Differentiate between consumer buying and organizational buying and give an example of each.
What will be an ideal response?
Consumer buying refers to the purchasing activities of individuals and households for their personal use, consumption or to meet the collective needs of the household unit such as a family or individual. For example, your parents are buying an insurance plan. Organizational buying includes all of the activities of organizational members as they define a buying situation and identify, evaluate, and choose among alternative brands and suppliers. For example, a hospital system is buying MRI Scanner from a healthcare technology company.
You might also like to view...
Prepaid accounts (also called prepaid expenses) are generally:
A. Classified as equity on the balance sheet. B. Assets that represent prepayments of future expenses. C. Payments made for products and services that never expire. D. Classified as liabilities on the balance sheet. E. Promises of payments by customers.
The collection period is affected by _____
a. inventory turnover b. whether domestic or imported merchandise is sold c. vendor terms d. normal selling terms to consumers
Omni Metals Company and Piecework Fabrication, Inc, enter into a contract under which Omni agrees to deliver a certain quantity of sheet metal to Piecework each month. The contract does not include a price term. In a suit between the parties over the price, a court will A) determine a reasonable price
B) impose the lowest market price. C) impose the highest market price. D) return the parties to the positions they held before the contract.
Without an insurable interest, there is no enforceable insurance contract
Indicate whether the statement is true or false