Name: Jon Bryan Montejo

Year and course: BSBA MM 4th year

Subject: industrial marketing

Essay. Discuss each item concisely. (80 points)

1.) How industrial buying behavior is different is different from the consumer buying behavior? What are
the major factors that influence business buyers?

-the difference between industrial buying behavior from consumer buying behavior is that industrial
buying behavior is a process by which formal organizations establish the need for purchase products
and services and identify, evaluate, and choose among alternative brands and suppliers while Consumer
Buying Behavior refers to the actions taken (both on and offline) by consumers before buying a product
or services. The major factors that influence business buyers are environmental factors, organizational
factors, interpersonal factors, and individual factors.

2.) Industrial marketing is more complex dan consumer marketing. Do you agree to this statement?.

- industrial marketing is more complex than consumer marketing because industrial marketing deals
with factor markets, or highly specialized products and services for select consumers like labor,
machinery or unfinished products while consumer marketing deals with product markets like finished
goods that are largely bought by individuals, like shoes, clothing, books, etc.

3.) What are the marketing implications for different customer and product types in industrial
marketing?

- the marketing implications for different customer and product types in industrial marketing is
therefore important for an industrial salesman to remain in close touch with purchase or materials
department persons as well as with quality, production, R&D, and accounts or finance persons of buyer
organization they influence buying or payment releasing decision.

4.) How does the government purchasing differ from commercial enterprise purchasing?

-the difference between government purchasing from commercial enterprise purchasing is that
purchasing in commercial enterprise depend upon the nature of business in the size of the commercial
enterprise as well as the volume variety and technical complexity of the product purchased while the
government purchasing include any spending by federal, state, and local agencies, with the exception of
debt and transfer payments such as Social Security. government purchases are a tool to boost overall
spending and correct a weak economy.

5.) Define the concept of industrial marketing with the consideration of different industries of a nation.
- Industrial marketing is a practice often seen in the business world. It is essential for the day-to-day
operations of many companies and is the reason most are still in business today. Industrial marketing is
defined as the process of one business marketing a certain good or service to another business.
Industrial Marketing is the marketing of goods and services by one business to another. Industrial goods
are those an industry of uses to produce an end product from one or more raw materials.

6.) In what stage (s) of industrial buying decision-making process the industrial marketers should get
involved and what are the benefits of such an involvement?

- industrial marketers should get involved of industrial decision making process starting from stage such
as need of recognition. Recognition of need of industrial buyer a smart marketer recognizes the
problem/ problem of industrial buyer originated within the firm. If an industrial marketer identifies a
problem in the buying organization and suggest how the problem could be solved, there will be a better
possibility of it being selected as a supplier. The benefits of such an involvement is that it is helpful to an
industrial marketer to develop an appropriate selling strategy

7.) What are the marketing implications for different customer and product types in industrial
marketing?

-The main implication of a marketing strategy is the orientation toward meeting customer needs that
results in increased customer satisfaction. Different customer means different types of satisfaction
towards your products and services.

8.) Explain the concept of joint demand and cross elasticity of demand will examples from industrial
marketing.

-the concept of joint demand is common in the industrial market because it occurs when what industrial
product is useful if other product also exist for example, a pumpset cannot be used for pumping water if
the electric motor or diesel engine is not available. While cross elasticity of demand is the reaction of
the sales of one product to a price change in another product. This concern present in both consumer
and industrial marketing but it is more imperative in industrial marketing as it can have a dramatic
impact on the marketing strategy of an industrial firm. For example the demand of aluminium is related
to the prices of wood and steel for the doors and window frames as they are close substitutes.