Question

Veghub produces organic vegetables in the city of Relvatti. Tandwan, the only store in the city that sells organic vegetables, purchases vegetables from Veghub and other such organic food producers. Veghub is highly dependent on Tandwan for its business. In the context of the specific environment, which of the following concepts does this scenario best illustrate?

A) Path dependence
B) Buyer dependence
C) Supplier dependence
D) Internal dependence

Answer 1

B) Buyer dependence

Step-by-step explanation:

Veghub is completely dependent upon Tandwan's purchases. Veghub has only one client, Tandwan, but Tandwan has more than one supplier of organic vegetables. That means that Tandwan can exercise a large buyer power and impose their sales conditions.