Describe the roles and functions that comprise decision making units the organizational buying processes in contrast to the consumer buying processes
Question
Describe the roles and functions that comprise decision making units the organizational buying processes in contrast to the consumer buying processes
Solution
The organizational buying process is more complex than the consumer buying process due to the number of people involved, the formalized procedures, and the size of the purchase. Here are the roles and functions that comprise decision-making units in the organizational buying process:
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Users: These are the people who will use the product or service. They often initiate the buying proposal and help define product specifications.
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Influencers: They affect the buying decision by providing information and criteria for the evaluation of products and suppliers.
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Buyers: They have formal authority to select the supplier and arrange terms of purchase. They may also have a role in defining product specifications.
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Deciders: They have the formal or informal power to select and approve final suppliers. In routine buying, this is often the buyer or purchasing manager.
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Gatekeepers: They control the flow of information to others. For example, purchasing agents often have authority to prevent salespersons from seeing users or deciders.
In contrast, the consumer buying process is usually much simpler. It often involves only one or two individuals who act as the user, influencer, buyer, decider, and gatekeeper. The process is often much less formal and can be influenced by personal preferences and emotions. The size of the purchase is usually much smaller, and the evaluation of alternatives is often less rigorous.
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