1.

a) New Buy: A customer purchases a product for the first time, which means the buying decision is
heavily involved due to both organizations being unfamiliar with each other. They will likely proceed
through all 6 steps of the formalized B2B process, and involve many people in the buying decision.

b) Modified Rebuy: Buyer has purchased a similar product in the past, but has decided to change some
specifications (price, quality level, customer service level, options, etc.). Current vendors have an
advantage in acquiring the sale in a modified rebuy situation, as long as the modification isn't stemming
from the buyer's disappointment with the previous iteration.

c) Straight Rebuy: When the buyer simply buys additional units that have been already purchased in the
past. Most B2B purchases are done in this category

2. Line and staff organization is a modification of line organization and it is more complex than line
organization. According to this administrative organization, specialized and supportive activities are
attached to the line of command by appointing staff supervisors and staff specialists who are attached to
the line authority. The power of command always remains with the line executives and staff supervisors
guide, advice and council the line executives. Personal Secretary to the Managing Director is a staff
official.

vertical organizational structure is the traditional top-down setup where leaders pass down directions
and guidelines to lower-level workers. A horizontal organizational structure refers to the level of
collaboration that goes on across divisions and departments.

3. Some of the factors and personal characteristics that have on impact on the decision makers are
described below.

• Information Inputs:-

It is very important to have adequate and accurate information about the situation for decision¬
making, otherwise the quality of the decision will suffer.

• Prejudice

Prejudice and bias is introduced in our decisions by our perceptual processes and may cause us to make
ineffective decisions.

• Cognitive Constraints

A human brain, which is the source of thinking, creativity and decision¬ making, is limited in capacity in a
number of ways.

• Attitudes About Risk and Uncertainty

These attitudes are developed in a person, partly due to certain personal characteristics and partly due
to organizational characteristics.

• Personal Habits
Personal habits of the decision-maker, formed through social environmental influences and personal
perceptual processes must be studied in order to predict his decision-making style.

• Social and Cultural Influences

The social and group norms exert considerable influence on the style of the decision-maker.

4. The members of DMU (Decision Making Unit) are:-

• Individuals who make up the DMU. The decision Making Unit is a collection or team of
individuals who participate in a buyer decision process.

• Influencers: Influencers are those who may have a persuasive role in relation to the deciders

• Initiators: Initiators are the players who recognize that there is a need to be satisfied or a
problem to be solved.

• Gatekeepers: Gatekeepers are individuals who press the stop/go button in the process.

• Buyers: Buyers are the professional function within an organization generally responsible for
purchasing.

• Deciders: Deciders in a large organization certainly are responsible for making the final deal or
decision.

• Users: Users are those who put the service or product into operation once the deal has been
clinched.

5.

Research the customer.

Research your products/service

Research the past relationship.

Set a clear – but flexible – objective.

Probe for other customers for your product/service.

Probe for other products for your customer.

When you're with your customer, ask open questions that get beneath the surface.

Keep control of the meeting.

6. Sales conflict is most often related to how compensation is structured and is heightened by gaps
between what the sales representatives thinks they have accomplished versus what sales leadership
thinks.

7. Horizontal Channel Conflict:

It refers to a disagreement among two or more channel members at the same level. For example,
suppose a toy manufacturer has deals with two wholesalers, each contracted to sell products to retailers
in different regions.

Vertical Channel Conflict: Vertical conflicts involve a disagreement between two channel members on
consecutive levels.

Multi Channel Conflict: It occurs when a manufacturer has established two or more channels that
compete against each other in selling to the same market.

8.

Routine response

Limited decision making

Extensive decision making

Impulsive buying

9. The key difference between B2B & B2C are as follows: in B2C, which stands for business-to-consumer,
is a process for selling products directly to consumers. On the other hand, In B2B Business buyers
purchase products or services for use in their companies.