The buying situation for Siemens is straight rebuy, modify rebuy, and new task because Siemens transacts in business to business operations. Straight rebuy is where a company reorders a good or service without any modifications. Straight rebuy is used by customers who want to solve a continuing or recurring problem (Hutt & Speh 2018). Consumers in straight rebuy have experience in solving a recurring problem. Siemens customers are contractors, health care providers, and infrastructure manufacturers. The customers have experience dealing with issues in their areas of expertise. They require very little information about the goods and services they need to solve problems since they are experienced in their operation. Therefore, they will tend to order straight rebuys from the company. Modified rebuys are where customers reorder products but with modifications to price and product improvement, among others. In modified rebuys, buyers have experience solving the repeatedly happening issues but believe it is essential to consider alternative solutions (Hutt & Speh 2018). For example, a company offering low-cost goods precipitate modified rebuys. A new task is where a company considers buying goods and services first. New tasks present an opportunity for companies to win new customers and increase their sales.
Buying center is composed of individuals who take part in purchasing decisions and share risks and goals involved in buying goods and services. Most customers are companies, healthcare institutions, and contractors from business to business. One person does not make a buying decision it involves many people working in the respective organizations (Hutt & Speh 2018). For example, an engineer may influence the buying process in an engineering company when product specification is made, and salespeople define the buying situation and the information the company needs. Therefore, buying process in business to business involves several departments in a company. Participants in the Siemens buying center are doctors, nurses, laboratory technicians, and engineers because they do business with their corporations.