Flashcards in Org. Buying Behaviour Deck (6)
What are the functional areas frequently involved in a purchasing decision?
Marketing - Create competitive advantage through buying acts
Production - Delivery and reliability of purchases
Technical development - Generate idea for specifications
R&D - Define technological requirements
Strategic staff - Evaluate decisions on a company level
Top management - Establish guidelines for all buying decisions
Buying - Identify and evaluate sellers, develop buying routines
Who are included in the decision making process?
Various departments, but the department most involved often reflects the industry. Finance is usually the second most involved.
Who are the buying center participants?
Initiator, Buyer(bonus and savings), Decider(employee and investor interests), Influencer (reputation and CEO satisfaction), Gatekeeper(power to decide), User (saving effort)
Types of buying processes?
- Anticipation or recognition of a problem
- Determination of characteristics and quantity of needed items
- Description of characteristics and qantity of needed items
- Search for and qualification of potential sources
- Acquisition and analysis of proposals
- Selection of supplier(s)
- Selection of an order routine
- Performance feedback and evaluation
In what three dimensions can buying situations be differentiated in?
2. Information requirements
3. Importance of alternatives
These dimensions determine how complex the situation is and who will be a member of a buying center.