Group purchasing is a buying strategy where multiple organizations come together to leverage their collective buying power. By pooling their resources, these groups can negotiate better prices and terms with suppliers, leading to cost savings for all members involved. This approach is commonly used in various sectors, including healthcare, education, and small businesses. In a group purchasing arrangement, members typically join a group purchasing organization (GPO) that facilitates the process. The GPO negotiates contracts with vendors on behalf of its members, allowing them to access discounts and favorable terms that they might not achieve individually. This collaboration helps organizations reduce expenses and improve their purchasing efficiency.