Question 1

ISO 9000 reduces the need for a customer to conduct its own audit of a supplier's quality procedures.

Accepted Answer

A) True 
 B)False  True

Question 2

Purchasing managers in business markets (compared to buyers in consumer markets) are generally:

Accepted Answer

A)  fewer in number. 
B)  more technically qualified. 
C)  less emotional in their buying motives. 
D)  more insistent on dependability and quality. 
E)  all of the above. 
A)  fewer in number. 
B)  more technically qualified. 
C)  less emotional in their buying motives. 
D)  more insistent on dependability and quality. 
E)  all of the above. E

Question 3

Organizational buyers are often referred to as the B2B market.

Accepted Answer

A) True 
 B)False  True

Question 4

When a company is trying to decide which type of smart phone to purchase for its sales staff and has never had to make that specific type of purchase before, this buying situation is called a(n):

Accepted Answer

A)  Straight rebuy. 
B)  New-task buy. 
C)  JIT buy. 
D)  Modified rebuy. 
E)  ISO 9000 buy. 
A)  Straight rebuy. 
B)  New-task buy. 
C)  JIT buy. 
D)  Modified rebuy. 
E)  ISO 9000 buy.

Question 5

John Deere is considered which type of organizational customer?

Accepted Answer

A)  Producer. 
B)  Intermediary. 
C)  Government. 
D)  Nonprofit. 
A)  Producer. 
B)  Intermediary. 
C)  Government. 
D)  Nonprofit.

Question 6

Dependability of supply is usually much less important than price for most business customers.

Accepted Answer

A) True 
 B)False

Question 7

The approaches used to serve business customers in international markets are even more varied than those required to reach individual consumers.

Accepted Answer

A) True 
 B)False

Question 8

The government market

Accepted Answer

A)  often relies on an "approved supplier list" for routine items that are bought frequently. 
B)  is the largest customer group in the United States, accounting for about 30 percent of the gross domestic product. 
C)  usually buys from the lowest price supplier that can meet the written specifications. 
D)  All of the above are true. 
E)  None of the above are true. 
A)  often relies on an "approved supplier list" for routine items that are bought frequently. 
B)  is the largest customer group in the United States, accounting for about 30 percent of the gross domestic product. 
C)  usually buys from the lowest price supplier that can meet the written specifications. 
D)  All of the above are true. 
E)  None of the above are true.

Question 9

With ISO 9000 someone is responsible for quality at every step.

Accepted Answer

A) True 
 B)False

Question 10

Just-in-time delivery reliably helps to get products and store them long before the customer needs them.

Accepted Answer

A) True 
 B)False

Question 11

The term "NAICS" stands for New Auto Industry Classification Survey.

Accepted Answer

A) True 
 B)False

Question 12

Government is one of the smallest groups (in sales volume) of customers in the United States.

Accepted Answer

A) True 
 B)False

Question 13

A typical purchasing manager:

Accepted Answer

A)  buys strictly on economic needs. 
B)  tries to satisfy both individual needs and company needs. 
C)  seeks the lowest possible cost. 
D)  has the final decision on all purchases. 
E)  All of the above. 
A)  buys strictly on economic needs. 
B)  tries to satisfy both individual needs and company needs. 
C)  seeks the lowest possible cost. 
D)  has the final decision on all purchases. 
E)  All of the above.

Question 14

A vendor is LEAST LIKELY to make a sale if the buyer has not bought from the vendor before and is doing:

Accepted Answer

A)  straight rebuy buying. 
B)  selective buying. 
C)  new-task buying. 
D)  selective task buying. 
E)  modified rebuy buying. 
A)  straight rebuy buying. 
B)  selective buying. 
C)  new-task buying. 
D)  selective task buying. 
E)  modified rebuy buying.

Question 15

Specific adaptations are usually made when the buying organization chooses to outsource.

Accepted Answer

A) True 
 B)False

Question 16

ABC Technologies manufactures computer accessories, such as modems and network cards. Even though the company has several purchasing managers, the company president has final authority on all purchases over $500, including the selection of the supplier. In the typical buying center in this company, the company president would have the primary role of:

Accepted Answer

A)  User. 
B)  Buyer. 
C)  Influencer. 
D)  Decider. 
E)  Gatekeeper. 
A)  User. 
B)  Buyer. 
C)  Influencer. 
D)  Decider. 
E)  Gatekeeper.

Question 17

If a firm targets business and organizational markets,

Accepted Answer

A)  NAICS codes may be helpful for segmenting potential customers in Europe but not those in the U.S. 
B)  each customer may need to be treated as a different segment. 
C)  competing manufacturers are often clustered in geographic locations. 
D)  All of the above are true. 
E)  Both B and C are true. 
A)  NAICS codes may be helpful for segmenting potential customers in Europe but not those in the U.S. 
B)  each customer may need to be treated as a different segment. 
C)  competing manufacturers are often clustered in geographic locations. 
D)  All of the above are true. 
E)  Both B and C are true.

Question 18

When a large aircraft manufacturer like Boeing obtains a contract to build a new type of jet airliner, this transaction is most likely a(n):

Accepted Answer

A)  Negotiated contract buy 
B)  Straight rebuy 
C)  Modified rebuy 
D)  ISO 9000 buy 
E)  JIT buy 
A)  Negotiated contract buy 
B)  Straight rebuy 
C)  Modified rebuy 
D)  ISO 9000 buy 
E)  JIT buy

Question 19

Which of the following is NOT an example of an organizational buyer?

Accepted Answer

A)  A government buyer purchasing a new desk for the mayor's office. 
B)  A woman buying cookware to sell to her friends and neighbors. 
C)  A sales rep buying a new necktie to make a good impression. 
D)  A wholesaler buying a delivery truck. 
E)  None of the above is a good example. 
A)  A government buyer purchasing a new desk for the mayor's office. 
B)  A woman buying cookware to sell to her friends and neighbors. 
C)  A sales rep buying a new necktie to make a good impression. 
D)  A wholesaler buying a delivery truck. 
E)  None of the above is a good example.

Question 20

A description of what a firm wants to buy is called its purchasing specifications, whether that description is written or electronic.

Accepted Answer

A) True 
 B)False

Exam 7: Business and Organizational Customers and Their Buying Behavior

ISO 9000 reduces the need for a customer to conduct its own audit of a supplier's quality procedures.

Purchasing managers in business markets (compared to buyers in consumer markets) are generally:

Organizational buyers are often referred to as the B2B market.

When a company is trying to decide which type of smart phone to purchase for its sales staff and has never had to make that specific type of purchase before, this buying situation is called a(n):

John Deere is considered which type of organizational customer?

Dependability of supply is usually much less important than price for most business customers.

The approaches used to serve business customers in international markets are even more varied than those required to reach individual consumers.

The government market

With ISO 9000 someone is responsible for quality at every step.

Just-in-time delivery reliably helps to get products and store them long before the customer needs them.

The term "NAICS" stands for New Auto Industry Classification Survey.

Government is one of the smallest groups (in sales volume) of customers in the United States.

A typical purchasing manager:

A vendor is LEAST LIKELY to make a sale if the buyer has not bought from the vendor before and is doing:

Specific adaptations are usually made when the buying organization chooses to outsource.

If a firm targets business and organizational markets,

When a large aircraft manufacturer like Boeing obtains a contract to build a new type of jet airliner, this transaction is most likely a(n):

Which of the following is NOT an example of an organizational buyer?

A description of what a firm wants to buy is called its purchasing specifications, whether that description is written or electronic.

Marketings Value to Consumers, Firms, and Society

Marketing Strategy Planning

Evaluating Opportunities in the Changing Marketing Environment

Focusing Marketing Strategy With Segmentation and Positioning

Demographic Dimensions of Global Consumer Markets

Final Consumers and Their Buying Behavior

Improving Decisions With Marketing Information

Elements of Product Planning for Goods and Services

Product Management and New-Product Development

Place and Development of Channel Systems

Distribution Customer Service and Logistics

Retailers,wholesalers,and Their Strategy Planning

Promotion-Introduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising, Publicity, and Sales Promotion

Pricing Objectives and Policies

Price Setting in the Business World

Implementing and Controlling Marketing Plans: Evolution and Revolution

Managing Marketings Link With Other Functional Areas

Ethical Marketing in a Consumer-Oriented World: Appraisal and Challenges

Economics Fundamentals

Marketing Arithmetic

Filters