Locate an article that discusses business-to-business marketing (B2B) and how it is different than business-to-consumer (B2C) marketing. This could include any aspect of the B2B world, which might inc

MBA 5871 , Business -to-Business Marketing 1 Cou rse Learning Outcomes for Unit I Upon completion of this unit, students should be able to: 1. Differentiate between business -to-business (B2B) and business -to-consumer (B2C) marketing. 1.1 Compare strategic operations for business -to-business and business -to-consumer models. 1.2 Summarize how the business -to-business company operates. 2. Analyze several strategic marketing B2B models. 2.1 Analyze a real -life B2B company with respect to their strategic marketing techniques. 3. Examine the importance of developing relationships with customers, suppliers, and buyers within the B2B model. 3.1 Describe why the development of stro ng relationships is particularly important in the B2B world. Reading Assignment Chapter 1: A Business Marketing Perspective Chapter 2: Organizational Buying Behavior Unit Lesson Business -to-business (B2B) marketing and business -to-consumer (B2C) marketing are within two considerably different environment s. B2B suggests that a business is selling to another business , where B2C suggests that a business is selling directly to the consumer. Under the B2B model, the business could be selling to other businesses as well as government bodies, non -profit agencies, manufacturers, distributors, wholesalers , or other institutions such as hospitals. W hile the customer in the B2B setting is very different than that in the B2C setting, the ultimate goal in both scenarios is to understand customer s and their value proposition with an ultimate goal of satisfying their needs. Hutt and Speh (2013) discuss how this can be achieved through the points of parity and the points of difference. W i th respect to the points of parity, the value of the offering is basically the same as the competition. W ith respect to the points of difference, the value of the offering is different than the competitor , with the goal to be better than the competition ( Hutt & Speh, 2013). Differentiating oneself from the competitors in a positive sense will ultimately lead to a competitive advantage . One of the main differences between B2B and B2C is the simple fact that while developing relationships with your customer s and suppliers is always important, the relationships within the B2B world are absolutely dire. The relationship might be considered somewhat of a partnership that thrives on the sharing of objectives, mission, vision and strategies , and building a team a tmosphere towards the profitability of both businesses. The typical B2B purchase tends to be of much larger volumes than the B2C , thus placing a greater stake on the overall purchase. This also could be looked at as a greater risk for the purchasing organi zation. Because of this, the B2B purchase tends to involve multiple decision makers within the organization. Generally speaking, these characteristics offer opportunities as well as challenges for the marketing manager within an organization . Organizational buying behavior should be considered a process vs. an isolated event. Figure 2.1 , on page 17 of your textbook (Hutt & Speh , 2013) , provides a nice overview of the eight steps in the process , beginning with problem recognition and ending with the selection of order and the performance review. There are three basic types of business purchasing situations that will determine the specific strategy that might be utilized.

These purchasing situations are described below: UNIT I STUDY GUIDE An Introduction to Business -to - Business Marketing MBA 5871, Business -to-Business Marketing 2 UNIT x STUDY GUIDE Title  New task : In this buying s cenario, the problem and product/service to be purchased is completely different from previous purchases. As expected, a significant amount of information and time are invested in analyzing the alternatives.  Straight re -buy : In this buying scenario, the pr oblem and product/service to be purchased is exactly the same as what has been purchased earlier. Little information is required.  Modified re -buy : In this buying scenario, the product/service to be purchased is similar but has some modifications such as co lor, style , or quality modifications, to name a few. This involves limited problem -solving but does require some additional information . The external environmental concerns are a significant consideration within both the B2B as well as B2C world. Borrowi ng from the management discipline, the PEST Analysis provides a solid tool in assisting with this understanding. The crux of this tool is that a marketer needs to analyze how changes in the political, economic, socio -cultural and technological environment will affect their company. The below chart provides details on each of these four segments. Area of Change Description Political/legal As laws and t he political environment change , the impact is felt by most companies. Food companies are particularly impacted by changes in the FDA regulations. Changes in political leaders could change how the government functions. Additionally, tax legislation is impacted by the political leaders. Economic Changes in the state of the economy will impact many companies. For instance, in 2008 when the economy took a dive, the automobile and housing industries suffered. Socio -cultural As the structure of our society changes, their needs will change as well. Even within the B2B structure, the ultimate consumer af fects the B2B purchasing. An example of socio -cultural impact is as the Hispanic and Asian populations continue to grow in the United States, overall needs will change as well. Technological Advancements in technology have impacted EVERY business in a mul titude of ways. The degree of impact that these technological advancements have on an individual businesses will vary. Once there is a good understanding of the external environment, the buying center needs to be analyzed.

This involves looking at the mu ltiple decision -makers involved with the purchase. Beginning with the gatekeeper , this individual basically controls the information that will be viewed by the other decision makers. The influencers tend to be the technical individuals that will provide sp ecs and other technical information necessary to make an informed decision. The deciders are the individuals that are empowered to actually make the decisions. Finally, the buyer is the individual that does not have formal authority to make the decisions b ut tends to handle the administrative work involved with the buying decision. All members of the B2B buying decision making process play an important role in the overall buying pro cess within the organization. Having these multiple decision makers usually provides a challenge to sellers but it generally increases the preciseness of the buying decisions within the B2B environment. Reference Hutt, M. D., & Speh, T. W. (2013). Business marketing management: B2B (11th ed.). Mason, OH: South - Western. MBA 5871, Business -to-Business Marketing 3 UNIT x STUDY GUIDE Title Suggested Reading In this video you will learn the basics of B2C and B2B advertising. Zobel, T. (2012, December 17). B2C vs. B2B: The basics [Video File]. Retrieved from https://www.youtube.com/watch?v=IioMujmO TGk In order to access the resource s below, you must first log into the myCSU Student Portal and access the ABI/INFORM Complete database within the CSU Online Library. This article talks about the importance of making marketing more personal for the average consumer. Maddox, K. (2015). B to B marketing must be more human. Advertising age, 86 (1). This article explains the importance of moving on from the traditional sales funnel. Tesseras, L. (2014 , October 14 ). Salesforce: B2B marketers need to forget the traditional sales funnel. Marketing Week .