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Chapter 10 Marketing
of buying decisions for business purchases:
new purchase, repeat purchase, and modified
purchase.
• A new purchase is a decision to buy a new
product, which requires a great deal of
research and thought. A business will
likely outline product specifications and
expectations for the new product. The new-
purchase level of business-buying decisions
is similar to the extensive decision-making
process for consumers.
• A repeat purchase is a buying decision that
requires little research and thought. Many
businesses purchase the same items on a
regular basis. Repeat purchase decisions
occur when the buyer is satisfied with the
product, vendor, and terms of sale. This is
similar to the routine buying decisions of
consumers.
• A modified purchase is a decision to buy a
familiar product but with some changes
or modifications. The buyer may ask for
bids for the modified product. This gives
the current vendor and new vendors the
opportunity to meet the needs of the
business. This is similar to the limited
decision-making process of consumers.
The amount of research and planning varies
among the levels of buying decisions for
business purchases. A business must consider the
needs of both the business and customers when
making buying decisions.
Government and Institutions
The government market includes national,
state, and local government offices and agencies.
Government customers buy a wide variety of
products. These products range from airplanes and
ground vehicles to office supplies and electronics.
Governments also buy services, such as food
preparation, education, security, and medical care.
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Universities are an example of nonprofit institutions to which B2B sales are made.