1 CHAPTER ORGANIZA-TIONAL MARKETS AND BUYER BEHAVIOR 2 THE NATURE AND SIZE OF ORGANIZATIONAL MARKETS
3 Organizational Customers in the U.S. Not for Profit Associations
56000 4 HOW TO MEASURE ORGANIZATIONAL MARKETS
5 (No Transcript) 6 THE BENEFITS OF NAICS CODES
1. Find your competition
2. Measure your markets size and your share of it
3. Monitor growth in other industries to spot
new business opportunities
http//www.census.gov/epcd/naics02/naico602.htmN2 1 7 DEMAND CHARACTERISTICS OF ORGANIZATIONAL BUYING 8 Characteristics of Organizational Buying Behavior 9 Business vs Consumer Markets 10 HOW BUSINESSES CHOOSE A VENDOR 11 BUYER-SELLER RELATIONSHIPS IN ORGANIZATIONAL BUYING
Reciprocity Ford and Firestone
Supply Partnership Walmart and P G
12 BUYING CENTERS 13 BUSINESS BUYING SITUATIONS
Buying Situations and the Buying Center
1) Straight Rebuy 2) Modified Rebuy 3) New Buy 14 How the buying situation affects buying center behavior 15 ONLINE BUYING IN ORGANIZATIONAL MARKETS
80 of e-trade dollar value is B2B
Buyers need timely detailed information
Buyers need to get that info quickly
E-trade reduces processing costs
E-trade reduces marketing costs
Wider potential customer or supplier base
16 ONLINE BUYING IN ORGANIZATIONAL MARKETS
Online Auctions in Organizational Markets
Traditional Auction looking for buyers
Reverse Auction- looking for sellers
17 How buyer and seller participants and price behavior differ by type of online auction 18
Concept Check 1. What are the three main types of organizational buyers A industrial firms resellers government units 19
Concept Check 2. What is the North American Industry Classification System (NAICS) A The NAICS provides common industry definitions for Canada Mexico and the United States which makes easier the measurement of economic activity in the three member countries of NAFTA. 20
Concept Check 2. In general which type of online auction creates upward pressure on bid prices and which type creates downward pressure on bid prices A traditional auction reverse auction 21
Concept Check 2. What are the three types of buying situations or buy classes A straight rebuy modified rebuynew buy 22
Concept Check 1. What are e-marketplaces A E-marketplaces are online trading communities that bring together buyers and supplier organizations. 23 Business Marketing Business marketing- The marketing of goods and services to individuals and organizations for purposes other than personal consumption. 24 North American Industry Classification System (NAICS) The NAICS provides common industry definitions for Canada Mexico and the United States which makes easier the measurement of economic activity in the three member countries of the North American Free Trade Agreement (NAFTA). 25 Supply Partnership A supply partnership exists when a buyer and its supplier adopt mutually beneficial objectives policies and procedures for the purpose of lowering the cost or increasing the value of products and services delivered to the ultimate consumer. 26 Buying Center A buying center is the group of people in an organization who participate in the buying process and share common goals risks and knowledge important to a purchase decision. 27 E-Marketplaces E-marketplaces are online trading communities that bring together buyers and supplier organizations to make possible the real time exchange of information money products and services. 28 Traditional Auction A traditional auction is an online auction in which a seller puts an item up for sale and would-be buyers are invited to bid in competition with each other. 29 Reverse Auction A reverse auction is an online auction in which a buyer communicates a need for a product or service and would-be suppliers are invited to bid in competition with each other.
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