Business Analysis : Business Marketing

2277 Words Apr 28th, 2016 10 Pages
Business-to-Business Marketing To understand the overall concept of business-to-business marketing, it is significant to look into the value chain, which begins with a customer demand or need for the product or service. Taking an example of a shirt that someone can buy from the shop, business traders have sold the raw cotton to a business that performs the spinning, the spinning business then sells the spanned cotton to a weaver who then sells it to a garment maker until when the final product reaches the consumer. Every business buys the product with the aim of adding value rather than for complete indulgence. Therefore, business-to-business marketing refers to the idea of one business meeting the needs of another business despite the fact that final consumer is responsible for the demand created. In this case, various factors make business-to-business marketing distinct from consumer marketing.
Complexity in Decision-Making Business-to-business markets usually have a complex decision-making unit in that the purchase of key materials that are significant for the business involves a huge team responsible for making the most appropriate choice. The complexity as well as the dynamism, according to Hutt and Speh (2012) creates some implications for the market. Firstly, the targeted audiences are nebulous, constituted by teams of continuously changing persons with varied motivations and desires. The buyer negotiates severely for favorable financial deals and production…
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