Session 2
Class Exercise
Step 1
For the product that you had chosen as a
group -list the types of customer groups they
could be sold to and the intended use in the
buying organization
What are Business Products?
Key is the
products
intended
use
Classifying Goods for Business Markets
Entering Foundation
Goods Goods
Facilitating
Goods
Entering Goods
Become part of the finished product
Raw Materials (wheat, coal etc)
Manufactured materials and Parts (component
materials-steel, bronze etc & component parts like
motherboard, fastener etc)
Foundation Goods
They are capital items include installations
and accessory equipment
Installations major long term investment like
assembly line
Accessory equipment generally less expensive
like PC, photocopy machine etc
Facilitating Goods
Goods that support the organizational
operation
Supplies (Printer cartridge, repair items etc)
Services (maintenance and repair support and
advisory support)
Categories of Business Market Customers
Producers OEMs
Commercial
Wholesalers
Resellers Retailers
Governments
Municipality State
Buyer/Cu
stomer/e
OEM nd user
Direct
Upstream Suppliers
suppliers
How do you assess the rivalry ?
HS Code
Assessment
NIC
of
Competition
Foundation
Goods
Entering Identifying
Goods new buyers
Process
Classification as
Product (Type)- Assessment of
Entering/ Identifying new buyers
NIC/HS, Attributes etc. Competition
Facilitating/Foundation
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MRIDULA@XIMB.AC.IN