Deck 4: Business Buying Behavior

Question 1

When it comes to business-to-business sales,derived demand springs from _____.

Answer 1

consumers

Question 2

In _____ markets,there is more reliance on mass marketing via advertising,Web sites,and retailing

Answer 2

consumer

Question 3

Resellers are companies that sell goods and services that they have transformed.

Answer 3

False

Question 4

_____ occurs when a small change in demand by consumers has a big effect through the chain of businesses that supply all of the goods and services that produce it.

A) Joint demand
B) Assorted demand
C) Shifting demand
D) Fluctuating demand
E) Flailing demand

Question 5

The biggest purchaser of goods and services in the world is the U.S.consumer.

Question 6

Allen's company supplies photographic film to larger corporations that package and sell them to consumers,along with their own brand of cameras.In recent years,the sale of photographic film to these firms has fallen drastically because more and more people prefer buying digital cameras.Allen's company suffered a loss of business due to the fall in _____.

A) joint demand
B) price demand
C) derived demand
D) induced demand
E) divided demand

Question 7

B2C markets have smaller total dollar amounts due to fewer transactions.

Question 8

Derived demand occurs when demand is derived from the primary buyer of the product.

Question 9

B2B markets differ from B2C markets because:

A) salespeople personally call on business customers to a far greater extent than they do consumers.
B) many more products are sold in B2C markets than B2B.
C) business products are often much less complex than consumer products.
D) B2C transactions occur prior to B2B transactions.
E) there are fewer B2B transactions resulting in smaller dollar amounts.

Question 10

B2B markets tend to have shorter decision cycles than B2C markets.

Question 11

Explain how business-to-business (B2B)markets differ from business-to-consumer (B2C)markets.

Question 12

Fluctuating demand occurs when demand changes slightly in response to a big change in consumer demand.

Question 13

The business market is characterized as having:

A) many customers, geographically dispersed.
B) longer decision cycles.
C) smaller total dollar amounts due to fewer transactions.
D) more reliance on advertising, Web sites, and retailing.
E) more reliance on mass marketing.

Question 14

The number of products sold in business markets outnumbers those sold in consumer markets.

Question 15

Wholesalers,brokers,and retailers are examples of resellers.

Question 16

Fluctuating demand changes sharply in response to a change in _____ demand.

Question 17

As the demand for MP3 players increased,so did the demand for headphones.This is an example of _____.

A) joint demand
B) assorted demand
C) shifting demand
D) fluctuating demand
E) flailing demand

Question 18

_____ occurs when demand for one product increases the demand for another.

Question 19

B2B markets have a large number of customers accounting for most of the company's sales.

Question 20

B2B markets place more reliance on personal selling than B2C markets.

Question 21

Institutional markets include state and local governments.

Question 22

_____ markets are markets in which local,state,and federal governments buy products.

A) B2B
B) B2C
C) B2G
D) C2C
E) Institutional

Question 23

List and describe the four major categories of business buyers.

Question 24

In B2B markets,_____ include wholesalers,brokers,and retailers.

Question 25

In business-to-government (B2G)markets,local,state,and federal governments buy products.

Question 26

Murphy's is a restaurant that purchases goods,such as fruits,vegetables and meat,from local vendors,and uses them to prepare their dishes.Which of the following best describes Murphy's?

A) It is a wholesaler
B) It is a part of an institutional market
C) It is a retailer
D) It is a producer
E) It is a part of the business to government market

Question 27

Professional buyers stay informed of the latest trends so as to anticipate consumer buying patterns.

Question 28

The biggest purchaser of goods and services in the world is _____.

Question 29

_____ are nonprofit organizations such as the American Red Cross,churches,hospitals,charitable organizations,private colleges,and civic clubs.

Question 30

Which of the following businesses can be considered as a reseller?

A) A hair salon
B) A consumer goods retailer
C) A restaurant
D) An airline
E) An auto repair shop.

Question 31

How do sellers find government buyers?

Question 32

Buyers have a small impact on the expenses,sales,and profits of a company.

Question 33

It is easy to figure out who makes the purchasing decisions in B2B markets.

Question 34

_____ are companies that purchase goods and services that they transform into other products.

A) Producers
B) Resellers
C) Government agencies
D) Retailers
E) Institutions

Question 35

_____ can be either nonprofit or for-profit businesses.

A) Consumers
B) Buying centers
C) Business buyers
D) Initiators
E) Gatekeepers

Question 36

Explain the concept of fluctuating demand.How does it affect firms in the B2B market?

Question 37

Professional buyers are shrewd and well informed.

Question 38

Holding costs down is especially important to _____ because it enables the services to be provided to more people.

A) B2G markets
B) wholesalers
C) retailers
D) institutional markets
E) producers

Question 39

Duties of professional buyers do not include marketing tasks,such as determining the media in which advertisements will be placed.

Question 40

As business customers in B2B markets,_____ include both manufacturers and service providers.

Question 41

_____ are the people within the organization that first see the need for the product.

A) Users
B) Gatekeepers
C) Deciders
D) Initiators
E) Influencers

Question 42

_____ are people who will decide if and when the sellers get access to members of the buying center.

A) Influencers
B) Gatekeepers
C) Deciders
D) Users
E) Retailers

Question 43

Duties of a professional buyer include negotiating prices,delivery dates,and payment terms for goods and services.

Question 44

The head of the art department makes the final decision on which textbooks are included in the curriculum.As an associate art professor,Howard refers to these books while teaching his class.Which of the following roles does Howard play in the purchasing process of the textbooks?

A) Reseller
B) User
C) Influencer
D) Gatekeeper
E) Wholesaler

Question 45

Buying centers are groups of people within organizations who _____.

Question 46

Which of the following is the role of a user in the buying process?

A) They provide expertise that helps to improve the buying process.
B) They control which sellers get access to members of the buying center.
C) They make the final decision on what is bought.
D) They have the responsibility of implementing what is purchased.
E) They are the first people to see the need for a product.

Question 47

The _____ are the ones that start the buying process,whether they make the final purchasing decision or not.

Question 48

Explain the factors that can lead to sub-par purchase decisions.

Question 49

Dana works as the secretary to Professor Sterling.Part of her job is to screen calls from publishers who want Sterling to include their books in her curriculum.Dana is,therefore,acting as a(n)_____ in the purchasing process.

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

Question 50

In a buying center,_____ have the responsibility for implementing what is purchased.

Question 51

_____ are groups of people within organizations who make purchasing decisions.

A) Resellers
B) Buying centers
C) Producers
D) Wholesalers
E) Marketers

Question 52

Carol feels that her company needs to start purchasing widgets in order to stay competitive in the market.She contacts the buyers within the company to get the ball rolling.Which of the following best describes Carol's role in the purchasing process?

A) Influencer
B) Gatekeeper
C) Initiator
D) Decider
E) User

Question 53

_____ make the final purchasing decision.

Question 54

Although Morrison and Sons,Inc.takes into account current market trends when buying products,the CEO of the company has the final say on what gets purchased or not.Therefore,the CEO acts as the _____.

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

Question 55

When asking for an expert opinion prior to buying a car,John is utilizing the knowledge of a(n)_____.

A) influencer
B) gatekeeper
C) professional buyer
D) user
E) seller

Question 56

List the duties of a professional buyer.

Question 57

Purchasing agents for merchandises are known as _____.

A) professional buyers
B) retailers
C) resellers
D) gatekeepers
E) influencers

Question 58

Influencers are people who will decide if and when you get access to members of the buying center.

Question 59

As a(n)_____,Susie has to track advertisements in newspapers and other media to check competitors' sales activities.

Question 60

_____ are people who may or may not use the product but have experience or expertise that can help improve the buying decision.

A) Initiators
B) Deciders
C) Retailers
D) Gatekeepers
E) Influencers

Question 61

Sellers like straight rebuys because the buyer doesn't consider any other alternative products or search for new suppliers.

Question 62

RFPs are best evaluated if the members agree on the criteria being evaluated and the importance of each.

Question 63

In the last stage of the buying process,a _____ is conducted and the feedback provided to the vendor.

Question 64

Organizations select a single supplier because it is less risky than utilizing multiple suppliers.

Question 65

A _____ occurs when a purchaser buys the same product in the same quantities from the same vendor.

Question 66

A(n)_____ is an invitation to submit a bid to supply the good or service.

Question 67

Which of the following is the first stage of the buying process?

A) Potential suppliers are searched for
B) The proposals are evaluated
C) An order routine is established
D) A need is recognized
E) A post-purchase evaluation is conducted

Question 68

The initiator is someone who recognizes that the organization has a need that can be solved by purchasing a good or service.

Question 69

Which of the following is the last stage of the buying process?

A) A search is conducted to find potential suppliers.
B) The requests for proposals are evaluated.
C) An order routine is established.
D) A need is recognized.
E) A post-purchase evaluation is conducted and feedback is provided to the vendor.

Question 70

Suppliers are the only ones to blame for poor performance records.

Question 71

Gill's Bakery has been buying flour from the same supplier for years.But due to recent price hikes,Gill's decides to switch to another supplier that is offering the same quantity and quality of flour at a reduced price.Which of the following best describes the buying situation that has occurred?

A) New buy
B) Reverse auction
C) Modified rebuy
D) Straight rebuy
E) Derived demand

Question 72

List and describe the steps in the B2B buying process.

Question 73

A(n)_____ occurs when a purchaser buys the same product in the same quantities from the same vendor.

A) modified rebuy
B) B2B exchange
C) alternative buy
D) B2B auction
E) straight rebuy

Question 74

A _____ occurs when a firm purchases a product for the first time.

Question 75

RFPs focus on the buyer's problems and how to adapt the vendor's offerings to solve those problems.

Question 76

Hot Rods,Inc.is an automobile manufacturing company that obtains its automotive parts from the same supplier.The price,quantity,and other terms of purchase remain the same each time the company buys from the supplier.This situation can be termed as a _____.

A) straight rebuy
B) reverse auction
C) new buy
D) B2B auction
E) modified rebuy
Correct

Question 77

Purchasing agents typically play an important role when potential suppliers are being researched.

Question 78

When presenting a RFP,vendors generally provide the purchaser with a _____ if the good is a physical product.

Question 79

A _____ occurs when a company wants to buy the same type of product it has in the past,but make some modifications to it.

Question 80

The first step of the B2B buying process is when the need is described.