I hope that you have enjoyed the article \u201cThe Target Pricing Controversy.\u201d<\/p>\n
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One argument that opponents of target pricing use is that \u201cif you set a supplier\u2019s price, you may be leaving money on the table.\u201d In other words, the supplier may have offered a lower price if you gave them a chance to do so.<\/p>\n
As I teach in \u201cPowerful Negotiation For Successful Buying,\u201d in many cases you don\u2019t want to ever disclose your price targets to your supplier. But under the conditions described in the article, there are times when it is appropriate to do so.<\/p>\n
Again, it has to be for the right type of purchase. Custom products that your organization has designed and internally-performed services that you want to outsource are two prime examples.<\/p>\n
Do you have experience with or an opinion about target pricing? Share your comments here!<\/p>\n
Recommended Reading<\/strong><\/p>\n Vendor Performance & Core Competencies<\/a> I hope that you have enjoyed the article \u201cThe Target […]<\/p>\n","protected":false},"author":12,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2432","post","type-post","status-publish","format-standard","hentry","category-procurement"],"yoast_head":"\n
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\nNegotiation Semantics<\/a>
\nChanges In Purchasing<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"