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Chapter 9: “Organizational Consumers” Joel R. Evans  &  Barry Berman Marketing, 10e: Marketing in the 21st Century
Chapter Objectives ,[object Object],[object Object],[object Object],[object Object],[object Object]
Introduction ,[object Object],[object Object],[object Object],[object Object],[object Object],Betty’s  Office Equipment
Types of Organizational Consumers (1) Manufacturers   Retailers Nonprofit Institutions Organizational Consumers Government Wholesalers
Types of Organizational Consumers (2) ,[object Object],[object Object],[object Object],[object Object],[object Object]
Characteristics of Organizational Consumers   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],The U.S. has a sophisticated infrastructure. Wal-Mart
Derived Demand The success and purchases of organizational consumers are ultimately based on  Final Consumer Demand . Palm Plaza Hotel
Derived Demand for Major Appliances 1. Expected consumer demand for appliances 2. Retailers order appliances from manufacturers   3. Manufacturers order raw materials for production from suppliers 4. Raw materials suppliers extract and refine quantity demanded by manufacturers All intermediate levels of demand are derived from final consumer demand.
Key Terms and Differences (1) ,[object Object],Employ buying specialists.  . Have shorter distribution channels . Derive demand from final consumers. Are fewer in number  &  geographically concentrated. Have cyclical demand.
Key Terms and Differences (2) ,[object Object],Use buying teams. Use competitive bidding. Commonly lease equipment. Use formal vendor  &  value analysis. Buy based on specs.
Accelerator Principle Final consumer demand affects several layers of organizational consumers.   Refineries  Ore  Lumber  Farmers  Grains   Manufacturers  Wholesalers  Jobbers  Distributors   Retailers  Malls  Direct Marketers  Nonprofits  Schools
Understanding the Accelerator Principle ,[object Object],[object Object],[object Object]
Goals of Organizational Consumers Product  Availability   Customer  Service Good Price Level and Terms General Goals Prompt Delivery Seller Reliability   Consistent  Quality
Systems Selling  &  Reciprocity ,[object Object],[object Object],[object Object],a buyer by one vendor . is provided to
North American Industry Classification System (NAICS) ,[object Object],[object Object],[object Object],[object Object],[object Object]
End-Use Analysis ,[object Object],[object Object]
The Organizational Consumer’s Decision Process 1. Expectations of Purchasing Agents, Engineers Users Others 2. Buying Process Autonomous Or Joint 3. Conflict Resolution Supplier or Brand Choice 4. Situational Factors
Chapter Summary ,[object Object],[object Object],[object Object],[object Object],[object Object]

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Marketing Chapter 09

  • 1. Chapter 9: “Organizational Consumers” Joel R. Evans & Barry Berman Marketing, 10e: Marketing in the 21st Century
  • 2.
  • 3.
  • 4. Types of Organizational Consumers (1) Manufacturers Retailers Nonprofit Institutions Organizational Consumers Government Wholesalers
  • 5.
  • 6.
  • 7. Derived Demand The success and purchases of organizational consumers are ultimately based on Final Consumer Demand . Palm Plaza Hotel
  • 8. Derived Demand for Major Appliances 1. Expected consumer demand for appliances 2. Retailers order appliances from manufacturers 3. Manufacturers order raw materials for production from suppliers 4. Raw materials suppliers extract and refine quantity demanded by manufacturers All intermediate levels of demand are derived from final consumer demand.
  • 9.
  • 10.
  • 11. Accelerator Principle Final consumer demand affects several layers of organizational consumers. Refineries Ore Lumber Farmers Grains Manufacturers Wholesalers Jobbers Distributors Retailers Malls Direct Marketers Nonprofits Schools
  • 12.
  • 13. Goals of Organizational Consumers Product Availability Customer Service Good Price Level and Terms General Goals Prompt Delivery Seller Reliability Consistent Quality
  • 14.
  • 15.
  • 16.
  • 17. The Organizational Consumer’s Decision Process 1. Expectations of Purchasing Agents, Engineers Users Others 2. Buying Process Autonomous Or Joint 3. Conflict Resolution Supplier or Brand Choice 4. Situational Factors
  • 18.