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Difference Between Buyer-Oriented and Buyer-Controlled

By:   •  Course Note  •  475 Words  •  January 29, 2015  •  3,700 Views

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Difference Between Buyer-Oriented and Buyer-Controlled

Difference between Buyer-oriented and Buyer-controlled

➢ Buyer-oriented: Searching each provider to find the best component can take a lot of time, especially for a big industry (so a big buyer). A too much expensive component or poor quality product can affects its production so it is very important for that kind of company to have access to the widest offer.

So, an option available to them would be to create their own portal and to be sure to have the widest choice and so the widest proposals, they usually do their request together to increase the volume of order and have better price (same industry for a same component). To be considered as buyer-oriented the portal has to be owned by several buyers (minimum 2). It benefits to the buyer and also to the seller.

For example in the car industry, Toyota and General Motor can request together on same portal items they need (components) to build their cars.

Another example that can define buyer-oriented could be Samsung and Apple that request memory or camera component for their smartphones.

Buyer-controlled: This kind of buyer is pretty similar to buyer-oriented, but unlike Buyers-oriented, Buyer-controlled is alone to make request. Only one buyer is necessary to influence sellers.

For example Dassault Aviation that make a request on its own website to issue a call for tender for spare parts.

Another example would be a company that post a job offering on its website : unique offer, multiple offers.

Difference between Buyer-oriented and Buyer-controlled

➢ Buyer-oriented: Searching each provider to find the best component can take a lot of time, especially for a big industry (so a big buyer). A too much expensive component or poor quality product can affects its production so it is very important

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