2. Business-to-business advertising has many benefits. It

a. provides an excellent substitute for personal selling.

b. often creates product preference.

c. is primarily used to heighten a conviction.

d. enhances sales effectiveness and efficiency.

e. all of the above

(a)  

3. In designing an advertising strategy, the business marketer should first:

a. determine the size of the advertising budget.

b. select appropriate media sources.

c. determine advertising objectives.

d. develop a series of responsive messages.

(a)  

4. Concerning business-to-business advertising media, publications are directed at a specific task, technology, or function, whatever the industry.

a. common

b.specialty

c. horizontal

d. vertical

(a)  

5. In evaluating the effectiveness of a business-to-business advertising program, the manager should center on:

a. changes in the target market's purchase rate. 

b. changes the target market's product awareness.

c. changes in the target market's product knowledge.

d. both (b) and (c)

(a)  

6. An advertising evaluation program would include an assessment of:

a. target markets.

b. media and messages overall results.

d. buying motives.

e. all of the above

(a)  

In deciding which trade shows to attend, some business marketing strategists turn to reports published by Exhibit Surveys, Inc., a company that surveys trade show audiences. One useful measure that they provide isolates the percentage of the show audience that has decision authority for the types of products being exhibited. This is called:

a. Surveys of Industrial Purchasing Power.

b. Controlled Audience Index.

c. Total Buying Plans.

d. Buying Power Index.

e. Net Buying Influences take a free and her

(a)  

8. The final, and critical, step for managing business-to-Business advertising is:

a. integrating it with other business components.

b. formulating advertising objectives.

c. evaluating and selecting media.

d. evaluating the effectiveness of the campaign.

(a)  

9. Which of the following statements regarding advertising expenditures is incorrect?

a. Because advertising is a relatively large part of the total marketing budget for business firms, managers tend to follow simple rules of thumb (e.g., allocate 1% of sales to advertising).

b. The fundamental problem with percentage-of-sales rules is that they implicitly make advertising a consequence rather than a determinant of sales and profits.

c. Percentage-of-sales rules suggest that the business advertiser reduces advertising when sales volumes decline.

d. The decision to "match the competition's level of advertising spending" is an example of a rule-of-thumb philosophy.

(a)  

10. The Objective-Task method addresses the major problem of the rule-of-thumb methods by applying funds to accomplish a specific goal:

a.so advertising is a determinant of those results.

b. so that advertising is a consequence of those results.

c. because the manager does not have to have some knowledge or instinct for the proper relationship between expenditure level and communication response.

(a)  

11. (a)   is composed of at least two dimensions: (1) trust in the salesperson and (2) satisfaction with the salesperson.

a.Role definition

b. Relational adaptiveness

c. Relationship quality

d. Role congruity

12. Confronting the uncertainty often present in complex industrial exchange settings, (a)   contributes to a lasting bond by offering assurance that the salesperson will continue to meet the customer's expectations, and not knowingly distort information or damage the customer's interests.

a. relational adaptiveness

b. role definition

c. relationship congruity

d. relationship quality

13. When each industrial salesperson performs all of the selling tasks associated with all of the firm's products and performs these tasks for all customers in a particular territory, the sales force is organized on:

a. a customer basis.

b. a market-centered basis.

c. geographical basis.

d. a product basis.

(a)  

14. By organizing its sales force around retailing, financial services, and the petroleum industry, Hewlett-Packard employs the (a)   approach in structuring the sales force.

a.geographical

b. product

c. market-centered

d. territory

15. Effective sales training:

a. builds the confidence and motivation of the salesperson. 

b. keeps the personal selling function aligned with marketing program objectives.

c. reduces the costs associated with recruiting.

d. all of the above

e. (a) and (b) only

(a)  

16. Sales managers use a variety of measures to evaluate salesperson performance. When the measurement system is behavior-based, the sales manager:

a. employs objective measures to evaluate performance.

b. emphasizes a compensation system with a large incentive component.

c. monitors and directs the activities of salespeople.

d. indirectly supervises salesperson activities.. measures the self-esteem of each salesperson.

(a)  

17. In the sales performance literature, recent evidence suggests that a strict reliance on the (a)   measurement approach may not produce the desired sales or marketing results it "has lulled some sales executives into thinking that important sales outcomes could be reasonably accomplished without intense management reinforcement."

a. esteem-based

b. behavior-based

c. satisfaction-based

d. outcome-based

18. The characteristic of a sales territory that refers to the degree to which potential is available in the larger accounts in a particular territory is called:

a. potential.

b. critical mass.

c. concentration.

d. workload.

(a)  

19. The primary organizational selling center include:

a. acquisition and processing of pertinent marketing-related information.

b. execution of selling strategies.

c,designing the channel structure.

d, all of the above.

e. (a) and (b) only.

(a)  

20. A sales organization is especially appropriate when the product line is large ordiverse.

a. a geographical

b. product oriented

c. market centered

d. none of the above

(a)  

Most industrial firms spend roughly the same amount of dollars on advertising as they do onpersonal selling.

(a)  

Generally, business-to-business advertising cannot serve as a substitute for an effective personal selling effort.

(a)  

Business-to-business advertising objectives are usually stated in terms of a specific sales goal.

(a)  

Organizational buyers tend to retain messages that clash with their attitudes, needs, and beliefs.

(a)  

From the business marketer's perspective, the cost-per-thousand calculations for various media options should be based on the circulation target audience, not the total audience

(a)  

The most common form of sales organization found in the industrial market is the market-centered organization.

(a)  

 Frequent contact between the salesperson and sales manager is instrumental to the job satisfaction of the salesperson.

(a)  

Salespersons appear to be able to accept authority and direction from several different/departments in the organization without a significant negative impact on job satisfaction.

(a)  

n example of a planning and control unit or PCU is a sales territory.

(a)  

 if the territory is geographically dispersed, sales will probably be lower due to time wasted in travel by the salesperson.

(a)  

Service (a)   means that services cannot be stored or stockpiled; if they are not provided at the time they are available, the lost revenue cannot be recaptured.

Instances where the customer has direct contact with either the product or service itself or with representatives of it by a third party, such as a channel partner are known as (a)  

Full-service intermediaries that take title to the products they sell and perform the full range of marketing functions are known as (a)  

Channel (a)   refers to the number of channel levels, the number and types of intermediaries, and the linkages among channel members.

The company's (a)   is often the major product element in a company's e-commerce strategy.

A new form of reverse auction has emerged, (a)   which are invitation-only networks that connect a single company to its customers, suppliers or both.

________ increases the speed of, and reduces the cost of, picking orders in the warehouse and moving products between storage and the transportation carriers.

8. Innovative approaches to tighten the distribution process, bolstering links with suppliers and customers, and integrating production and marketing is described by the term____________ management.

(a)  

Collectively, acquisition costs, possession costs and usage costs comprise the (a)   .

Two types of benefits can contribute to customer value in business markets:__________ benefits which are the basic requirements the business marketer must meet to be included in the customer's consideration set ________benefits which are those attributes typically not required, that assist the customer in selecting a supplier from among a qualified set of potential suppliers.

(a)  

The (a)   statement provides guidelines for the company and advertising agency on how to position the product in the marketplace.

 The communications process attempts to take potential buyers sequentially from unawareness of a product to _____________, to brand preference, to conviction that a particular product will fulfill their requirements, and ultimately to __________.

(a)  

The structure of the buying center in a traditional selling focus is indicated by the (a)   and a few other individuals are involved in the buying decision.

Externally mediated rewards are controlled and offered by ____________ or ___________, such as financial incentives, pay, or recognition.

(a)  

A pure service, by definition, accompanies the sale of a physical product

(a)  

An emphasis on strict quality control standards is necessitated by service variabilit

(a)  

Perishability of services may necessitate equating capacity with peak demand

(a)  

source of conflict between business marketers and their manufacturers' representatives centers on the size of

inventory levels reps maintain

(a)  

When a manufacturer sells through hundreds of d stributors across the U.S., reps may sell and service th edistributors.

(a)  

Indirect distribution is appropriate when control of the selling job is necessary to ensure proper implementationof the total product package and to guarantee a quick response to market conditions.

(a)  

For products that are bought frequently, repetitively, and in small quantities, industrial distributorsprovide anefficient channel path.

(a)  

Frequently, the manager has little flexibility in the selection of channel structures because of trade, competitive. company, and environmental factors.

(a)  

The two critical elements of the distributor'sfunction are to secure financing and have products readily available.

(a)  

The geographic dispersion of customers and competitive strategies have very little influence on the choice ofindustrial channels.

(a)  

Intranets are basically company-specific Internets.

(a)  

Extranets allow business partners to use the Internet by providing a unique password to access the company's

intranets.

(a)  

Firms that move to the Internet usually find that traditional channel members are no longer needed.

(a)  

Firms that move to the Internet usually find that they no longer require a direct sales force.

(a)  

E-commerce extends a firm's reach but it does not change the fundamentals of how a firm acquires, responds

to,and satisfies its customers.

(a)  

Most business marketing firms can use the Internet as their sole means of acquiring new customers.

(a)  

Internet marketing will replace traditional marketing media.

(a)  

Internet marketing will replace traditional marketing media.

(a)  

Materials handling is the controllable element of a logistics system that relates to the effectiveness of in

creating time and place utility

(a)  

Reasons for having inventories in business channels include the inability of business customers to predicttheir demand perfectly and operational problems in the logistics system that can cause stockouts.Thi

(a)  

From the following list, identify the item that isleast likely to be considered a pure service.

a. market research

b. security and protection services

c. after-sales equipment repair and maintenanced

d. insurance

(a)  

Many business offerings are composed of acombination of product and service elements. Fromthe following,choose the correct ordering, from

tangible dominant to intangible dominant, of the

items listed.

a. industrial grease, executive management seminars,

convention hotel

b. executive management seminars, industrial grease,convention hotel

c. convention hotell

d.industrial grease, executive management seminars

(a)  

Service variability is a unique service characteristic. From the following list, choose themarketing implication most closely related to this characteristic.

a. buyer-seller interaction requiring that the servicebe done "right"

b. planning capacity on the basis of peak demand

c. emphasizing strict quality control standardsd

d. using pricing and promotion to even out demandpeaks and valleys


(a)  

When the marketer emphasizes reductions in staff. overhead, and capital as potential benefits to thepurchaser, this relates to the service characteristic of:

a. variability.

b. perishability.

c. simultaneous production and consumption

d. lack of ownership.

(a)  

Concerning the nonstandardized nature of mostindustrial services, which of the following statements is incorrect?

a. The more labor-intensive the service, the less uniform will be the output.

b. As the extent to which equipment is utilized produce the service increases, variability willincrease.

c. As automation of the service decreases, uniformity of the output will also decrease.

d. It is important to develop systems to minimize human error.

(a)  

Buyers of business services often experience difficulty in evaluating service quality. Since it is difficult to evaluate quality,

a. buyers tend to experience more perceived risk.

b. buyers rely on different prepurchase information sources to reduce risk.

c. symbology plays a more important role in the evaluation process.

d) all of the above

(a)  

Delivering on promises" relates to which of the following dimensions of service quality?

a. empathy

b. responsiveness

c. assurance

d. reliability

e, all of the above

(a)  

The customer benefit concept refers to:

a. a detailed listing of which services will be provided.

b quidelines for the delivery of the service product.

c. the core benefit that the customer will derive from the service.

d. the general benefits the service company wil! provide to the customer.

(a)  

The concept of tangibility helps the manager to:

a. focus clearly on the firm's total market offering.

b. recognize that a change in one of the elements ofthe marketing offering may completely change offering in the view of the customer.

c. determine how a service will marketed.

d. all of the above.

e. (a) and (b) only.

(a)  

The channel strategy that does not utilize any manufacturers'representatives,industrialdistributors, or other kinds of middlemen is referred to as:

a, indirect distribution.

b. selective distribution.

c.direct distribution.

d. exclusive distribution.


(a)  

11. The most appropriate channel of distribution foran industrial product is:

a. direct

b. indirect

c. one that relies on the firm's sales force.

d. a combination of direct and indirect.

e) dependent upon a host of product, company, market, and competitive conditions.

(a)  

The need to employ more than one type of industrial channel of distribution arises as a result of:

a. different target markets sought by the firm.

b. a geographically concentrated market.

c. different marketing tasks associated with different products produced by the firm.

d both (a) and (c)

e. all of the above

(a)  

A distributor classification, the combination house:

a. operates in two sectors of the industrial market.

b. operates a chain of distributorships.

c. operates in both the industrial and consumermarkets.

d. does not take title to the goods handled.

(a)  

Generally, manufacturers' reps:

a. take title to the products handled.

b) are restricted to a limited geographical area.

c, hold inventory.

d. provide customers with prompt delivery.g, al! of the above

(a)  

A business marketer who places the highestpriority on achieving control in the channel of distribution shouid use:

a. a direët channel.

b. a channel which includes numerous industrial distributors.

c. a channel which includes numerous manufacturers' representatives.

d. a channel which includes numerous commissionmerchants.

(a)  

The first step in the channel design process is to:

a. determine channel design constraints.b

. consider the availability of good intermediaries.

c. outline key channel alternatives.

d. determine the tasks to be performed by the channel.

e. define customer segments


(a)  

A direct sales force is best used for:

a. highly standardized solutions.

b. small customers.

c. simple transactions.

d. complex products.

(a)  

18. There is a trend toward (a)   as a result of increasing technique complexity of products.

a. general-line distributors

b. specialists

c. combination houses

d. none of the above

The primary reason for using more than one type of intermediary for the same product is:

a. the gross margin is not large.

b. the product tends toward technical complexity

c.different market segments require different channel structures.

d. the product is not standard, but is closer to madeto-order.

(a)  

When evaluating channel alternatives, if theexisting channel is about good as it can be and ifcustomer satisfaction is low.:

a. an alternative channelshould be utilized.

b. the fault is not with the channel design, it is with poor management.

c. the existing system can be changed without sacrificing management goals.

d. none of the above.

(a)  

E-commerce can be applied to:

a. managing the logisticsprocess.

b.creating online product catalogs.

c. managing the process for fulfilling customers' orders.

d. all of the above


(a)  

From a(n) (a)   perspective, e-commerce is the application of technology to the automation of business transaction work flows.

a communications

b. business process

c. online

d. service

From a(n)tool that addresses the desire of firms, customers, andmanagement to cut service costs while improving thequality of goods and increasing the speed of service delivery.

a. communications

b. business process

c. online

d. service

(a)  

A company-specific internal Internet that allowsorganizational members to share data bases andproprietary information is referred to as:

a. Microsoft Outlook.

b. an intranet.

c. an extranet.

d. e-mail.

(a)  

The Internet offers some advantages overtraditional channels of distribution for businessproducts. Specifically, the Internet adds valuebecause:

a. business marketers can create customized solutions for customers.

b. anything that can be digitized can be transmittedover the Internet

c. the Internet broadens the reach of marketers,providing them with an efficient channel to serve t of the above.s on a global scale.

d/ all of the above.s

e. (a) and (c) only.

(a)  

Which of the following are among the most common objectives that business marketers may have for the e-commerce portion of their business?

a. Conduct market research

b. Convey a cutting-edge image.

c. Generate leads for the sales force

d. All of the above.

e. (b) and (c) only.

(a)  

One of the first applications of e-commerce formany business marketers that sell components,material, as well as maintenance and operating resources is a(n):

a) electronic catalog.

b. integrated supply chain.

c. on-line auction.

d. vertical market site.

(a)  

Major challenges facing those business marketers trying to formulate an e-commerce strategy include:

a. rapid technology changes.

b. radical transformation of business models.

c. crafting of a comprehensive e-commerce strategy.

d All of the above.

(a)  

The three major types of e-commerce are:

a. interorganizational, intraorganizational, and business-to-consumer.

b. interorganizational, intraorganizational, and business-to-customer.

c. interorganizational, business-to-customer, and business-to-consumer.

d. intraorganizational, business-to-consumer, anda global strategy.

(a)  

The most basic level of e-commerce where the Web site visitor can view the company catalog in an electronic format is referred to as:

a. referral link

b. online information.

c. customer self-service.

d. database publishing.

(a)  

The supply chain includes a variety of firms,ranging from those that process raw materials to makecomponent parts to those engaged inwholesaling. Included also are organizations engaged in:

a. warehousing.

b. transportation.

c. materials handling.

d. all of the above.

(a)  

As a controllable element in the logistics system,triggers the logistics process and directs the activities necessary to deliver products to customers.

a order processing

b. customer service

c. production planning

d. inventory management

(a)  

(a)   is typically the largest logistics expense.

a Warehousing

b.Inventory control.

c. Transportation

d. Order processing

Rather than making a decision on the basis of price alone, organizational buyers consider the totalcost-in-use of a product or service. Included here are:

a. acquisition costs.

b. possession costs.

c. usage costs.

d) all of the above.

(a)  

If the business marketer's product input assumes an insignificant role in the final product's total cost, demand is likely:

a. elastic.

b. price sensitive.

c. inelastic

d.small.

(a)  

Those fixed or variable costs which are incurredby and solely for a particular product, customer, or sales territory are referred to as:

a. direct traceable costs.

b. indirect traceable costs.

c. asssignable costs.

d. general costs

(a)  

Those costs, fixed or variable, that can be tracedto a product, customer, or sales territory (for example,general plant overhead may be indirectly assigned to a product are called:

a. direct traceable costs.

b. indirect traceable costs.

č. assignable costs.

d. general costs.

(a)  

A skimming strategy.is appropriate when:

a. there is high price elasticity of demand.

b. strong threat of imminent competition.

c. the firm has a distinctly new product in a monopoly period.

d. All of the above.

(a)  

(a)   involves a formal invitation to potential suppliers to submit written, sealed bids.

a.Closed bidding

b. Open bidding

c. On-line bidding

d. E-commere

are those attributes that are not typicallyrequired but that can ultimately lead to a supplierbeing selected by a customer over other qualified supplier

a. Core benefits

b Add-on benefits

c. supplier personality traits

d. customer values

(a)