BDA Pharma: Purcahsing Dilemma of New Machinery

Research by: Sandeep Puri, Rakesh Singh, Shraddha Puri, & Siddharth Ninan Abraham

Abstract

In May 2022, the plant head of BDA Pharma initiated a request for ₹20 million to buy a new liquid syrup manufacturing machine. He has narrowed the choice of suppliers to two and gone through several negotiations. Both suppliers meet the required product specifications. There was a price difference of ₹0.5 million between the two suppliers. The plant head must choose between the two suppliers. The case offers an opportunity to analyze the characteristics of business-to-business (B2B) markets, discuss the importance of buying centers in the B2B buying process, analyze the challenges faced by B2B buyers, and discuss the prescriptive selling approach.

Learning Objectives

The case is designed to introduce the organizational buying or business-to-business (B2B) buying process and can be used to discuss the different issues in the B2B selling process. The key learning objectives are as follows:

• Analyze the characteristics of business-to-business (B2B) markets.
• Describe the organizational buying/B2B buying process.
• Discuss the importance of buying center in the B2B buying process.
• Analyze the challenges faced by B2B buyers.
• Discuss the prescriptiveselling approach.

The case is designed for an MBA or EMBA marketing course in a segment that introduces the business-to-business (B2B) buying process. It can also be used in a B2B marketing or sales management course to analyze different issues arising in the B2B selling process. A customer management course could also use this to discuss customer relationships with key accounts.

To cite this case: Puri, S., Singh, R., Puri, S., & Abraham, S. N. (2023). BDA Pharma: Purchasing dilemma of new machinery. Journal of International Business Education, 17, 299-312.

To access this case: https://www.neilsonjournals.com/JIBE/abstractjibe17bda.html

About the Journal

The Journal of International Business Education is to enhance education in international business worldwide through the publication of high-quality refereed teaching materials, articles on key developments in teaching methods and technologies, and new institutional frameworks for international business education.

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