Loading…
Loading…
GCSE Business · key term
The process of sourcing and buying the raw materials, goods and services a business needs.
Used by AQA, Edexcel and OCR
Paper 1
Revise: Procurement, Logistics and Supply ChainProcurement is the process of sourcing and buying the raw materials, goods and services a business needs. It includes finding suitable suppliers, negotiating prices and terms, placing orders, receiving purchases and arranging payment. Terms matter as well as price: an agreement about when materials will arrive helps a business plan its work.
Specification 2.3.2 · Paper 2
The process of finding and buying the goods, materials, equipment and services a business needs to operate.
Revise: Procurement and Supplier RelationshipsProcurement is the process of finding and buying these inputs. It involves choosing suitable suppliers and agreeing what will be supplied, at what price and when.
Paper 2
Revise: Role of ProcurementProcurement is the process of sourcing and buying the raw materials, goods and services a business needs. It involves deciding what to buy, choosing suppliers, placing orders and receiving deliveries—not simply paying for a purchase.
The business activity of obtaining the goods and services a business needs from suppliers.
Procurement is more than placing an order: include identifying needs, choosing suppliers, ordering and receiving deliveries.
Apply your explanation to the business. For a retailer with unsold stock, explain why a cash shortage could lead procurement to reduce purchases.
Create a free account to read GCSE Business revision notes for your exam board and track your progress.