George Akerlof put math behind the concept of the “lemon problem” in his classic 1970 article, Akerlof (with Michael Spence and Joseph Stiglitz) received the 2001 Nobel Prize for their analyses of markets with asymmetric information. This YouTube video explains the lemon problem in an easy to understand two-minute clip. In a nutshell, there are honest sellers and dishonest sellers (e.g. those selling […]
buyers
ISM Weekly — 26 November 2018
Implementing a Successful Supplier Sourcing Contract Article by Kate Vitasek published by Inside Supply Management Weekly on 26 November 2018. Some sourcing business deals are simple to negotiate, especially when they are basic transactional deals, such as for office supplies. Other more strategic sourcing contracts might go through difficult and lengthy RFP processes… Here is […]
The Problem with Supplier Trust
The problem with trust when it comes to suppliers is that they probably supply many different companies, perhaps even your competitors – so how do you trust them? But have you stopped to think the reverse is also true: how can suppliers trust their buyers? This is a situation as old as the buyer-supplier relationship […]
