Digital Channels and Factors Influencing Industrial-Goods-Procurement Behaviors of Petrochemical-Business Customers in The New Normal Context
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Abstract
This research explores how digital channels could influence the purchasing behavior of large companies in the new-normal context. We employ a qualitative research methodology by interviewing experienced purchasing managers during the Covid-19 pandemic and using Atlas.Ti software to analyze interview results. The results show that working from home leads to communication difficulties with suppliers, and that digital channels play a more important role in both search and communication. We also found that Google search results play the most important role in the industrial-goods-procurement processes compared to other channels. However, a company's procurement process typically involves multiple steps involving people at many organizational levels. In this environment, companies cannot purchase directly through digital channels. In other words, we have found that digital channels play roles in guiding customers to suppliers. However, the sales team still plays an essential role in sales closing. Finally, the factors that affect vendor selection are the reasonable price, lead time, responsiveness of the sales team, after-sales services, reliability, and credit terms, respectively.
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