Franklin is a Procurement Officer for a Bow-Tie Manufacturing clothing company named Throat Art. Throat Art has usually purchased their fabrics to manufacture their Bow-Ties from India or China as those countries offer a wide variety of fabrics at very reasonable costs for good quality materials. The President of Throat Art has entered into a partnership with some high-end Scottish retail outlets to provide them with full kilt outfits. The Scottish retail consortium requires that the fabrics used in the kilts must be sourced from Scottish sources so they can labelled as "geniune Scottish" in the marketing materials. It is important to the reputation of the Scottish retailers that this element is non-negotiable and even written into the contract.

Throat Art has been commissioned to supply 1,000 units per month for the next 18 months starting in September, 2022.

Franklin has found 2 acceptable sources for this kilt material, the details are as follows:

Co 1 is located in Scotland, the material cost is $57 USD per foot and requires 3 feet of material per Kilt. Shipping to Throat-Art's plant is included in the pricing. Once complete it will cost Bow-Tie $1,500 USD to ship the completed Kilts to Scotland in a single bundle of 1,000 units per month.

Co 2 is located in Ottawa, Canada but is Scottish owned company so acceptable by the Retailers. The material cost is $121 USD per yard and requires 1 yard of material per Kilt. Shipping to Throat Art's plant is $750 USD for 6 weeks worth of material. Once complete it will cost Bow-Tie the same $1,500 USD to ship the completed Kilts to Scotland in a single bundle of 1,000 units per month.

Along with the above 2 sources, Franklin asked his China and India sources to quote on the specifics as well just to know the difference in the costing. One of these companies (Co 3) came back with a material cost of $27 USD per yard with the similar specifications that it requires 1 yard of material to make a Kilt. This Vendor is willing to ship the material to Throat Art's manufacturing plant for $125 USD for 8 weeks worth of material. Franklin thanked Co 3 for the information but said contractually they had to work with Co 1 or Co 2 or another suitable Scottish source, Co 3's President became angry and reminded Franklin that they have an exclusive sole source agreement with Throat Art and he would be willing to sue in court to gain this contract.

	A.	Co. 2
	B.	Co. 3 because of the sole source agreement
	C.	Co. 3 because of the better pricing
	D.	Co. 1