Deck 2: The Process of Selling and Buying

Question 1

What are the seven stages of the organizational buying decision process and what are the implications for sales people at each stage?

Answer 1


(1.) Anticipation or recognition of a problem or need. For salespeople anticipating the needs or problems of customers generates opportunities (2.) Determination and description of the characteristics and quantity of the needed item. At this stage salespeople need to provide customers with information (3.) Search for and qualification of potential suppliers. At this stage salespeople need their product or service to be one of the choices included for evaluation (4.) Acquisition and analysis of proposals or bids. At this stage the salesperson needs to provide the information requested in the format desired by the potential customer (5.) Evaluation of proposals and selection of suppliers. At this stage the salesperson needs to address the priorities of buyers and be prepared to address quality, pricing, credit, delivery and other details needed for evaluation (6.) Selection of an order routine. At this stage the salesperson needs to coordinate the delivery needs of the customer with the company's manufacturing schedule (7.) Performance evaluation and feedback. At this stage the salesperson needs to address any problems or concerns in order to improve opportunities for additional purchases in the future.

Question 2

In which of the following stages of the selling process is a company's credit and collections department most likely to be heavily involved?

A) Closing the sale
B) Prospecting for a customer
C) Servicing the account
D) Qualifying the prospect
E) The sales presentation

Answer 2

D

Question 3

_____ is the core of the selling process.

A) Closing the sale
B) Prospecting the customer
C) Servicing the account
D) Qualifying the prospect
E) The sales presentation

Answer 3

E

Question 4

Selling in B2B markets involves sales to:

A) Resellers, consumers, and institutions
B) Resellers, business users, and institutions
C) Consumers, business users, and institutions
D) Resellers, business users, and consumers
E) None of the above

Question 5

In the stages of the selling process generally, what three efforts should be made BEFORE presenting the sales message?

A) Servicing, qualifying and closing the sale
B) Prospecting, servicing and opening the relationship
C) Prospecting, opening the relationship and qualifying
D) Opening the relationship, closing the sale and servicing the account
E) The only effort needed is prospecting

Question 6

XcelleNet provides software for companies that have a remote, mobile workforce. Its salespeople provide its new and potential customers with all the support and help needed to implement a system that is best suited to their particular needs-including, but not limited to redesigning the software. XcelleNet salespeople would be best classified as ______ salespeople.

A) New business
B) Trade
C) Missionary
D) Technical
E) Key account

Question 7

In 1999, salespeople for the Choctaw Casino Resort Group, with six hotels less than two years old, had tremendous success marketing the facilities to fraternal organizations throughout the Southeast. Prior to the 1999 effort by its salespeople, few meeting planners were aware of the meeting facilities that the resort hotels had and how its hotels were designed to provide all of the services needed for a successful meeting. The Choctaw Casino Resort Group salespeople exemplify _____ salespeople.

A) New business
B) Trade
C) Missionary
D) Technical
E) Key account

Question 8

Which of the following statements about the sales presentation as a stage in the selling process is true?

A) An efficient sales presentation should not be presented to just one individual within the buying center
B) Very low-key selling should be used when the salesperson is expected to provide a great deal of technical information and advice
C) Salespeople should not use demonstrations during the presentation unless they want to lose the attention of the prospect
D) Sales presentations are a unique part of the organization and do not have to be consistent with other organizational policies
E) None of the above statements about sales presentations is true

Question 9

What is another name for business-to-business selling? What three types of markets are involved in B2B selling?

Question 10

Your university puts together a team including faculty, admissions staff, development personnel, financial aid and others to collectively sell the university. In a business, this team might be called a

A) Matrix organization
B) Prospecting analysis committee
C) Solutions committee
D) Student assessment team
E) Risk analysis organization

Question 11

Artis Moore owns a small company that details cars. He is trying to sell his services to a company that rents cars and vans. As he talks to the rental company owner who makes all purchasing decisions, Moore is trying to convince her that his detail services will benefit the company. He is also endeavoring to show how it is more efficient to outsource the cleaning of the cars rather than do it in-house. As Moore talks about the benefits, he is trying to make sure that the job will add to the prof

A) Closing the sale
B) Prospecting for a customer
C) Servicing the account
D) Qualifying the prospect
E) The sales presentation

Question 12

The salesperson for a new streak-free window cleaner made a sales call on a janitorial service. The owner of the janitorial service was unaware of the product, so the salesperson had to begin her presentation by getting the service owner to

A) Analyze product specifications for a window cleaner
B) Recognize a need for a streak-free window cleaner
C) Perform an evaluation on how the cleaner worked at job sites
D) Search for potential suppliers of similar cleaners
E) Determine how many cases of window cleaner the company uses monthly

Question 13

For which of the following products would a salesperson be most likely to use a demonstration during her sales presentation?

A) An adjustable staple gun that can be used on every type of material from paper to cement
B) Coal
C) Paper napkins
D) Ceramic tile
E) Antique lace to be used for the making of one-of-a-kind bridal veils

Question 14

When recycling wood from demolition lumber, recyclers use a magnetized conveyor belt system. One of the leading manufacturers of such a system is Mastermag. Mastermag sales increase when the market price for recycled iron increases and decrease when the market price for recycled iron declines. The demand for the Mastermag magnetic system is:

A) Tangible
B) Inelastic
C) Homogeneous
D) Derived
E) Static

Question 15

Roland is putting together a selling center for his company. He will likely include

A) Customers, salespeople and HR people
B) Marketing, customer service and engineering people
C) Senior executives, sales managers and sales reps
D) Production staff, ad agency personnel and customers
E) All of the above people would be included in a selling center

Question 16

The term buying center refers to:

A) The sales department that engages in team selling
B) All people who are actually employed by a company and who can impact the buying decision
C) Any employee who has the potential for impacting the selling process
D) Any employee who has the potential for impacting the buying process
E) All the people who participate in buying a product or service

Question 17

A salesperson engaged in cold canvassing would be:

A) Determining if a potential customer had the resources with which to buy
B) Engaged in telemarketing
C) Prospecting for potential customers using a mass marketing approach
D) Defining target markets
E) Selling industrial products to employees who were not members of the buying center

Question 18

Which of the following questions would be most likely asked when closing a sale?

A) Mr. Customer, can I have a few minutes of your time to show you a new way to keep track of your inventory?
B) Should we include your company's production vice-president in these discussions about a new assembly line configuration?
C) Who in your company has the authority to make a buying decision?
D) Can I have an appointment next Tuesday or Wednesday?
E) Would you like to have that office desk in maple or cherry wood?

Question 19

Which of the following is one of the characteristics that generally distinguishes B2B sales from B2C sales?

A) B2C customers tend to be larger
B) B2B customers tend to engage in extensive decision-making processes
C) B2C markets tend to involve more expensive items
D) B2C markets tend to involve many people in the purchase decision
E) All of the above

Question 20

During which stage of the buying process is the buying center most likely to be involved?

A) The evaluation of offerings and selection of suppliers
B) The selection of an order routine
C) The acquisition of proposals and bids
D) Anticipation or recognition of a problem or need
E) Search for and qualification for potential suppliers

Question 21

The increasing involvement of salespeople in _____________________ is one major reason why the average cost of a sales call has risen.

A) Prospecting
B) Telemarketing
C) Virtual office procedures
D) Non-selling activities
E) None of the above, as the average sales call cost has declined

Question 22

What are the advantages and disadvantages of sales careers?

Question 23

What are the six critical drivers of change affecting today's selling environment?

Question 24

Rick, sales manager for an automobile dealership, encourages his sales force to identify and manage their assigned customer relationships. Rick is responding to the ____________ driver of change is today's selling environment.

A) Shifting sales management style from commanding to coaching
B) Gaining greater job ownership and commitment from salespeople
C) Better integrating salesperson performance evaluation
D) Building long-term relationships with customers
E) Creating sales organizational structures that are more nimble and adaptable to the needs of different customer groups

Question 25

The buying center tends to be more complex when dealing with a straight rebuy situation.

Question 26

What are the seven stages in the buying process?

Question 27

For which of the following products or services is an organization most likely to perform all of the steps in the buying decision?

A) A replacement microwave for a snack bar at the community center
B) A meeting site for the first international conference for Internet retailers
C) A gross of markers for company message boards
D) A case of replacement fan belts for an OEM
E) Electricity

Question 28

How are B2B sales generally different from B2C sales?

Question 29

What is the major objective of an out supplier?

Question 30

Outline the two possible career tracks for salespeople wanting to become CEOs.

Question 31

What are the roles of different participants in the buying center?

Question 32

What type of customer is often referred to as a ""key account""?

Question 33

Describe the six stages of the selling process.

Question 34

Which of the following is the best example of a straight rebuy?

A) The purchase of 5,000 mildew-resistant shower curtains for a hotel chain
B) The selection of a site to hold the first company-wide seminar on employee rights
C) The renewal of a subscription to a trade journal
D) The purchase of a school bus for carrying special education students
E) The selection of a menu for a $1,000 a plate fund raising banquet for a new geriatric hospital wing

Question 35

What are the four types of B2B selling?

Question 36

Outline why people go into sales careers.

Question 37

Most salespeople are involved in:

A) Key account management
B) Selling to middlemen
C) Providing after-sale service
D) Retail selling
E) Selling to manufacturers and service providers

Question 38

One of the major reasons why the average cost of a sales call has risen dramatically in recent years is:

A) Inflation
B) The high cost of labor
C) The high cost of new product introduction
D) Market globalization
E) The increasing involvement of sales reps in non-selling activities

Question 39

Which of the following is NOT one of the six drivers of change identified in reinventing sales organizations?

A) Building long-term relationships with customers
B) Creating sales organizational structures that are more nimble and adaptable to the needs of different customer groups
C) Shifting sales management style from commanding to coaching
D) Organizing sales teams into regional office structures
E) Better integrating salesperson performance evaluation

Question 40

List and describe any five of the top ten success factors for professional salespeople described in the text.

Question 41

A sales person with the primary responsibility to increase business from current and potential customers by providing them with merchandising and promotional assistance is known as a

A) Trade service
B) Missionary seller
C) Technical seller
D) New business seller
E) None of the above

Question 42

Missionary salespeople often do not take orders from customers directly but persuade customers to buy their firm's product from distributors or wholesalers.

Question 43

For most professional salespeople, it is the simplicity and lack of challenge of their jobs that motivate them.

Question 44

Leah, an account salesperson with a billboard advertising company, knew an important customer wanted particular billboards in her territory. Two years later, when the billboards finally became available, she called the customer and got the sale. Leah showed the __________ selling skill.

A) Closing
B) Writing
C) Follow-up
D) Listening
E) Tenacity

Question 45

In terms of the buying center, an employee at a daycare center who realized that babies were getting sick because the center did not use an antibacterial cleaner on all of its wood and plastic surfaces would be both a user and an initiator.

Question 46

In recent years, the average cost of making a sales call has declined.

Question 47

The first step of the organizational buying process is anticipation or recognition of a need or problem.

Question 48

Most salespeople are employed in various kinds of retail selling.

Question 49

Successful salespeople naturally make successful sales managers.

Question 50

In today's rapidly changing selling environment, sellers

A) Are sought that provide solutions in addition to the products and services they sell
B) Are required to prove they provide best practices
C) Differentiate themselves by the sophistication of the technology they know how to use
D) Focus on the profitability of each sale
E) All of the above

Question 51

The freedom of action and opportunities for personal initiative in a sales job refers to

A) Monotony
B) Autonomy
C) Sales activities
D) Variety
E) None of the above

Question 52

Which driver of change in the selling environment recognizes that sales managers are often guilty of blocking successful relationship selling?

A) Building long-term relationships with customers
B) Creating sales organizational structures that are more nimble and adaptable to the needs of different customer groups
C) Shifting sales management style from commanding to coaching
D) Gaining greater job ownership and commitment from salespeople
E) Better integrating salesperson performance evaluation

Question 53

On average, salespeople still spend more time selling than in the performance of non-selling activities.

Question 54

A company that includes a toll-free phone number in its advertisements and asks customers to call the number to find out more about a specific product is using outbound telemarketing as a prospecting tool.

Question 55

Jami, a sales rep for an industrial products company, took over a territory from another salesperson who had infuriated an important customer. Jami called on that customer regularly for two years, never asking for business. Finally, the customer asked him to bid a job. Jami showed the _____________ selling skill.

A) Closing
B) Writing
C) Follow-up
D) Listening
E) Tenacity

Question 56

After beginning a sales presentation, Henriette realizes the prospect already knows much of what she is presenting. She decides to skip a large part of her presentation and moves to a comparison of her company's products to competing products. Henriette showed the _____________ selling skill.

A) Closing
B) Adaptive
C) Follow-up
D) Listening
E) Overcoming objections

Question 57

A salesperson is engaged in closing when he asks the customer, ""Would you like your new dishwasher installed on Tuesday or Wednesday?""

Question 58

Studies of the activities of salespeople show that, over the last decade,

A) The cost of a sales call has declined
B) Job enlargement had occurred
C) Administrative tasks have been reduced through technology
D) Time with customers has increased
E) All of the above

Question 59

The first step in the selling process is to qualify prospects.

Question 60

Freedom of action and opportunities for personal initiative are things most salespeople fear.

Question 61

Fiona, a new sales rep for a pharmaceutical company, has considerable autonomy. She makes her own schedule, determining which customers to see and how often but, she knows her supervisor is keeping close tabs on

A) Travel time
B) Where she is
C) Results
D) Sample inventory
E) All of the above

Question 62

Which of the following is NOT one of the top ten success factors in selling?

A) Closing skills
B) Writing skills
C) Follow-up skills
D) Listening skills
E) Tenacity

Question 63

Serena is a top salesperson in her company. Her long-term goal is to become CEO. She knows one possible career track is to become a sales manager. The other next-step-option would likely be to become:

A) Finance manager
B) Brand manager
C) Personnel director
D) Executive account sales representative
E) Production manager

Question 64

Which of the following may be part of working conditions for a person in sales

A) Work-family conflict
B) Telecommuting
C) Virtual office
D) None of the above
E) All of the above

Question 65

Opportunities for rewards in a sales job include

A) Intrinsic rewards
B) Extrinsic rewards
C) Both
D) Neither

Question 66

Salespeople hired right out of college

A) Are usually required to work in the office
B) Tend to start at higher salaries than most other professions
C) Prefer retail clerk positions
D) Have little autonomy
E) All of the above

Question 67

The increasing use of communication technology is changing the __________ aspect of sales positions.

A) Work-family conflict
B) Job variety
C) Extrinsic rewards
D) Advance opportunities
E) Opportunities to move up the organizational ladder

Question 68

Betty, the top salesperson for the company, was offered but turned down a promotion to sales manager. Betty probably turned down the position because

A) Salespeople do not always make good sales managers
B) She preferred selling
C) She can make more money selling
D) Managerial position are often being downsized
E) All of the above

Question 69

The fact that most customers have different needs and problems forcing salespeople to work to develop unique solutions creates _____________ in sales careers.

A) Autonomy
B) Job variety
C) Extrinsic rewards
D) Favorable working conditions
E) Opportunities to move up the organizational ladder

Question 70

In a survey of sales managers, the highest rated success factor was

A) Creativity
B) Diligence
C) Assertiveness
D) Listening kills
E) Prospecting kills

Question 71

The move from transactional selling to relationship selling necessitates rethinking performance evaluation.