The cells in the purchasing portfolio matrix correspond to three basic risk categories, each associated with a different strategic thrust. On items where the company plays a dominant market role and suppliers’ strength is rated medium or low, a reasonably aggressive strategy (“exploit”) is indicated. Because the supply risk is slight, the company has a better chance of achieving a positive profit contribution through favorable pricing and contract agreements. Even so, it has to take care not to exploit the advantage so aggressively that it jeopardizes long-term supplier relationships or provokes counterreactions by insisting on rock-bottom prices in times of market discontinuity.