Certified Supply Chain Professional (CSCP) Practice Exam

What function does an electronic business strategy serve in relation to global reach?

1. Restricts market entry to domestic customers

2. Enables collaboration and integration with suppliers

3. Confines product offerings to local preferences

4. Focuses solely on digital marketing

The correct answer is: Enables collaboration and integration with suppliers

An electronic business strategy significantly enhances collaboration and integration with suppliers, which is fundamental to achieving global reach. By leveraging digital tools and technologies, organizations can streamline communication and information sharing across borders, facilitating better coordination with suppliers from various regions. This connectedness not only allows businesses to manage their supply chains more effectively but also promotes agility and responsiveness in meeting global market demands. The ability to work closely with suppliers globally through an electronic business strategy means that companies can access a wider range of resources and capabilities, innovate more rapidly, and respond more efficiently to changes in customer preferences or market conditions worldwide. This holistic approach contributes to a more resilient and competitive supply chain, extending the organization's reach and influence on a global scale.