Question 1

An important technological development that enabled many firms to use JIT was:

Accepted Answer

A)  EOQ 
B)  ESI 
C)  MRO 
D)  SRM 
E)  EDI 
A)  EOQ 
B)  ESI 
C)  MRO 
D)  SRM 
E)  EDI E

Question 2

Buyers are often asked to sign nondisclosure agreements which state that they will not share information about new products with anyone who has not also signed such an agreement.

Accepted Answer

A) True 
 B)False  True

Question 3

According to the buy-phase model,the last step in the buying process is:

Accepted Answer

A)  Evaluation of proposals and selection of a supplier 
B)  Selection of an order procedure 
C)  Acquisition and analysis of proposals 
D)  Evaluation of product performance 
E)  Search for qualified suppliers 
A)  Evaluation of proposals and selection of a supplier 
B)  Selection of an order procedure 
C)  Acquisition and analysis of proposals 
D)  Evaluation of product performance 
E)  Search for qualified suppliers D

Question 4

Buyers are often asked to sign _____,which means that they will not share any information about the new products with anyone who has not also signed such an agreement.

Accepted Answer

A)  Non-compete clauses 
B)  Nondisclosure agreements 
C)  Cost-plus contracts 
D)  Fixed-price agreements 
E)  Progress payment contracts 
A)  Non-compete clauses 
B)  Nondisclosure agreements 
C)  Cost-plus contracts 
D)  Fixed-price agreements 
E)  Progress payment contracts

Question 5

Outsourcing:

Accepted Answer

A)  Always sends jobs overseas 
B)  Means buying from another firm 
C)  Does not affect the purchasing department 
D)  Is the total amount expended in order to own a service 
E)  Rarely reduces the firm's costs 
A)  Always sends jobs overseas 
B)  Means buying from another firm 
C)  Does not affect the purchasing department 
D)  Is the total amount expended in order to own a service 
E)  Rarely reduces the firm's costs

Question 6

Some purchasing areas require permanent cross-functional teams.A distributor of gas and welding equipment has a team that focuses on supplier relationships; this team includes a marketing manager to represent customers.What is the MOST likely factor that leads to a successful cross-functional purchasing team in this case?

Accepted Answer

A)  Top-level commitment 
B)  Communication 
C)  Appropriate leadership 
D)  Continuity 
E)  Embracing diversity 
A)  Top-level commitment 
B)  Communication 
C)  Appropriate leadership 
D)  Continuity 
E)  Embracing diversity

Question 7

The total amount spent in order to own a product/service is the total cost of ownership.

Accepted Answer

A) True 
 B)False

Question 8

ESI is an outsourcing strategy by which firms use suppliers to help design new products.

Accepted Answer

A) True 
 B)False

Question 9

Out-suppliers:

Accepted Answer

A)  Do not compete with in-suppliers in any buying situation 
B)  Are suppliers whose products are ordered automatically in a straight rebuy 
C)  Are not considered in a modified rebuy 
D)  Are suppliers whose products are not considered in a straight rebuy 
E)  Are almost always denied the opportunity to earn the business 
A)  Do not compete with in-suppliers in any buying situation 
B)  Are suppliers whose products are ordered automatically in a straight rebuy 
C)  Are not considered in a modified rebuy 
D)  Are suppliers whose products are not considered in a straight rebuy 
E)  Are almost always denied the opportunity to earn the business

Question 10

Buy-class refers to:

Accepted Answer

A)  The type of buying decision, based on the experience of the buyer with a purchase of a particular product or service 
B)  The series of steps people go through when making a decision, beginning with problem recognition 
C)  Searching for and evaluating alternatives and selecting a solution which is then implemented and evaluated 
D)  Defining the type of product the organization needs 
E)  Acquisition and analysis of proposals, receiving and reviewing bids from each contractor 
A)  The type of buying decision, based on the experience of the buyer with a purchase of a particular product or service 
B)  The series of steps people go through when making a decision, beginning with problem recognition 
C)  Searching for and evaluating alternatives and selecting a solution which is then implemented and evaluated 
D)  Defining the type of product the organization needs 
E)  Acquisition and analysis of proposals, receiving and reviewing bids from each contractor

Question 11

_____ are moral codes of conduct,rules for how someone should operate that can be followed as situations demand.

Accepted Answer

A)  Functions 
B)  Values 
C)  Norms 
D)  Beliefs 
E)  Ethics 
A)  Functions 
B)  Values 
C)  Norms 
D)  Beliefs 
E)  Ethics

Question 12

A(n)_____ means that if it costs a firm more to build an item than it thought,the firm has to cover the higher costs.

Accepted Answer

A)  Fixed-price agreement 
B)  Cost-plus contract 
C)  Nondisclosure agreement 
D)  Economic order quantity 
E)  Caveat emptor 
A)  Fixed-price agreement 
B)  Cost-plus contract 
C)  Nondisclosure agreement 
D)  Economic order quantity 
E)  Caveat emptor

Question 13

What is the difference between a modified rebuy and a new buy?

Accepted Answer

A)  The product performance 
B)  The evaluation of a particular part 
C)  The buyer's experience in buying a particular product or service 
D)  The number of steps involved in making a purchase 
E)  The amount and type of information that must be collected before a purchase 
A)  The product performance 
B)  The evaluation of a particular part 
C)  The buyer's experience in buying a particular product or service 
D)  The number of steps involved in making a purchase 
E)  The amount and type of information that must be collected before a purchase

Question 14

The _____ model is based on the idea that people compare products across features,weighted by importance.

Accepted Answer

A)  Multiattribute 
B)  Buy-grid 
C)  Buy-phase 
D)  Five forces 
E)  Hierarchy-of-effects 
A)  Multiattribute 
B)  Buy-grid 
C)  Buy-phase 
D)  Five forces 
E)  Hierarchy-of-effects

Question 15

Values are rules for how someone should operate that can be followed as situations demand.

Accepted Answer

A) True 
 B)False

Question 16

The use of electronic transmission of data between buyer and seller to order and maintain product inventory is:

Accepted Answer

A)  Electronic funds transfer 
B)  Electronic lockbox 
C)  Wholesale lockbox 
D)  Electronic data interchange 
E)  Electronic marketing 
A)  Electronic funds transfer 
B)  Electronic lockbox 
C)  Wholesale lockbox 
D)  Electronic data interchange 
E)  Electronic marketing

Question 17

The GSA:

Accepted Answer

A)  Has the expertise necessary to make all kinds of purchases 
B)  Always make the final purchase 
C)  Gets involved in all nondefense buying 
D)  Negotiates the price to be charged the government 
E)  Is the only supplier for the military 
A)  Has the expertise necessary to make all kinds of purchases 
B)  Always make the final purchase 
C)  Gets involved in all nondefense buying 
D)  Negotiates the price to be charged the government 
E)  Is the only supplier for the military

Question 18

Cross-functional sourcing teams typically:

Accepted Answer

A)  Develop cost-reduction strategies, create sourcing strategies and handle other purchasing functions, many times in global servicing situations 
B)  Identify links among components that raise costs if any changes are made 
C)  Develop methods of comparing the benefit, function and cost of materials, components and work processes 
D)  Seek to maximize the benefits of collaboration between the buyer and a few suppliers 
E)  Help companies make decisions about where to locate a plant or who to employ 
A)  Develop cost-reduction strategies, create sourcing strategies and handle other purchasing functions, many times in global servicing situations 
B)  Identify links among components that raise costs if any changes are made 
C)  Develop methods of comparing the benefit, function and cost of materials, components and work processes 
D)  Seek to maximize the benefits of collaboration between the buyer and a few suppliers 
E)  Help companies make decisions about where to locate a plant or who to employ

Question 19

Reminder advertising is MOST likely to be featured in:

Accepted Answer

A)  New task buying 
B)  Modified rebuys 
C)  Promotional rebuys 
D)  Straight rebuys 
E)  Spot buying 
A)  New task buying 
B)  Modified rebuys 
C)  Promotional rebuys 
D)  Straight rebuys 
E)  Spot buying

Question 20

Explain the most important elements of the purchasing department's function?

Accepted Answer

The three most important elements of the

An important technological development that enabled many firms to use JIT was:

Buyers are often asked to sign nondisclosure agreements which state that they will not share information about new products with anyone who has not also signed such an agreement.

According to the buy-phase model,the last step in the buying process is:

Buyers are often asked to sign _____,which means that they will not share any information about the new products with anyone who has not also signed such an agreement.

Outsourcing:

The total amount spent in order to own a product/service is the total cost of ownership.

ESI is an outsourcing strategy by which firms use suppliers to help design new products.

Out-suppliers:

Buy-class refers to:

_____ are moral codes of conduct,rules for how someone should operate that can be followed as situations demand.

A(n)_____ means that if it costs a firm more to build an item than it thought,the firm has to cover the higher costs.

What is the difference between a modified rebuy and a new buy?

The _____ model is based on the idea that people compare products across features,weighted by importance.

Values are rules for how someone should operate that can be followed as situations demand.

The use of electronic transmission of data between buyer and seller to order and maintain product inventory is:

The GSA:

Cross-functional sourcing teams typically:

Reminder advertising is MOST likely to be featured in:

Explain the most important elements of the purchasing department's function?

Introduction to Business Marketing

The Character of Business Marketing

Organizational Buyer Behavior

Market Opportunities: Current and Potential

Marketing Strategy

Weaving Marketing Into the Fabric of the Firm

Developing and Managing Offerings: What Do Customers

Business Marketing Channels: Partnerships for...

Creating Customer Dialogue

Communicating Via Advertising, trade Shows and PR

The One to One Media

Sales and Sales Management

Pricing and Negotiating for Value

Evaluating Marketing Efforts

Customer Retention and Maximization

Filters

Exam 3: The Purchasing Function

An important technological development that enabled many firms to use JIT was:

Buyers are often asked to sign nondisclosure agreements which state that they will not share information about new products with anyone who has not also signed such an agreement.

According to the buy-phase model,the last step in the buying process is:

Buyers are often asked to sign _____,which means that they will not share any information about the new products with anyone who has not also signed such an agreement.

Outsourcing:

The total amount spent in order to own a product/service is the total cost of ownership.

ESI is an outsourcing strategy by which firms use suppliers to help design new products.

Out-suppliers:

Buy-class refers to:

_____ are moral codes of conduct,rules for how someone should operate that can be followed as situations demand.

A(n)_____ means that if it costs a firm more to build an item than it thought,the firm has to cover the higher costs.

What is the difference between a modified rebuy and a new buy?

The _____ model is based on the idea that people compare products across features,weighted by importance.

Values are rules for how someone should operate that can be followed as situations demand.

The use of electronic transmission of data between buyer and seller to order and maintain product inventory is:

The GSA:

Cross-functional sourcing teams typically:

Reminder advertising is MOST likely to be featured in:

Explain the most important elements of the purchasing department's function?

Introduction to Business Marketing

The Character of Business Marketing

Organizational Buyer Behavior

Market Opportunities: Current and Potential

Marketing Strategy

Weaving Marketing Into the Fabric of the Firm

Developing and Managing Offerings: What Do Customers

Business Marketing Channels: Partnerships for...

Creating Customer Dialogue

Communicating Via Advertising, trade Shows and PR

The One to One Media

Sales and Sales Management

Pricing and Negotiating for Value

Evaluating Marketing Efforts

Customer Retention and Maximization

Filters