Business and Government Customer Decision Making Essay

Business and Government Customer Decision Making - Essay Example Often, straight rebuy is a purchase from an "approved list" of suppliers which satisfactory met the standard set buy the buyer. In order for the suppliers to maintain its relationship with the business buyer, it maintains its product or service quality. Companies utilizing straight rebuy are often automated in order to save reordering cost and time. Globally, Dell, Inc. is recognized as an organization which pursues strategic partnership with its various suppliers. Through the use of technology, the company shares the level of its material inventory with its current suppliers. These enables it to facilitate straight rebuy once its input goes below the optimum quantity. Aldi, the international retailer is also using a straight rebuy in replenishing its grocery shelves. It should be noted that the retailer has an extensive network of supplier for its merchandise. The company employs a Point of Sale system which tells suppliers when to deliver the needed goods. Modified rebuy happens when a business organization wants to purchase a component but would like to alter product specifications, prices, delivery requirement, or other terms (Widing 2002, p.155). As opposed to straight rebuy this buyclass may consider new suppliers to provide its new needs. The company also gathers information in its quest of finding the appropriate supplier.