Learning Objectives:

1.Describe the concept of value and value maximization in

organizational purchase
2.Distinguish between an organizational buyer and consumer
3.Interpret the buying situations
4.Describe the impact of technology especially ICT on
organizational purchase
Value Maximisation in Organisational
Purchase
Organisational Buyer Versus Consumer
Factors Differentiating Organisational Buyer from a Household Buyer
Buying Motives

Size of the Buyer

Risks in Purchases
Concentration of Buyers
Buying Centre
All individuals, who participate in decision making are referred to as the
decision making unit (DMU) or Buying Centre.

Roles in the Buying Centre

Actual User
Influencer
Decider
Buyer
Gatekeeper
Decision Making Process
 Need Recognition
 Product Specification
 Laying down Qualifications for Potential Vendors
 Inviting Proposals from Qualified Vendors
 Evaluating the Proposals
 Selecting the Vendor
 Determination of Order Size and Placement of Order
 Review and Feedback
Buying Situations
 Straight Rebuy
 Modified Rebuy
 New Task
 Influences on Buying Decisions