MKT 504 Midterm: MKT504 - Midterm - Ch. 3

• School: Ryerson University
• Department: Marketing
• Course: MKT 504
• Professor: Daryl D' Souza

Document Summary

Categories of buyers: consumer markets, business markets: institutions, government, firms. Distinguishing characteristics of business markets: concentrated demand, derived demand, higher levels of demand fluctuation, purchasing professionals, multiple buying influences, close buyer-seller relationship. Initiating customer relationship: business buyers" buying process, recognition of the problem or need, determination of the characteristics of the item and the quality needed, the selling process: Strategic prospecting: assessing prospect"s situation, discovering prospect"s needs, planning value-based sales dialogue and presentations, activating the buying process, developing customer relationships, business buyers" buying process: Search for and qualification of potential sources: description of the characteristics of the item and the quantity needed, acquisition and analysis of proposals, evaluation of proposals and selection of suppliers. Increased outsourcing: buyers" access to and demand for relevant information, target pricing, relationship emphasis on cooperation and collaboration. The needs gap: the needs gap is the difference between the buyer"s perceived desired state and the buyer"s perceived actual state.