MKTG 360 Lecture 9: mktg 360 lecture notes (9)

• School: EMU
• Department: Marketing
• Course: MKTG 360
• Professor: Judy Davis

Document Summary

4 types of buyers & sellers manufacturers & producers, institutions, resellers, government. Manufacturers & producers buy raw materials that allow them to manufacture their own goods. Institutions hospitals, education organizations and religious organizations (copiers, ink, food, janitorial service) Resellers resell manufactured products without altering their form. Government largest purchaser of good and services (5 billion per year on aerospace and defense) The buying organization realizes that it has an unfulfilled need. The organizations considers alternative solutions and comes up with potential specifications. The vendors will use this to develop proposals. Organizations invite vendors or suppliers to present their service or product according to their specifications; may do this by posting on their website or inviting vendors directly. Proposal analysis, vendor negotiation and selection order specification. Buying organization evaluates all proposals, narrows it down to just a few vendors, and negotiates with vendors (price, quality, delivery, etc). The organization places its order with its preferred supplier (or suppliers).