Procurement is the act of acquiring goods and services from outside the organization. The procurement process includes planning for the procurement, solicitation of the sources for the desired product or services, and defining the requirements, source selection, administration, and closeout. In a free market economy, the competitiveness of the product or service that is sought will have a great deal to do with the type of contract that can be written between the two parties.
Items that are sought that are widely available and for all intents and purposes identical are considered to be commodities. In the sale of commodities there are many people offering the same product. In all cases the products are identical ...