BU352 Chapter Notes - Chapter 6: English Auction, North American Industry Classification System, Business Marketing
Document Summary
Business-to-business marketing (b2b): the process of buying and selling goods or services to be used in the production of other goods and services, for consumption by the buying organization, or for resale by wholesalers and retailers. Manufacturers or producers or governments or resellers or institutions. Resellers: marketing intermediaries that resell manufactured products without significantly altering their form. Institutions (hospitals, educational organizations, prisons, religious organizations, non-profit organizations . Product characteristics: b2b: products ordered are primarily raw materials and semi-finished goods, b2c: products ordered are finished goods. Buying process characteristics: b2b: buying structure for large purchases is more structured, formalized and professional; more people involved in buying process; buying decision based on negotiations; firms may engage in reciprocal buying arrangements. Marketing mix characteristics: b2b: more emphasis on the importance of salespeople. North american industry classification system (naics) codes: a classification scheme that categorizes all firms into a hierarchical set of six-digit codes; useful for b2b marketers for segmentation and targeting markets.
