Differences between direct and indirect purchase

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Direct purchase involves buying goods or services directly from the manufacturer or supplier, while indirect purchase involves buying through intermediaries or third-party vendors.

Direct purchase is usually cheaper as it eliminates middlemen costs.
Indirect purchase may offer more convenience and flexibility in terms of payment and delivery options.
Direct purchase requires more effort in terms of research and negotiation with suppliers.
Indirect purchase may involve more risks such as quality control issues and delayed delivery.
Examples of direct purchase include buying raw materials for manufacturing, while examples of indirect purchase include buying office supplies from a third-party vendor.

Differences between direct and indirect purchase

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