Term
| Business and Organizational Customers |
|
Definition
| Any buyers who buy for resale or to produce other goods and services. Examples include: Producers of goods/services: manufacturers,farmers; Middlemen; Government units; Nonprofit organizations; not all are organized businesses |
|
|
Term
| Purchasing specifications |
|
Definition
| A written description of what the firm wants to buy; very detailed |
|
|
Term
|
Definition
| A way for a supplier to document its quality procedures according to internationally recognized standards; assures a customer that the supplier has effective quality checks in place |
|
|
Term
|
Definition
| buying specialists for their employers; hold important positions and take a dim view of sales reps who try to go around them |
|
|
Term
|
Definition
| Several people share in making a purchase decision-even top management; Possible buying influences include: users, Influencers, Buyers, Deciders, Gatekeepers |
|
|
Term
|
Definition
| All the people who participate in or influence a purchase (The buyers, users gatekeepers, deciders, influencers) |
|
|
Term
|
Definition
| a formal rating of suppliers on all relevant areas of performance; the purpose is not just to get a lower price on parts or service-purpose is to lower the total costs associated with the purchase (shipping, customer satisfaction) |
|
|
Term
|
Definition
| A request to buy something, completed by a person who needs to purchase something in a company (Ex: Purchase Orders) |
|
|
Term
|
Definition
| occurs when an organization has a new need and the customer wants a great deal of information; can involve: *setting product specifications, *evlauating sources of supply, and *establishing an order routine |
|
|
Term
|
Definition
| a routine repurchase that may have been made many times before; buyers don't need to look for new information or new sources of supply |
|
|
Term
|
Definition
| the in-between process where some review of the buying situation is done-though not as much as in New-Task buying |
|
|
Term
|
Definition
| Providing a customer with inventory when it's needed; reliably getting products there just before the customer needs them; closer relationships between buyers/sellers |
|
|
Term
| Negotiated Contract Buying |
|
Definition
| agreeing to contracts that allow for changes in the purchase arrangements; general project and basic price is described but with provision for changes and price adjustments up or down |
|
|
Term
|
Definition
| contract with an outside firm to produce goods or services rather than to produce them internally; usually cuts costs |
|
|
Term
|
Definition
| trading sales for sales: "if you buy from me, I'll buy from you"; bigger factor in other countries; usually resisted by purchasing managers |
|
|
Term
|
Definition
| the terms of sale offered by different suppliers in response to the purchase specifications posted by the buyer; can be set up in the form of auction sites; can go beyond one time transactions |
|
|
Term
| North American Industry c lassification System (NAICS) |
|
Definition
| groups of firms in similar lines of business; Two-digit industries are less specific than three-diget industries |
|
|
Term
|
Definition
| the buyers have budgeted funds that can be spend during the current period; if the money has not been spent then the buyers can spend freely |
|
|
Term
|
Definition
| Independent buying agents who work in central markets for several retailer or wholesaler customers based in outlying areas or other countries |
|
|
Term
| Foreign corrupt Practices Act |
|
Definition
| prohibits US firms from paying bribes to foreign officials-passed by Congress in 1977; a manager isn't held responsible if an agen in the foreign country secretley pays bribes |
|
|
