Factors Affecting the Organization’s Buying Behaviour
Factors affecting the Organization’s Buying Behaviour
Anum Khan
Asma Siddiqui
Ayesha Majid
Hamza Muhammad Ms. Maryyam Khan
Industrial Marketing, A
SSC 206
July 13, 2012
Lahore School of Economics
The organizational purchase behavior is the most complex process the organizations have to deal with in the buying process. The decision making authority and central influencing departments will evolve around the buying center. The roles which have to be carried by the buying center in the purchase decision making have been highlighted through research. The five members in the buying center are the users, influencers, deciders, buyers and gatekeepers. The users are the individuals who will use the product. Buyers are the ones who will be involved in contractual terms with the supplier. The influencer will impact the decision making process, either through experience or technical knowledge. Deciders will choose amongst the alternatives available for the organization. Gatekeepers are important in controlling the information flow; they are the focal point of information which outsiders have to go through to get to the buying center members. The number of knowledgeable individuals will vary according to the situational task; straight re-buy, modified re-buy or new task. Depending on the perceived risk and buy class the involvement of members in the buying center will be determined. The degree of influence of each member varies in the dynamic situation of the buying process.
The buyer and seller relationship is the most crucial in the business market when taking a decision related to purchasing decisions. It is directly related to the success of the organization and survival of brand. The companies in business to business rely heavily on organizations for supplies and have to work in collaboration. Exchange of information, relationship trust bond, strategies and production methods have to be combined in order to achieve the optimum level of efficiency. The
Anum Khan
Asma Siddiqui
Ayesha Majid
Hamza Muhammad Ms. Maryyam Khan
Industrial Marketing, A
SSC 206
July 13, 2012
Lahore School of Economics
The organizational purchase behavior is the most complex process the organizations have to deal with in the buying process. The decision making authority and central influencing departments will evolve around the buying center. The roles which have to be carried by the buying center in the purchase decision making have been highlighted through research. The five members in the buying center are the users, influencers, deciders, buyers and gatekeepers. The users are the individuals who will use the product. Buyers are the ones who will be involved in contractual terms with the supplier. The influencer will impact the decision making process, either through experience or technical knowledge. Deciders will choose amongst the alternatives available for the organization. Gatekeepers are important in controlling the information flow; they are the focal point of information which outsiders have to go through to get to the buying center members. The number of knowledgeable individuals will vary according to the situational task; straight re-buy, modified re-buy or new task. Depending on the perceived risk and buy class the involvement of members in the buying center will be determined. The degree of influence of each member varies in the dynamic situation of the buying process.
The buyer and seller relationship is the most crucial in the business market when taking a decision related to purchasing decisions. It is directly related to the success of the organization and survival of brand. The companies in business to business rely heavily on organizations for supplies and have to work in collaboration. Exchange of information, relationship trust bond, strategies and production methods have to be combined in order to achieve the optimum level of efficiency. The
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