Deck 9: Personal Selling, Relationship Building, and Sales Management

Question 1

The process of locating potential customers is called: 

A) database building.
B) approaching.
C) customer sourcing.
D) prospecting.

Answer 1

D
Explanation: The process of locating potential customers is called prospecting.

Question 2

Which of the following conditions will render continual prospecting unnecessary?

A) The customer switches to other suppliers.
B) The customer moves out of the organization's market area.
C) The customer goes out of business because of bankruptcy.
D) The customer has need for the product on an ongoing basis.

Answer 2

D
Explanation: Continual prospecting is necessary for several reasons, including the fact that customers (1) switch to other suppliers, (2) move out of the organization's market area, (3) go out of business because of bankruptcy, (4) are acquired by another firm, or (5) have only a one-time need for the product or service.

Question 3

Identify the persuasion objective of the sales force.

A) Clearly distinguish attributes of the firm's products or services from those of competitors
B) Immediate follow-up calls and visits to address unresolved or new concerns
C) Reassurance of product or service superiority through demonstrable actions
D) Delivery of the product or service that exceeds customer expectations

Answer 3

A
Explanation: Clearly distinguishing attributes of the firm's products or services from those of competitors is a function of the persuasion objective of the sales force. The after-sale service objective of the sales force includes delivery or installation of the product or service that meets or exceeds customer expectations, immediate follow-up calls and visits to address unresolved or new concerns, and reassurance of product or service superiority through demonstrable actions.

Question 4

Identify the important task of a salesperson in providing an after-sale service.

A) Immediate follow-up calls and visits to address unresolved or new concerns
B) Clearly differentiate features of the firm's products or services from those of competitors
C) Sell additional items to repeat customers
D) Convert undecided customers into first-time buyers

Question 5

Which of the following would require a considerable amount of personal selling? 

A) Pen drives
B) Compact discs
C) Computers
D) Headsets

Question 6

Which of the following is a persuasion objective of the sales force?

A) Installation of the product or service that exceeds customer expectations
B) Conversion of first-time customers into repeat purchasers
C) Reassurance of product or service superiority through demonstrable actions
D) Immediate follow-up visits to address unresolved concerns

Question 7

Precious,Inc.has developed a specialized temperature monitoring system for nursery school rooms.The system informs parents when the temperature either falls below or rises above an adjustable threshold.To secure orders for this product,the sales team of Precious elected to cold-call retailers in the locality who stock baby and toddler products.Precious is utilizing _____ for locating prospects.

A) selected-lead searching
B) lead recruitment
C) lead qualifiers
D) random lead generation

Question 8

_____ is the first stage in the sales relationship-building process. 

A) Gathering information about prospects
B) Planning the sales call
C) Learning about the products to be sold
D) Prospecting

Question 9

Who,amongst the following,is least likely to find prospecting important?

A) A stockbroker
B) A real estate agent
C) A sales representative for an established personal care product manufacturer
D) A partner in an accounting firm

Question 10

 Which of the following actions falls under the persuasion objective of the sales force?

A) Delivery of the product or service that meets customer expectations
B) Immediate follow-up calls to address new concerns
C) Reassurance of product or service superiority through demonstrable actions
D) Sale of additional or complementary items to repeat customers

Question 11

Which of the following is an important task of a salesperson providing after-sale service?

A) Delivery or installation of the product or service that meets or exceeds customer expectations
B) Clearly distinguish attributes of the firm's products or services from those of competitors
C) Sell additional or complementary items to repeat customers
D) Convert undecided customers into first-time buyers

Question 12

 Origin International has developed a new device for monitoring refrigerant leaks in supermarket refrigerated display cases.The devices are compliant with recent environmental protection legislation.To locate supermarkets and convenience stores interested in its new product,Origin's sales department took out a full-page ad in a trade publication called "Grocery Equipment." The ad had a coupon which any interested store owner could use to request further information.Origin is using _____ for its prospecting.

A) selected-lead searching
B) lead recruitment
C) lead qualifiers
D) random lead generation

Question 13

Which of the following observations concerning salespeople is correct? 

A) They dispense knowledge about products to manufacturers.
B) They act as a source of marketing intelligence for buyers.
C) They act as intermediaries between product providers and buyers.
D) They design and develop improved products for buyers.

Question 14

Gary Werner sells a new calibrated filtering system used to eliminate virtually all types of hazardous gas emissions in chemical plants.He requires the customer to send at least three employees to a two-day training course on the appropriate use and maintenance of the filtering system.Which of the following elements of the promotion mix would most likely be used to sell this filtering system? 

A) Advertising
B) Public relations
C) Mass marketing
D) Personal selling

Question 15

Which of the following would need significant amounts of personal selling? 

A) Calculators
B) Staples
C) Insurance
D) Soft drinks

Question 16

Which of the following falls under the persuasion objective of the sales force?

A) Delivery or installation of the product or service that meets customer expectations
B) Immediate follow-up calls and visits to address unresolved concerns
C) Guarantee of product or service superiority through demonstrable actions
D) Maximize the number of sales as a percent of presentations

Question 17

Who,amongst the following,is most likely to find prospecting important?

A) Jen, who sells established cold remedies to pharmacies
B) Martha, who sells the most popular brand of cigarettes to convenience stores
C) Joe, who is a sales representative for the market leader in toothpaste
D) Mike, who is a partner in an upcoming accounting firm

Question 18

Which of the following is the last stage in the sales relationship-building process?

A) Responding to objections
B) Obtaining commitment
C) Building a long-term relationship
D) Prospecting

Question 19

For many years,the traditional approach to selling emphasized _____ as the culmination of the sales process.

A) responding to objections
B) the first-time sale
C) building a long-term relationship
D) prospecting

Question 20

An important task of a salesperson providing after-sale service would be to:

A) reassure product or service superiority through demonstrable actions.
B) clearly distinguish attributes of the firm's products or services from those of rivals.
C) sell complementary items to repeat customers.
D) convert uncertain customers into first-time buyers.

Question 21

Which of the following actions is NOT a part of a successful aftermarketing effort?

A) Establishing and maintaining a customer information file
B) Monitoring order processing
C) Ensuring initial proper use of the purchased product or service
D) Generating leads through cold calling

Question 22

AT&T and Sovintel,a Russian telephone company,joined forces to offer high-speed ISDN services for digitized voices,data,and video communications between the two countries.By working together,the telecommunications companies could reach more businesses than either could do alone.The relationship between AT&T and Sovintel is an example of a: 

A) transactional relationship.
B) relational subsidy.
C) strategic alliance.
D) functional relationship.

Question 23

Since it can cost five times as much to acquire a new customer than to service an existing one,it is important for salespersons to: 

A) focus on maximizing profits.
B) generate as many leads as possible through cold calling.
C) implement the endless chain approach.
D) build and maintain long-term relationships.

Question 24

 After all objections have been resolved,the salesperson must ask for _____.

A) an action plan
B) inputs
C) commitment
D) referrals

Question 25

Chad Johnson sells a scanner that converts large documents to an electronic format for editing and printing items up to six feet long and four feet wide.He spends the morning showing his product to the marketing manager of a large department store,which had been identified by his sales force as a prospect.The manager is excited about the idea of being able to have multiple usages of a graphic designed sign.When Chad asks the manager if he is willing to buy,he says,"Though I do all the buying around here,this stuff is way beyond my budget.We never buy such expensive products." Which of the following questions of the qualifying process will help Chad determine the manager as a lead but not a true prospect?

A) Does the lead have the ability to pay?
B) Can the lead be approached favorably?
C) Does the lead have a need that can be satisfied by the purchase of the firm's products or services?
D) Does the lead have the authority to pay?

Question 26

 The qualifying process where the salesperson must determine whether the prospect is a true prospect is known as _____. 

A) canvassing
B) screening
C) analyzing
D) verifying

Question 27

When a sales prospect raises an objection,the salesperson should: 

A) know that the prospect is not ready to buy.
B) challenge the respondent to better address the objection.
C) refrain from overwhelming the prospect with too much information.
D) try and attempt to secure another appointment.

Question 28

 A potential prospect that may or may not have the potential to be a true prospect is known as a(n)_____.

A) lead
B) assignee
C) candidate
D) spotter

Question 29

Drew Henson sells a scanner that converts large documents to an electronic format for editing and printing items up to six feet long and four feet wide.He spends the morning showing his product to the marketing manager of a large department store,which had been identified by his sales force as a prospect.The manager is excited about the idea of being able to have multiple usages of a graphic designed sign.When Drew asks the manager if she is willing to buy,she says,"Though I do all the buying around here and would love to buy this product as it is so stylish and useful,we already have something which serves a similar purpose." Based on which of the following questions of the qualifying process is Drew likely to deem the manager as a lead but not a true prospect?

A) Does the lead have the ability to pay?
B) Can the lead be approached favorably?
C) Does the lead have a want or need that can be satisfied by the purchase of the firm's products or services?
D) Does the lead have the authority to pay?

Question 30

Brad Wilson sells a scanner that converts large documents to an electronic format for editing and printing items up to six feet long and four feet wide.He spends the morning showing his product to the marketing manager of a large department store,which had been identified by his sales force as a prospect.The manager is excited about the idea of being able to have multiple usages of a graphic designed sign.When Brad asks the manager if she is willing to buy,she says,"No,all purchases must be made through our purchasing department." Which of the following questions of the qualifying process will help Brad determine the manager as a lead but not a true prospect?

A) Does the lead have the ability to pay?
B) Can the lead be approached favorably?
C) Does the lead have a need that can be satisfied by the purchase of the firm's products or services?
D) Does the lead have the authority to pay?

Question 31

When a buyer and a salesperson have a close personal relationship,they both begin to rely on each other and communicate honestly.This illustrates the concept of: 

A) strategic alliance.
B) buyer-salesperson cooperation.
C) functional relationships.
D) cross functional marketing.

Question 32

The concept that focuses the organization's attention on providing continuing satisfaction and reinforcement to individuals or organizations that are past or current customers is known as _____. 

A) strategic alliancing
B) the endless chain
C) aftermarketing
D) prospect maintenance

Question 33

Using existing contacts and knowledge to generate new prospects is known as _____.

A) random lead generation
B) selected-lead searching
C) promotional lead generation
D) canvassing

Question 34

Value,Inc.is a well-respected name in baby products.It has recently developed a specialized temperature monitoring system for nursery school rooms.The system informs parents when the temperature either falls below or rises above an adjustable threshold.To secure orders for this product,the sales team of Value decides to get in touch with retailers who regularly stock other baby products from Value.Value is utilizing _____ for locating prospects.

A) selected-lead searching
B) lead recruitment
C) lead qualifiers
D) random lead generation

Question 35

Robert Carey sells Traction Plus Tread Safe Footwear to oil refineries,meat processors,catering companies,hospitals,and cleaning services for the use of their employees.The slip-resistant shoe is a part of these companies' safety programs.Robert keeps a list of all of his customers including when they purchased shoes and the sizes purchased.He makes sure the order for each customer is filled correctly.He provides his customers with extra information on how to clean the shoes without damaging them.He responds quickly to complaints and has suggested a product modification based on a customer's comment.Which of the following best describes Robert's actions? 

A) Prospect maintenance
B) Aftermarketing
C) Strategic alliancing
D) Functional partnering

Question 36

Albert Kelley sells a new calibrated filtering system used to eliminate virtually all types of hazardous gas emissions in chemical plants.He requires the buyer to send at least three employees to a two-day training course on the appropriate use and maintenance of the filtering system.Ensuring initial proper use of the purchased product is part of the company's _____ activities.

A) prospect maximization
B) aftermarketing
C) strategic alliancing
D) functional partnering

Question 37

Which of the following is generally considered to be a salesperson's best source of prospects? 

A) Referrals from advertisers
B) Referrals from satisfied customers
C) Referrals from spotters
D) Referrals from company employees

Question 38

The goal of _____ is to build lasting relationships with customers. 

A) prospecting
B) screening
C) cold calling
D) aftermarketing

Question 39

Which of the following questions is NOT part of the qualifying process that assesses the authenticity of prospects?

A) Does the lead have a want or need that can be satisfied by the purchase of the firm's products or services?
B) Does the lead have the ability to pay?
C) Does the lead have the authority to pay?
D) Does the lead have the ability to refer to other potential leads?

Question 40

Paula Martin sells a scanner that converts large documents to an electronic format for editing and printing items up to six feet long and four feet wide.She secures an appointment with the marketing manager of a large department store chain,which had been identified by her sales force as a prospect.Her plan is to demonstrate the product's unique features.However,as soon as the meeting starts,the manager says,"I am the regional head for all the buying that this chain does.What made you attempt your sales pitch with me? You should have met one of my subordinates first." Paula is likely to deem the manager as a lead but not a true prospect based on which of the following questions of the qualifying process?

A) Does the lead have the ability to pay?
B) Can the lead be approached favorably?
C) Does the lead have a want or need that can be satisfied by the purchase of the firm's products or services?
D) Does the lead have the authority to pay?

Question 41

Better Offices,Inc.supplies office supplies and equipments to large retailers,such as Office Space.Since Office Space locations are spread all over the country,Better Offices salespeople located closest to a particular Office Space store are assigned to represent Better Offices in that store.Better Offices most likely uses a _____ structure to organize its sales force.

A) product
B) geographical
C) customer
D) major account

Question 42

Newage,Inc.has developed a technically complex software to track consumer buying behavior.It is extremely high priced and is being sold to a large departmental store chain.Specialized knowledge is required by units of the buying organization in order to use the software optimally.The company is most likely to use _____ in this situation. 

A) missionary salespeople
B) technical sales specialists
C) cross-functional sales teams
D) hierarchical sales teams

Question 43

Which of the following is an advantage of a customer structure for organizing the sales force?

A) It can result in large sales and satisfied customers.
B) It is inexpensive.
C) It is well-suited for the use of hierarchical sales teams.
D) It limits the distance each salesperson must travel to see customers.

Question 44

A _____ structure provides the practical benefit of limiting the distance each salesperson must travel to see customers and prospects. 

A) product
B) geographic
C) customer
D) major account management

Question 45

_____ support the sales staff by providing training or other technical assistance to the buyer. 

A) Missionary salespeople
B) Technical sales specialists
C) Cross-functional sales teams
D) Hierarchical sales teams

Question 46

When a product is extremely high priced and is being sold to the whole organization,_____ are often used. 

A) missionary salespeople
B) technical sales specialists
C) cross-functional sales teams
D) hierarchical sales teams

Question 47

Which of the following is true about missionary salespeople?

A) They are used in certain industries to focus exclusively on promotion of existing products and introduction of new products.
B) They are used when the product is extremely high priced and is being sold to the whole organization.
C) They provide training to the front-line staff of the buying organization.
D) They are especially useful when the product is to be used to solve certain technical problems of the buyer.

Question 48

A company specializes in developing technically complex traffic-management software.Specific technical knowledge is required by units of the buying organization in order to use the software optimally.Which of the following structures for organizing the sales force is best suited in this case? 

A) Geographical structure
B) Customer structure
C) Product structure
D) Major account structure

Question 49

Which of the following structures for organizing the sales force works best when different types of buyers have large or significantly different needs?

A) Geographical structure
B) Hierarchical structure
C) Product structure
D) Customer structure

Question 50

In which of the following situations would an organization most likely use a technical sales specialist? 

A) To sell a printing press that requires the seller to provide training for optimal user experience
B) To convince pharmacies to promote a new cold remedy
C) To implement an ad campaign for a local used car dealer who claims to sell at least 50 cars in a month and at a good profit margin
D) To replace a couple of computers in a university computer laboratory

Question 51

_____ do not seek the order but focus on the long-term relationship and increase the likelihood of sales in the long run. 

A) Support personnel
B) Salespeople
C) Spotters
D) Cold callers

Question 52

 Which of the following structures for organizing the sales force can result in a duplication of sales efforts because more than one salesperson can call on the same customer?

A) Product structure
B) Geographical structure
C) Customer structure
D) Major account structure

Question 53

The distribution channel for a line of products for cleaning hazardous waste sites starts at the manufacturer,moves to the distributor,and stops at the end user.The manufacturer has _____ who call on distributors to offer suggestions on how they can better market the cleaning products and to train their sales force in product usage. 

A) spotters
B) technical sales specialists
C) missionary agents
D) horizontal sales teams

Question 54

Which of the following is true about cross-functional sales teams?

A) They are used in certain industries to focus solely on promotion of existing products and introduction of new products.
B) They are used when the product is very expensive and is being sold to the entire organization.
C) They provide training to the front-line staff of the buying organization.
D) They are especially useful when the product is to be used to solve certain technical problems of the buyer.

Question 55

Better Offices,Inc.supplies office supplies and equipments to large retailers,such as Office Space.A sales team of Better Offices has been assigned the responsibility for all the business it gets from Office Space.Which of the following structures does Better Offices use to organize its sales force?

A) Product structure
B) Geographical structure
C) Major account management
D) Hierarchical structure

Question 56

In which of the following situations would an organization most likely use a cross-functional sales team? 

A) To sell a $200,000 printing press to a company that publishes school directories for colleges, universities, and high schools all over the United States
B) To convince pharmacies to promote a new cold remedy
C) To implement an ad campaign for a local used car dealer who claims to sell at least 50 cars in a month and at a good profit margin
D) To replace a couple of computers in a university computer laboratory

Question 57

Better Offices,Inc.supplies office supplies and equipments to large retailers,such as Office Space.A single salesperson of Better Offices is responsible for all the business it gets from Office Spaces.Better Offices most likely uses a _____ structure to organize its sales force.

A) product
B) geographical
C) customer
D) hierarchical

Question 58

_____ are used in certain industries such as pharmaceuticals to focus solely on promotion of existing products and introduction of new products. 

A) Missionary salespeople
B) Technical sales specialists
C) Cross-functional sales teams
D) Hierarchical sales teams

Question 59

A company has developed a technically complex traffic-management software.It is extremely high priced and is being sold to a whole organization in charge of managing a city's traffic.Specialized knowledge is required by units of the buying organization in order to use the software optimally.The company is most likely to use _____ in this situation. 

A) missionary salespeople
B) technical sales specialists
C) cross-functional sales teams
D) hierarchical sales teams

Question 60

Better Offices,Inc.supplies office supplies and equipments to large retailers,such as Office Space.A salesperson of Better Offices met with the procurement in-charge of Office Space to sell copiers.Two days later,another salesperson of Better Offices called on Office Space to sell copier paper.Better Offices most likely uses a _____ structure to organize its sales force.

A) product
B) geographical
C) customer
D) major account

Question 61

The owner of a bookstore in a college town notices that demand for certain textbooks peak during certain times of the year.She assumes that these peaks coincide with the beginning of semesters when professors recommend these books to the students.She decides to estimate future sales of these textbooks by measuring the interconnection between sales and announcement of courses that recommend them.Which of the following methods of sales forecasting is she using?

A) Jury of executive opinion method
B) Dependence method
C) Time-series analysis
D) Correlation analysis

Question 62

_____ usually refers to a specific amount of monetary compensation at an agreed rate for a definite time period. 

A) Commission
B) Bonus
C) Salary
D) Employee stock option

Question 63

Which of the following provides quantitative standards against which the performance of individual sales representatives or other marketing units can be measured?

A) Sales strategies
B) Sales calls
C) Sales quotas
D) Sales forecasts

Question 64

Which of the following is a sales forecasting approach that involves measuring the interconnection between the dependent variables,sales,and one or more independent variables that can explain increases or decreases in sales volume?

A) Jury of executive opinion method
B) Dependence method
C) Time-series analysis
D) Correlation analysis

Question 65

Better Offices,Inc.supplies office stationery and equipments to large retailers.To forecast its future sales,its sales department obtains the combined views of the sales force about the future outlook for sales.Which of the following methods of sales forecasting is Better Offices using?

A) Sales force executive opinion method
B) Sales force composite method
C) Sales force expectations method
D) Sales force correlation analysis

Question 66

Which of the following is a sales forecasting method that obtains the combined views of the sales force about the future outlook for sales?

A) Sales force executive opinion method
B) Sales force composite method
C) Sales force expectations method
D) Sales force correlation analysis

Question 67

_____ allow the company to monitor whether salespeople are engaging in activities such as calling on new accounts,collecting past-due accounts,and planning and developing sales presentations to the extent desired. 

A) Quantitative quotas
B) Activity quotas
C) Performance graphs
D) Productivity logs

Question 68

The _____ of sales forecasting combines and averages the views of top management representing marketing,production,finance,purchasing,and administration. 

A) sales force composite method
B) customer expectations method
C) time-series analysis
D) jury of executive opinion method

Question 69

Which of the following is NOT true about a sales forecast?

A) It can be used to establish sales quotas.
B) It can be used to plan personal selling efforts as well as other types of promotional activities in the marketing mix.
C) It is used to budget selling expenses.
D) It is used to implement customer's comments into product development.

Question 70

Better Offices,Inc.supplies office stationery and equipments to large retailers.To forecast its future sales,its sales department analyzes past sales data and the impact of factors that influenced sales in the past.Better Offices is using the _____ for sales forecasting.

A) sales force composite analysis
B) customer expectations analysis
C) time-series analysis
D) jury of executive opinion method

Question 71

_____ is an estimate of how much of the company's output,either in dollars or in units,can be sold during a specified future period under a proposed marketing plan and under an assumed set of economic conditions. 

A) Sales forecast
B) Returns estimate
C) Production utilization
D) Output assumption

Question 72

 Which of the following is a commonly used sales forecasting method that involves evaluating past sales data and the impact of factors that influence sales?

A) Sales force composite analysis
B) Customer expectations analysis
C) Time-series analysis
D) Jury of executive opinion method

Question 73

Which of the following refers to monetary compensation provided for each unit of sales and expressed as a percentage of sales?

A) Bonus
B) Commission
C) Salary
D) Golden handcuff

Question 74

Better Offices,Inc.supplies office stationery and equipments to large retailers.To forecast its future sales,its sales department takes into account the views of top management representing marketing,production,finance,purchasing,and administration.Better Offices is using the _____ for sales forecasting.

A) sales force composite method
B) customer expectations method
C) time-series analysis
D) jury of executive opinion method

Question 75

In order to forecast sales for a marketing management textbook,the bookstore owner analyzed past sales data and the impact of the number of books on similar topics released in the market.The bookstore owner used _____ for its sales forecasting.

A) jury of executive opinion method
B) sales force composite method
C) customer expectations method
D) time-series analysis

Question 76

_____ represent(s)specific sales goals assigned to each territory or unit over a designated time period. 

A) Time to market
B) Activity quotas
C) Sales assignments
D) Sales quotas

Question 77

 Which of the following is NOT true of sales expense budgets? 

A) In some companies, sales expense budgets are developed from the bottom up.
B) Sales expense budgets should be included in the sales forecast.
C) These estimates are usually prepared for a period of a year and then broken down into quarters and months.
D) The sales force composite method is a popular method for calculating sales expense budgets.

Question 78

As long as production continues to expand through the development of new and highly technical products,_____ will continue to be an important part of marketing strategy.

A) personal selling
B) public relations
C) mass production
D) exclusive distribution

Question 79

Fresh,Inc.manufactures a wide range of personal care products.Its sales forecasting method involves conducting detailed surveys of retailers who stock its products toward the end of a fiscal year.The aim of this survey is to estimate the quantity of Fresh products the retailers are likely to order in the next fiscal year.Which of the following approaches of sales forecasting is Fresh using? 

A) Sales forecast composite method
B) Time-series analysis
C) Customer expectations method
D) Jury of executive opinion method

Question 80

A manufacturer of bathtubs analyzed the interconnection between its sales and the number of new houses being built in a particular region in order to forecast bathtub sales in that region.This type of forecasting is an example of: 

A) dependence analysis.
B) sales force composite method.
C) customer expectations method.
D) correlation analysis.