Chapter 7

Question 1

Organizational demand

Answer 1

it is a derived demand, it comes ultimately from the demand for customer goods and services.

Question 2

The organizational decision-making process

Answer 2

process by which formal organizations establish the need for purchase products or service and identify, evaluate and choose among alternative brands and suppliers.

Question 3

Buying center (6 participants)

Answer 3

The buying center of an organization face more complex buying decisions than customer buyers and comprises 6 participants:

1. Users
2. Influencers 3. Deciders
3. Buyers
4. Approvers
5. Gatekeepers

Question 4

Organizational buying process (8 buy phases)

Answer 4

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

Question 5

Group markets

Answer 5

the group market business is more sophisticated and requires more technical information than consumer markets. The 4 main groups market are: 1) conventions, 2) association meetings, 3) corporate meetings and SMERF groups (Social, Military, Educational, Religious and fraternal groups).