Ace the CPCM Challenge 2026 – Unlock Your Contract Management Superpowers!

Market research in procurement primarily focuses on gathering information that can inform purchasing decisions and enhance the effectiveness of procurement strategies. One of the main goals is to understand market trends, which allows organizations to stay informed about the dynamics that impact supply and pricing. Additionally, collecting competitor pricing strategies provides insights that help organizations negotiate better deals and forecast budgeting needs effectively.

Identifying customer needs and preferences is critical as it enables procurement professionals to align their purchasing decisions with the demands of their stakeholders or end-users, ensuring that the products and services procured will satisfy those needs.

In contrast, assessing internal employee performance is not a function of market research. Instead, it pertains to human resources management and organizational performance evaluation. While understanding how employees are performing can certainly benefit a procurement department, it does not fall within the goals of market research, which is externally focused on the market and its players rather than on internal staff performance. This distinction makes the option about assessing internal employee performance the correct answer as it is not aligned with the main objectives of market research in procurement.