APICS Certified Supply Chain Professional (CSCP) — Question 386

Which of the following types of auctions is an example of multiple sellers creating the lowest prices to buyers?

Answer options

• A. Forward
• B. Dutch
• C. Reverse
• D. Demand management

Correct answer: C

Explanation

The correct answer is C, Reverse, as it describes a scenario where multiple sellers compete to lower prices for buyers. In contrast, a Forward auction allows sellers to present their prices, while a Dutch auction involves a single seller reducing their price until a buyer accepts. Demand management does not relate to the auction format described.