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Experts define interpersonal trust as a combination of doing what you say you are going to do and benevolence. How is inter-organizational trust (i.e., trust

  1. Experts define interpersonal trust as a combination of "doing what you say you are going to do" and benevolence. How is inter-organizational trust (i.e., trust between a buyer and a supplier) different from interpersonal trust? Why did Honda's Dave Nelson always argue that Honda is not an altruistic or benevolent company? With these thoughts in mind, describe how to build buyer-supplier trust.
  2. Define supply base rationalization. Without returning to the chapter, draw a flowchart to depict the rationalization process. How is rationalization different from supplier selection? What questions do you uniquely ask as part of the rationalization process? Now, search the Internet to find an example of supply base rationalization. What motivated the rationalization? Was the effort successfulor not? What were the keys to success? Or, what caused the failure?
  3. Search the Internet for an example of supplier development. What motivated the buyer to invest in the supplier? Was the effort successfulor not? What were the keys to success? Or, what caused the failure? Now, compare the concept of supplier development to General Electric's program called, "At the Customer, For the Customer." What are the similarities between supplier and customer development? Which is the riskier strategy to building a strong and loyal teamone that can help you win tough competitive battles? Why?
  4. Develop a balanced scorecard for your own life. You will need to use a little imagination here. Be sure to document each step shown in Figure 13.5. Discuss the scorecard with your parents if you are still at home. If you are living with roommates (including a significant other), discuss the scorecard with them. What was the hardest part about developing the scorecard? What will be the hardest part about using the scorecard?
  5. Go online and identify two companies that have developed a scorecard to specifically promote sustainable practices among its supply base. For example, you might conduct a generic search on "Supplier sustainability scorecards." Alternatively, you might do a company-specific search: "P&G Sustainability Scorecard." Compare and contrast the two scorecards. Which one do you think is more effective in promoting and evaluating improved sustainability practice at suppliers? Why?
  6. Identify a negotiation that you have participated in (this could be a personal negotiationwith a friend or relativeor a business negotiation
  • Who made the opening offer: you or the other party?
  • Was there a pattern to the concessions that you and the other party made?
  • Were you able to create value?
  • Who claimed more value?
  • What could you/should you change to obtain a better outcome?

7. Think about your last online buying experience. How would you have made the purchase without technology? Make a list of all the tasks you would have had to do without technology. Estimate how much time you saved by going online. Besides saving time, what other benefits did you achieve via technology-assisted shopping? What are some of the disadvantages of online shopping? What does the answers imply for the growth of e-commerce?

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