The-definition.com

Definition

Modified rebuy

Definition (1):

Modified rebuy refers to a business buying situation in which the buyer wants to modify product specifications, prices, terms, or suppliers. The “in suppliers” may become nervous and feel pressured to put their best foot forward to protect an account. The “out suppliers” may see the modified rebuy situation as an opportunity to make a better offer and gain new business.

Definition (2):

“a buying situation in which an individual or organisation buys goods that have been purchased previously but changes either the supplier or some other element of the previous order.”

Definition (3):

A modified rebuy is a purchasing situation where goods are bought that have been bought before but there are mentionable differences in the purchasing contract terms: the previous order’s some elements are modified like the terms, technical specifications, delivery arrangements, price, design, quality, or packaging. The importance of these differences may reflect alterations in the requirements of the customers, or in the competitive positions of the customers, or in the offerings of a supplier. 

According to Fairs, Robinson, and Wind (1967), organizational buying can be divided into 3 types: new task, straight rebuy, and modified rebuy.

The 3M Company in America serves as the best example of this rebuy.

Share it:  Cite

More from this Section