- The local buyer will have better knowledge of the needs of his/her factory and local suppliers for improved service. It is more responsive to clients i.e. the user departments.
- The buyer will be able to respond more quickly to emergency requirements.
- Local purchase will be emphasized and this attribute will save on transport costs.
- Local purchase will contribute to local prosperity of the local community etc.
- Small and easy to manage.
- Easy to instill team spirit.
- Fast in decision making
- May lead to buying expensively for lack of economies of scale.
- Duplication of purchases may result.
- Standardization of materials and procedures may be difficult to implement.
- Specialized staff training may not be possible
- Rivals can emerge
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