chapter 6

modified rebuy

A business buying situation in which the buyer wants to modify product specifications, prices, terms, or suppliers

business buying process

Business buyers determine which products and services their organizations need to purchase and then they find, evaluate, and choose among alternative suppliers and brands

government market

The federal, state, and local units that purchase or rent goods and services for carrying out the main functions of government

supplier development

The systematic development of networks of supplier-partners to ensure an appropriate and dependable supply of products and materials used in making products or reselling to others

institutional market

Which of the following includes schools, hospitals, nursing homes, prisons, and other institutions that provide goods and services to people in their care?

influencers

__________ are people in an organization's buying center who affect the buying decision; they often help define specifications and also provide information for evaluating alternatives.

deciders

__________ are people in an organization's buying center who have formal or informal power to select or approve the final suppliers.

buyers

__________ are people in an organization's buying center who make an actual purchase.

general need description

__________ is the stage of the business buying process in which a buyer describes the general characteristics and quantity of a needed item.

proposal solicitation

__________ is the stage of the business buying process in which the buyer invites qualified suppliers to submit proposals.

product specification

__________ is the stage of the business buying process in which the buying organization decides on and specifies the best technical product characteristic for a needed item.

supplier development

__________ is the systematic development of networks of supplier-partners to ensure an appropriate and dependable supply of products and materials used in making products or reselling to others.

systems selling

__________ refers to buying a packaged solution to a problem from a single seller, thus avoiding all the separate decisions involved in a complex buying situation.

new task

a business buying situation in which the buyer purchases a product or service for the first time

performance review

assesses the performance of the supplier and decides to continue, modify, or drop the arrangement

__________ refers to the buying behavior for organizations that buy goods and services for use in the production of other products and services that are sold, rented, or supplied to others.

business buying behavior

Which term refers to how business buyers determine which products and services their organizations need to purchase and involves finding, evaluating, and choosing among alternative suppliers and brands?

business buying process

straight rebuy

routinely reorders something without any modifications

supplier selection

the buyer reviews proposals and selects a supplier or suppliers

supplier search

the buyer tries to find the best vendors

business buying behavior

the buying behavior for organizations that buy goods and services for use in the production of other products and services that are sold, rented, or supplied to others

product specification

the buying organization decides on and specifies the best technical product characteristic for a needed item

users

will actually use the purchased product or service

order-routine specification

writes the final order with the chosen supplier(s), listing the technical specifications, quantity needed, expected time of delivery, return policies, and warranties