Company because the individuals cannot afford to hire full time contractors; hence B2C can not compete in this kind of market. b)Marketing CostsB2B is able to save money on marketing and advertising expenses. A B2C is best known for spending much money in most of the advertising channels, like radio, television, newspapers and internet so as to attract a large group of clients. On the other hand, B2B only reaches a few decision makers at its representatives and client firm since they can contact people directly.
10Business to Business Marketing c)Client relationshipA B2B company has few clients to keep the happy and on the track. It can only focus on a few large customers’ preferences, and can also assign individual representatives of sales to the customers so that it can determine on what else each customer wants (Reynolds, 2010). The firm of B2B reduces the risk of producing a product that is not needed by the customers hence makingit an advantage. 4.2.2 Disadvantages of B2Ba.Income sourcesOne of the disadvantages of B2B Company is that it depends on large orders from only its existing clients. This is a disadvantage because if the client goes out of business, then the company will be in trouble finding other new clients. b.Bargaining positionIn terms of leverage, B2B companies have less leverage as compared to B2C companies. The other firm knows that firm b2B depend on it for their business, and therefore they can ask for an aggressive price reduction or even demand other services like free delivery. A retail customer pays the sticker price on an item and has no other option than to accept the financing terms being offered to all customers (Mullin, 2010). This makes a disadvantage to B2B Company. 4.3 advantages and disadvantages of B2C4.3.1 Advantages of B2CIn B2C, one can begin the business knowing who the customers are going to be than a young entrepreneur just getting into the industry. Another advantage is that in B2C, there is less maintenance. 4.3.2 DisadvantagesThe failure rate in B2C is high. This is because there are many players who only focus onbeating a newcomer which makes it difficult for the newcomer to grow. Again, in most of the B2C, the business is dealing with unknown competitors (Procopio, 2012). 5.0 Conclusion
11Business to Business Marketing Company’s sales force, the company consists of its staff of sales persons. The purpose of the sales force depends to a large extent on the company is selling directly to businesses or to the consumers. For the consumer sales, the sales force mostly is concerned with closing and taking of orders. The sales person does not call the customers or create demand for the product, this is because the demand has been through promotion and advertising.