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Chapter 6: Analyzing Business Markets
Transcript of Chapter 6: Analyzing Business Markets
Gatekeepers Stages in the Business Buying Proces Problem Recognition Company recognizes a problem or need that can be met by acquiring a good or service General Need Description &
Product Specification buyer must determine the needed item's general characteristics and required quantity Supplier Search buyer tries to identify the most appropriate suppliers through trade directories, contact with other companies, trade advetisements, trade shows, and the internet Proposal Solicitation buyer invites qualified suppliers to submit proposals Supplier Selection buyer center will specify desired supplier attributes and indicate their relative importance Order-Routine Specification after selecting suppliers, they buyer negotiates the final order, listing the technical specifications, the quantity needed, the delivery schedule, and so on... Performance Review buyer periodically reviews the performance of the chosen suppliers Business Relationships Corporate Expertise
Corporate likeability Overcoming Price Pressures Solutions to Enhance Customer Revues
Solutions to Decrease Customer Risks
Solutions to Reduce Customer Costs Risks and Opportunism Opportunism:
some form of cheating or undersuppply relative to an implicit or explicit contract WALMART*