Organizational Buying Behavior

Very formally, Organizational Buying is the decision making process by which formal organizations establish the need for purchased products and services and identify, evaluate and choose among alternative brands and suppliers.

In non-Italics, the organizational buying is a process which the organization undertakes to come to a decision about purchase related to the needs of manufacturing, sustaining the organization and get the best deal out of the entire thing.

The organizational buying process is a systematic step wise process which can be summarized using the following model:

With a few differences in context, the organizational buying process is very similar to that of the consumer, differences being the objective of buying and the end user. In case of the organization, the buying will have objectives that will lead to manufacturing of goods and services for consumer, organization or society. If we refer the post that talked about consumer buying process, in comparative terms, the objectives of buying in that context are much more micro sized as compared to the organizational goals.

The differences between the two have been classified below:

There are a few factors that play an important role in the buying process in case of an organization. They have been summarized below:

Environmental factors:
Factors like dependency, availability, movability, changes in the technology with respect to the item etc are the factors that come into play during the buying process.

Organizational factors:
Changes on the organizational level, type of purchasing adopted (centralized/decentralized) or changes in purchasing practices etc. will come into play.

Interpersonal factors:
Relationships between buyers and seller representatives from competing or collaborating companies.

Individual factors: 
The reaction of the buyer comes into play. The behavior and the kind of service that is obtained by the buyer determines his overall behavior towards the company and the overall organizational buying process.

The Mc'Donalds organizational buying would majorly consist of large scale sellers of potatoes, different kinds of meats and other foodstuffs.
There you go-from organizational buying to different sized French Fries of the highest quality-