Why integrating purchasing with marketing is both inevitable and beneficial

Jagdish N. Sheth, Arun Sharma, Gopalkrishnan R. Iyer

Research output: Contribution to journalArticle

57 Scopus citations

Abstract

The shift away from manufacturing in Western developed economies has resulted in economies in which service industries are dominant. Marketing itself has undergone a paradigmatic shift from a focus on the exchange of goods to the provision of capabilities. This paper examines the relationship between marketing and purchasing as a result of the shift from product- to capability-focused commerce. We suggest that the marketing and purchasing departments will become closer due to two major reasons. First, as marketers increasingly become solution-oriented rather than product-focused, they will need to source products and services from third-party vendors and will require deeper involvement of the purchasing department. Second, with the emergence of customer-centric marketing coupled with build-to-order manufacturing, marketing and purchasing will have to be better aligned to deliver solutions to customers. These new dimensions in the marketing-purchasing interaction will also lead to changes in the selection, training, and recruitment of marketers and purchasers as well as their roles in the supply chain. We elaborate on these changes likely to occur in business-to-business organizations and along with implications for managers.

Original languageEnglish (US)
Pages (from-to)865-871
Number of pages7
JournalIndustrial Marketing Management
Volume38
Issue number8
DOIs
StatePublished - Nov 1 2009

Keywords

  • Business markets
  • Customer centric marketing
  • Global trends
  • Integration
  • Marketing
  • Purchasing

ASJC Scopus subject areas

  • Marketing

Fingerprint Dive into the research topics of 'Why integrating purchasing with marketing is both inevitable and beneficial'. Together they form a unique fingerprint.

  • Cite this