Deck 14: Building Long-Term Partnerships

Question 1

To be most effective,a salesperson should wait until a user has trouble with the product.

Answer 1

False

Question 2

During the commitment stage of the development of partnerships,it is still unlikely that a customer will designate a supplier as a preferred supplier or partner.

Answer 2

False

Question 3

If a customer does not like a proposed solution for his or her grievances,the salesperson trusted to make an adjustment or recommendation need not shoulder the responsibility.

Answer 3

False

Question 4

A salesperson owns the responsibility to secure commitment from his or her own company.

Question 5

Full-line selling is selling an entire line of associated products.

Question 6

Experienced salespeople should assume product or service failure is always the user's fault.

Question 7

Assuming proper expectations were set,customers can be disappointed when a product performs poorly,is used improperly,or the terms of the contract are not met.

Question 8

Activities such as upgrading,full-line selling,cross-selling,and handling complaints cease during the commitment stage of the relationship development process.

Question 9

The fewer the difficulties allowed to occur,the greater will be a customer's confidence in the salesperson and the product.

Question 10

When a buyer-seller relationship has reached the commitment stage,there is a stated or implied pledge to continue the relationship.

Question 11

When describing a settlement,the salesperson should carefully monitor all verbal and nonverbal cues to determine the customer's level of satisfaction.

Question 12

The best way to establish a sales relationship is to be aware of what the customer expects.

Question 13

Upgrading,full-line selling,and cross-selling are sales strategies that work best with existing prospects.

Question 14

Salespeople should make sure customers have high expectations of product performance.

Question 15

To a large degree,customers base their initial expectations on sales presentations.

Question 16

Getting customers to use a higher-quality or newer version of a product is called full-line selling.

Question 17

Good salespeople show they are happy a grievance has been brought to their attention.

Question 18

Expansion immediately follows the awareness stage of building partnerships.

Question 19

Commitment requires that all employees be empowered to handle the needs of a customer.

Question 20

In the expansion phase,the activities of the exploration stage,such as monitoring order processing,handling complaints,and so on,do not apply.

Question 21

Complaints in the later stages of a strategic partnership are likely to lead to full-blown conflict if trust is not carefully salvaged.

Question 22

Identify a true statement about the follow-up that salespeople should perform after a sale.

A) Salespeople should make a call to say thank you and to check to see that the product is working appropriately.
B) Personal follow-up visits should be avoided because they are expensive and tend to accomplish little.
C) Salespeople should follow up with only those members of the buying center who are directly involved in the use of the product.
D) Salespeople should ideally follow the 3-by-3 strategy to make all their follow-up calls.
E) Salespeople should avoid regular follow-up with their accounts to identify any changing needs as it will tarnish goodwill between the seller and the buyer.

Question 23

John Britain Fabrics and BlueFabs are in the exploration stage of a sales relationship.Margret,a sales executive for John Britain Fabrics,has been assigned to ensure reordering from BlueFabs.What should she do to ensure this?

A) She should give the impression of a fair adjustment of price.
B) She should set high expectations for the products bought by BlueFabs.
C) She should continuously monitor BlueFabs' levels of satisfaction.
D) She should make up responses to tough questions by BlueFabs.
E) She should compel BlueFabs to reorder by giving discounts.

Question 24

During the _____ stage of developing a partnership,the buyer tests the seller's product,how the seller responds to requests,and other similar actions after the initial sale is made.

A) exploration
B) commitment
C) awareness
D) expansion
E) dissolution

Question 25

In general,the faster and broader the change,the less likely it will meet with resistance.

Question 26

Shein Ketchup Company has procured a filling machine for ketchup from Alpha Industries Ltd.What should Mark,a salesperson at Alpha Industries Ltd. ,do to ensure a reorder by Shein Ketchup Company?

A) He should give the impression of a fair adjustment of price.
B) He should compel the customer to reorder by giving discounts.
C) He should continuously monitor the customer's perception of product performance.
D) He should browbeat the customer if it attempts to secure a satisfactory adjustment.
E) He should set high expectations for the products bought by the customer.

Question 27

In sales terms,complacency is assuming that a business is yours and will always be yours.

Question 28

In the exploration stage of a sales relationship,while responding to a complaint,after the customer tells his or her story and the facts are determined,the next step for the salesperson is to:

A) generate repeat orders.
B) move to the expansion stage.
C) treat the claim as illegitimate.
D) offer a solution.
E) delay action or avoid resolution.

Question 29

Al,the owner of Mac's Tire Mart,has received his first shipment of tires from the NevaFlat Tire Company.Al is now testing how well the tires sell,how well NevaFlat responds when he has a question or problem,and how durable the tires really are.Al and NevaFlat Tire Company are in which of the following stages of partnership development?

A) Recognition
B) Expansion
C) Exploration
D) Commitment
E) Awareness

Question 30

Which of the following is most likely to occur in the commitment stage of developing partnerships?

A) Evaluating after-sales services
B) Gathering pre-call information
C) Managing change
D) Cold-calling prospects
E) Getting an initial order

Question 31

Salespeople should encourage direct communication among similar functional areas.

Question 32

After building awareness,the next stage in the development of a partnership is:

A) recognition.
B) expansion.
C) exploration.
D) commitment.
E) insight.

Question 33

When partnering with companies from other countries,country culture differences as well as corporate culture differences can cause difficulties.

Question 34

It is up to a single salesperson to change his or her company's corporate culture to secure a partnership with an important client.

Question 35

Once a customer has committed to a partnership,less work is needed to maintain the relationship.

Question 36

In the _____ stage of developing a partnership,the relationship is defined through the development of expectations for each party.

A) commitment
B) exploration
C) awareness
D) expansion
E) dissolution

Question 37

Salespeople can motivate champions to participate fully in the decision process by showing how a decision meets their needs as well as the overall needs of the company.

Question 38

Because salespeople are highly proactive in finding areas for improvement in their partners' organizations,positioning a change may determine who is involved in the decision.

Question 39

Which of the following is the most appropriate strategy in the expansion stage of a sales relationship?

A) To build a social engagement
B) To determine the customer's level of satisfaction
C) To delay action or avoid resolution
D) To talk about points of agreement
E) To generate repeat orders

Question 40

To achieve increasing revenue in an account over time,the salesperson acts as a change agent.

Question 41

Keith Nixon,a salesperson for Paradise Water Gardens,often calls on Olin Wiley,the owner of Lexington Nurseries,for sales meetings.He often helps Wiley plan newspaper ads to take full advantage of the co-op advertising allowance that Lexington earns from Paradise.In this example,Nixon is maximizing his sales opportunity with Lexington by:

A) ensuring good after-sales service.
B) helping service products.
C) providing expert guidance.
D) following through with action.
E) selling specialty advertising items.

Question 42

Sheena,a salesperson for Myra Designer Wear,works closely with Blossoms Hub,a retailer who sells Myra's products in many major malls and stores in the city.What should Sheena do to maximize her selling opportunities during the expansion phase of the partnering process with this retailer?

A) She should generate more reorders from the retailer.
B) She should get acquainted with the retailer's needs.
C) She should compel the retailer to have regular buying cycles.
D) She should engage in full-price selling.
E) She should offer routine maintenance on all products for free.

Question 43

Identify a true statement about customer complaints in the sales process.

A) It is wise to assume that all complaints are unjustified.
B) Complaints are completely eliminated through personal visits by sales representatives.
C) Avoiding complaints by setting high expectations is best.
D) A fair settlement made in the customer's favor helps to resell the company and its products.
E) A customer who does not complain is a happy customer.

Question 44

Full-line selling is the sale of those goods and services that are:

A) required as a part of the initial order a new customer places.
B) purchased by manufacturers and not by retailers.
C) designed as a line of associated products.
D) sold as additional products that are not directly associated with the initial product bought.
E) compulsorily more advanced and more expensive than the initial product bought.

Question 45

Which of the following statements about complaints is true?

A) Handling complaints properly is most important during the commitment stage of a partnership.
B) Complaints cannot be eliminated;they can only be reduced in frequency.
C) A complaint should be predominantly attributed to the customer's handling or misuse of the product.
D) Only when complaints are eliminated can a true partnership be formed.
E) All of these

Question 46

To improve the likelihood of reorders,a salesperson should:

A) be present at the time of the purchase.
B) make sure the customer has access to the selling firm's catalogs.
C) provide the customer with various specialty advertising items that contain the selling firm's name,logo,and Web site.
D) provide the customer with periodic maintenance and repair on his or her purchase.
E) do all of these.

Question 47

The first thing a salesperson should do in dealing with a customer's complaint is:

A) offer a satisfactory solution.
B) emphasize that another member of the selling firm is at fault.
C) determine whether the buying or the selling firm is at fault.
D) represent the customer's position to the selling firm's personnel.
E) encourage the customer to tell his or her whole story.

Question 48

_____ is convincing a customer to use a higher-quality product or a newer product.

A) Seeding
B) Canvassing
C) Positioning
D) Upgrading
E) Feature dumping

Question 49

Clark,a salesperson at Peterson Company,is frustrated by his inability to handle rude customers and their complaints."Frankly,I don't know what to do when a customer starts telling me about a problem," he says.Which of the following steps should be adopted by Clark to solve customer a complaint?

A) Justify and blame a third party for the complaint
B) Assume the problem is the customer's fault
C) Handle the grievance in a friendly manner
D) Attempt to sell a different product to the customer
E) Resolve the easier things in the customer complaint first

Question 50

Which of the following statements is NOT a guideline to be used when determining the facts about a customer complaint?

A) It is easy to be influenced by a customer who is honestly and sincerely making a claim for an adjustment.
B) An inexperienced salesperson might forget that many customers make their case for a claim as strong as possible.
C) Whenever possible,a salesperson should examine,in the presence of the customer,the article or product claimed to be defective.
D) Experienced salespeople soon learn that products may appear defective when actually nothing is wrong with them.
E) Starting an inquiry into the nature of a complaint is an effective way to postpone action to resolve the complaint.

Question 51

Which of the following is a likely reason for a customer complaint?

A) The salesperson set the buyer's expectations too high.
B) The terms of the sales contract were not met by the salesperson.
C) The product required extensive technical expertise to operate.
D) The product was used improperly by the customer.
E) All of these

Question 52

Which of the following statements about complaints is FALSE?

A) The customer must perceive the settlement of a complaint as being fair.
B) The settlement that will be provided must be clearly communicated.
C) A salesperson settling a claim should educate the customer to forestall future claims.
D) A fair settlement made in the customer's favor helps to resell the company and its products.
E) A salesperson who is convinced that a claim is dishonest should take action by filing a case against the customer.

Question 53

_____ is defined as selling an entire line of associated products.

A) Full-line selling
B) Cross-selling
C) Insight selling
D) Rebate selling
E) Full-price selling

Question 54

Anton is a salesperson at GF Motors Co.Ben,a customer,has an engine complaint with the car he purchased from GF Motors.Anton listened to his complaint and determined the facts in the complaint.Which of the following should Anton do to effectively respond to his customer in this scenario?

A) He should attempt to sell a different car to the customer.
B) He should interrupt the customer if the customer is describing imaginary grievances.
C) He should offer a solution and gain agreement that the proposed solution is acceptable.
D) He should discuss how another employee of the company is actually at fault.
E) He should determine whether his firm or the customer is responsible for the problem.

Question 55

When Marion convinced a customer to replace his old Pondmaster 1000 aquarium filter with the new and improved Pondmaster 1500,she was engaging in:

A) cross-selling.
B) upgrading.
C) repositioning.
D) full-line selling.
E) incremental selling.

Question 56

Dawn,a sales executive at Wind Homes Ltd. ,sells building materials to the construction contractors in New Jersey.She is able to achieve her annual sales target for wooden planks,but the sales of wooden joineries are far below the set target.Dawn tries to push the stock of these additional construction materials to all her existing customers.Identify the strategy being used by Dawn in this scenario.

A) Adaptive selling
B) Upgrading
C) Full-line selling
D) Backdoor selling
E) Insight selling

Question 57

John is a sales representative for a pharmaceutical company,and he specializes in the sales of antibiotics to hospitals.What should John do to ensure that the pharmacists who place orders for medicines remember the brand of antibiotics that he sells?

A) He should use data mining strategies.
B) He should give them useful items imprinted with his company's name.
C) He should compel them to place regular orders with his company.
D) He should give them free vouchers and medical insurances.
E) He should offer bribes to the concerned pharmacists.

Question 58

Which of the following actions is still necessary after the partnering process reaches the expansion stage?

A) Identifying additional needs
B) Monitoring order processing
C) Ensuring proper use of the product
D) Handling complaints
E) All of these

Question 59

With _____,the emphasis is on helping the buyer realize the synergy of carrying all associated products of the same brand or manufacturer.

A) solo exchange
B) insight selling
C) cross-selling
D) upgrading
E) full-line selling

Question 60

Identify a true statement about upgrading during the expansion phase of a sales relationship.

A) During a modified rebuy,the salesperson should take advantage of the relationship with the customer to maximize sales.
B) The objective of upgrading is to expand the seller's business by selling to the customer in bulk quantities.
C) To upgrade a customer,the salesperson must show that the initial purchase was not exactly what the customer needed.
D) During a modified rebuy in the expansion phase,the salesperson should emphasize that the initial decision was a good one.
E) During the expansion phase of a relationship,salespeople dealing with less educated consumers should lend themselves to overselling.

Question 61

In general,_____ status means the vendor is assured of a large percentage of the buyer's business and will get the first opportunity to earn new business.

A) reseller
B) retailer
C) service provider
D) preferred-supplier
E) relationship manager

Question 62

To avoid _____,salespeople should regularly audit their own customer service.

A) expansion
B) synergy
C) complacency
D) dependability
E) resistance to change

Question 63

Which of the following is NOT one of the tips for salespeople for effective cross-selling?

A) Avoid setting cross-selling goals.
B) Cross-selling often involves additional training.
C) Know all of your company's products.
D) Provide incentives for cross-selling.
E) Track results of cross-selling efforts.

Question 64

Angela is a salesperson for KSU exercise equipment.She wants to sell deluxe exercise stations to Silver Workout Centers.Hans is the assistant regional director of Silver Workout Centers in the greater Chicago area and is acting as a champion for Angela's product.We should expect all of the following EXCEPT that:

A) Hans will prevent Angela from meeting the members of the buying center at the home office.
B) Hans will sell Angela's proposal at the home office in her absence.
C) Angela will provide Hans with a lot of information about her proposal and equipment.
D) Hans will promote the exercise equipment to other members of the buying center.
E) Angela will motivate Hans by showing him how the equipment meets Silver's needs as well as his own.

Question 65

Which of the following statements about the commitment stage of a relationship is FALSE?

A) Commitment to the relationship must permeate both the buying and the selling organizations.
B) The seller must take a proactive communication stance.
C) The corporate cultures of the two organizations must be compatible.
D) Salespeople must discourage direct communication among similar functional areas of the two firms.
E) There is an implied or stated pledge to continue the relationship.

Question 66

Hurricane Mitch was the most devastating storm to ever hit Central America.Roger,a salesperson for Dempko Chemicals in Granada,proactively arranged transportation facilities to deliver chemicals to the factory of his major client,Quimico Factories.This prevented the stalling of factory operations during Hurricane Mitch.Identify the stage of relationship between Dempko Chemicals and Quimico Factories in this scenario.

A) Expansion
B) Dissolution
C) Commitment
D) Awareness
E) Exploration

Question 67

Ralph realizes that most of the people he established a business partnership with are no longer in their organizations.He does not know what his customers are planning next or what his competitors are doing.Ralph is most likely in the _____ stage of business partnerships.

A) synergy
B) dissolution
C) exploration
D) expansion
E) commitment

Question 68

When a buyer-seller relationship has reached the _____ stage of partnership development,there is a stated or implied pledge to continue the relationship.

A) culmination
B) pinnacle
C) commitment
D) expansion
E) covenant

Question 69

Identify a feature about the dissolution stage in a sales relationship.

A) Keen awareness of the potential plans of the partnering firm
B) Failure of a proposal due to incorrect positioning of the proposed change in the relationship
C) Extensive network of personal and professional contacts in the partnering firm
D) Failure to monitor the industry in which either the salesperson or the customer operates
E) High degree of competence even at the later stages of the partnering relationship

Question 70

Which of the following represents a way in which a salesperson can ensure a good number of personal contacts in a customer's firms?

A) By using an electronic data interchange system to control communication with the customer
B) By using specialty advertising items to make the selling firm's presence felt in the customer's firm
C) By cultivating three relationships each at three organizational levels of the customer's firm
D) By minimizing the use of strategies like cross-selling,full-line selling,and upselling with the customer's firm
E) By avoiding action on any trust-destroying conflict that the customer may have

Question 71

Which of the following statements is true of the tendency of salespeople to not monitor competitor actions?

A) When a selling firm is in an invulnerable position,there is no need to study competitor actions.
B) Studying competitor actions involves locating data that are not easily accessible to everyone.
C) The selling firm is especially vulnerable during a personnel,technological,and directional change.
D) Competitor's actions rarely help a company position its products and services better.
E) The 3-by-3 strategy is designed specifically to help salespeople understand a competitor's actions.

Question 72

In El Salvador,a manufacturer of household insecticide told Dempko Chemical Co.'s salesperson Nelson Viquez that it wanted a substitute for the kerosene it always used in making aerosol household insecticide.Viquez worked extensively with the manufacturer to create a pilot plant and test its pesticides with the addition of Dempko Chemical's Demosol D-a substitute for kerosene.Dempko Chemical and the manufacturer spent a year and a half running laboratory and field tests on the new product,which was extremely successful in Central America.Viquez acted as a(n):

A) change agent.
B) influential adversary.
C) spotter.
D) gatekeeper.
E) idea champion.

Question 73

Which of the following is the first step toward reducing the probability of a trust-destroying conflict in a relationship?

A) Give a clear product description
B) Define who has the authority to do what within the selling and buying organizations
C) Document any changes made to the contract
D) Ignore complaints from the buying center
E) Dissolve the relationship

Question 74

Which of the following statements is true of the different categories of relationships with suppliers?

A) The first stage involves the formation of selective or strategic partnerships.
B) An annual contract is an example of a coordinative relationship with a supplier.
C) Selective and strategic partnerships are examples of market exchanges.
D) Functional partnerships essentially involve an integration of departments across two companies.
E) Strategic partnerships represent the most commonly seen buyer-supplier relationship.

Question 75

_____ work for a buying firm in the areas most affected by a proposed change and work with the salespeople to make the proposal successful.

A) Influential adversaries
B) Gatekeepers
C) Spotters
D) Champions
E) Initiators

Question 76

Martin was trying to sell pumps for circulating water in goldfish ponds when he realized that the reason he was not able to sell many pumps was the weight of the model he was trying to sell.He approached the firm with the idea to replace every possible metal part of the pump with a hard plastic substitute.After working on his feedback,the pumps became lightweight and were able to meet customers' requirements better.As the _____,Martin saw the project from its conception to the development of a lighter pump.

A) change agent
B) gatekeeper
C) driver
D) spotter
E) champion

Question 77

Gail is the Westinghouse salesperson on the Deep South Electric account (a major public utility company).Westinghouse and Deep South have developed a partnering relationship in which Deep South buys all of its pole-mounted transformers from Westinghouse.Gail worked hard for several years to establish this partnership,and now she is much more relaxed.Her only client is Deep South,and she knows the two firms are committed to the relationship.Her success has allowed her to take two or three afternoons off from work in order to work on her garden or play golf with some old college pals.Gail's attitude toward her clients and sales targets is now characterized by _____.

A) synergy
B) complacency
C) acceptability
D) acquiescence
E) competence

Question 78

The term _____ refers to the degree to which a change affects an organization.

A) scope of change
B) change ratio
C) rate of change
D) change quotient
E) change agent

Question 79

Corporate culture:

A) shapes the attitudes of employees.
B) reflects the values and beliefs held by senior management.
C) influences the development of programs and policies.
D) determines how employees act.
E) all of these.

Question 80

Which of the following statements about positioning a change is true?

A) Positioning a change is not at all similar to positioning a product in mass marketing.
B) Since a salesperson is acting as the change agent,any positioning of a change should take place in the purchasing department.
C) Positioning a change is similar to positioning a product in mass marketing.
D) Positioning a change is a reactive way of dealing with an initial turndown by the buying firm.
E) Salespeople have a limited role in the process of positioning a proposed change.