Question 1

Important characteristics in organizational buying include which of the following?

Accepted Answer

A)  products that are technical in nature and purchased on the basis of specifications 
B)  a heavy emphasis is placed on maintaining standardization to keep costs down 
C)  coupons and contests are the most frequent forms of promotion 
D)  a fixed, nonnegotiable price is the norm 
E)  personal relationships are preferred to online buying over the Internet 
A)  products that are technical in nature and purchased on the basis of specifications 
B)  a heavy emphasis is placed on maintaining standardization to keep costs down 
C)  coupons and contests are the most frequent forms of promotion 
D)  a fixed, nonnegotiable price is the norm 
E)  personal relationships are preferred to online buying over the Internet A

Question 2

Firms marketing consumer products or services often try to reach thousands or millions of individuals or households.Firms selling to organizations

Accepted Answer

A)  try to reach tens of millions of wholesalers, retailers, and government units. 
B)  are restricted to far fewer buyers. 
C)  hope to obtain similar numbers of business customers, or even more. 
D)  do not have customers, per se. 
E)  also must sell to ultimate consumers because of the market potential. 
A)  try to reach tens of millions of wholesalers, retailers, and government units. 
B)  are restricted to far fewer buyers. 
C)  hope to obtain similar numbers of business customers, or even more. 
D)  do not have customers, per se. 
E)  also must sell to ultimate consumers because of the market potential. B

Question 3

Walmart asked that Procter & Gamble (P&G)electronically link to its computerized cash register scanning system,allowing for direct electronic ordering and replenishing for all of its stores.This way,Walmart can tell P&G what merchandise it needs,along with how much,when,and to which store to deliver on a daily basis.Walmart is engaged in

Accepted Answer

A)  ISO 9000 certification. 
B)  ISO 14000 certification. 
C)  a supply partnership. 
D)  sustainable development. 
E)  cause marketing. 
A)  ISO 9000 certification. 
B)  ISO 14000 certification. 
C)  a supply partnership. 
D)  sustainable development. 
E)  cause marketing. C

Question 4

Recently,Matt Kistler,a senior vice president at Walmart,claimed the company was making progress on achieving three major goals: (1)to be supplied by 100 percent renewable energy,(2)to create zero-waste,and (3)to increase the sale of renewably produced products.Walmart is focusing on

Accepted Answer

A)  using ecological buying centers. 
B)  complying with government regulations. 
C)  engaging in cause marketing. 
D)  using sustainable procurement. 
E)  meeting ISO 9000 standards. 
A)  using ecological buying centers. 
B)  complying with government regulations. 
C)  engaging in cause marketing. 
D)  using sustainable procurement. 
E)  meeting ISO 9000 standards.

Question 5

Supplier development refers to

Accepted Answer

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

Question 6

On a visit to Conner Industries,a West Plains Band Saw salesperson heard a production employee saying,"This band saw has a 36-inch wheel that could really save us time,and with its adjustable height,it can be operated by someone tall like me as well as by our shorter workers.I bet this would speed up my production time by 30 percent.Why don't we order this band saw? " The person the salesperson heard giving input has which buying center role?

Accepted Answer

A)  purchasing agent 
B)  decider 
C)  buyer 
D)  user 
E)  motivator 
A)  purchasing agent 
B)  decider 
C)  buyer 
D)  user 
E)  motivator

Question 7

When a seller puts an item up for sale and would-be buyers are invited to bid in competition with one another,it is referred to as

Accepted Answer

A)  a reverse auction. 
B)  a traditional auction. 
C)  a bidder's war. 
D)  an e-auction. 
E)  a Webfront auction. 
A)  a reverse auction. 
B)  a traditional auction. 
C)  a bidder's war. 
D)  an e-auction. 
E)  a Webfront auction.

Question 8

In an effort to make better and more efficient purchase decisions,the Ford Motor Co.includes various people,depending on the purchase situation.Individuals may include key personnel from various departments,including research and development,finance,marketing,shipping,and sales.This is a description of Ford's

Accepted Answer

A)  selling committee. 
B)  sustainable procurement department. 
C)  purchasing unit. 
D)  buying center. 
E)  buying committee. 
A)  selling committee. 
B)  sustainable procurement department. 
C)  purchasing unit. 
D)  buying center. 
E)  buying committee.

Question 9

A buy class situation affects buying center tendencies in different ways.If the buying objective is to find a good solution,the suppliers considered are both new and present,and the buying influence includes technical and operating personnel,the buy class situation is most likely a

Accepted Answer

A)  modified buy. 
B)  new buy. 
C)  straight rebuy. 
D)  make-buy. 
E)  standard buy. 
A)  modified buy. 
B)  new buy. 
C)  straight rebuy. 
D)  make-buy. 
E)  standard buy.

Question 10

The North American Industry Classification System (NAICS)designates industries with a numerical code in a defined structure.A six-digit coding system is used.The first two digits designate

Accepted Answer

A)  a country of origin. 
B)  an industry group. 
C)  a specific industry. 
D)  an individual country-level national industry. 
E)  a sector of the economy. 
A)  a country of origin. 
B)  an industry group. 
C)  a specific industry. 
D)  an individual country-level national industry. 
E)  a sector of the economy.

Question 11

According to the textbook,JCPenney buys paper for which of the following media?

Accepted Answer

A)  in-store signage 
B)  special advertising inserts in magazines such as Cosmopolitan 
C)  newspaper inserts and direct mail pieces 
D)  annual and 10-K reports 
E)  point-of-purchase displays 
A)  in-store signage 
B)  special advertising inserts in magazines such as Cosmopolitan 
C)  newspaper inserts and direct mail pieces 
D)  annual and 10-K reports 
E)  point-of-purchase displays

Question 12

Which of the following is indicative of the purchase decision stage of the organizational buying decision process?

Accepted Answer

A)  The purchase decision is usually quick once the information search has been completed. 
B)  Even after the bid is submitted and even once accepted, terms must still be negotiated. 
C)  Even if several vendors make it onto the bidder's list, ultimately only one supplier is chosen. 
D)  If a supplier on the bidder's list is not selected, it is rarely told the reason it was rejected. 
E)  Once an agreement has been formally reached, neither the buyer nor the seller is permitted to make changes to the terms of the contract. 
A)  The purchase decision is usually quick once the information search has been completed. 
B)  Even after the bid is submitted and even once accepted, terms must still be negotiated. 
C)  Even if several vendors make it onto the bidder's list, ultimately only one supplier is chosen. 
D)  If a supplier on the bidder's list is not selected, it is rarely told the reason it was rejected. 
E)  Once an agreement has been formally reached, neither the buyer nor the seller is permitted to make changes to the terms of the contract.

Question 13

Differentiate between traditional and reverse auctions.

Accepted Answer

In a traditional auction,there is one se

Question 14

Important market characteristics in organizational buying behavior include which of the following?

Accepted Answer

A)  large markets but orders become progressively smaller over time 
B)  diminishing international opportunities as more firms enter the market 
C)  many customers placing progressively larger orders over time 
D)  fewer customers but with larger orders 
E)  a market that functions independently of consumer demand 
A)  large markets but orders become progressively smaller over time 
B)  diminishing international opportunities as more firms enter the market 
C)  many customers placing progressively larger orders over time 
D)  fewer customers but with larger orders 
E)  a market that functions independently of consumer demand

Question 15

The primary reason companies have placed an emphasis on buying from minority- and women-owned suppliers and vendors is

Accepted Answer

A)  new federal government regulations require it. 
B)  they can help a firm meet or exceed its objectives in sales, profits, or customer satisfaction. 
C)  it is the socially responsible action expected of leading organizations. 
D)  it can attract new target markets. 
E)  these companies will work harder for less money. 
A)  new federal government regulations require it. 
B)  they can help a firm meet or exceed its objectives in sales, profits, or customer satisfaction. 
C)  it is the socially responsible action expected of leading organizations. 
D)  it can attract new target markets. 
E)  these companies will work harder for less money.

Question 16

Although the U.S.Justice Department frowns on __________ because it restricts the normal operation of a free market,it is still legal for two companies to have an agreement to buy one another's products.

Accepted Answer

A)  reciprocity 
B)  tying agreements 
C)  just-in-time procurement 
D)  quid pro quo 
E)  supply partnerships 
A)  reciprocity 
B)  tying agreements 
C)  just-in-time procurement 
D)  quid pro quo 
E)  supply partnerships

Question 17

A __________ exists when a buyer and its supplier adopt mutually beneficial objectives,policies,and procedures for the purpose of lowering the cost or increasing the value of products and services delivered to the ultimate consumer.

Accepted Answer

A)  supplier development agreement 
B)  reciprocal arrangement 
C)  shareholder relationship 
D)  supply partnership 
E)  strategic alliance 
A)  supplier development agreement 
B)  reciprocal arrangement 
C)  shareholder relationship 
D)  supply partnership 
E)  strategic alliance

Question 18

Figure 5-4  
-Figure 5-4 shows the three buy classes encountered by organizational buyers.B is referred to as a

Accepted Answer

A)  modified rebuy. 
B)  straight rebuy. 
C)  new buy. 
D)  standard reorder. 
E)  typical buy. 
A)  modified rebuy. 
B)  straight rebuy. 
C)  new buy. 
D)  standard reorder. 
E)  typical buy.

Question 19

A buying center refers to

Accepted Answer

A)  an online trading community that brings together buyers and supplier organizations to make possible the real time exchange of information, money, products, and services. 
B)  the department within a firm responsible for the logistics of placing, tracking, and delivering orders to other departments within the firm. 
C)  the department within a firm responsible for the logistics of placing, tracking, and delivering orders to ultimate consumers. 
D)  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. 
E)  the department within a firm that allows purchases to be made from a centralized location from multiple vendors at the same time. 
A)  an online trading community that brings together buyers and supplier organizations to make possible the real time exchange of information, money, products, and services. 
B)  the department within a firm responsible for the logistics of placing, tracking, and delivering orders to other departments within the firm. 
C)  the department within a firm responsible for the logistics of placing, tracking, and delivering orders to ultimate consumers. 
D)  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. 
E)  the department within a firm that allows purchases to be made from a centralized location from multiple vendors at the same time.

Question 20

A straight rebuy is __________ while a modified rebuy is __________.

Accepted Answer

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

Important characteristics in organizational buying include which of the following?

Firms marketing consumer products or services often try to reach thousands or millions of individuals or households.Firms selling to organizations

Recently,Matt Kistler,a senior vice president at Walmart,claimed the company was making progress on achieving three major goals: (1)to be supplied by 100 percent renewable energy,(2)to create zero-waste,and (3)to increase the sale of renewably produced products.Walmart is focusing on

Supplier development refers to

When a seller puts an item up for sale and would-be buyers are invited to bid in competition with one another,it is referred to as

A buy class situation affects buying center tendencies in different ways.If the buying objective is to find a good solution,the suppliers considered are both new and present,and the buying influence includes technical and operating personnel,the buy class situation is most likely a

The North American Industry Classification System (NAICS)designates industries with a numerical code in a defined structure.A six-digit coding system is used.The first two digits designate

According to the textbook,JCPenney buys paper for which of the following media?

Which of the following is indicative of the purchase decision stage of the organizational buying decision process?

Differentiate between traditional and reverse auctions.

Important market characteristics in organizational buying behavior include which of the following?

The primary reason companies have placed an emphasis on buying from minority- and women-owned suppliers and vendors is

Although the U.S.Justice Department frowns on __________ because it restricts the normal operation of a free market,it is still legal for two companies to have an agreement to buy one another's products.

A __________ exists when a buyer and its supplier adopt mutually beneficial objectives,policies,and procedures for the purpose of lowering the cost or increasing the value of products and services delivered to the ultimate consumer.

Figure 5-4 -Figure 5-4 shows the three buy classes encountered by organizational buyers.B is referred to as a

A buying center refers to

A straight rebuy is while a modified rebuy is .

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Understanding 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 and Mobile Marketing to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Building an Effective Marketing Plan

Filters

Exam 5: Understanding Organizations As Customers

Important characteristics in organizational buying include which of the following?

Firms marketing consumer products or services often try to reach thousands or millions of individuals or households.Firms selling to organizations

Recently,Matt Kistler,a senior vice president at Walmart,claimed the company was making progress on achieving three major goals: (1)to be supplied by 100 percent renewable energy,(2)to create zero-waste,and (3)to increase the sale of renewably produced products.Walmart is focusing on

Supplier development refers to

When a seller puts an item up for sale and would-be buyers are invited to bid in competition with one another,it is referred to as

A buy class situation affects buying center tendencies in different ways.If the buying objective is to find a good solution,the suppliers considered are both new and present,and the buying influence includes technical and operating personnel,the buy class situation is most likely a

The North American Industry Classification System (NAICS)designates industries with a numerical code in a defined structure.A six-digit coding system is used.The first two digits designate

According to the textbook,JCPenney buys paper for which of the following media?

Which of the following is indicative of the purchase decision stage of the organizational buying decision process?

Differentiate between traditional and reverse auctions.

Important market characteristics in organizational buying behavior include which of the following?

The primary reason companies have placed an emphasis on buying from minority- and women-owned suppliers and vendors is

Although the U.S.Justice Department frowns on __________ because it restricts the normal operation of a free market,it is still legal for two companies to have an agreement to buy one another's products.

A __________ exists when a buyer and its supplier adopt mutually beneficial objectives,policies,and procedures for the purpose of lowering the cost or increasing the value of products and services delivered to the ultimate consumer.

Figure 5-4 -Figure 5-4 shows the three buy classes encountered by organizational buyers.B is referred to as a

A buying center refers to

A straight rebuy is __________ while a modified rebuy is __________.

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Understanding 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 and Mobile Marketing to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Building an Effective Marketing Plan

Filters

A straight rebuy is while a modified rebuy is .