Exam 13: Personal Selling and Sales Promotion

Sleek Designs markets a wide range of kitchen cabinets, counter tops, and ceramic tile. Its salespeople are initially divided on the basis of their expertise in a product category. They're then further divided into teams addressing large home improvement retailers, kitchen and bath suppliers, and specialty home improvement stores. Which of the following sales-force structures has most likely been combined to form this complex sales-force structure?

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(Multiple Choice)

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Question 1

Correct Answer:

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What are the four elements of salesperson compensation? Give an example to show how these elements motivate salespeople in different situations.

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(Essay)

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Question 2

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Compensation consists of four elements: a fixed amount, a variable amount, expenses, and fringe benefits. The fixed amount, usually a salary, gives the salesperson some stable income. The variable amount, which might be commissions or bonuses based on sales performance, rewards the salesperson for greater effort and success. Management must determine what mix of these compensation elements makes the most sense for each sales job. A sales-force compensation plan can both motivate salespeople and direct their activities. Compensation should direct the sales force toward activities that are consistent with the overall sales-force and marketing objectives. For example, if the strategy is to acquire new business, grow rapidly, and gain market share, the compensation plan might include a larger commission component, coupled with a new-account bonus to encourage high sales performance and new account development. In contrast, if the goal is to maximize current account profitability, the compensation plan might contain a larger base-salary component with additional incentives for current account sales or customer satisfaction.

Which of the following is true of a territorial sales-force structure?

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Question 3

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Cracker Jack, an American brand snack of caramel-coated popcorn and peanuts, has been in existence since 1896. The brand became popularized due to its free prize inside every box. Which of the following promotion tools does this exemplify?

(Multiple Choice)

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Question 4

Sales promotions typically create short-term sales but are viewed as ineffective at building long-term customer relationships.

(True/False)

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Question 5

Sweepstakes give consumers a chance to win something, such as cash, trips, or goods, by luck or through extra effort.

(True/False)

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Question 6

GE employs different sales forces within different product and service divisions of its major businesses. For example, within GE Infrastructure, the company has separate sales forces for aviation, energy, transportation, and water processing products and technologies. GE has most likely adopted a ________ sales-force structure.

(Multiple Choice)

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Question 7

Explain how an inside sales force should provide support to an outside sales force.

(Essay)

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Question 8

What is the primary goal of trade promotions?

(Multiple Choice)

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Question 9

Appliance maker Whirlpool assigns individual teams of salespeople to big retail customers such as Sears, Lowe's, Best Buy, and Home Depot. Each Whirlpool sales team aligns with the large customer's buying team. Whirlpool has most likely adopted a ________ sales-force structure.

(Multiple Choice)

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Question 10

Loretta Inc., a U.S.-based watch manufacturer, sells its products in France, China, Russia, and India. To manage sales, Loretta appoints a number of sales representatives to each location. Sales representatives report to area managers, and area managers coordinate sales in their respective areas before reporting to regional managers. Loretta has most likely adopted a ________ sales-force structure.

(Multiple Choice)

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Question 11

List the various types of sales promotions. What are the objectives of each type?

(Essay)

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Question 12

Lemony Inc. sells its popular bottled lemonade - the company's only product - in various geographic locations through tie-ups and agreements with retailers. Each location is represented by two salespersons, one of whom serves current customers while the other finds new ones. Which of the following sales-force structures has most likely been combined to form the complex sales-force structure at Lemony Inc.?

(Multiple Choice)

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Question 13

Vintage, one of the largest companies in the United States, produces a vast range of goods which includes cameras, home appliances, and personal-care products. The company also competes vigorously in the services market by managing a number of hotels and hospitals. Vintage entered the real-estate industry in the last decade and proved to be a success in that field too. Considering the vast range of products and services Vintage sells, which sales-force structure would you consider appropriate for the company? Explain the reasons for your answer.

(Essay)

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Question 14

Commissions and bonuses are variable amounts of compensation.

(True/False)

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Question 15

The use of an inside sales force has grown due to the surge in online, mobile, and social media technologies.

(True/False)

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Question 16

Weekly or monthly work plans used by management to get information about salespeople are referred to as ________.

(Multiple Choice)

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Question 17

A freestanding insert in the Sunday newspaper for a local restaurant that contains a $5 off coupon for any meal over $20 is an example of a promotion targeted at ________.

(Multiple Choice)

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Question 18

In the context of the selling process, what is closing? What are the various closing techniques a salesperson can use?

(Essay)

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Question 19

Price packs are goods offered either free or at low cost as an incentive to buy a product, such as toys included with Disney DVDs.

(True/False)

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Question 20

Showing 1 - 20 of 100

What are the four elements of salesperson compensation? Give an example to show how these elements motivate salespeople in different situations.

Which of the following is true of a territorial sales-force structure?

Cracker Jack, an American brand snack of caramel-coated popcorn and peanuts, has been in existence since 1896. The brand became popularized due to its free prize inside every box. Which of the following promotion tools does this exemplify?

Sales promotions typically create short-term sales but are viewed as ineffective at building long-term customer relationships.

Sweepstakes give consumers a chance to win something, such as cash, trips, or goods, by luck or through extra effort.

Explain how an inside sales force should provide support to an outside sales force.

What is the primary goal of trade promotions?

Appliance maker Whirlpool assigns individual teams of salespeople to big retail customers such as Sears, Lowe's, Best Buy, and Home Depot. Each Whirlpool sales team aligns with the large customer's buying team. Whirlpool has most likely adopted a ________ sales-force structure.

List the various types of sales promotions. What are the objectives of each type?

Commissions and bonuses are variable amounts of compensation.

The use of an inside sales force has grown due to the surge in online, mobile, and social media technologies.

Weekly or monthly work plans used by management to get information about salespeople are referred to as ________.

A freestanding insert in the Sunday newspaper for a local restaurant that contains a $5 off coupon for any meal over $20 is an example of a promotion targeted at ________.

In the context of the selling process, what is closing? What are the various closing techniques a salesperson can use?

Price packs are goods offered either free or at low cost as an incentive to buy a product, such as toys included with Disney DVDs.

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