Free Practice CIPS L4M2 Exam Questions 2025

Stay ahead with 100% Free Defining Business Needs L4M2 Dumps Practice Questions

Page: 1 / 61

Total 305 Questions | Updated On: Apr 24, 2025

Add To Cart

Question 1

When developing a business case for a new product, a procurement department must consider...

A : Terms and conditions of contract

B : The supply market

C : The supplier positioning model

D : Indirect costs

Answer: B

Question 2

What kind of change may require a modified re-buy?

1. Change of order time

2. Change of specification

3. Change of terms and conditions

4. Switch from email orders to ERP orders

A : 2 and 3 only

B : 3 and 4 only

C : 1 and 3 only

D : 2 and 4 only

E : 1 and 2 only

F : 1 and 4 only

Answer: A

Question 3

CUFL is an umbrella manufacturer in China. Its procurement department often requests cost breakdown from the supplier. After receiving documents and analyzing the detailed costs, they find that all the cost components and the profit look reasonable. What should CUFL procurement manager do next to achieve better price? Select TWO that apply.

A : Price analysis

B : Cost estimating

C : Value engineering

D : Competitive assessment

E : Quality Function Deployment

Answer: A,C

Question 4

How can a procurement department meet the business needs when purchasing leverage items?

A : Developing long-term relationships such as partnerships

B : Developing efficient order processes such as e-procurement

C : Developing effective contracts such as call-off contracts

D : Developing buying power such as competitive tendering

Answer: D

Question 5

A food manufacturer wants to predict the pricing point for a new and innovative health drink. Which method of market research would be beneficial to receive the most accurate information?

A : Focus groups

B : Consumer data

C : Sales trends

D : Internet searches

Answer: B

Page: 1 / 61

Total 305 Questions | Updated On: Apr 24, 2025

Add To Cart