1. Analyzing Business Markets and
Business Buying BehaviourBusiness Buying Behaviour

2. OUTLINE
ANALYZING BUSINESS MARKETS
- The difference between business market and consumer market
- Different buying situations
- Systems Buying and Selling
-Participants in the business buying process/ 7 roles in the purchase
decision process
- Different type of Purchasing Processes
- Methods of E- Procurement

3. - Fewer and larger buyers
Concept 1: BUSINESS MARKET DIFFERS FROM CONSUMER MARKET
BUSINESS MARKET- consists of all the organizations that acquire goods and services
used in the production of other products or services that are sold, rented, or supplied
to others.
- Derived, inelastic and fluctuating demands
-Professional and direct purchasing
- Many buying influences
- Close supplier- customer relationships
-Multiple sales calls
- Geographically concentrated buyers

4. Concept 2: BUYING SITUATION
Modified Rebuy
New Task
-The purchaser buys a product or service for the first time.
(example: selecting a web site design)
Straight Rebuy
- Purchasing dept. reorders on a routine
basis & chooses from suppliers approval lists.
(examples: office supplies- paper & ink toners)
Modified Rebuy
- Buyer wants to modify product
specifications, prices, delivery
requirements, or other items.
(example: pc, & servers)

5. Concept 3: SYSTEMS BUYING
- Buying a total solution to their problem from one seller.

6. Concept 4: BUYING CENTER
- Initiators
- Users
- Influencers
-Deciders
- Approvers
- Buyers - Gatekeepers

7. Concept 5: PURCHASING PROCESSES
• Routine product- low value and cost and little risk.
(ex. office supplies)
• Leverage product- high value and cost but little risk.
(ex. Anti virus softwares)(ex. Anti virus softwares)
• Strategic product- high value and cost and high risk.
(ex. Main frame computers)
• Bottleneck product- Low value and cost bust some risk.
(ex. Comp spare parts)

8. Concept 6: METHODS OF E- PROCUREMENT
Internet supplier search
- Websites organized around in to types of e- hubs:
• vertical hubs
• functional hubs
- Direct extranet links to major suppliers.
- Buying alliances. (ex. genband & samsung)- Buying alliances. (ex. genband & samsung)
- Company buying sites (ex. enp)
SAFE, SMART, SIMPLE
Mobile Unified Communications Solutions
EMERSON NETWORK POWER
FLATFORM WEBSITE

9. SUMMARY:
• BUSINESS MARKETS
- differs from consumer markets
- has three buying situation
- has systems buying and selling- has systems buying and selling
- has many participants and it has each own role
- has 4 type of purchasing process
- internet facilities websites.

10. CONCLUSION:
- Business markets are generally made up of businesses which buy
products and raw materials for their own operation.
- There are a small number of big customers that account for a large % of revenue
- Products are customised for different customers. Service is highly valued
- Purchases are made for others to use - image is important where it adds
value to customers