. Contract activities can be split into two distinct but interdependent phases: pre-contract award/renewal and post-contract management. Contract management is command and control of the activities spanning both phases, but the potential value adding outcomes of post contract management will not be realised unless effective pre-contract management has resulted in a contract that addresses all stakeholders’ needs with the utmost professional skill. A failure in pre-contract management will result in post-contract management time and effort being wasted on trying to resolve and correct omissions and…In business markets, close buyer-seller relationships Multiple Choice may improve the profits of both the buyer and the seller. are almost always desirable from the seller's point of view, but not from the buyer's point of view. may have benefits, but they usually increase a firm's uncertainty and risk. None of the answers is correct.Explain why the first question a person should ask when getting ready to analyze a contract problem is, “is this alleged contract a contract for the sale of a good?”
- Suppose you are starting a new outdoor adventure business. You enter into an agreement with your best friend who sells camping tents wholesale for the purchase of 100 tents to be delivered to your retail storefront on Friday. Because you are best friends, you do not bother to negotiate any terms other than price and delivery date. Suppose that your best friend sends you the wrong tents instead, and 15 of them are damaged. Must you accept the tents? What are the legal options for you? What are the parties’ rights and responsibilities regarding the sale? Who will bear the risk of the lost?Suppose a supplier gives you a price on a contract and then later comes back and claims that he mistakenly wrote down the wrong price. Do you have the right to sue the supplier over breach of contract? What conditions are important here? In addition, summarize the three methods of contract cancellations. Describe the remedies and preventative steps you could take in the scenario above.What are the key considerations in managing sales and lease contracts to optimize profitability and mitigate risks for a business?