Organizational buying refers to the process by which organizations establish needs, identify, evaluate, and select suppliers for purchased products and services. For Pizza Hut franchises in India, this includes purchasing standardized furniture from the head franchise and ingredients for food, with some imported from other countries. Franchises must follow professional purchasing procedures set by the main franchise, sourcing from approved dealers designated by the head office.
Organizational Buying Process in Pizza Hut Franchises
1. Organizational Buying
The decision making process by which formal organizations establish the need for purchased products
and services and identify , evaluate and choose among alternative brands and suppliers .In pizza hut the
organizational buying process is the purchase of the ingredients for the food and the furniture. Since, it
is a franchise the furniture is a standardized furniture that has to be same any franchise in India. So, the
franchises have to contact the head to buy the furniture for the store. The ingredients most of them are
from India. Few ingredients like jalapenos, olives etc, which are not cultivated in India are imported from
the other countries. Professional purchasing is done in the franchises. They have fixed dealers as per
decided by the main head franchise, and the franchisers have to follow it.