Thus an understanding of organisational buying behaviour (OBB) becomes fundamental not only for the development of appropriate industrial marketing strategies but also has significant implications for the development of procurement strategy within the buying organisation. Download chapter PDF References filexlib. In organizational buying there is a more complex environment adapted from Hutt and Speh's model.17 Environmental forces on buyer behaviour include economic, legal, political, cultural, physical and technological factors, so general economic trends in the commercial arena in which the buying organization is located are important, as are In a recent paper, Johnston and Lewin (1996)analyse the stream of research on organisational buyer behaviour published over the past 25 to 30. years isolating eight propositions which they encapsulate in their `Risk Continuum'. Our paper, reports a comparison between Johnston and Lewin's analysis of the extant literature and current buying practices as revealed by interviews with senior UK buyers. Organizational Buying Behaviour is a complex decision-making and communication process involving the selection and procurement of products and services by organizational buyers. Individuals, organizations, or government agencies that make a purchase decision regarding raw materials, products and services, components, or finished goods are known
Keywords: Industrial buying behaviour, business buying behaviour, B2B buying behaviour, Organizational buying behaviour. 1. Introduction 1.1 Meaning Organization buying is the decision-making process by which formal organizations establish the need for purchased products and services and identify, evaluate, and choose among alternative brands
Created Date: 6/26/2006 1:16:40 PM
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The environmental factors of business buying behavhior include government regulation, technological innovations, demand level, competition, social responsibility, cost of funds, availability of natural resources, etc. Marketing organizations need to assess the strengths and weaknesses of these factors and analyze how they affect their customers.
Organizational buying behavior refers to the process of how companies or organizations buy goods and services. Organizational Buying is not an easy activity as most people think of it. Following are the stages in the Organizational Buying process: ADVERTISEMENTS: Stage-1 - Problem Recognition:
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Figure 4.4This ad illustrates organization behavior decision criteria. Five characteristics mark the