Exam L5M5 Topic 2 Question 60 Discussion

Actual exam question for CIPS's L5M5 exam
Question #: 60
Topic #: 2
Peacock Clothing Manufacturing has a superior IT system compared to competitors. What form of competitive advantage is this?

Suggested Answer: B Vote an answer

Comprehensive and Detailed Explanation From Exact Extract of Documents:
Competitive advantage refers to unique capabilities that give an organisation an edge in the market. The L5M5 study guide (old p.39, new p.63) explains that superior IT systems fall under process advantages, as they directly influence how efficiently orders are taken, materials are managed, and operations are executed. Culture (A) refers to organisational values and behaviours, IP (C) refers to patents or trademarks, and People (D) refers to skills or talent. For procurement, recognising process-driven advantages helps identify supplier strengths and strategic sourcing opportunities.
Reference: Managing Ethical Procurement and Supply (L5M5) Study Guide, p.63

by Dominic at Jul 03, 2026, 11:37 AM

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