mkgt351-7

• They do not buy for their own consumption
• - Businesses, Resellers, and Governments
• - Fewer customers; Large customers
• - Geographically concentrated
• - Demand
• --- Derived - the demand for business products.
• --- Inelastic - means that an increase or decrease in the price of the product will not significantly affect demand for the product.
• --- Fluctuating - the demand for business products - particularly new plants and equipment - tends to be less stable than the demand for consumer products.

Replaces the Standar Industrial Classification (SIC)

- NAICS is an extremely valuable tool for business marketers engaged in analyzing, segmenting, and targeting markets.

• Systematic purchase process
• New Buy: a situation requiring the purchase of a product for the first time.
• - Initiators and Users
• - Influencers
• - Gatekeepers
• - Purchasers
• - Decision makers

Modified Rebuy: a situation where the purchaser wants some change in the original good or service.

Straight Rebuy: a situation in which the purchaser reorders the same goods or services without looking for new information or investigating other suppliers.

- Use quality, price, and service as criteria.