Understanding Suppliers and Managing Markets
- Attendees gain insight into seller decision-making for pricing strategies.
- Course helps attendees manage sellers and markets effectively.
- Target audience: Experienced buyers and teams seeking higher understanding.
- Course covers costing systems, pricing strategies, and market management.
- Focus on understanding markets, models, and selecting sourcing strategies.
Overview
This 2-day course focuses on equipping experienced buyers and teams with the knowledge needed to understand how sellers assess markets, competitors, costs, and buyers to develop effective pricing strategies. Attendees will learn to proactively manage sellers and markets, rather than reacting to their actions. The course covers topics such as costing systems, pricing strategies, market forms, market analysis models, and sourcing strategies. Participants will gain insights into decision-making processes that shape selling and pricing strategies.
Who should attend
Buyers, Teams
Course Content
Course duration: 2 Days
Course Running Order
Costing systems
· Breakeven analysis
· Total absorption costing
· Marginal costing
· Estimated costs of ownership
How sellers set their prices
Strategies for market development share and ownership
· The product life cycle and its impact on pricing decisions
· Market competition
· How sellers view their customer base
· Deciding on a price
Managing price
· Purchaser pricing methods, such as fixed, target costing, contract price adjustment and unitary pricing evaluation
· Open book costing approaches to encourage the ‘should cost’ of bought out products and services
· Understanding accounts- balance sheets, profit and loss statements
· Using ratio analysis to understand suppliers pricing propositions
Understanding and Managing markets
· The different market forms and how they operate
· Monopoly, oligopoly and perfect markets
· How elastic is price?
· How commodity markets function
Models of markets
· Porter’s five forces of market analysis
· Understanding the balance of power between buyer and seller
· Recognising the cost and value chains that you trade with
Selecting sourcing strategies based on market exposure
· Compete or collaborate?
· Choosing the best fit supplier for your needs
· Encouraging new entrants
· Joint buying
Course objective
Attendees will gain an understanding into how sellers evaluate markets, competitors, costs and buyers to arrive at a selling and pricing strategy for products and customers. This highly practical course will give attendees an insight into the factors that shape this key seller decision and in so doing move themselves to a position where they are managing their sellers and markets rather than reacting to their behaviours.
Who should attend?
Experienced buyers and teams that are seeking to gain a higher level understanding if how sellers manage their clients and an insight into how to reverse this process and become truly market managing.
Duration / Fees
A 2-day course, single manned
