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Unformatted text preview: 6. Use a vertical marketplace oriented toward small businesses, marketed specifically
to put me on an equal basis with my big company competitors, and that even
promised to put my personal needs ($500 ?) out for a reverse auction,
7. Use a horizontal marketplace that sends me emails about once a week offering
special discounts or rebates.
For this test, I tried all 7 methods, using a market basket of 10 common items, and
usually using multiple providers within each basic method.
The results? The lowest priced overall market basket was about 7% lower than what I
had been paying previously, but it charged a handling fee that offset about half the
savings. I could have saved about another 10% by buying each item separately from
the lowest priced source, but it would have meant 5 separate packages and writing 5
separate checks (and getting on 5 new junk mail lists!). In several cases the items
were not exactly the same, so it was impossible to compare them precisely (not a big
deal for copy paper, but it would have been if I was in the high tech manufacturing
business and the item was an import...
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This test prep was uploaded on 04/01/2014 for the course INDE 6370 taught by Professor Staff during the Spring '08 term at University of Houston.
- Spring '08