Need Recognition:

The marketing staff must recognise that there is a need for buying. For example, when the Chief Executive of Express Kenya Ltd. was promoted form General Manager to Managing Director, an appropriate car was found. A BMW was bought for the CEO while the middle managers used Toyota Corolla cars.

Identification of Alternatives:

The marketers draw up a list of product performance specification, then the purchasing agent or department identifies various alternative brands and supply sources of the product that can meet the specifications. In the case of Express Kenya Ltd. a decision was made later to buy a Mercedese Benz to replace a BMW when the time came for vehicle replacement.