Product vs. customer focused industrial selling

Successfully introducing sophisticated new product innovation in industrial marketing requires a high degree of customer empathy on the part of the salesforce. This article describes a group-oriented exercise designed to improve the performance of the salesforce by their analyzing a specific new product's relative advantages, compatability, divisibility, complexity, and risk as perceived by its customers. A follow-up survey of the salesforce indicated that, as a result of this exercise, greater effectiveness and efficiency in achieving marketing objectives were realized.     

A model of industrial satisfaction/complaining behavior

A model of the purchaser's satisfaction with supplier response to a formal buyer complaint is developed and tested. The authors answer two important questions: (1) what variables affect the purchasing agent's satisfaction with a supplier's response to a complaint? and (2) how can the supplier respond so as to keep that customer in the future?     

A decision model for adopting an extended warranty under different maintenance policies

Numerous products are sold with a warranty period and the possibility of buying an extended warranty for a given additional cost. The buyer has then to decide to take the extended warranty or not when purchasing the product. We develop in this paper a mathematical model to study the opportunity provided by the extended warranty for the buyer as well as for the manufacturer. The total average cost incurred by each side during the product’s life cycle is expressed in order to determine the maximum extra cost the consumer should pay and the minimum price at which the manufacturer should sell the extended warranty. This is done under different options in terms of maintenance strategies adopted during the product’s lifecycle.     

Salespeople satisfaction and performance feedback

A model of the relationship between sales supervision and salesforce job satisfaction is developed and tested. The model hypothesizes that salespeople will experience greater job satisfaction when they receive more performance feedback and more opportunity to participate in their supervisor's decision making processes and when they have supervisors who are high on consideration and initiation of structure. In addition, because of recent empirical evidence suggesting a possible consideration/initiation of structure interaction effect on job satisfaction, a hypothesized interaction effect was examined in this study. The results suggest that performance feedback is an important predictor of job satisfaction. Furthermore, they indicate that the sales supervisor's consideration and initiation of structure are related to the salesperson's satisfaction with certain aspects of the job. Participation and consideration/initiation of structure interaction were not found to be significant predictors of salesforce job satisfaction.     

Marketing executives' perceptions of equitable salary increases

Employees' perceptions of fair and equitable salary increases is the subject of this article. Factors hypothesized to be the major determinants of the “perceived amount of pay that should be received” in Lawler's model of pay satisfaction are employed as predictor variables in a multiple regression equation context to explain the observed variation in executives' perceptions of fair and equitable salary increases. A national sample of industrial marketing executives were surveyed. A significant relationship was observed between employees perceptions of fair and equitable salary increases and a number of perceived personal job input and job demands related variables, current salary and wage history, and perceived non-monetary outcomes which are theorized in Lawler's model to be among the major determinants of the perceived amount of pay that should be received.     

Effective selling approaches to buyers' objections

Approaches for responding to an industrial buyer's indecision and price objections were uncovered. When an industrial buyer refuses to make a purchase decision or objects to price, an effective salesperson will seek understanding of the buyer's indecision, consciously look for common underlying objections, address the buyer's specific concern, and establish a decision deadline for the buyer.     

Has Europe missed the endgame of telecommunications policy?

The European Electronic Communications Code (EECC) is a major milestone in the EU's telecommunications policy. But is it such a step forward and are the technical and market developments such that the EECC is the endgame? An endgame would mean that sustainable competition is reached in all telecommunications markets. The current paper argues that the EECC's new policy goal of investment in very high capacity connectivity could actually lead to policies that end in sustainable infrastructure competition. The EECC's policies, however, are not courageous enough to reach this goal. This lack of courage also characterizes the EU's gatekeeper policies on call terminations and net neutrality. In both these areas an endgame with sustainable competition is possible.     

The information society in California: Social factors influencing its emergence

The authors identify three elements which will influence California's future. First, demographic shifts in the state's population have altered California's ethnic and cultural foundations. Second, the state educational system does not seem prepared to train larger numbers for information work, especially members of its growing ethnic population. Third, almost half the state's workforce is now employed in information-oriented work, whether in the industrial, service, or agricultural sectors. The authors demonstrate that the interaction of these elements has profound implications for California's development.     

Olive oil in the EC: Gift from the gods or Trojan Horse

The European Commission fears huge olive oil surpluses as a result of Spain's accession to the Community. It believes it can prevent this, at great cost, by increasing consumer aid for olive oil and adopting a protectionist policy towards other vegetable oils and fats. Thus, the burden would be shifted to consumers of other products and the outside world. Trade relations would suffer. The author considers that the Commission's analysis is unfounded and the Commission's remedies should be questioned. The author also points to possible budgetary savings in the Community's expenditure on olive oil.     

Marketing research by a small industrial firm: A case study

There is a growing need today for industrial marketers to conduct marketing research and use the results in making profitable business decisions. This paper describes a marketing research study conducted by a small industrial firm and discusses the nature and extent of its impact on the firm's operations. Several implications and practical guidelines are derived for industrial marketers in general, based on the firm's marketing research experience.     

Overall corporate strategies for new product programs

The strategy an industrial firm elects for its product development program is increasingly viewed as a critical element of the firm's total corporate strategy. New product development and technology bear an integral relationship to an industrial company's strategic direction by helping to define the range of its possibilities [13]. This article reports the results of an empirical study whose purpose was to identify the major types of innovation strategies that firms pursue—strategy scenarios. A second purpose was to assess which strategies yield the best results.     

Developing and using a customer profile data bank

This article proposes the implementation of a customer profile system to aid the industrial marketer in: making daily sales decisions involving the firm's customers; the development of the vendor's “buyer mix”; and the production of marketing analysis reports used by the firm. The components of the customer profile are presented and the procedures by which these elements can be incorporated into the firm's decision making are explained. Working examples are also provided to reinforce the concepts. Unfortunately the names of the actual corporations had to be deleted or changed for reasons of confidentiality.     

Legislation facing high-market-share U.S. industrial manufacturers

The concept of “no-fault antirust” calls for a legislated limit on a firm's market share. The concept's attraction is its implied simplicity. However, the concept suffers from a number of intrinsic faults and its implementation would adversely effect the competitiveness of U.S. industrial firms in both domestic and international markets.     

China's wheat import programme

China is the world's largest foodgrain producer. It is also the world's major grain trader. China's participation in the world's grain market is unique because of its importance as both a grain importer and exporter, unlike other grain trading nations. This article considers the reasons for China's wheat import programme by following the controversy among Chinese academics, and attempts a more systematic appraisal by the application of regression analysis.     

A policy for UK sugar supplies

A substantial shift in the balance of UK sugar supplies has taken place since entry into the European Economic Community (EEC) as a result of an increase in the production of domestic beet sugar, a fall in consumption, and a reduction in cane sugar imports. This shift in favour of beet sugar would have been greater had the domestic beet sugar industry been able to take full advantage of the increase in production quotas since 1975 under the Community's common sugar policy. A further increase in domestic beet sugar production might yet take place now that the Community's new sugar regulation, which was to have come into force in July 1980, has had to be deferred to 1981. The European Commission has proposed that under the new sugar regulation production quotas should be cut to reduce the size of the Community's structural sugar surplus. The UK government has issued a statement which welcomes the Commission's proposal to reduce the Community's sugar surplus but rejects any cuts in production quotas which would restrict the expansion of its own beet sugar industry.¹     

Sales management control and job performance

A national firm's salespeoples' perceptions of their management control system were related to their performance and satisfaction. Salespeople who perceived job goal clarity, control over their work, and job rewards as being based upon performance were found to be relatively higher performers and better satisfied with their job.     

Women in industrial advertisements

This is one of the first studies to analyze the way in which women are portrayed in industrial advertising. It concludes that the use of sex is not a major selling strategy and that, with one exception, women's role in industrial life is accurately reflected.     

SAM — a baby with many faces

In the last issue of Food Policy, two articles appeared on the subject of the Mexican Food System, or the Sistema Alimenticio Mexicano (SAM). The first article by Frank Meissner¹ reviewed the background to SAM, the proposed strategies, intended targets, its funding and put forward a strong case for considering SAM as a constructive policy for alleviating Mexico's food and nutrition problems. However, Michael Redclift commented in his article that:² ‘There are three principal points to be made of Dr Meissner's article: its interpretation of Mexico's recent agrarian development is questionable; it does not distinguish between the analysis provided in the SAM documents and the policy measures to which they give rise; and, it glosses over serious problems of implementation, giving too little weight to the participatory element without which SAM is doomed to failure’. This rejoinder is Frank Meissner's response to Michael Redclift's comments.     

Applying territoriality to steps in the buyer/seller process

Territoriality is the drive of an individual to stake out, establish, maintain, and defend an area of space for personal use. The “area of space” may be physical or psychological. Industrial buyers and others involved in the buying process, as members of organizations, will act to establish individual territories within the organization and may also act to represent an organization's territorial needs. Because an understanding of the behavior of buyers is important to industrial sales people, and because the concept of territoriality is a mixture of psychological processes, physical behavior, and the space surrounding an individual, a Territoriality Scan System is proposed to assist the salesperson in improving his or her sales communications with industrial buyers. A salesperson can gather important information about an industrial buyer's psychological processes by observing the buyer's physical behavior and surrounding physical space using the Territoriality Scan System. These observational measurements can then be used to enhance the entire sales presentation.