CIPS L4M5 Exam Dumps

Get All Commercial Negotiation Exam Questions with Validated Answers

L4M5 Pack
Vendor: CIPS
Exam Code: L4M5
Exam Name: Commercial Negotiation
Exam Questions: 395
Last Updated: February 27, 2026
Related Certifications: Level 4 Diploma in Procurement and Supply
Exam Tags: Intermediate Level Procurement Analysts
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Free CIPS L4M5 Exam Actual Questions

Question No. 1

Maria, an NHS buyer, needs cost savings due to budget cuts. She plans to achieve savings with a collaborative supplier. Which negotiation approach should she use?

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Correct Answer: D

With a collaborative supplier, the appropriate approach is Win--Win (integrative). Both sides aim to create savings while maintaining partnership value. Win--Lose would damage collaboration, while Lose--Lose sacrifices value on both sides. Win--Perceived Win is based on optics rather than actual balance. By adopting a win--win approach, Maria ensures sustainable cost reductions while protecting critical NHS supplier relationships.


Question No. 2

When planning a negotiation for sourcing internationally, which of the following divergent positions, and therefore potential conflict areas, should be prepared for? Select TWO that apply:

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Correct Answer: A, C, D

Question No. 3

In which of the following scenarios could you adopt a distributive-based negotiation approach?

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Correct Answer: D

Question No. 4

A negotiation meeting between a buyer and supplier has taken several hours. Both parties believe the negotiation is starting to reach a close. Before the supplier makes their closing statements, they are most likely to be doing which of the following?

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Correct Answer: B

As negotiations near closure, skilled negotiators carefully observe for buying signals---verbal cues (''That sounds reasonable...'') and non-verbal cues (nodding, smiling, leaning forward). These indicate readiness to agree and confirm whether it is the right time to close. At this stage, both sides usually stop gathering data or building rapport, as the focus is on confirming alignment and avoiding last-minute derailments. Closing too early may risk missing concessions, but delaying risks cooling momentum. Recognising buying signals ensures closure occurs at the optimal point, aligning with preparation and tactical awareness.


Question No. 5

A procurement manager considers using an integrative negotiation approach with shortlisted suppliers. Which factor favours such an approach?

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Correct Answer: C

Integrative negotiation requires shared motivation to collaborate and focus on joint benefits. When parties are motivated to work together, they can share data, explore tradeables, and align on long-term value creation. Conversely, lack of trust, unwillingness to share, or absence of joint goals make integrative approaches unworkable, forcing adversarial or distributive methods instead. CIPS highlights that motivation and willingness to cooperate are preconditions for collaboration.


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