The source of power for a supplier is the level of flexibility and commitment.

Suppliers have limited power since most decisions are cascaded downwards by the company.

Prestige and esteem

The source of prestige and esteem of a supplier is also the level of flexibility and commitment.

The degree of prestige and esteem will depend on level of flexibility and commitment. Low flexibility and commitment means low prestige and esteem and the reverse is true.


Contractual agreement.

The level of legitimacy also depends on the services or products the supplier offers. If they are critical to the organization the higher the legitimacy.

Social responsibility network

Source and production of goods and services required by MaxTech.

Depends on whether the sources meet acceptable social standards.

Time sensitivity

The urgency with which the good or service is required.

Time sensitivity is high if the urgency is almost immediate and low if urgency is required.