Question 1

Supplier development refers to

Accepted Answer

A) the deliberate effort by suppliers to build relationships that shape buyers' products,services,and capabilities to fit both the buyer's and seller's needs,as well as the needs of ultimate consumers. 
B) the deliberate effort by organizational buyers to build relationships that shape suppliers' products,services,and capabilities to fit a buyer's needs and those of its customers. 
C) the practice of dividing up large orders among several suppliers rather than a single one to avoid possible manufacturing delays due to bad weather,plant mishaps,union issues,etc. 
D) the practice of establishing a close relationship with one supplier rather than many to insure loyalty and preferential treatment when filling exceptionally large orders. 
E) the shift of a firm from that of supplier to manufacturer when repeated experience with a product and excellent buyer/seller relationships make the shift both more feasible and profitable. 
A) the deliberate effort by suppliers to build relationships that shape buyers' products,services,and capabilities to fit both the buyer's and seller's needs,as well as the needs of ultimate consumers. 
B) the deliberate effort by organizational buyers to build relationships that shape suppliers' products,services,and capabilities to fit a buyer's needs and those of its customers. 
C) the practice of dividing up large orders among several suppliers rather than a single one to avoid possible manufacturing delays due to bad weather,plant mishaps,union issues,etc. 
D) the practice of establishing a close relationship with one supplier rather than many to insure loyalty and preferential treatment when filling exceptionally large orders. 
E) the shift of a firm from that of supplier to manufacturer when repeated experience with a product and excellent buyer/seller relationships make the shift both more feasible and profitable.

Question 2

-Consider the NAICS logo above,which provides common industry definitions for

Accepted Answer

A) Canada,England,and the United States. 
B) North America,Asia,and Europe. 
C) North America,Central America,and South America. 
D) Canada,England,Australia. 
E) Canada,Mexico,and the United States. 
A) Canada,England,and the United States. 
B) North America,Asia,and Europe. 
C) North America,Central America,and South America. 
D) Canada,England,Australia. 
E) Canada,Mexico,and the United States.

Question 3

-The acronym of the NAICS logo above stands for

Accepted Answer

A) National Association of Industrial Compliance Standards. 
B) National Association of Industrial Communication Systems. 
C) North American Industrial Communication Standards. 
D) North American Industry Classification System. 
E) North Atlantic Industrial Classification System. 
A) National Association of Industrial Compliance Standards. 
B) National Association of Industrial Communication Systems. 
C) North American Industrial Communication Standards. 
D) North American Industry Classification System. 
E) North Atlantic Industrial Classification System.

Question 4

There are seven commonly used organizational buying criteria.One of them is __________.

Accepted Answer

A) flexibility 
B) ability to meet the quality specifications required for the item 
C) adherence to government regulation 
D) senior management directives 
E) consumer demand 
A) flexibility 
B) ability to meet the quality specifications required for the item 
C) adherence to government regulation 
D) senior management directives 
E) consumer demand

Question 5

The group of people within an organization who participate in the buying process and share common goals,risks,and knowledge important to a purchase decision is referred to as the

Accepted Answer

A) gatekeepers. 
B) buying center. 
C) purchasing department. 
D) procurement committee. 
E) acquisition office. 
A) gatekeepers. 
B) buying center. 
C) purchasing department. 
D) procurement committee. 
E) acquisition office.

Question 6

A business market is also referred to as

Accepted Answer

A) a transactional market. 
B) a corporate market. 
C) organizational buyers. 
D) a reseller market. 
E) an industrial market. 
A) a transactional market. 
B) a corporate market. 
C) organizational buyers. 
D) a reseller market. 
E) an industrial market.

Question 7

Buy classes refer to the three types of organizational buying situations:

Accepted Answer

A) buy,lease,and rent. 
B) new buy,make,and reprocess. 
C) manufacturing contracts,consulting contracts,service contracts. 
D) new buy,straight rebuy,and modified rebuy. 
E) new buy,refurbish,and used buy. 
A) buy,lease,and rent. 
B) new buy,make,and reprocess. 
C) manufacturing contracts,consulting contracts,service contracts. 
D) new buy,straight rebuy,and modified rebuy. 
E) new buy,refurbish,and used buy.

Question 8

The North American Industry Classification System (NAICS)provides common industry definitions to facilitate the measurement of economic activity for the member countries of the

Accepted Answer

A) European Union (EU). 
B) United Nations (UN). 
C) North American Free Trade Agreement (NAFT
A) . 
D) North Atlantic Treaty Organization (NATO). 
E) World Trade Organization (WTO). 
A) European Union (EU). 
B) United Nations (UN). 
C) North American Free Trade Agreement (NAFT
A) . 
D) North Atlantic Treaty Organization (NATO). 
E) World Trade Organization (WTO).

Question 9

If General Motors (GM)purchases Borg-Warner transmissions,and Borg-Warner buys trucks and cars from GM,they would be demonstrating which type of buyer-seller interaction?

Accepted Answer

A) exclusive dealing 
B) supply partnerships 
C) tying arrangements 
D) noncompetitive bidding 
E) reciprocity 
A) exclusive dealing 
B) supply partnerships 
C) tying arrangements 
D) noncompetitive bidding 
E) reciprocity

Question 10

Spruceland Millworks in Canada makes wooden pallets for transporting and storing new appliances such as stoves,freezers,and refrigerators.The demand for Spruceland pallets would be classified as

Accepted Answer

A) reactive demand,which is tied to the sales of appliances,not the sale of the pallets. 
B) derived demand,which is tied to the sales of appliances,but independent of the sales of pallets. 
C) derived demand,which is tied to the sales of pallets,which in turn,is tied to the sales of appliances. 
D) inelastic demand,which is tied to the cost of the components of the pallets. 
E) elastic demand,which is tied to the cost of the components of the pallets. 
A) reactive demand,which is tied to the sales of appliances,not the sale of the pallets. 
B) derived demand,which is tied to the sales of appliances,but independent of the sales of pallets. 
C) derived demand,which is tied to the sales of pallets,which in turn,is tied to the sales of appliances. 
D) inelastic demand,which is tied to the cost of the components of the pallets. 
E) elastic demand,which is tied to the cost of the components of the pallets.

Question 11

During late summer and early fall,there is a large demand for containers located in Asia that are used to ship consumer products from Asia to the United States in time for the holiday selling season.The demand for these containers is referred to as __________ demand.

Accepted Answer

A) unitized 
B) derived 
C) reseller 
D) applied 
E) implied 
A) unitized 
B) derived 
C) reseller 
D) applied 
E) implied

Question 12

E-Marketplaces refer to

Accepted Answer

A) virtual or holographic purchasing marketspaces that allow manufacturers to estimate demand based upon different changes in environmental forces. 
B) websites that allow consumers to make direct purchases from a manufacturer rather than through a traditional retail outlet. 
C) online trading communities that bring together buyers and supplier organizations to make possible the real time exchange of information,money,products,and services. 
D) computer simulations that allow manufacturers to estimate how much inventory to keep on hand based upon different purchasing scenarios. 
E) a computer database cosponsored by the U.S.Department of Commerce and the World Trade Organization (WTO)that houses all public access records for the purpose of aiding American and global businesses. 
A) virtual or holographic purchasing marketspaces that allow manufacturers to estimate demand based upon different changes in environmental forces. 
B) websites that allow consumers to make direct purchases from a manufacturer rather than through a traditional retail outlet. 
C) online trading communities that bring together buyers and supplier organizations to make possible the real time exchange of information,money,products,and services. 
D) computer simulations that allow manufacturers to estimate how much inventory to keep on hand based upon different purchasing scenarios. 
E) a computer database cosponsored by the U.S.Department of Commerce and the World Trade Organization (WTO)that houses all public access records for the purpose of aiding American and global businesses.

Question 13

Because orders in organizational buying are typically much larger than in consumer buying,buyers must often __________ when the order is above a specific amount,such as $5,000.

Accepted Answer

A) pay estimated sales taxes in advance 
B) move up the time required to execute a purchase agreement 
C) get competitive bids from at least three prospective suppliers 
D) forgo the purchase 
E) forgo identifying the members of the supplying center and their roles in the selling process 
A) pay estimated sales taxes in advance 
B) move up the time required to execute a purchase agreement 
C) get competitive bids from at least three prospective suppliers 
D) forgo the purchase 
E) forgo identifying the members of the supplying center and their roles in the selling process

Question 14

Harley-Davidson is admired by its suppliers for involving them in future product development,referring to them as stakeholders,using quality benchmarks,and

Accepted Answer

A) building long-term relationships. 
B) signing lifetime contracts to demonstrate loyalty. 
C) offering discounts for all key supplier personnel. 
D) listing the names of key suppliers in its Harley-Davidson promotional material. 
E) extending Harley-Davidson health care benefits to its suppliers' employees. 
A) building long-term relationships. 
B) signing lifetime contracts to demonstrate loyalty. 
C) offering discounts for all key supplier personnel. 
D) listing the names of key suppliers in its Harley-Davidson promotional material. 
E) extending Harley-Davidson health care benefits to its suppliers' employees.

Question 15

A straight rebuy is a(n)__________ while a modified rebuy is a(n)__________.

Accepted Answer

A) exchange; resale 
B) routine reorder; exchange 
C) first-time order; routine reorder 
D) changed order; first-time order 
E) routine reorder; changed order 
A) exchange; resale 
B) routine reorder; exchange 
C) first-time order; routine reorder 
D) changed order; first-time order 
E) routine reorder; changed order

Question 16

Organizational buyers refer to

Accepted Answer

A) manufacturers,wholesalers,retailers,and government agencies that buy products and services exclusively for resale. 
B) manufacturers,wholesalers,retailers,and government agencies that buy products and services for their own use or for resale. 
C) manufacturers,wholesalers,retailers,and government agencies that buy products and services exclusively for their own use. 
D) firms that buy physical products and resell them again without any reprocessing. 
E) firms that in some way reprocess a product or service they buy before selling it again to the next buyer. 
A) manufacturers,wholesalers,retailers,and government agencies that buy products and services exclusively for resale. 
B) manufacturers,wholesalers,retailers,and government agencies that buy products and services for their own use or for resale. 
C) manufacturers,wholesalers,retailers,and government agencies that buy products and services exclusively for their own use. 
D) firms that buy physical products and resell them again without any reprocessing. 
E) firms that in some way reprocess a product or service they buy before selling it again to the next buyer.

Question 17

A firm that reprocesses a product or service it buys before selling the product again to the next buyer is referred to as a(n)

Accepted Answer

A) industrial firm. 
B) reseller firm. 
C) government agency. 
D) wholesaler. 
E) retailer. 
A) industrial firm. 
B) reseller firm. 
C) government agency. 
D) wholesaler. 
E) retailer.

Question 18

Which of the following is a service business within the industrial market?

Accepted Answer

A) construction 
B) mining 
C) insurance 
D) government 
E) farming 
A) construction 
B) mining 
C) insurance 
D) government 
E) farming

Question 19

When the General Services Administration (GSA),an agency of the federal government,purchased 116 Chevy Volts from General Motors for its vehicle fleet,it was operating as a(n)

Accepted Answer

A) industrial market. 
B) business market. 
C) government unit. 
D) consumer market. 
E) service provider. 
A) industrial market. 
B) business market. 
C) government unit. 
D) consumer market. 
E) service provider.

Question 20

When the John Deere Company employs engineers who work full-time with the company's suppliers to improve their efficiency and quality and reduce their costs,it is practicing

Accepted Answer

A) buyer development. 
B) make-buy decisions. 
C) supply partnerships. 
D) supplier development. 
E) directive purchasing. 
A) buyer development. 
B) make-buy decisions. 
C) supply partnerships. 
D) supplier development. 
E) directive purchasing.

Supplier development refers to

-Consider the NAICS logo above,which provides common industry definitions for

-The acronym of the NAICS logo above stands for

There are seven commonly used organizational buying criteria.One of them is __________.

The group of people within an organization who participate in the buying process and share common goals,risks,and knowledge important to a purchase decision is referred to as the

A business market is also referred to as

Buy classes refer to the three types of organizational buying situations:

The North American Industry Classification System (NAICS)provides common industry definitions to facilitate the measurement of economic activity for the member countries of the

If General Motors (GM)purchases Borg-Warner transmissions,and Borg-Warner buys trucks and cars from GM,they would be demonstrating which type of buyer-seller interaction?

Spruceland Millworks in Canada makes wooden pallets for transporting and storing new appliances such as stoves,freezers,and refrigerators.The demand for Spruceland pallets would be classified as

During late summer and early fall,there is a large demand for containers located in Asia that are used to ship consumer products from Asia to the United States in time for the holiday selling season.The demand for these containers is referred to as __________ demand.

E-Marketplaces refer to

Because orders in organizational buying are typically much larger than in consumer buying,buyers must often __________ when the order is above a specific amount,such as $5,000.

Harley-Davidson is admired by its suppliers for involving them in future product development,referring to them as stakeholders,using quality benchmarks,and

A straight rebuy is a(n) while a modified rebuy is a(n).

Organizational buyers refer to

A firm that reprocesses a product or service it buys before selling the product again to the next buyer is referred to as a(n)

Which of the following is a service business within the industrial market?

When the General Services Administration (GSA),an agency of the federal government,purchased 116 Chevy Volts from General Motors for its vehicle fleet,it was operating as a(n)

When the John Deere Company employs engineers who work full-time with the company's suppliers to improve their efficiency and quality and reduce their costs,it is practicing

Creating Customer Relationships and Value Through Marketing

Developing Successful Marketing and Organizational Strategies

Scanning the Marketing Environment, Ethical Behavior and Social Responsibility

Understanding Consumer Behavior

Understanding and Reaching Global Consumers and Markets

Marketing Research: From Customer Insights to Actions

Market Segmentation, Targeting, and Positioning

Developing New Products and Services

Managing Successful Products, Services, and Brands

Pricing Products and Services

Managing Marketing Channels and Supply Chains

Retailing and Wholesaling

Integrated Marketing Communications and Direct Marketing

Advertising, Sales Promotion, and Public Relations

Using Social Media to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Buildign an Effective Marketing Plan

Filters

Exam 5: Understanding Organizations As Customers

Supplier development refers to

-Consider the NAICS logo above,which provides common industry definitions for

-The acronym of the NAICS logo above stands for

There are seven commonly used organizational buying criteria.One of them is __________.

The group of people within an organization who participate in the buying process and share common goals,risks,and knowledge important to a purchase decision is referred to as the

A business market is also referred to as

Buy classes refer to the three types of organizational buying situations:

The North American Industry Classification System (NAICS)provides common industry definitions to facilitate the measurement of economic activity for the member countries of the

If General Motors (GM)purchases Borg-Warner transmissions,and Borg-Warner buys trucks and cars from GM,they would be demonstrating which type of buyer-seller interaction?

Spruceland Millworks in Canada makes wooden pallets for transporting and storing new appliances such as stoves,freezers,and refrigerators.The demand for Spruceland pallets would be classified as

During late summer and early fall,there is a large demand for containers located in Asia that are used to ship consumer products from Asia to the United States in time for the holiday selling season.The demand for these containers is referred to as __________ demand.

E-Marketplaces refer to

Because orders in organizational buying are typically much larger than in consumer buying,buyers must often __________ when the order is above a specific amount,such as $5,000.

Harley-Davidson is admired by its suppliers for involving them in future product development,referring to them as stakeholders,using quality benchmarks,and

A straight rebuy is a(n)__________ while a modified rebuy is a(n)__________.

Organizational buyers refer to

A firm that reprocesses a product or service it buys before selling the product again to the next buyer is referred to as a(n)

Which of the following is a service business within the industrial market?

When the General Services Administration (GSA),an agency of the federal government,purchased 116 Chevy Volts from General Motors for its vehicle fleet,it was operating as a(n)

When the John Deere Company employs engineers who work full-time with the company's suppliers to improve their efficiency and quality and reduce their costs,it is practicing

Creating Customer Relationships and Value Through Marketing

Developing Successful Marketing and Organizational Strategies

Scanning the Marketing Environment, Ethical Behavior and Social Responsibility

Understanding Consumer Behavior

Understanding and Reaching Global Consumers and Markets

Marketing Research: From Customer Insights to Actions

Market Segmentation, Targeting, and Positioning

Developing New Products and Services

Managing Successful Products, Services, and Brands

Pricing Products and Services

Managing Marketing Channels and Supply Chains

Retailing and Wholesaling

Integrated Marketing Communications and Direct Marketing

Advertising, Sales Promotion, and Public Relations

Using Social Media to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Buildign an Effective Marketing Plan

Filters

A straight rebuy is a(n) while a modified rebuy is a(n).