Review 60 L4M6 practice questions with answer explanations and community insights.
Question 1
Security company ARLA has recently won a new contract for guarding a school. Another company, ENA, has previously been providing the contract and employed the current guard who has worked at the school for 5 years, working Monday to Friday, 9am until 5pm, for 40 weeks of the year. What key legal issue needs to be considered when the current relationship is terminated and the new company takes over?
Intellectual property rights
Sustainability policies
Employment rights
Quality policies
Question 2
Significant differences in corporate cultures can lead to the failure of a partnership relationship between two organizations. Is this statement correct?
Yes, the compatibility of cultures should be considered at the outset
No, the organizations can continue to operate separately so this is not an issue
No, it is easy to change corporate culture so the two organizations will align quickly
Yes, in a partnership the organizations merge, so the cultures must be the same
Question 3
Which of the following are typical drivers for a partnership between the buyer and the supplier? (Choose three that apply.)
The buyer has a high spend with the supplier
There are many suppliers in the market
The product is critical for the buyer
The product is a commodity
The product is technically complex
The supplier provides the product to a buyer’s competitor
Question 4
Which of the following relationship types are listed on the relationship spectrum? 1. Partnership 2. Contractual 3. Transactional 4. Conspiratorial
2 and 3 only
1 and 3 only
1 and 2 only
2 and 4 only
Question 5
Joseph works as a category manager for a large electricity supply company. His company is one of six electricity companies in the country. All have a high annual spend on the same specifications of cable. There are only five cable manufacturers capable of supplying the cables. Joseph has established all the suppliers use the same raw materials using the same types of manufacturing lines. Prices tendered by all suppliers are very similar. After paying for the cable, Joseph’s company spends an additional 25% on moving and installing the cable. In order to enable Joseph to gain advantage over the other electricity companies, which type of supplier relationship should he adopt?