In the Purchasing Portfolio Matrix, a leverage product is a product in a market where it is easy to switch suppliers and the quality is standardized. Is this TRUE or FALSE?

In the Purchasing Portfolio Matrix, a leverage product is a product in a market where it is easy to switch suppliers and the quality is standardized. Is this TRUE or FALSE?
A . False, the product is in a supply market which is highly complex and the product is of low importance
B . False, the product is in a supply market which is highly complex and the product is of high importance
C . True, the product is in a supply market which is of low complexity and the product is of high importance
D . True, the product is in a supply market which is of low complexity and the product is of low importance

View Answer

Answer: C

Explanation:

Leverage products are characterized by high spend and low complexity, giving buyers the ability to negotiate favorable terms due to supplier competition and standardization.