Chapter 1 – Business Markets and Business Marketing
Business marketing is marketing products or services to other companies, gov’t bodies,institutions, and other organizations. Ex.McD buy salt to use for its product.
Business marketing also includes the marketing of products and services that facilitate their operations. Ex. McD buys paper for packaging of its food.
Business marketing can also be to govt agencies and institutions that buy for their use.Ex. photocopy, tables and chairs.
Business markets are all the organizations that buy goods and services for use in the production of other products and services or for the purpose of reselling or renting them to others at a profit.
Companieshv awaken to the fact that they must be market driven if they are to survive.Mkt driven means that customer satisfaction and operational efficiency are the order of the day for every department and individual employee or associate;constant drive to serve organizational customers better, to innovate, and to develop the means to approach new institutional mkts.
The magnitude of business markets is huge. Purchases by organizations such as companies, govt agencies and institution account for half of the economic activity in industrialized countries such as United States, Canada and France. Businesses’ purchasing power is bigger than a consumer’s purchasing power!
The way organizations buy is different from the way consumers purchase products and services; which results in different marketing requirements.
A The Uniqueness of Business Marketing
1 Buyer-seller Relationships
2 Shorter distribution Channels
3 Emphasis on Personal Selling
4 Great Web Integration
5 Unique Promotional Strategies
5.1Consumption
5.2The customer’s Customer
5.3Marketing Research
1.0 Buyer-seller Relationships
Many companies enter into long-term contracts, build relationships that enable buyers and sellers to plan jointly and work to secure the future for both companies. The strategic importance of many purchases is too great for companies to
Business marketing also includes the marketing of products and services that facilitate their operations. Ex. McD buys paper for packaging of its food.
Business marketing can also be to govt agencies and institutions that buy for their use.Ex. photocopy, tables and chairs.
Business markets are all the organizations that buy goods and services for use in the production of other products and services or for the purpose of reselling or renting them to others at a profit.
Companieshv awaken to the fact that they must be market driven if they are to survive.Mkt driven means that customer satisfaction and operational efficiency are the order of the day for every department and individual employee or associate;constant drive to serve organizational customers better, to innovate, and to develop the means to approach new institutional mkts.
The magnitude of business markets is huge. Purchases by organizations such as companies, govt agencies and institution account for half of the economic activity in industrialized countries such as United States, Canada and France. Businesses’ purchasing power is bigger than a consumer’s purchasing power!
The way organizations buy is different from the way consumers purchase products and services; which results in different marketing requirements.
A The Uniqueness of Business Marketing
1 Buyer-seller Relationships
2 Shorter distribution Channels
3 Emphasis on Personal Selling
4 Great Web Integration
5 Unique Promotional Strategies
5.1Consumption
5.2The customer’s Customer
5.3Marketing Research
1.0 Buyer-seller Relationships
Many companies enter into long-term contracts, build relationships that enable buyers and sellers to plan jointly and work to secure the future for both companies. The strategic importance of many purchases is too great for companies to