Chapter 7 Flashcards
(31 cards)
buyers who buy for resale or to produce other goods and services
Business and organizational customers
Four types of Organizational customers
Producers of goods and services
Intermediaries
Government Units
Nonprofit Organizations
includes manufacturers, farmers, real estate developers, hotels, banks, even doctors and buyers
Producers of goods and services
wholesalers and retailers
Intermediaries
federal agencies in the US and other countries as well as state and local governments
Government units
national organizations like the Red Cross and Girl Scouts as well as local organizations like museums and churches
Nonprofit organizations
a written (or electronic) description of what the firm wants to buy
purchasing specifications
a way for a supplier to document its quality procedures according to international recognized standards
ISO 9000
buying specialist for their employers
purchasing managers
means that several people- perhaps even top management- play a part in making a purchase decision
Multiple buying influence
Buying Center
Users- production workers and their supervisors
Influencers- engineering R&D people who help write specifications or supply info for evaluating alternatives
Buyers- purchasing managers
Deciders- ppl in the organization who have power to select or approve the supplier
Gatekeepers- ppl who control the flow of info within the organization
all the people who participate in or influence a purchase
buying center
a formal rating of suppliers on all relevant areas of performance
vendor analysis
a request to buy something
requisition
occurs when a customer organization has a new need and wants a great deal of information
New-task buying
is a routine repurchase that may been made many times before
straight rebuy
in the in-between process where some review of the buying situation is done
modified rebuy
the terms of sale offered by the supplier in response to the purchase specifications posted by a buyer
competitive bid
Buyer seller relationships (Five key dimensions)
Cooperation Information sharing Operational linkages legal bongs relation-specific adaptions
the buyer and seller work together to achieve both mutual and individual objectives
Cooperation relationships
exchange of proprietary cost data, discussion of demand forecasts, and joint work on new product designs
Information sharing
direct ties between the international operations of the buyer and seller firms
Operational linkages
reliably getting products there just before the customer needs them
just-in-time delivery
agreeing to contracs that allow for changes in the purchase arrangements
negotiated contract buying
