Examine the concept of organisational buying behaviour in an organisation

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Mariam Peyton

Mariam Peyton is a professional Financial Analyst. She holds a Masters degree in Economics. She specialises in financial analysis and forecasting. Her expertise includes studying the financial performance of companies, markets and entire industries looking for trends, insights and information that can help you glean rich insights for use in academic and market research.

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Organizational behavior is defined as the examination of human behavior in an organization and the relations between people and the organization with the intention of understanding and predicting human behavior. It may also be defined as a study that examines the impact of individuals, groups, and structure on the behavior in an organization with the intention of using this assessment to improve its productivity. The purpose of this paper is to carry out a study of organizational buying behavior in an organization. What is organizational buying Behaviour? Organizational buying behavior is the way in which businesses obtain goods and services. This process is influenced by a number of factors such as the type of organization, product, or service and the role of the organization. The organizational buying behavior process may be divided into three main types namely routine buying where an organization makes a straight purchase decision with the same supplier, modified rebuying where an organization makes certain specific decisions on some products, and new buying where an organization identifies its needs and follows the proper steps to purchase them. This process differs from organization to organization depending on several factors such as the type of organization, and volume of purchase among others. 

Table of Contents

• Examine the concept of organizational buying behavior in an organization a Case Study
  • Key Learning Outcomes
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• 1.0 INTRODUCTION
• 2.0 TOPIC NAME

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Examine the concept of organizational buying behavior in an organization a Case Study

Key Learning Outcomes

1.0 INTRODUCTION

Marketers may understand the effectiveness of industrial marketing not only through grasping the nature of industrial buying but also by understanding industrial buying behavior. Organizational buying behavior may also be known as business buying behavior, organizational buying decision, or industrial buying behavior. What is organizational buying Behaviour? Organizational buying behavior is the way in which businesses obtain goods and services. However industrial buying is a complex process which means a single variable such as price, total cost, reciprocity, or ego enhancement cannot exhaust.

It is worth noting that models of industrial buying behavior should be able to deal with the difficulty faced in industrial buying decisions that involve many people such as users, deciders, influencers, and buyers who are technical in nature, arrived at over long periods of time, and necessitate compound interface of personal, interpersonal, organizational and environmental factors in defining buyer response to marketing struggles.

This essay is going to examine the concept of organizational buying behavior in an organization. What is an example of organizational buying behavior? An example is buying groceries in large quantities from the manufacturer to resale to the final consumer. What are the three types of organizational buying behavior? It may be divided into three main types namely routine buying or straight repurchase decision where an organization makes a straight purchase decision with the same supplier, modified rebuying where an organization makes certain specific decisions on some products, and new buying where an organization identifies its needs and follows the proper steps to purchase them.

What are the four factors that influence Organisational buying behavior? This process is affected by a number of factors among which include Environmental Factors such as the demand level of the product or service, economic point of view, technological changes, legal & political changes, competitive environment and availability of natural resources, Organizational Factors such as organizational policy, its objectives, purchasing policy, buying procedure, organizational structure, production system, etc. among other factors which will be discussed in detail in the following sections of this essay. 

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