Information Sources Used by an Organization During a Complex Decision Process

Abstract Understanding how organizations behave when they are confronted with a complex purchase is of great interest to companies providing such complex offerings. In this study, the behavior of organizations in search of information has been evaluated. The analysis of the search for information is based on a mail survey of 75 firms that recently invested abroad. From a principal components analysis, we identified five sets of information sources of which personal and internal sources are the most important. On the contrary, both commercial and noncommercial impersonal sources are by far the least important. The source “external consultant” has been identified as one key source used during a complex decision process incorporating a high level of uncertainty. The results suggest that a mix of communication tools should be used by marketers when promoting their offering.

[1]  C. Patti The Role of Advertising in the Adoption of Industrial Goods: A Look at the Raw Materials Industry , 1979 .

[2]  N. Hood,et al.  Targeting Policy as a Competitive Strategy for European Inward Investment Agencies , 1994 .

[3]  Kjell Grønhaug,et al.  Search behavior in organizational buying , 1975 .

[4]  P. Turnbull The allocation of resources to marketing communications in industrial markets , 1974 .

[5]  D. Rosenfield,et al.  The New Dynamics of Global Manufacturing Site Location , 1994 .

[6]  Richard K. Burdick,et al.  The Relative Importance of Various Promotional Elements in Different Industrial Purchase Situations , 1987 .

[7]  M. Darby,et al.  Free Competition and the Optimal Amount of Fraud , 1973, The Journal of Law and Economics.

[8]  Kjell Grønhaug,et al.  Autonomous vs. joint decisions in organizational buying , 1975 .

[9]  Kent Wheiler,et al.  Referrals between professional service providers , 1987 .

[10]  Richard N. Cardozo,et al.  Experimental Study of Industrial Buyer Behavior , 1971 .

[11]  V. Zeithaml How Consumer Evaluation Processes Differ between Goods and Services , 1981 .

[12]  Patterns of Information Source Use Across Industrial Purchase Situations , 1993 .

[13]  W. A. Dempsey Vendor selection and the buying process , 1978 .

[14]  G. Luffman The processing of information by industrial buyers , 1974 .

[15]  John A. Martilla Word-of-Mouth Communication in the Industrial Adoption Process , 1971 .

[16]  Frederick E. Webster,et al.  Informal Communication in Industrial Markets , 1970 .

[17]  James R. Stock,et al.  The industrial purchase decision for professional services , 1987 .

[18]  G. Dowling,et al.  Information sources used to select different types of management consultancy services , 1991 .

[19]  Robert E. Spekman,et al.  An Empirical Investigation of the Information Sources used during the Industrial Buying Process , 1984 .

[20]  Y. Wind,et al.  A General Model for Understanding Organizational Buying Behavior , 1972 .

[21]  J. Sheth A Model of Industrial Buyer Behavior , 1973 .