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Reasons a service business needs to have stable vendors.
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[QUOTE="Etini, post: 343957, member: 90141"] Service business always have needs to string together several inputs to delivery their services. And these inputs that they need are sold by other dealers. It is very important for service businesses to have stable vendors that they purchase inputs from to run their businesses. The benefits are: 1) Consistency in quality of services rendered: When you stick to a particular vendor to get the things that you need to deliver your services, you would not have fluctuating quality standards. 2) Reliable delivery of inputs: Stable vendors understand you and your needs when it comes to the productive inputs of your service business. They can even fairly predict your orders and keep reserve stock of the inputs you need for you. 3) Reduced pricing: When you have worked with a particular vendor for a long time, they tend to offer you discounts which would help to reduce the overall costs on inputs and give you more profits. [/QUOTE]
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