Exploring the Key Differences Between Business and Consumer Markets

This essay elucidates the fundamental differences between business and consumer markets, primarily focusing on transaction processes, pricing strategies, and promotional methods. Business markets typically involve B2B transactions, where companies engage in trade to facilitate production, and pricing can vary based on negotiation power. Promotional strategies in business markets often include direct communications such as emails, magazines, and newspapers. Conversely, consumer markets involve direct transactions with end clients, with a standardized pricing approach for all customers. Consumer market organizations commonly employ diverse media channels for product promotion. Thus, the essay underscores the significant variations between these two market types, providing a clear understanding of their distinct characteristics and operational approaches. Desklib provides this solution and many more assignments for students.

Running head: BUSINESS MARKETS AND CONSUMER MARKETS – DIFFERENCES
BUSINESS MARKETS AND CONSUMER MARKETS – DIFFERENCES
Name of the Student
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Author Note

1BUSINESS MARKETS AND CONSUMER MARKETS – DIFFERENCES
The essay majorly shed light in the three key differences between both the business and
the consumer markets.
The business markets tend to follow the transaction processes type of business to
business. This type of transaction helps in the cases wherein the companies transact not only for
their consumption but also for the facilitation of the production of the company (Vakeel, Das,
Udo & Bagchi, 2017). The consumer markets on the other hand tends to transact directly with
the clients of the organization thereby helping in the increase in the sales of the company.
The markets also differ on the basis of the pricing strategies. In the business markets, the
prices that are paid by the concerned client might vary from one client to the other. This variation
is majorly dependent on the negotiation power of the concerned clients in this case. On the other
hand, the consumer markets, the pricing strategy adopted states that all the clients of the
organization should be paying the same price as is set by the organization.
The two different types of markets also vary on the basis of the promotional strategies
that are adopted by the organizations. The organizations that have been operating within the
business markets tend to promote the products through the emails to the concerned organizations,
magazines as well as newspapers (Liu, Foscht, Eisingerich & Tsai, 2018). On the other hand, the
consumer market organizations tend to promote the products over the various media channels.
Thus, from the above discussion, it can be inferred that the two types of markets differ
from each other in a wide variety of manners.

2BUSINESS MARKETS AND CONSUMER MARKETS – DIFFERENCES
References
Liu, Y., Foscht, T., Eisingerich, A. B., & Tsai, H. T. (2018). Strategic management of product
and brand extensions: Extending corporate brands in B2B vs. B2C markets. Industrial
Marketing Management, 71, 147-159. Available at DOI:
10.1016/j.indmarman.2017.12.016
Vakeel, K. A., Das, S., Udo, G. J., & Bagchi, K. (2017). Do security and privacy policies in B2B
and B2C e-commerce differ? A comparative study using content analysis. Behaviour &
Information Technology, 36(4), 390-403. Available at DOI:
10.1080/0144929X.2016.1236837