Choosing Suppliers (AQA GCSE Business)
Revision Note
Written by: Lisa Eades
Reviewed by: Steve Vorster
Factors Affecting the Choice of Suppliers
Businesses often go to great lengths to find suitable suppliers of raw materials and components
Factors including the price, quality and reliability of supplies determine whether a business can efficiently produce high-quality products at a reasonable cost
There are several factors that can influence the supplier chosen by a business
A range of factors, including price, quality and reliability impact on the choice of suppliers
Factors that Influence the Choice of Suppliers
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Quality |
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Delivery |
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Availability |
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Price |
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Relationships with suppliers |
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Examiner Tips and Tricks
A common misconception is that businesses always focus on the price charged by suppliers for stock. While price is important, as it determines the amount of added value in the manufacturing process, other factors can be equally important. Especially if factors such as the speed to get a product to market or customers' quality expectations are crucial.
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