Running Head: THREE PURCHASE SITUATION 1

THREE PURCHASE SITUATION

Abstract

In this paper I have talked about the purchase situation of consumer and organization. I have also

talked about how it differs from purchase situation. I have also talked about three different types

of purchase situation and they are New task, modified re-buy and straight re-buy.
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THREE PURCHASE SITUATION

Consumer buyer behavior is the process where people search, select, consume and

purchase the product and services to satisfy the need and desire [ CITATION Zha15 \l 1033 ]. It

is very essential for every organization to look at the buying behavior of the people and this will

also help an organization to make effective marketing strategies and achieve the set goal of an
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organization. And consumer buying behavior also differs as per the product. Consumer will have

different buying behavior when they tend to buy high involvement product and they will have

different buying behavior when they tend to buy low involvement product [ CITATION Kot16 \l

1033 ]. Consumer need not to think too much before purchasing the product [ CITATION Adh19

\l 1033 ].Organization need to use different marketing strategies, marketing mix and study of

consumer behavior is also important.

Organization buyer behavior is decision making process where organization understand

the need, requirement of the firms and the purchase of goods and services and choose among

different alternatives [ CITATION Wes96 \l 1033 ].

The three different purchase situation are mentioned below:

1. New task: It is the situation where buyer do not have any idea about the product which

they are going to buy. Here most of the products are high involvement products. High

involvement products have higher cost and low involvement products have low cost

[ CITATION Haw16 \l 1033 ]. While buying high involvement products we will be using

buying process.

Consumer will follow buying process while buying in new task situation and the situation

are mentioned below:

i. Wendy’s or McDoland’s

Product should be unique and attractive so that consumer will be curious about the

product and brand and they should also be curious to buy it. Product should also be

healthy so that people refer to their colleagues, friends and relatives. And finally

packaging should be attractive and clean.

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ii. Mercedez-Benz or other automobile dealership in the U.S.

There should be a show in most of the cities and also in remote areas as well. And

there should also be service center as well. Beside this there should also be

availability of spare parts in each and every dealership and retail store. Providing

different types of schemes and offers.

iii. Target or Supermarket

Supply chain management should be easy so that people don’t get any kind of

problems while getting delivery of the products. Different facilities should be

provided to the customers.

iv. University

University must focus more on practical knowledge. Management team should be

strict on class lecture and time.

2. Modified re-buy:

It is the situation of purchase of product where consumer do have knowledge about the

product before they buy it [ CITATION Zab10 \l 1033 ]. Consumer want to change the

product to meet their satisfaction level. They want more features than previous one.

i. Wendy’s or McDoland’s

Discounts while using visa and credit card. Different types of schemes like festival

offers, father and mother days offers, etc.

ii. Mercedez-Benz or other automobile dealership in the U.S.

Full options automobile at low price and other features. Getting tour package in

different countries and lucky draw. New innovative change in the existing products.

iii. Target or Supermarket

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Discounts on different types of products. Different offers like buy get one free or buy

two get one free.

iv. University

Different facility providing to student and focusing on different development

programs for students. Different guest lectures about the real market situation and

analysis.

3. Straight re-buy:

It is the situation where consumer have good and enough knowledge about the product.

Here consumer buy same product at same place at same time. Consumer buy goods and

services only from the suppliers who are on approved list.

i. Wendy’s or McDoland’s

The ingredients that are required for the company to make the products are brought

from the same store. And there will be unavailability of the ingredients from that

store then they will search to another store but they will not change the product.

ii. Mercedez-Benz or other automobile dealership in the U.S.

The spare parts like tyre, hood, rim, etc and also engines are always made up of same

materials at same place. And they will not change the place to make the product.

iii. Target or Supermarket

The products are always brought from same suppliers and they will have good MIS

system so that they can find out the stock of the product.

iv. University
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They purchase furniture, laptops, computers and other necessary materials from the

same vendors. And if there will be unavailability of product or if they have any issues

with the vendor then they will change the vendor not the product.

Conclusion

Being an organization we need to understand the behavior of the consumer and we also need to

have good marketing search and different marketing strategies so that we can target the specific

people and achieve the goal of an organization. And we also need to find out the buying behavior

of the people as well.

Personalized CLO

In this video it talks about the choice and happiness. It has said that the choice that the way think

about the choice is wrong. People do not know what they actually want, regardless what they

claim they do. Being an organization we cannot know the choice of people. So to know their

choice we need to have good market research and experiments like Coke and Pepsi. Consumer

wants to be happy and markets are increasingly trying to appeal to consumers pursuit of

happiness[ CITATION Mog12 \l 1033 ]

If we want to know what people want then the best option for us is to ask them. Similarly in an

organization the leader need to ask their co-workers what they want while doing the work. And

this shall make them motivated towards their work and organization can get success and achieve

their set goals. And we cannot always explain our desire. A lot of time people don’t know what

want until we show it to them.

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This video also talks about the Howard Moskowitz who is an American market researcher and

psychophysicist. He is famous for creating new spaghetti sauces. He has been finding the best

spaghetti sauce that makes consumer happy. Why he did is because what ever product an

organization makes it is all consumed by the people. Therefore, the main thing is that we need to

make consumer happy. And if they are happy and if we can fulfill their choice and desire then

we will be able to get success in the market. And we also need to listen to the voice of customer

and make the product accordingly and this will also lead an organization to success in the

market.

Looking at this video, I can relate this to CLO 1 because being an organization we need to

understand the behavior of the customer and then we should make market strategy accordingly.

And one of the industrial example is online shopping. They try to understand the behavior of the

people and also try to play with the mind and show the product accordingly.

References
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Adhikari, A. (2019). Consumer Behavior in Low Involvement Product Purchase: A Stochastic

Model. Theoretical Economic Letter .

Hawkins.D, & Motherbaugh, D. (2016). Consumer Behavior. McGrawHill Education .

Johnston, W. J., & Lewin, J. E. (1996). Organizational buying behavior: Toward an integrative

framework. Journal of Business Research .

Khan, M. (2007). Consumer Behavior. New Age International.

Mogilner, C., Aaker, J., & Kamvar, S. D. (2012). How Happiness Affects Choice. Journal of

Consumer Research , 39 (2).

Zablah, A., Brown, B. P., & Donthu, N. (2010). The relative importance of brands in modified

rebuy purchase situations. International Journal of Research in Marketing , 27 (3).

Zhang, Y. (2015). The Impact of Brand Image on Consumer. Open Journal of Business and

Management .