Modes of Purchase

Understanding the different modes of purchase is important in both business studies and daily life. Let's break down the three main modes covered in your content.

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Key Point 1: Purchase by Inspection

Detailed Explanation:

• Purchase by inspection is the most common way of buying goods.
• Here, the buyer visits the seller's place or shop.
• The buyer closely examines or inspects the actual goods they want to buy.
• This method is mainly used in retail buying, where items are purchased in smaller quantities.

Important Points:

• The buyer checks the quality, appearance, and sometimes tries the product.
• The final decision to buy is based on what the buyer sees and feels about the product.
• There is direct interaction between buyer and seller.

Examples:

1. Buying vegetables from a market: You look at the tomatoes and potatoes, touch them, and pick the ones you like.
2. Buying clothes from a shop: You check the color, fabric, and size before deciding.
3. Selecting a mobile phone from a store: You check the display, try its features, and judge if it's suitable for your needs.

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Key Point 2: Purchase by Sample/Pattern

Detailed Explanation:

• Here, a sample (for raw materials or foodstuffs) or a pattern (for standard manufactured goods like cloth) is shown to the buyer.
• The sample or pattern represents the whole batch or lot.
• The quality, shade, texture, and sometimes code numbers are used to identify goods.
• Both the buyer and seller agree that the complete order will match the quality and features of the approved sample or pattern.

Important Points:

• Useful in wholesale or large quantity buying.
• Saves time and effort, as testing one sample is easier than inspecting the entire lot.
• Ensures consistency in the product supplied.

Examples:

1. Ordering cloth for making uniforms: The school receives a small piece of cloth as a sample. If it is approved, the entire bulk order is made like that sample.
2. Buying rice in bulk for a restaurant: The supplier gives a sample of rice; the restaurant owner checks its quality before finalizing the deal.
3. Ordering mattresses for a hotel: A pattern of coir mattress is shown. Once agreed upon, the order is placed for all mattresses of the same quality and pattern.

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Activity: Understanding Purchase by Sample

Step-by-Step Instructions:

1. Bring three different brands of biscuits to class.
2. Show one biscuit (as a sample) from each brand to your classmates.
3. Ask the students to test the taste and quality.
4. Based on their choice, decide which brand to buy in bulk for a class party.

Observations:

• The class agrees on the best sample.
• The chosen brand's quality represents the bulk purchase.
• Buying by sample ensures everyone knows what to expect.

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Key Point 3: Purchase by Description

Detailed Explanation:

• Sometimes showing a sample is not practical for the seller.
• Instead, the seller provides a catalogue and price list with detailed descriptions of goods.
• The goods are usually standard, with specific names or codes.
• Buyers place orders by mentioning the product name, brand, or description.

Important Points:

• Common when selling to people in different locations or when products are bulky.
• Saves transportation costs and makes the process faster.
• Strongly relies on trust and reputation.

Examples:

1. Ordering furniture from a catalogue: The buyer chooses a sofa set based on pictures and written descriptions and places an order.
2. Buying branded shampoo online: The buyer knows the brand name (like Dove, Pantene) and orders without seeing the actual product.
3. Choosing medicines from a pharmacy: The buyer just mentions the specific brand or generic name described by the doctor.

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Scenario Based Questions

1. Scenario: An artist wants unique, hand-made vases for an exhibit. She visits a potter and inspects his work.

   • Question: Which mode of purchase is the artist using? Why is this method suitable?
   • Answer: She is using purchase by inspection. This is suitable because she can physically check the quality, design, and uniqueness of each vase.

2. Scenario: A canteen manager wants to buy sugar for the whole school year and checks a small portion before making the full purchase.

   • Question: What mode of purchase is this? Give a reason.
   • Answer: This is purchase by sample because a small quantity represents the entire supply’s quality.

3. Scenario: You need to buy a new refrigerator and see different models in a catalogue before choosing one by brand and features.

   • Question: Which purchase method is being used here? Why is it practical?
   • Answer: Purchase by description. It is practical as large or bulky items like refrigerators cannot be carried around as samples.

4. Scenario: A company orders uniforms by matching the color and fabric code from a small piece shown earlier.

   • Question: How does this method benefit the buyer?
   • Answer: Purchase by pattern/sample. It assures the buyer that the entire order will match the agreed sample, ensuring uniformity and satisfaction.

5. Scenario: You want to buy fresh fruits for your family. You go to the market, pick them up, and check their freshness before buying.

   • Question: Which purchase mode applies? State its importance.
   • Answer: Purchase by inspection. Its importance lies in ensuring you get the best quality and value for your money.

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Remember: Choosing the right mode of purchase can help save time, effort, and ensure you get the quality you want. Next time you shop, think about which mode is being used!

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