organizational market

Dictionary of Marketing Terms for: organizational market
organizational market

all the individuals and companies who purchase goods and services for some use other than personal consumption. Organizational markets usually have fewer buyers but purchase in far greater amounts than consumer markets, and are more geographically concentrated. Organizational markets are divided into four components: industrial market, which includes individuals and companies that buy goods and services in order to produce other goods and services; reseller market, which consists of individuals or companies that purchase goods and services produced by others for resale to consumers; government market, which consists of government agencies at all levels that purchase goods and services for carrying out the functions of government; institutional market, which consists of individuals and companies such as schools or hospitals that purchase goods and services for the benefit or use of persons cared for by the institution.

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