3.+ (B2B Buying Behaviour onwards)

Question 1

What are the 3 classifications of business customers?

Answer 1

Commercial organisations
Government
Institutions

Question 2

What are “commercial organisations”?

Answer 2

Distributors, original equipment manufacturers, companies that use the product (known as ‘users’)

Question 3

What are the 6 characters in the decision making unit (DMU) ?

Answer 3

Initiators
Gatekeepers
Buyers
Deciders
Users
Influencers

Question 4

What is the role of the “initiator” in the DMU?

Answer 4

Recognition of the problem / need

Question 5

What is the role of the “gatekeeper” in the DMU?

Answer 5

Determines to type of information that the other characters recieve

Question 6

What is the role of the “buyer” in the DMU?

Answer 6

Sourcing suppliers, negotiating deal

Question 7

What is the role of the “decider” in the DMU?

Answer 7

Make the final decision as to whether to buy or not

Question 8

What is the role of the “user” in the DMU?

Answer 8

Use the supplied products

Question 9

What is the role of the “influencer” in the DMU?

Answer 9

To influence the deciders

Question 10

What are the 3 types of buying situations in B2B? Explain each.

Answer 10

Straight Rebuy (reorder the same products)

New Buy aka New Task (purchase for the first time, requires extensive research)

Modified Rebuy (same goods but certain elements change e.g. supplier)

Question 11

What are the 4 possible influences on the organisational buyer?

Answer 11

Internal (within the organisation)

External (macroeconomic factors)

Individual (depends on authority, perception etc.)

Relationship Forces (friendship used to negotiate deals, affects supplier decisions)

Question 12

Outline the 8 stage organisational buying process?

Answer 12

1. Problem recognition
2. General need description
3. Product specification
4. Supplier search
5. Proposal solicitation
6. Supplier selection
7. Order-routine specification
8. Performance review

Question 13

Explain what is meant by “General need description” in the organisational buying process?

Answer 13

Refinement of the need description

Identification of what is required to fulfil it

Question 14

Explain what is meant by “Proposal solicitation” in the organisational buying process?

Answer 14

Formal request submitted to potential suppliers

Quotes received in return

Question 15

Explain what is meant by “Order-routine specification” in the organisational buying process?

Answer 15

Final order placed

List of technical specifications given