According to prof. Pyle, Marketing function has two major groups. They are concerntration and dispersing function which is clearly given in the following lists or groups.
Marketing Functions:
Concerntrating:
1. Buying and Assembling
2. Transportation
3. Storing
4. Grading
5. Financing
6. Risk Bearing
Dispersing:
1. Selling
2. Transportating
3. Storing
4. Grading
5. Financing
6. Risk Bearing
7. Dividing
But according to Clark and Clark "Marketing functioning as an act, operation or service by which original producers and the final consumers are linked together."
From the above definition, marketing functions can be classified into the main three categories.
Marketing Function
1. Merchandising function:
a. Buying
b. Selling
c. Standardization and
d. Grading
2. Physical function:
a. Transportation
b. Warehousing
3. Facilitating function:
a. Financing
b. Risk Bearing
c. Marketing Information
d. Promotion
1. Merchandising function: It is also known as exchange function. This function helps to transfer the goods as well as ownership from one party to another party. This function is done for matching the products with buyer's need and making available them in the target market.
a. Buying: It is one of the important functions of marketing. It is the process to transfer of ownership from seller to buyer. Buying is indeed an art and we need expert buyers to make scientific purchases in modern market. In marketing, the buying and selling are very important. There are some basic objectives of buying.
1. to get the right quantity
2. to get the right quality
3. to get in right time and
4. to get in right place.
Buying is very closely related to production and marketing department. Producers must work in co-operation to fulfill the needs of marketing set by top management.
Elements/Functions of buying: There are some elements of buying which are also known as functions of buying. They are discussed as follows:
1. Planning to Purchase: It is the first element or functions of buying. The buyers should make the plan to purchase the goods. Their plan may vary and base on their anticipated sales and consumers' demand. It must be depend on customers' demands and needs. Under planning of purchase, three elements, functions are listed beloew:
a. Preparation of budget b. Determining the rate of turnover and c. Changes in price.
2. Contact: It is related with the location and determination of sources of supply. The buyers must contact to the number of potential suppliers. While selecting the suppliers, the buyers must consider the efficiency, financial strength, reputation and goodwill of the suppliers.
3. Negotiation: It refers to the process fo bargaining between buyers and sellers. 
Buyers and sellers meet together with a view to discuss the contents of contract such as price, payment, quality, quantity, mode and time of delivery, transportation and discount etc. After the detailed discussion, they agree to make the terms and conditions for buying and selling goods and services.
4. Assembling: It means bringing or collecting a large number of similar goods of many producers or different sources at a proper place at proper time. It is also known as centralization.
5. Contact: It is a written document where all the terms and conditions such as quality, quantity, price, discounts terms of delivery and payment etc. are clearly written. When it becomes finalized, both buyers and sellers activities start. If anyone party violate this contract, another party can appeal to the court for justice and penalty has to be paid as specified in the contract agreement.
Methods/Types of Buying: Buying methods depend on the nature, size and volume of business. There are some methods to buy the goods. Thet are discussed below. a. Concentrated buying b. diversified buying c. Reciprocal buying d. Hand to mouth buying e. Speculative buying f. buying by samples g. buying by inspection h. Buying by description i. buying by contract j. buying by tender.
If purchases are made from a ssingleor a very few suppliers,is known as concentrated buying. Under this method, the buyers purchase all the required goods from a single seller or selected a few sellers. Buyers can get reasonable price rate, quantity discount, best services, low handling and transportation cost, adn prompt delivery. But if the supplier fairs to maintain regular supply, it will have adverse effect. There is also limited choice to buy the goods due to single or few number of suppliers.
If purchase are made from a large number of suppliers that is known as diversified buying. The buyers enjoy competitive price and wider selection facilities. The danger of putting all eggs in one basket is removed. But this method can't provide quantity discount to the buyers. Similarly, it also increases transportation cost.
Reciprocal buying is like barter system where buyers and sellers enter into a contract to buy and sell the products mutually. Under this method, better quality of goods can be obtained at reasonoable price. It helps to build the good relation and increases purchasing and selling activities. But it reduces the choice of suppliers. There is limited choice and sometimes prices may be higher too.
Hand to mouth buying method also known as conservative buying. Under this method, buyers purchase in small quantities or lots to meet the current or immediate needs. There is no risks of loss and no speculation. Minimum capital is sufficient to purchase the goods and no problem of storage. Speculative buying is also known as forward buying because purchase are made in a big quantity. This method is opposite of hand to mouth buying. By expecting a hugher price in the near future, buyers may purchase the goods in large quantities. However, there is high risk of overstocking and fluctuation of price due to imbalance of market.
Under the buying by samples method, buying purchase the goods according to the sample. Sample are given to the customers by the suppliers. The seller sends the s
ample and price list of the products to the customers. The products and price should be accurate according to the sample and price list. Otherwise, the buyers can return the product. It is very easy for distant places because they can inspect the samples but the best selection of sample is required. But in the method of buying by inspection, the buyers directly visit different stores to inspect the products. The buyers inspect and examine the products directly with the product, thet can purchase the goods. This method is more applicable for wholesalers and retailers.
If the purchase is made on the basis of detail information about the product feature, price and quality etc. through the booklet or catalogue is known as buying by description. Under this method, seller provides all the detail information such as size, performance and uses of product, so that buyers can purchase on the basis of description given by the sellers. Advertisement and brand name of the product also sopport to purchase and sale of the goods. Un
der this method of buying by contract, purchase is made under a contract for a long period with fixed suppliers. The buyers purchase the goods continuously at a fixed price according to the contract. It is mainly suitable when the price is stable and not liable to wide fluctuation but the buyer cannot got the benefit of favourable change in the price. When products are made on the basis of tender is known as buying by tender. Generally, large companies and government offices purchase the goods under this method. All the interested suppliers will send the quotation or submit the form according to the buyers requirement.
Thanks for sharing informative content for us.
marketing expert in Clark NJ