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Organizational buying decision approaches in manufacturing industry: developing measures and typology

Organizational buying decision approaches in manufacturing industry: developing measures and... PurposeThis paper aims to explore buying decision factors and approaches of companies operating in manufacturing industry in Croatia.Design/methodology/approachThe data collected by company survey were analysed using exploratory and confirmatory factor analyses, cluster analysis and cross-tabulation analysis.FindingsResults show that manufacturers are influenced by six distinctive factors when making purchasing decisions. These are supplier’s flexibility, supplier’s reliability, interdepartmental communication, top management support, routine purchases and buyer’s price sensitivity. Manufacturers can be classified in four different groups according to their buying decision-making patterns.Practical implicationsThis paper provides a set of factors and approaches which might help selling companies and sales representatives understand the purchasing practices of buying company better, and develop adaptive selling approaches accordingly.Originality/valueBased on a literature review and field research, an instrument of organizational buying behaviour was developed and tested in the Croatian manufacturing industry. The factors of organizational buying behaviour patterns were identified, and the typology of buying decision approaches applicable for manufacturing industry was developed. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Business and Industrial Marketing Emerald Publishing

Organizational buying decision approaches in manufacturing industry: developing measures and typology

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References (45)

Publisher
Emerald Publishing
Copyright
Copyright © Emerald Group Publishing Limited
ISSN
0885-8624
DOI
10.1108/JBIM-10-2014-0214
Publisher site
See Article on Publisher Site

Abstract

PurposeThis paper aims to explore buying decision factors and approaches of companies operating in manufacturing industry in Croatia.Design/methodology/approachThe data collected by company survey were analysed using exploratory and confirmatory factor analyses, cluster analysis and cross-tabulation analysis.FindingsResults show that manufacturers are influenced by six distinctive factors when making purchasing decisions. These are supplier’s flexibility, supplier’s reliability, interdepartmental communication, top management support, routine purchases and buyer’s price sensitivity. Manufacturers can be classified in four different groups according to their buying decision-making patterns.Practical implicationsThis paper provides a set of factors and approaches which might help selling companies and sales representatives understand the purchasing practices of buying company better, and develop adaptive selling approaches accordingly.Originality/valueBased on a literature review and field research, an instrument of organizational buying behaviour was developed and tested in the Croatian manufacturing industry. The factors of organizational buying behaviour patterns were identified, and the typology of buying decision approaches applicable for manufacturing industry was developed.

Journal

Journal of Business and Industrial MarketingEmerald Publishing

Published: Mar 6, 2017

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