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Business Marketing Channels and Logistics

Alliance University

Marketing Channel and Market Logistics


A marketing channel is defined as a set of interdependent organizations that make a product or service available to customers for use The Market logistics consist of delivering completed products to customers and channel intermediaries

Distinctive Nature of Business Marketing Channels


Business marketing Channels are very different from the channels used for consumer goods and services. The following are the factors affecting the nature of the business marketing channels : 1)Geographic distribution : Industrial dealers / distributors are geographically concentrated around the industrial market For Example : Gurgaon is Indias auto hub. Large number of auto parts manufacturers and distributors thrive in Delhi and NCRs.

Distinctive Nature of Business Marketing Channels


2)Channel Size : Industrial Channel size are short or non existant. This is due to the technical expertise needed in selling and handling of industrial products 3)Characteristics of Intermediaries : Industrial marketers use industrial distributors, manufacturers representative or brokers to reach customers. Depending upon the industry the channel members may be highly professional to raw brokers

Distinctive Nature of Business Marketing Channels


4) Mixed System : Industrial Marketers use a mix of direct and indirect channels for reaching out to consumers. For Ex : Tata Steel sales team directly serviced its top 200 customers whilst the balance were serviced by the dealership network 5) Electronic Channels : The E Channels are used for 1)Providing information 2) Facilitating buying/ selling For Example : www.elecon.com

Alternative structures of Business Channels


Direct Channel :
Manufacturer
This model is viable in case of high value Deals, when the buyer insists, when high level of technical and legal aspects are Involved and when the clients are Geographically concentrated

Direct approach through sales team, Mailers, E Mail or Tele Marketing

Customer

Alternative structures of Business Channels


Indirect Channel :
Manufacturer

Distributors

Manf.Rep

Broker

Comm. Agent

Jobber

Merchants

Customers

Alternative structures of Business Channels


This model is viable when the transaction value is low, the clients are spread across geographies, the manufacturer has limited resources, the industrial buyers need to purchase many items in one transaction

Why business marketers use intermediaries


Services performed by the middlemen are as follows Increasing customer number Customizing basis need Ensuring timely collections Facilitating after sales service Risk taking

Why Business Customers buy from Distributors


Possible benefits of involving distributors : Service advantage Timely delivery Credit facility Genuine information of products Long term relationship Broad category of materials needed

Channel Design
Channel Design is a dynamic process. It deals with developing new marketing channels and modifying the existing ones

Channel Design

Channel Objectives

Analyse Channel Task And constraint

Channel Alternatives Evaluation of Alternatives Selection of Channel Structure

Channel Objectives
The channel objectives are developed on the basis of 1) Marketing Objectives 2) Customer needs 3) Product Characteristics Examples : -If marketing objective is to expand to new markets , test the market and then make office investments then an agent / merchant is a must initially rather than a distributor -In case the new market has certain legal aspects like local businesses should get 10 % margin then distributors / dealers can be appointed

Customer Needs
Examples : -Local customers initiate business via local acquaintances then agents are required -Local customers need instant service then technical intermediaries are required -Customers emphasize on policies beyond an organizations ambit , intermediaries can act as risk absorbers

Product Characteristics
Examples : - Product has great demand and manufacturer cannot reach across markets - Product requires constant service support in different locations

Analyses of Channel Tasks


Various tasks performed by channel can be as follows : - Order taking - Order booking - Order servicing - Transport - Adding Value to product ( Eg : Assembling ) - Collection

Channel Constraints
While selecting a channel, an industrial marketer has to face many constraints : - Competitive actions ( Competition increasing channel penetration ) - Company policies ( E.g. Strong deadline in TOI Group) - External environment ( e.g. Low consumer confidence index) - Customer Preferences

Channel Alternatives
-

Selective Distribution Intensive distribution Exclusive distribution Vertical Marketing System Corporate Administered Contractual

Terms involved in assigning Channel Partnerships


Very well defined tasks and responsibilities Sales Policy Territorial coverage

Evaluation of Channel alternatives


Economic Performance of each channel Degree of Control over channel member Ex : TV 9 Gujarat v/s a giant agency in Gujarat Degree of Commitment from each channel member ( Infibeam.com Aramex Local courier)

Selection of Channel
The need so the hour is to select channels basis customer needs and not merely company policy and financial considerations Market Forces : Example 1)Divya bhaskar direct selling debacle in Gujarat

Channel Management
-

Managing channel members include : Selecting channel members Motivating channel members Managing channel conflicts Performance evaluation of channel members

Selecting Channel Members

The Channel members are selected on the following basis : Location of customers Experience in a particular genre Financial Standing Infrastructure Management reputation

Motivating Intermediaries
Management Services ( Example : Pride Hotel GroupFranchise Hotels) Vendor Managed Inventory Financial advantages Training services

Managing Channel Conflicts


Sources of conflicts are : -Differences in objectives, interests, perceptions -Dealings with customers -Compensation -Unclear territory boundaries -Stringent company policy

Managing Channel Conflicts


Methods of managing / controlling conflicts -Effective communication network -Joint goal setting -Diplomacy - Arbitration or Mediation -Vertical marketing system (VMS)

Evaluating Channel Member performance


The common factors used to evaluate the performance of each channel member are : - Sales figures - New Customers generated - Customer feedback - Support for new products - Coordinating company marketing efforts ( Eg : Divya Enterprise(distributor) offering residential help to company trainees in FMCG co.) - Statistical techniques

INDUSTRIAL PRODUCT
An industrial product can be Machinery, manufacturing plants, materials, and other goods or component parts for use or consumption by other industries or firms. An industrial product , in addition of being a physical entity, is a bundle of economic, technical, legal and personal relationship between the buyer and the seller

Changes in the Product Strategy


Industrial Marketers must understand that a product strategy is flexible and dynamic. Industrial firms are required to make necessary changes in the product strategy because of changes in 1) customer needs 2) technology 3) govt.policy( Volvo Buses 2 doors) and 4 ) PLC

Product Life Cycle

Industrial PLC High Tech Products

I and G stages are long but maturity and decline stages is short due to rapidly changing technology

Sales

TIME

NPD

I/G STAGE

Industrial PLC- Commodity

Sales

In a monopolistic situation the sales remain unaffected with passage of time due to absence of competition . As competition increases sales decline

TIME

International PLC Louis Well


A certain product gets success in domestic market. The producing firm starts exporting these products with successful results Foreign manufacturers start production under license,JV, or start copying the product Foreign manufacturers become competitive due to lower costs These manufacturers start exporting to the country where the product was originally made Original Manf Strategy : Product / Process Patent

Application of PLC theory to Marketing Strategies


Introduction Stage : Certain Industrial products get accepted rapidly after introduction whereas some are gradually accepted. For gradually accepted products the marketing strategy should concentrate on market awareness efforts. For fast accepted products the company should brace for intense competition Example : Residential Wind Turbines

Application of PLC theory to Marketing Strategies


Growth Stage : As the product enters the growth stage ( high sales and profits) , the industrial marketer should focus on 3 key areas viz. 1) Improve product design to offer more benefits to customers 2) Improve distribution 3) reduce price as production increases Example : Helix Wind Mills offering higher energy production

Maturity Stage
As the product enters the maturity stage , the marketer must focus on 1) entering new markets 2) keep existing customer satisfied by excellent service standards 3) cut marketing, production and other costs to maintain profit margins Example : Wind energy 7 has tremendous potential in Indian markets owing to power shortages and large expanse of rural places where electricity has not reached and open spaces are widely available

Decline Stage
In this stage the competition is severe and sales and profits steadily decline The strategy adopted by industrial marketer is to either withdraw the product from the market or introduce a substitute product For industrial products the decline is pretty rapid owing to technical advancements and highly learned customer base

Locating Products in their Life Cycles

The steps involved in locating a product in its life cycle are as follows : - Develop a trend analysis for the past 3 to 5 years based on primary and secondary research based information - Analyse competitors market share and product performance - From the above analysis , fix the products position in life cycle

Developing Product Strategies for the existing products

Discussion of Product Strategy based on evaluation matrix


Sales of a certain software dipping in market inspite of latest updates done and a good sales team in place. Possible reasons : - High price ( Cheaper substitutes available) - Lack of training for users - Unnecessary updates at regular intervals - Lack of basic hosting infrastructure at clients end ( ex TCS ion on Mozilla platform ) Problem could be either one or a mix of some factors These should be resolved with high priority

Branding in Business Markets


Brand Brand Equity Purpose of Branding - All class discussion

Branding Process in Business Marketing

Yes To Brand or not to brand

Brand planning and analysis Stop

Brand Strategy

Brand building

Brand auditing

No

Brand Planning and Analysis


Key Factors in brand planning are : - Involvement of all ( Case of Tata Chemicals Ltd ad ) - Brand continuity

Brand Strategy
-

Brand Hierarchy has four levels in B2B marketing : Corporate brand Family brand Individual brand Combination of above

Brand Building Tools


Personal Selling Direct Marketing Advertising Tradeshows PR Sponsorships

Brand Auditing
Business Organizations should periodically audit the performance of their brands The process of brand auditing is as follows : - Deciding the objectives of auditing - Internal description of how the brand has been marketed - Research - Analysis and reporting the brand score

Brand Auditing
-

The brand score card has four components viz : The functional performance of a brand Ease of accessing the brand Brand Personality Brand Value

Segmenting Business Markets

Revisiting Segmentation
Market Segmentation is a process of dividing a market into groups of customers who have similar requirements for a product or service offering Business Marketers task is to identify these segments and decide which segments to target

Segmenting and Targeting Framework


Conduct marketing research to collect data on buying firms and competition Identify and select macro-segments Go for micro segmentation (if selected macrosegments do not explain difference in buying behavior of buying firms) Profile selected target segments

Micro Segmentation
Micro Segmentation can be done using micro variables like : - Buying situations - Purchasing Criteria - Buying Organizations - Personal characteristics of buying center members

Benefits and Limitations of Market segmentation


Benefits : - Tailored Marketing Programs - Allocation of budgets can be done more effectively basis customer segmentation Limitations : - Difficult to differentiate service levels in certain product classes

Bases for Segmentation


The segmentation in business markets is on the basis of : 1) Micro and Macro Variables Marketers use sequential segmentation process to obtain a detailed segmentation scheme

Bases for Segmentation

Major Macro-variables Type of customer ( Govt, commercial, cooperative, institutional) or industry Size of customer companies Usage rate of customers Customers geographic location Application, end-use, or benefits of the product Major Micro-variables Buying situations(new task, modified rebuy, straight rebuy) Organizational capabilities ( Focus on firms needing finacial / technical support ) Purchasing criteria ( Focus on firms seeking quality / price) Personal characteristics of buying-center member ( Risk avoiders, risk takers)

Macro Segmentation
Macro Variables are classified into : - Industry Characteristics - Organizational Characteristics

Industry Characteristics
Many industrial firms market their products or services to different types of industries For example : Tata Steel sells steel to Automotive, construction, rail , consumer goods, shipbuilding industries

Organizational Characteristics
Size of the customer organization Location of the customer organization ( Example : Ad agencies setting up satellite offices to service big and key accounts )

Micro Segmentation
Micro segments are the homogenous group of customers within the macro segments. Thus industrial marketers divide macro segments into micro segments only if necessary The micro variables used in the micro segmentation are as follows : - Buying situations - Purchasing Policies - Purchasing criteria - Personal characteristics of the buying center members

Example of Sequential Segmentation process


Intas Pharma services Asia, Middle east, Africa and USA markets Asian Markets like Srilanka, Singapore and Thailand are serviced by satellite offices whereas major markets like Africa and USA have marketing offices in place Within Africa the focus is more on Government clients and in USA the focus is on commercial and government establishments In Africa , priority is given to clients who enter into a advance payment deal , whereas in USA the focus is on establishing long term ties with the clients

Requirements for Effective Segmentation


Measurable Substantial Differentiable Actionable

Targeting
After segmenting the market , the firm should engage in selecting the right target segments These segments are selected on the basis of :1) size and growth 2) profitability analysis 3) Competitive analysis 4) Company objectives and resources

Size and Growth


The company should find out what is the size and growth potential for each market The trade journals and experts can suggest the current size and growth potential of segments Also statistical methods like time series analysis, regression analysis can be used for the forecasting

Profitability Analysis
There are 3 elements involved in analyzing the profitability of each segment : - Market Potential - Sales Forecast - Profitability

Competitive Analysis
Competitive analysis should be done basis manufacturing facilities, financial strength, marketing prowess, product quality and management reputation

Company Objectives
An industrial firm should ask itself whether each potential segment is in line with the firms long term objectives Examples

Target Market Strategies


Concentrated Marketing Differentiated Marketing Undifferentiated Marketing Growing importance of Niche Marketing

Positioning
Positioning is defined as the distinct place a product or service occupies in the minds of the customers relative to competing products

Procedure for developing a Positioning Strategy


An industrial marketer should follow the following steps while developing a positioning strategy : - Identify major attributes of differentiation : Product Variables Service Variables Personnel Variable Image Variable -Selecting the differentiating attributes -Communicating the companys Positioning

Buyer Seller Relationship


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Buyer Seller Relationship


Incompatible Style
Compatible Style

Ideal Transaction

Inefficient Transaction

Incompatible Style

Inefficient Transaction

No Transaction

Types of Relationship
Transactional relationship Value Added / Exchanges relationship Collaborative / Partnering relationship

Transactional Exchanges
Basically One time exchange with economy and necessity at the center of the process Buyers look a transaction based relationship in situations when the product / service is less specialized and not very important for the overall achievement of the objective Transactional buyers exhibit very less loyalty towards the suppliers The company sales force should try and extend this genre of customers to the next level i.e. Value added exchanges

Value Added Exchanges


The focus of the value added exchanges is on complete understanding of the present and future needs of the customer and meeting those needs better than the competitors to obtain a maximum share of the customers business The company sales force , if finds further potential in the customer must try and escalate this relationship to the next level viz. collaborative exchanges

Collaborative Partnership
The core focus is on building commitment and trust between the manufacturer and the customer Example : TOI Private Treaty Model

TOI Private Treaty Model


Bringing the client on board Building regular business ties with the client Increasing business volume and value from the client whilst providing extended / specialized service to the client Drawing from his business model and helping her expand the business to newer TOI led geographies and investing in the organization to draw lucrative returns

Developing effective RM strategies

Business Marketers have a range of relationship with different set of customers viz. transactional , value added and collaborative. It is important that these businesses develop effective relationship marketing strategies by going through the following steps : - Linking CRM with customer database - Selecting customers - Developing relationship marketing strategies and objectives - Implementing relationship strategies - Evaluating relationship objectives and strategies

Linking CRM with customer database

For an effective relationship marketing strategy , a firm should build database of each customer firm by including CLV, key decision influential, specific needs of goods and services, past purchases of various products and services

Selecting customers

Business Markets segment customers on the basis of various variables ( example : Value , Service level) After this primary segmentation , the business markets look into individual customer firms Example : Refer to Excel Sheet- Final Data

Developing relationship marketing strategies and objectives

Strategies by establishing from amongst transactional,collborative or value added relationship with each customer Implementing the relationship strategy involves bifurcating sales focus into key accounts and transactional accounts The culmination of these relations should be monitored on a periodic basis

Relationship Marketing
Berry and Parasuraman have identified 3 approaches for forming stronger ties : - Financial : Adding financial benefits to key customers by offering special prices or volume discounts - Social : This is done by individualizing and personalizing customer relationships - Structural ( Times of India Classifieds software)

BUSINESS MARKETING
ALLIANCE UNIVERSITY

NATURE OF BUSINESS MARKETING

WHAT IS BUSINESS MARKETING


Business marketing/ industrial marketing/ B2B marketing/ organizational marketing is the marketing of products and services to business organizations Business organizations include manufacturing companies, government undertakings, private sector organizations, educational institutions, hospitals, distributors and dealers These organizations buy to satisfy many objectives like production of other goods and services, making profits, reducing costs and so on For Example : Bombardier Primove turnkey solution for Trams (Public Transport)

WHAT IS CONSUMER MARKETING

Consumer Marketing is the marketing of products and services to individuals , families, and households. The consumers buy products and services for their own consumption or use

BUSINESS V/S CONSUMER MARKETS


FACTORS
Market characteristics Product Characteristics Service Characteristics

BUSINESS MARKETS
Geographically concentrated and relatively fewer buyers Technical in nature and customized Service, timely delivery and availability very important

CONSUMER MARKETS
Geographically dispersed and mass market Non or less technical and lesser degree of customization Important to a lesser degree

Buyer behaviour

Multiple functions involved in a rational decision making, stable and long term interpersonal relationship between the buyer and seller
More direct , fewer channel members involved Bidding / negotiated prices

Family dynamics, emotional decision making involved , lesser degree of personal relationship involved
Indirect and multiple intermediaries involved Best price or MRP

Channel characteristics Price

Promotional
Economics

Personal selling
Derived demand, inelastic demand

Emphasis on advertising
More elastic and direct demand

Customer Value in Business Markets

Value = Benefits / Cost To estimate the customer value a mix of executive opinion and statistical methods are used

Characteristics of Industrial Demand

Derived demand Fluctuating demand Stimulating demand ( SAIL Video) Joint demand Cross-Elasticity of demand ( Eg: Al v/s wood and steel) Reverse elasticity of demand

Classifications of Products and Services


Industrial marketing involves the marketing of products, services and solutions. The method of classification is based on how products and services enter the production process. Hence the classification is as follows : - Materials and Parts - Capital Items - Supplies and services

Materials and Parts


Goods that enter the final product directly consist of raw materials , manufactured materials and component parts. The cost of these items are treated by the purchasing company as part of the manf. Cost - Raw Materials : This is the basic product that enters the production process with little or no alterations. API in making drugs i.e. dyclofenac sodium (API) in making dycloflame ( Medicine for pain relieve) - Manufactured Materials and components : Manufactured materials include those raw materials that are subject to some amount of processing before entering the manufacturing process. Example : Industrial salt undergoes some level of purification before being used for making soda ash. Example for components is tyres in Cars. Apollo Tyres (OEM) sells tyres to MUL and to dealers and distributors also

Capital Items
Capital Items : are those which are used in the production processes and they wear out over a certain period of time. Capital Items are usually classified as : - Heavy equipment : Major and Long term investments example is a turbine machine in a power plant. - Accessories : Light equipment which have lower purchase price and not considered pert of heavy equipment. Example : Computer terminals - Plants and buildings : These are the real estate property of a company. Example ; MUL has plants in Gujarat , Gurgaon.

Supplies and Services


Supplies : Cartridges and other stationary items Services : Building Maintenance services, auditing services, legal services etc.

Supply Chain
Supply chain management is a set of activities and techniques , a firm employs to efficiently and effectively manage the flow of merchandise from the vendors to the retailers customers

Supply Chain

Business Networks in B2B

Manufacturer

Company sales force

Distributor / Dealer

Representative agent

Customer

UNDERSTANDING BUSINESS MARKETS AND ENVIRONMENT

Types of Buying Organizations


Industrial customers are normally classified into four groups : - Commercial enterprise - Government customers - Institutional customers - Cooperative societies

Commercial Enterprise
Commercial enterprises are private sector, profit seeking organizations consisting of : - Industrial distributors - OEMs - Users

Government Customers
The largest purchases in India are done by various Government bodies Example : Health Ministry , DMRC ( Delhi Metro Rail Corporation ) etc.

Institutions
Public and Private institutions such as hospitals, schools, universities etc. are the institutions These institutions have a very structured purchase mechanism Example : Relevant Examples

Cooperative Societies
Cooperative banks, cooperative housing etc. are examples of cooperative societies GCMMF ( Gujarat Cooperative Milk Marketing Federation ) is one well known name across India Example : Amuls Media Purchase mechanism

Business Customers Purchasing Orientation


Business buyers choose one of the three purchasing orientations : - Buying Orientation - Procurement Orientation

Buying Orientation
The purchasing firm with a buying orientation has a narrow and short term focus. The buyers in these firms follow the practices as under : - Lowest Price - Gain Power ( Commodification / multisourcing) - Risk ( risk reducing standard buying from regular suppliers)

Procurement Orientation
Collaborative relationship with major suppliers Working closely with other functional areas

Purchasing Practices of Business Customers


Purchasing by Commercial enterprises.

Purchasing by Govt depts


The first step is to get the name of the company and the product registered with the concerned department This procedure involves the submission of duly filled forms, product details, company details properly filled by a CA Post this some Govt officials visit the companys manufacturing facilities and based on the favorable response from the inspector , the company is registered as approved supplier to these products

Purchasing by Govt depts.


Competitive Bidding : Govt organizations are required to purchase goods and services through the bidding or tender system There are 2 types of bidding system viz. closed and open For standard products and services , tender notices are advertised in leading newspapers post which the suppliers procure tender docs by paying a certain amount of tender fees Sealed tenders are received in a tender box and opened on a specific date and time in presence of the representatives of the suppliers and

Purchasing by Govt depts.


Open Bidding : When Govt. organizations require non standard or complex technical products and services , they use open bidding method. The buying firm may invite offers from limited suppliers who are capable of supplying complex or non standard products and services Reverse Bidding : Here buyers set a maximum price and the suppliers are motivated to bid below this Govt.Contract : 1) Fixed Price 2) Cost reimbursement

Institutional Purchasing
Institutional Purchasing : These are either the government or the private buyers. If they are government , then the procedure followed is as discussed. If they are institutions like education , charity then the procedure is similar to commercial buying.

Purchasing in Replacement Market

Replacement market consists of industrial dealers or distributors whose main goal are profit and sales volume Hence the intermediaries select the supplier on the basis of product quality and also suppliers Selling policy as they have to abide by it Example : Car Tyres Market

Environmental Analysis
Micro and Macro Environment

Strategies for Managing external environment


Collect information about competitors and customers Analyzing trade and Govt publications Carrying out marketing research and economic forecasting Forward / Backward and Horizontal Integration

ORGANIZATIONAL BUYING PROCESS

ORGANIZATIONAL BUYING PROCESS

Robinson and Faris developed an eight phase buying decision process in industrial market in 1967 and called the process buy phases. These stages are as follows : - Recognition of a problem or need - Determination of the application and quantity of the needed product also developing specifications - Search for qualified suppliers - Obtaining suppliers proposals - Selection of suppliers - Order routine specification - Performance feedback and post purchase evaluation

Recognition of a Problem
Rolls-Royce ,a truly global business, offers a range of rst class world leading products. It has facilities over 14 different countries and also offers rst rate after sales services, covering mechanical overhauls and spare part distribution. Rolls-Royce used over 1500 systems before the ERP project was started, many of which were developed internally by Rolls-Royce over the last two decades.

Recognition of the Problem

Some of the legacy systems were so old that they had year 2000 compliance problems. Work within RollsRoyce was functionally orientated and various departments worked in isolation. The legacy systems did not allow Rolls-Royce to establish direct, on-line communication with customers, partners and suppliers.

IT deal goes to EDS corp


In 1996 Rolls-Royce formed a partnership with electronic data services (EDS). The Rolls-Royce IT department was outsourced to EDS,which meant that EDS were responsible for the development of the companys IT systems

Determination of the Characteristics of the product


Implementing of ERP was a must to bring all functions on a uniform platform. SAP R/3 was identified for this. SAP R/3 was arranged into distinct functional modules, covering the typical functions in place in an organization. The most widely used modules were Financial s and Controlling (FICO), Human Resources (HR), Materials Management (MM), Sales & Distribution (SD), and Production Planning (PP)

Selection of the Supplier


SAP was selected as : - Its software can be customized - It had more than a decade experience in ERP implementations

Obtaining Suppliers Proposals and selecting the best suitable


A suppliers proposal can be in the form of a formal quotation, a formal bid and should include : - Product Specification - Price - Delivery Period - Payment Terms - Taxes and Duties as applicable - Transport cost ( If applicable ) - Any other free service if provided

Evaluation Of Proposals and Selection of Suppliers


The buying organization evaluates the proposals of competing suppliers and selects one or more suppliers. Further negotiations can continue on prices, payment terms, deliveries and so on Suppliers are evaluated on the weighted average and balance score card method Largely all organizations have individual methods for this process

Order Routine Specification


Here the buyer sends a purchase order confirming the same specifics as mentioned in the final proposal by the supplier This binds the supplier to confirm to his proposal during the product delivery

Performance Feed Back


In this final phase , a formal or informal review regarding the performance of each supplier or vendor takes place. The user department gives the feedback if the purchased item solved the problem of not

Types of Buying situations


Buy classes are bifurcated as : New Task Modified rebuy Straight rebuy Sales strategies for each differ and will be discussed in class

Buygrid framework

Buy Phases

New task

Modified rebuy

Straight rebuy

Problem Recognition Product characteristics


Search qualified suppliers Obtaining proposals Evaluating proposals Order routine specification Performance feedback

y y
y y y y y

uc uc
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n n
n n n uc y

Buying Roles
Buying Centre Buying center roles : Users Buyers Influential Deciders Gate keepers

The Webster and Wind Model Of PESTEL Environmental Variables Buying


organisational Variables: Technology (for purchasing), Buying Centre structure, buying goals and tasks, buying centre members.

Buying centre variables: Interpersonal interactions, Group functioning : Buying and non-buying tasks, external influences. Individual variables
Buying Decision Process : Bargaining, negotiation, persuasion

Buying Decision

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