models of obb abhimanyu singh (44769)
TRANSCRIPT
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WELCOME
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MODELS OF
ORGANISATIONAL BUYINGBEHAVIOUR
- Presented by
Abhimanyu Singh
44769
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Organizational fator! or ta!"#ori$nt$%o&'$ti($!
best product quality
dependable delivery
lowest price
)$r!onal fator! or non#ta!" o&'$ti($!
promotion
increments
job security
personal treatment
favour
FACTORS INFLUENCING BUYINGDECISION
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!hen the suppliers" proposals are substantiallysimilar# organi$ational buyers can satisfyorgani$ational objectives with any supplier# and
therefore personal factors become more important
!hen suppliers" o%ers di%er signi&cantly# industrialbuyers pay more attention to organi$ational factorsin order to satisfy the organi$ational objectives
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'he !ebster and !ind (odel
'he Sheth (odel
TY)ES OF MODELS
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comprehensive model considers four sets of variables which a%ect the
buying)decision ma*ing process in a &rm+
• environmental
• organi$ational
• buying center
• individual
THE WEBSTER AND WINDMODEL
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En(iron*$ntal Varia&l$!
Organizational Varia&l$!
B+,ing C$ntr$ Varia&l$!
In%i(i%+al Varia&l$!
Organizational B+,ingD$i!ion!
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En(iron*$ntal
Varia&l$!
, Physical
, 'echnological
, -conomic, Political and legal
, .abour unions
, /ultural
, /ustomer demands
, /ompetitive practicesmoreover pressures
, Supplier information
OrganizationalVaria&l$!
, 0bjective1goals, 0rgani$ation structure, Purchasing policies
and procedures, -valuation and reward
systems, 2egree of
decentrali$ation inpurchasing
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B+,ing C$ntr$Varia&l$!
, Authority, Si$e
, 3ey inuencers
, 5nterpersonal
relationship, /ommunication
In%i(i%+al Varia&l$!
, Personal oals
, -ducation, -perience, 8alues, ob position
, .ifestyle, 5ncome
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Organizational B+,ing D$i!ion!
, /hoice of Suppliers
, 2elay decision and search for more information
, (a*e# or lease# or buy
, 2o not buy
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-nvironmental factors inuence the buyingdecisions of individual organi$ations
0rgani$ational variables inuence degree ofcentrali$ation or decentrali$ation in the
purchasing function :unctioning of buying center is inuenced by ;
organi$ational1environmental1individual variables 0utput of the group decision)ma*ing process of
the buying center includes solutions to the buyingproblems of the organi$ation and also thesatisfaction of personal goals of individualmembers of the buying centre
-EY )OINTS
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Str$ngt.!
• comprehensive
• generally applicable
• analytical
• identi&es many *ey variables# which could beconsidered while developing mar*etingstrategies by industrial mar*eters
W$a"n$!!
• wea* in eplaining the speci&c inuence of the*ey variables
STRENGTHS ANDWEA-NESS
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developed by Professor agdish < Sheth#=97>
highlights the decision)ma*ing by two ormore individuals jointly# and thepsychological aspects of the decision)ma*ing individuals in the industrial buyingbehaviour
includes three components and situationalfactors# which determine the choice of asupplier or a brand in the buying decisionma*ing process in an organi$ation
THE SHETH MODEL
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Co*/on$nt012
Co*/on$nt032
Co*/on$nt 042Sit+ationalFator!
Supplie
r orbrandchoice
2i%erencesamongindividualbuyers causedbyfactors+
,?ac*ground of individuals,Active search
,Perceptual distortion,Satisfactionwith pastpurchases
8ariables thatdetermineautonomous or jointbuying decision+
@A Product speci&c factors# including,'ime Pressure,Perceived ris*,'ype of Purchase
@? /ompany
speci&c factors# including, /ompany si$e, /ompanyorientation, 2egree of centrali$ation
(ethods usedfor conictresolution in
joint)decisionma*ing process+
, Problem)solving
, Persuasion, ?argaining, Politic*ing
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Co*/on$nt 012
• 'he bac*ground of individuals depends upontheir education# role in the organi$ation# and lifestyle
•
'he factor perceptual distortion means theetent to which each individual participantmodi&es information to ma*e it consistent withhis eisting beliefs and previous eperiences
• 5t is diBcult to measure perceptual distortion#although techniques such as factor analysis andperceptual mapping are available for thispurpose
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Co*/on$nt 042
• 'here are si variables# product and companyspeci&c# which determine whether the buying
decisions are autonomous or joint
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Co*/on$nt 032
• According to the Sheth (odel# larger the si$e ofthe organi$ation and higher the degree ofdecentrali$ation# more will be possibilities of
joint)decision ma*ing• Problem)solving and persuasion methods are
used when there is an agreement about theorgani$ational objectives
• 5f there is no such agreement# bargaining ta*esplace
• /onict about the style of decision)ma*ing isresolved by politic*ing
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Sit+ation fator!
• 'hese can be varied li*e
• economic conditions
• labour disputes
• mergers
• acquisitions
Li*itation
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'he model does not eplain inuence of thesefactors on the buying process
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THAN- YOU