Procurement Glossary

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Market

Economic place where supply meets demand.

Purchase currency

Prices expressed in three different currencies: - Purchase currency (I buy the commodity in USD) - Local currency (my factory is based in Canada, CAD) - Group currency (headquarters are located in France, EUR)

Single commodity

Raw material, for example: sugar

Multi-commodity

Several raw materials combined to create a product (example: chocolate is a mixture of several commodities, sugar, butter, cocoa)

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