Perreault−McCarthy: Basic
Marketing: A
Global−Managerial
Approach, 14/e- Business and
Organizational Customers
and Their Buying Behavior
Text © The McGraw−Hill
Companies, 2002190 Chapter 7
Vendor analysis tries to focus on economic factors, but purchasing in organiza-
tions may also involve many of the same behavioral dimensions we discussed in
Chapter 6. Purchasing managers and others involved in buying decisions are human,
and they want friendly relationships with suppliers.
The purchasing people in some firms are eager to imitate progressive competitors
or even to be the first to try new products. Such “innovators” deserve special atten-
tion when new products are being introduced.
The different people involved in purchase decisions are also human with respect
to protecting their own interests and their own position in the company. That’s
one reason people from different departments may have different priorities in try-
ing to influence what is purchased. Similarly, purchasing managers may want to
avoid taking risks that might reflect badly on their decisions. They have to buy a
wide variety of products and make decisions involving many factors beyond their
control. If a new source delivers late or quality is poor, you can guess who will be
blamed. Marketers who can help the buyer avoid risk have a definite appeal. In
fact, this may make the difference between a successful and unsuccessful market-
ing mix.
A seller’s marketing mix should satisfy boththe needs of the customer company
as well as the needs of individuals who influence the purchase. Therefore, sellers
need to find an overlapping area where both can be satisfied. See Exhibit 7-3 for a
summary of this idea.Although organizational buyers are influenced by their own needs, most are seri-
ous professionals who are careful to avoid a conflict between their own self-interest
and company outcomes. Marketers must be careful here. A salesperson who offers
one of his company pens to a prospect may view the giveaway as part of the pro-
motion effort—but the customer firm may have a policy against any employee
accepting anygift from a supplier. For example, General Motors developed an ethics
policy that forbids employees from accepting anything of value from a vendor. It
specifically includes entertainment—like a golf outing, a steak dinner, or tickets to
a sporting event.Organizational customers want
reliable suppliers who will deliver
on their promises and not reflect
badly on the buyer’s decisions.
Ethical conflicts
may arise
Behavioral needs are
relevant too
Internet Exercise At the Computer Discount Warehouse website
(www.cdw.com) a buyer can compare the features and prices of alternative
products. Click on “Notebooks” (under the PRODUCTFINDER heading) and
then search for notebooks with a Processor Speed of at least 1GHz. Select
two notebooks from two different manufacturers and click compare. How
helpful would this analysis be if you were a computer buyer?