Question 1

The North American Industry Classification System (NAICS) permits a firm to

Accepted Answer

A) find the NAICS codes of its present customers and then obtain NAICS-coded lists for similar firms. 
B) learn the names of the purchasing agents of all prospective customers. 
C) sell to any company within North America as long as it is not a monopoly. 
D) engage in benchmarking with companies manufacturing and/or marketing similar products. 
E) conduct an industry-wide SWOT analysis to determine internal strengths and weaknesses and external opportunities and threats of current and prospective competitors. 
A) find the NAICS codes of its present customers and then obtain NAICS-coded lists for similar firms. 
B) learn the names of the purchasing agents of all prospective customers. 
C) sell to any company within North America as long as it is not a monopoly. 
D) engage in benchmarking with companies manufacturing and/or marketing similar products. 
E) conduct an industry-wide SWOT analysis to determine internal strengths and weaknesses and external opportunities and threats of current and prospective competitors.

Question 2

Organizational buying behavior is similar to consumer behavior in some ways and different in others. One commonality is that both

Accepted Answer

A) use the same five stages in the purchase decision process. 
B) use formal vendor rating when choosing among alternative brands. 
C) are affected by derived demand. 
D) have virtually unlimited options for suppliers. 
E) rely on gatekeepers to control product information. 
A) use the same five stages in the purchase decision process. 
B) use formal vendor rating when choosing among alternative brands. 
C) are affected by derived demand. 
D) have virtually unlimited options for suppliers. 
E) rely on gatekeepers to control product information.

Question 3

Manufacturers, wholesalers, retailers, and government agencies that buy goods and services for their own use or for resale are referred to as

Accepted Answer

A) multinational buyers. 
B) resellers. 
C) organizational buyers. 
D) ultimate consumers. 
E) institutional buyers. 
A) multinational buyers. 
B) resellers. 
C) organizational buyers. 
D) ultimate consumers. 
E) institutional buyers.

Question 4

The size and number of JCPenney direct mail pieces like catalogs that are designed and mailed to consumers would determine how much paper JCPenney needs to buy. This is an example of __________.

Accepted Answer

A) derived demand 
B) reciprocity 
C) a tying agreement 
D) derived supply 
E) elastic supply 
A) derived demand 
B) reciprocity 
C) a tying agreement 
D) derived supply 
E) elastic supply

Question 5

The primary buying objective for business firms is usually to

Accepted Answer

A) increase profits through increasing costs and increasing revenues. 
B) increase profits through reducing costs and decreasing revenues. 
C) increase profits through reducing costs or increasing revenues. 
D) maintain profits through reducing costs and increasing revenues. 
E) reduce profits through reducing costs and reducing revenues. 
A) increase profits through increasing costs and increasing revenues. 
B) increase profits through reducing costs and decreasing revenues. 
C) increase profits through reducing costs or increasing revenues. 
D) maintain profits through reducing costs and increasing revenues. 
E) reduce profits through reducing costs and reducing revenues.

Question 6

A disadvantage of the North American Industry Classification System (NAICS) is that

Accepted Answer

A) it only lists the top ten firms in any particular industry. 
B) it is too difficult and confusing to read. 
C) it only covers organizations with sales in excess of (U.S.) $1 million. 
D) it makes it possible to find how the firm's customers are coded. 
E) five-digit national industry codes are not always available for all three countries. 
A) it only lists the top ten firms in any particular industry. 
B) it is too difficult and confusing to read. 
C) it only covers organizations with sales in excess of (U.S.) $1 million. 
D) it makes it possible to find how the firm's customers are coded. 
E) five-digit national industry codes are not always available for all three countries.

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

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 9

To lower costs and reduce manufacturing time, Michelin has people work together on important purchases. These people include individuals in the roles of buyers, deciders, gatekeepers, and others, as needed. This type of cross-functional group is known as a(n)

Accepted Answer

A) purchasing committee. 
B) sustainable procurement panel. 
C) buying center. 
D) supply partnership. 
E) purchasing task force 
A) purchasing committee. 
B) sustainable procurement panel. 
C) buying center. 
D) supply partnership. 
E) purchasing task force

Question 10

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

Question 11

What is a buying center? In what type of business would a buying center most likely be found?

Accepted Answer

A buying center is a group of individual

Question 12

A buy class situation affects buying center tendencies in different ways. If the decision time is long, both new and present suppliers are considered, and the buying objective is a good solution, 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 13

Mile High Frozen Foods is a distributor for McDonalds. It also bakes the buns used by McDonalds in several states. It purchases flour, yeast, and sesame seeds, manufactures the buns, and then ships them to McDonalds' stores. Mile High Frozen Foods is operating in a(n) __________ market.

Accepted Answer

A) consumer 
B) government 
C) industrial 
D) service 
E) reseller 
A) consumer 
B) government 
C) industrial 
D) service 
E) reseller

Question 14

Which of the following statements most closely describes the people in the buying center of a medium-sized manufacturing plant?

Accepted Answer

A) The composition of the buying center remains constant over long periods of time. 
B) The buying center avoids cross-functional teams whenever possible. 
C) The composition of the buying center depends on the specific item being purchased. 
D) The purchasing manager is an occasional member of the buying center. 
E) Most government units use a formal buying center to arrive at buying decisions. 
A) The composition of the buying center remains constant over long periods of time. 
B) The buying center avoids cross-functional teams whenever possible. 
C) The composition of the buying center depends on the specific item being purchased. 
D) The purchasing manager is an occasional member of the buying center. 
E) Most government units use a formal buying center to arrive at buying decisions.

Question 15

An IT engineer specifies the type of electronic shopping cart to be used on the company's new website. The engineer also chooses the supplier who receives the contract to provide the software. In the buying center, this person is the __________.

Accepted Answer

A) gatekeeper 
B) decider 
C) broker 
D) influencer 
E) user 
A) gatekeeper 
B) decider 
C) broker 
D) influencer 
E) user

Question 16

-The people in the organization who actually use the product or service are referred to as __________, which is one role in the buying center.

Accepted Answer

A) consumers 
B) deciders 
C) buyers 
D) influencers 
E) users 
A) consumers 
B) deciders 
C) buyers 
D) influencers 
E) users

Question 17

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 buy one another's products as long as there is no coercion involved.

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 18

Which of the following organizational buyers purchases raw materials and parts to reprocess into the finished goods they sell?

Accepted Answer

A) retailers 
B) wholesalers 
C) agents 
D) manufacturers 
E) ultimate consumers 
A) retailers 
B) wholesalers 
C) agents 
D) manufacturers 
E) ultimate consumers

Question 19

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 fifth digit designates a(n)

Accepted Answer

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

Question 20

Milsco Manufacturing markets __________ in partnership with its customers.

Accepted Answer

A) motors 
B) braking systems 
C) transmissions 
D) seats 
E) customized wheels 
A) motors 
B) braking systems 
C) transmissions 
D) seats 
E) customized wheels

The North American Industry Classification System (NAICS) permits a firm to

Organizational buying behavior is similar to consumer behavior in some ways and different in others. One commonality is that both

Manufacturers, wholesalers, retailers, and government agencies that buy goods and services for their own use or for resale are referred to as

The size and number of JCPenney direct mail pieces like catalogs that are designed and mailed to consumers would determine how much paper JCPenney needs to buy. This is an example of __________.

The primary buying objective for business firms is usually to

A disadvantage of the North American Industry Classification System (NAICS) is that

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

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

To lower costs and reduce manufacturing time, Michelin has people work together on important purchases. These people include individuals in the roles of buyers, deciders, gatekeepers, and others, as needed. This type of cross-functional group is known as a(n)

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)

What is a buying center? In what type of business would a buying center most likely be found?

A buy class situation affects buying center tendencies in different ways. If the decision time is long, both new and present suppliers are considered, and the buying objective is a good solution, the buy class situation is most likely a

Mile High Frozen Foods is a distributor for McDonalds. It also bakes the buns used by McDonalds in several states. It purchases flour, yeast, and sesame seeds, manufactures the buns, and then ships them to McDonalds' stores. Mile High Frozen Foods is operating in a(n) __________ market.

Which of the following statements most closely describes the people in the buying center of a medium-sized manufacturing plant?

An IT engineer specifies the type of electronic shopping cart to be used on the company's new website. The engineer also chooses the supplier who receives the contract to provide the software. In the buying center, this person is the __________.

-The people in the organization who actually use the product or service are referred to as __________, which is one role in the buying center.

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 buy one another's products as long as there is no coercion involved.

Which of the following organizational buyers purchases raw materials and parts to reprocess into the finished goods they sell?

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 fifth digit designates a(n)

Milsco Manufacturing markets __________ in partnership with its customers.

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 to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Filters

Exam 5: Understanding Organizations As Customers

The North American Industry Classification System (NAICS) permits a firm to

Organizational buying behavior is similar to consumer behavior in some ways and different in others. One commonality is that both

Manufacturers, wholesalers, retailers, and government agencies that buy goods and services for their own use or for resale are referred to as

The size and number of JCPenney direct mail pieces like catalogs that are designed and mailed to consumers would determine how much paper JCPenney needs to buy. This is an example of __________.

The primary buying objective for business firms is usually to

A disadvantage of the North American Industry Classification System (NAICS) is that

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

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

To lower costs and reduce manufacturing time, Michelin has people work together on important purchases. These people include individuals in the roles of buyers, deciders, gatekeepers, and others, as needed. This type of cross-functional group is known as a(n)

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)

What is a buying center? In what type of business would a buying center most likely be found?

A buy class situation affects buying center tendencies in different ways. If the decision time is long, both new and present suppliers are considered, and the buying objective is a good solution, the buy class situation is most likely a

Mile High Frozen Foods is a distributor for McDonalds. It also bakes the buns used by McDonalds in several states. It purchases flour, yeast, and sesame seeds, manufactures the buns, and then ships them to McDonalds' stores. Mile High Frozen Foods is operating in a(n) __________ market.

Which of the following statements most closely describes the people in the buying center of a medium-sized manufacturing plant?

An IT engineer specifies the type of electronic shopping cart to be used on the company's new website. The engineer also chooses the supplier who receives the contract to provide the software. In the buying center, this person is the __________.

-The people in the organization who actually use the product or service are referred to as __________, which is one role in the buying center.

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 buy one another's products as long as there is no coercion involved.

Which of the following organizational buyers purchases raw materials and parts to reprocess into the finished goods they sell?

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 fifth digit designates a(n)

Milsco Manufacturing markets __________ in partnership with its customers.

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 to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Filters