Slide 1: PRESENTATION ON
ORGANISATIONAL BUYING BEHAVIOUR BY
RAVI NANDAN VERMA Organisational Buying Behaviour : Organisational Buying Behaviour ‘The decision-making process by which formal organisations establish the need for purchased products and services, and evaluate and choose among alternative brands and suppliers’ Webster and Wind 1989 Characteristics of organisational buying behaviour : Characteristics of organisational buying behaviour Fewer, larger buyers
Direct dealings - large purchaser of materials no intermediaries
Multiple purchase influences Slide 4: Organizational Buying Process 1. Problem Recognition 2. General Description of Need 3. ProductSpecifications 4. Supplier Search 5. Acquisitionand Analysisof Proposals 6. Supplier Selection 7. SelectionofOrder Routine 8. PerformanceReview Buying Situations : Buying Situations New task—the problem or need is totally different from previous experiences.
Significant amount of information is required.
Buyers operate in the extensive problem solving stage. Slide 6: Modified rebuy—decision makers feel there are benefits to be derived by reevaluating alternatives.
Most likely to occur when displeased with the performance of current supplier.
Buyers operate in the limited problem solving stage.
Buyers have well defined criteria. Slide 7: Straight rebuy—the problem or need is a recurring or continuing situation.
Buyers have experience in the area in question.
Require little or no new information.
Buyers operate in the routine problem solving stage. Organizational Buying Processes : Organizational Buying Processes Participants in the Business Buying Process : Participants in the Business Buying Process Initiators
=) Particularly technical personnel
=) Purchasing agent, telephone operator,
Receptionist etc Forces Influencing Organizational Buying Behavior : Forces Influencing Organizational Buying Behavior EnvironmentalForces OrganizationalForces GroupForces IndividualForces OrganizationalBuyingBehavior Economic Outlook: Domestic & Global
Global Trade Relations Goals, Objectives, and Strategies
Organizational Position of Purchasing Roles and patterns of interaction of buyingdecision participants Job function and pastexperience of individualdecision participants Slide 11: THANK YOU