Certified Pharmacy Benefit Specialist Practice Exam

Question: 1 / 400

Which statements are true about a reverse auction?

Only buyers participate

Sellers drive up prices

Buyers seek out sellers

In a reverse auction, the typical process is that buyers set a price or have a budget, and multiple sellers compete for the opportunity to fulfill the buyer's request, often by lowering their prices. This setup creates an environment where buyers are actively seeking out sellers who can meet their needs, making it advantageous for the buyers. As sellers compete to win the buyer’s business, they aim to offer the lowest price or the best value, which can lead to significant cost savings for the buyer.

This contrasts with a traditional auction where sellers offer items and buyers bid, which is not the case in reverse auctions. Therefore, the idea that buyers seek out sellers accurately captures the dynamics of a reverse auction, highlighting the buyer’s role in initiating the competition among sellers.

Get further explanation with Examzify DeepDiveBeta

Sellers do not provide information

Next Question

Report this question

Download Certified Pharmacy Benefit Specialist Practice Exam PDF Study Guide
Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy