By Malcolm T Cunninghamd, Malcolm T. Cunningham, I.D. Ford, Elling Homse, Peter W Turnbull

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The concept of 'price' appears to offer UK suppliers a major competitive opportunity. However, it is important that this is fully exploited. B. price for the product, plus a multitude of hidden cost factors (described above), their UK suppliers may lose their major advantages of lower production costs. It is therefore essential that buyers' fears relating to hidden cost consequences are put to rest. This will require not only an adequate performance in relation to product quality, delivery etc.

The adoption of the marketing concept by suppliers does imply that those activities which impinge upon customer satisfaction should be effectively co-ordinated and integrated in order to project a total image of competence and efficiency. It hardly needs stressing that the efficient handling of all complaints can minimise the effects and damage to reputation that can occur if they are ignored or badly handled. Indeed, the rapid response to, and solving of, a problem, can enhance the reputation of a supplier.

5 Aspects of price negotiation Percentage of all buyers who agree that suppliers in each country Emphasise initial Emphasise other purchase price cost consequences % % 53 45 75 39 65 56 57 53 59 53 These figures were taken from two separate questions and do not therefore add up to 100 per cent. 26 International Marketing and Purchasing these countries that UK (and Italian) companies have enjoyed in recent years due to their lower production costs, wage rates and, until recently, more favourable exchange rates.

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