Can blanket contracts be utilized for bulk ordering?

Blanket contracts are actually designed for frequent purchasing needs over a certain period, allowing organizations to buy goods or services in bulk without needing to negotiate each individual purchase. Therefore, the assertion that blanket contracts cannot be utilized for bulk ordering is incorrect.

The correct answer indicates that blanket contracts can indeed facilitate bulk ordering. These contracts establish pricing and terms for a defined period, typically allowing for the quantity of items to be ordered in a more streamlined and efficient manner. This makes it convenient for organizations to make bulk purchases as they have already agreed upon prices and conditions in advance, reducing administrative overhead.

In contrast, saying that blanket contracts are only for specified items, or only under certain conditions, does not accurately reflect the general use of these contracts which is to cover a range of items or services as needed over time. Hence, blanket contracts are effective for bulk ordering, making it easier to manage supply chain logistics and enhance purchasing efficiency.