Tuesday, August 13, 2013

EOC Week 4: Building b-b





The definition of B To B, is a type of transactions made between businesses, which usually involve a manufacturer and wholesaler. B to B is between two companies rather than the retailer. So when products are sold its between two businesses or customers buying products. “The finished product can then be sold to individuals via business to consumer transactions. The company’s consumer finance unit—GE Money—helps finance these and other purchasers through credit cards, loans, mortgages, and other financial services.”
“Did you know that GE’s consumer products contribute less than one-third of the company’s total $183 billion in annual sales?” This is because the consumer market revolves around cultural, personal, social, and psychological behaviors.
“But that’s about where the similarities end. In its business markets, rather than selling to large numbers of small buyers, GE sells to a few very large buyers”
“Buying decisions are much more complex. An average consumer buying a refrigerator might do a little online research and then pop out to the local Best Buy to compare models before buying one.” People buy for different reasons, whether it's for cosmetic reasons or hygenic reasons. There are needs and wants that people have. Though, in the end we form habits, meaning when we buy a product and like it we will always, usually go back and get it again. This causes a long term relationship with a product. Which is what B to B wants, unless the market goes down, then it may make it so that people can't afford to buy the product any longer.

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