In the process of industrial buying, the decision to buy includes various sequential stages. It involves many people in the buying organization. Importance of each step or stage involved in this process depends on the type of buying situation. Here are some of the steps involved in the industrial buying process: 1. The first stage is recognizing the needs of industrial buyers. 2. Second stage involves the determination of the quantity and characteristics of the required product. For instance, if the product is recognized within or outside the buying organization, then the buying firm will try answering questions such as- what type of services or products are to be considered, what quantity will be required and so on. 3. Stage three is the development of the specifications of the required product. In the second phase, the general solution to the problem is determined and in the third stage, a precise statement of the characteristics of the needed services or products are to be developed. 4. Next step includes searching for qualified potential suppliers and then obtaining and analyzing the supplier proposals. 5. In the sixth stage, the proposals and selection of suppliers are evaluated. Negotiations are done with selected suppliers on rates, payment terms and deliveries. 6. Then comes the stage for routine order selection which is followed by performance feedback and post-purchase evaluation. When buying or selling a business, it is also necessary to understand the basics of business buying behavior. Typical business markets consist of machineries, manufacturing plants, industrial equipment and so on. Companies need to analyze the factors that affect business markets and buying behaviors. This behavior is influenced by various factors. From economical and company to individual and interpersonal factors, business buying behavior is influenced to a great extent.
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