The Green Machine mowing company has been selling its lawnmowers to retail outlets for years. The company has decided it wants to tap into new markets, so it is looking to sell its mowing tractors to county institutions for mowing grass along public highways. If the county institutions purchase the Green Machine mowers, it would be an example of
A)an institutional buy.
B)a modified rebuy.
C)a straight rebuy.
D)a new buy.
E)a first buy.

Question

Quizplus · Accepted Answer

An institutional buy is a purchase made by an organization for use in its operations, rather than for resale. In this case, the county institutions are purchasing the Green Machine mowers for use in mowing grass along public highways, which is an institutional use.

The Green Machine Mowing Company Has Been Selling Its Lawnmowers