The Buyer's Influence on Pricing Decisions

Abstract

Little effort seems to have been made to understand the buyer's role in pricing. The weight of comment and discussion implies a passive or, at least, reactive role for the buyer in pricing decisions. Yet there is considerable evidence to suggest that the countervailing power of purchases can be a major influence on pricing. A better understanding of the buyer's influence on pricing decisions should be beneficial from several viewpoints. The marketing specialist seeks to understand the processes through which price offers are considered in order to be able to influence those decisions. The purchasing manager should seek similar understanding for his own purposes.

Citation

Farmer, D. and Farrington, B. (1981), "The Buyer's Influence on Pricing Decisions", International Journal of Physical Distribution & Materials Management, Vol. 11 No. 2/3, pp. 122-127. https://doi.org/10.1108/eb014499