Exam 6: Sales Force Organization

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Which of the following are examples of functional specialists?

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E

Reason(s) for the growing popularity of telemarketing include:

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D

Some common ways in which telemarketing is used by businesses includes all of the following except:

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D

The organization of salespeople along product lines is often found in small firms where technical knowledge is not important.

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One of the primary disadvantages of telemarketing is the high cost per sales call.

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Sales agents are usually employed when a company has a high sales volume in a particular geographic area.

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One of most serious problems with geographical organizations is that salespeople must sell the entire line, when they may not be equally knowledgeable about all product lines.

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The same company will not use both a company sales force as well as sales agents.

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Companies often use which of the following to sell to their strategic accounts when they first set-up a strategic account organization:

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Multiple salespeople calling on the same customer may be a problem when a sales force is organized along product lines.

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One benefit of a customer specialized sales force is that they are able to be very knowledgeable about their clients and the clients' industry.

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Which of the following is true about independent sales agents?

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The internet has the potential to entirely replacing most organizations' telemarketing efforts.

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Sales managers are expecting that organizing the sales force according to specific types of customers will become more popular with companies in the future.

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Telemarketing is frequently used to sell to smaller customers.

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A company is considering whether to hire independent agents or develop its own sales force. Agents are paid a 4% commission, alternatively a company sales force would consist of 6 people paid a $25,000 salary each along with a 2% commission. A company sales force is economically viable if sales are forecasted to be:

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If independent sales agents receive a 7% commission on sales with overhead of $70,000 and company salespeople receive a 5% commission with salary and overhead costs of $500,000, what is the break-even point between the two choices?

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Permission marketing refers to first asking the customer for permission to make a sales call.

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Telemarketing refers to customer contacts utilizing telecom- munications technology for personal selling without face-to-face contact.

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When purchasing a Dell computer, the customer can see the computer alternatives they may consider purchasing on Dell's website, as well as calling a Dell representative to answer any additional questions. This is an example of:

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