B2B CE 1

1. Type A companies had been the typical clients for the firm because it already had
stable relationships with them. The vendors would contact the materials and
procurement branch of a prospect, waiting for a median response time of the chance
consumer of approximately months. If a client agency asked any additives, Farm
Electronics’ design and engineering branch could provide the vendor with the
technical specifications of the system required for its operations. the vendor then
designed a prototype and submitted it to the materials and procurement branch, which
typically might take more than a month. The prototype become handed over to the
first-class warranty department, responsible for testing overall performance and
satisfactory, which might then proportion a report with recommendations to the
control and finance department. The finance department could then contact the vendor
for a detailed charge quote, which the purchaser enterprise could then assessment and
enter final negotiations. Inquiries have been then generated according to the
specifications and necessities. The client’s procurement branch would then ship a
schedule to the vendor, who in go back might send a quote based totally at the price of
uncooked substances. once all of these steps of the shopping for cycle were achieved,
the products were packaged and dispatched. This formal method become followed for
type B accounts as nicely, even though no longer all buyers would have special
specifications and necessities for the product and instead demanded standardized
merchandise. any other usual purchaser for Farm Electronics had been those, who
might purchase directly for carriers featured in current seller lists. it is important to
specify that Farm Electronics’ vendors had been vendors-to-providers, thus its
customers would then resell the goods from Farm Electronics to those corporations
who needed them for engineering tasks consisting of railway networks.

2. As mentioned in advance, the significant elements of Farm Electronics’ cost

proposition was high-quality, timely transport, and after-sales service. The firm’s
policies and methods were for this reason designed to correctly deliver those factors.
for example, the firm furnished 100percent restore and substitute of products, even
after ninety days following the transport. because the B2B market is notably
competitive, Farm Electronics offers checking out and production centres custom
 designed to the wishes of its center customers, in addition to lenient credit score
policies. Farm Electronics’ customers finished satisfactory audits and scores.
consequently, the firm is required to maintain all standards for the norms associated
with trying out, manufacturing, home tasks & different prison general necessities,
together with the ones associated with the first-class of place of job protection
measures and the environmental responsibility of Farm Electronics. In conclusion,
Farm Electronics devoted to improving clients’ pride via providing advanced great of
services and products at a aggressive fee, aiming to constantly enhance its fine
management systems in all of the useful regions of the company.

3. Farm Electronics to begin with targeted farmers and later large firms that had an
ongoing need for specific electrical components, both for manufacturing or building
blocks for large device, railway networks. targeting any new segment calls for a
significant quantity of effort on all fronts. The price of prospecting kind A clients
protected prototype improvement, tour, and informative literature development, which
is more or less $1,000. Farm Electronics turned into very a hit in this market phase
and gained numerous new clients, however to benefit even extra the firm would want
to start customized production facilities which could cost $50,000 plus many different
high priced additional techniques. but, these manufacturing centers may also be used
for other segments, which includes kind B, C, and D accounts. marketing costs
required to target kind C and D clients could be identical to 15percent of the firm’s
sales for the first three years of pursuing these consumer segments. despite the fact
that the marketing value may be very excessive inside the quick-term and the revenue
gained from these small neighbourhood organizations is minimal, this kind of phase
could be very extensive and the wide variety of transactions with a unmarried patron
stages from $500 to $1,500.

4. Four concentrated on authorities’ companies or PSUs as clients requires designing

processes consistent with the eligibility norms, that's a tedious tendering system.
Indian Railways become one potential goal consumer that could convey excessive
revenues to Farm Electronics, for that reason it could be really worth for the
corporation to invest in production equipment, utility costs for numerous best
certifications, and workforce recruitment with a view to turn out to be the direct dealer
to Indian Railways. finally, Farm Electronics should target the foreign places
marketplace in some African countries, which can be often ruled through Chinese
language producers. regardless of the competition, the Indian firm may additionally
set up its sustainable aggressive advantage by means of continuously presenting
aggressive pricing and higher-first-rate after-sales offerings that make the agency
superior to its Chinese language competition. this will also require extensive
preliminary funding in infrastructure, however entering the worldwide marketplace
will be fairly profidesk for the firm.

KOUSHIK MAHANTA
Enrolment Number: 1-21-059
PGDM Batch 2021-23 (SEMESTER 3)
Shanti Business School, Ahmedabad