Theoretical Framework of Pre and Post Purchase Behavior for Material Handling Equipment in the Indian Auto and Auto-Ancillary Industries

Abstract

Material handling equipment (MHE) is necessary in the auto and auto-ancillary industries, where competitors rely on operational excellence to gain competitive advantage. Individuals will have to undertake capital-related decisions when acquiring this equipment, and it is therefore of great essence that the nature of behaviors that impact the organizational purchase processes before and after the acquisition process are completely understood. The theory formulated in the study is derived as a synthesis of practical decision criteria rationale as they apply to the domain of MHE buying and models of industrial buyer behavior, which are well established. Besides post-purchase aspects such as performance evaluation, customer analysis, and contractor interaction, the framework emerges as a strong priority on pre-purchase activities such as identification of need, evaluation of constituents, and involvement of stakeholders. To offer a guided prism through which to solemnly make a decision, a SWOT analysis will be incorporated to describe both internal and external factors that influence a behavior of purchasing. The proposed model contributes to the existing research by integrating behavioral, risk-related, and strategic implication theoretical frameworks into one approach. Due to its conceptual nature, the particular study will be based on theory and prior studies as opposed to actual facts to give the basis of subsequent studies. The final aim of the framework is to help auto and auto-ancillary companies make prudent procurements as well as to provide relevant information to MHE suppliers and manufacturers.