B2B Chapter 1-2 Flashcards
Business Markets
markets for products and services, local to international, bought by businesses, government bodies, and institutions for incorporation, for consumption, for use, or for resale
Government buying
Two purchasing strategies: formal advertising and negotiated contracts
Difference between B2B and B2C
The intended use of product and intended consumer
Market driver firms demonstrate
A set of values and beliefs that places the customers’ interests first.
The ability to generate, disseminate, and productively use of superior information about customers and competitors.
The coordinated use of interfunctional resources (for example, R&D and manufacturing).
Market-sensing capability
The capability that concerns how well the organization is equipped to continuously sense changes in its market and anticipate customer responses to marketing programs.
Customer-linking capability
The capability that comprises the particular skills, abilities and processes an organization has developed to create and manage close customer relationship.
Customer relationship management capabilities:
The skills required to identify initiate, develop, and maintain profitable customer relationships.
Customer value proposition
The proposition that captures the particular set of benefits that a supplier offers to advance the performance of the customer organization.
Points of parity: the value elements with essentially the same performance as the next best alternative
Points of difference: the value elements that render the supplier’s offering either superior or inferior to the next best alternative.
Key buying influential
The influential who have power in the buying process.
Derived demand
refers to the direct link between the demand for an industrial product and the demand for consumer products: The demand for industrial products is derived from the ultimate demand for consumer products.
Demand elasticity
Demand is elasticity when a given percentage change in price brings about an even larger percentage change in the quantity demanded.
Relationship marketing
The marketing that centers on all marketing activities directed toward establishing, developing, and maintaining successful exchanges with customers.
Supply chain management
It is a technique for linking a manufacturers’ operations with those of all of its strategic suppliers and its key intermediaries and customer’s enhance efficient and effectiveness.
Business market customers
Can be categorized into commercial enterprises, governmental organizations, and institutions.
Commercial enterprises
Users, OEM, dealers and distributors