Does an attempted risk aversion decrease an OEM Suppliers chances of completing a contract with a potential Purchaser?
Measures taken by an OEM Supplier to reduce the risk of financing the transaction are now commonplace. Thus, this form of risk alleviation should not decrease one’s chances of completing a contract with a potential Purchaser. However, as will be demonstrated in the financing section, some forms of financing are more acceptable than others. For example, pre-payment is the least acceptable form of payment for the Purchaser and the most acceptable for the manufacturing service provider. Accordingly, this form of payment relatively decreases the chances of completing a contract with a potential Purchaser versus other, less restrictive, forms of payment.
