MKT 100 Lecture Notes - Lecture 12: Marketing Mix, Ebay, Office Supplies

• School: Ryerson University
• Department: Marketing
• Course: MKT 100
• Professor: Mary Foster

Document Summary

Characteristics of the products: products are likely to have detailed buying specifications -> leading to custom orders. Organizational purchasers buy raw materials (unfinished goods) -> b2b purchasers are more interested in delivery time, technical support, after-sales service, and financing than b2c customer. Derived demand: mostly large orders due to high demand of a certain aspect of a product. Intel making computer chips -> consumers don"t buy the chips (arguable) but buy the product to which it is embedded -> thus the demand for intel chips is derived from the consumer need for laptops, tablets, smartphones. Reciprocity: two companies decide to buy each other"s products. Office supplies are usually ordered from a list of approved suppliers. Market demand fluctuates depending on overall economic conditions. Fewer purchases means the market takes a downswing leading to a ripple effect that affects all suppliers. Inelastic demand: demand not dependent on the price.