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

Question 1

In the context of personal selling, which of the following is an important task of a salesperson providing after-sale service?

A) Deliver or install product or service that meets or exceeds customer expectations
B) Clearly distinguish attributes of a 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

Answer 1

A

Question 2

Which of the following objectives of a salesperson involves selling additional or complementary items to repeat customers?

A) Reassurance
B) Orientation
C) Information
D) Persuasion

Answer 2

D

Question 3

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

A) build relationships with customers and provide reassurance of product superiority.
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.

Answer 3

A

Question 4

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

A) the initial development
B) the first-time sale
C) maximized sales
D) prospecting sales

Question 5

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

A) Calculators
B) Paints
C) Insurance
D) Soda

Question 6

Which of the following is true of personal selling?

A) It is suitable for technically complex products.
B) It is most suited for goods that can be presold.
C) It discounts the use of sales force as insignificant.
D) It leads to improper buying decisions on the part of consumers.

Question 7

In personal selling, a persuasion objective of the sales force is to:

A) install a product or service that exceeds customer expectations.
B) convert first-time customers into repeat purchasers.
C) reassure product or service superiority through demonstrable actions.
D) follow up immediately with calls and visits to address unresolved concerns.

Question 8

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

A) Presentation
B) Planning a sales call
C) Obtaining commitment
D) Prospecting

Question 9

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 a recurring need for the product.

Question 10

Rex is a salesperson who works for Welwin Inc., a manufacturer of computer accessories. With several years of experience as a salesperson, Rex has the persuasive ability to convert undecided customers to first-time buyers. Identify his task in providing an after-sale service.

A) He reassures Welwin's product superiority through product comparisons and demonstrations.
B) He clearly differentiates features of Welwin's products from those of competitors.
C) He sells additional and complementary items to repeat customers.
D) He tends to the needs of dissatisfied customers.

Question 11

IGM Technologies sells a new calibrated filtering system used to virtually eliminate all types of hazardous gas emissions in chemical plants. The filtering system involves complex technology that customers may not understand easily. The company sends its sales personnel for a two-day training course on the appropriate use and maintenance of the filtering system so that they can educate prospective customers on its application. 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 12

Continual prospecting is primarily important to:

A) discount customer objections.
B) increase customer turnover.
C) prevent customers from being acquired by other firms.
D) decrease customer retention rate.

Question 13

Identify the persuasion objective of the sales force in personal selling.

A) To clearly distinguish attributes of a firm's products or services from those of competitors
B) To ensure immediate follow-up calls and visits to address unresolved or new concerns
C) To reassure consumers of product or service superiority through demonstrable actions
D) To enable prompt delivery of the product or service that exceeds customer expectations

Question 14

In personal selling, which of the following falls under the persuasion objective of the sales force?

A) Deliver or install a product or service that meets customer expectations
B) Follow up promptly with calls and visits to address unresolved concerns
C) Guarantee product or service superiority through demonstrable actions
D) Maximize the number of sales as a percent of presentations

Question 15

The marketing concept and the accompanying approach to personal selling view the _____ as merely the first step in a long-term relationship-building process, not as the end goal.

A) customer objections
B) final purchase decision
C) initial sale
D) prospecting decision

Question 16

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

A) canvassing
B) screening
C) networking
D) spotting

Question 17

Which of the following statements is true of salespeople involved in personal selling?

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 18

The process of locating potential customers is called:

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

Question 19

For which of the following individuals is prospecting less important to last long in business?

A) A stockbroker
B) A real estate agent
C) A market leader's sales representative
D) A partner in an upcoming accounting firm

Question 20

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 21

Which of the following actions is a part of a successful aftermarketing effort?

A) Focusing exclusively on the pre-purchase phase and reducing follow up
B) Monitoring order processing and analyzing customer feedback
C) Focusing more on acquiring new customers than servicing existing ones
D) Generating leads through cold calling and endless chain

Question 22

The concept that focuses an 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) commercialization
C) aftermarketing
D) prospect maintenance

Question 23

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

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

Question 24

ID Goods Corp. sells safety footwear to its client base that includes oil refineries, meat processors, catering companies, hospitals, and cleaning services for the use of their employees. The company maintains a database that contains customer information and a history of each of their purchases. It monitors how each order is processed and follows up promptly by offering ongoing guidance on product maintenance. The company responds quickly to complaints and seeks customer satisfaction. Based on these activities, it can be inferred that ID Goods is involved in _____.

A) repositioning
B) aftermarketing
C) strategic alliancing
D) functional partnering

Question 25

Which of the following best defines spotters as a source of sales leads?

A) They are individuals who are paid by salespeople to generate lead information.
B) They refer to current and previous customers who vouch for a product.
C) They refer to merchandise markets that provide ample lead information.
D) They are secondary data sources that are usually free or fee-based.

Question 26

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 27

The source through which salespeople generate leads by developing interactions with well-known, powerful people in a specific territory who are willing to supply lead information is known as a(n) _____.

A) center of influence
B) endless chain
C) cold calling sphere
D) telemarketing spot

Question 28

After all objections of a sales prospect have been resolved, a salesperson must ask for _____.

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

Question 29

Albert has been in the business of selling computer hardware for over a decade. During the installation of some technologically complex hardware devices, Albert ensures that he sends technical personnel to customers to ensure initial proper use of the purchased hardware. Albert believes in implementing successful aftermarketing efforts. In which of the following activities will Albert be involved as part of the aftermarketing effort?

A) Continuously challenging respondents with improvements and modifications to product
B) Continuously conducting customer satisfaction research and responding to it
C) Continuously gaining access to new markets through new products and improved technologies
D) Continuously creating joint opportunities to develop new technology in new markets

Question 30

The second step in the prospecting process of customers involves _____.

A) generating leads
B) customizing prospects
C) screening prospects
D) randomizing leads

Question 31

Which of the following is a feature of selected-lead generation?

A) It generates leads from predetermined markets.
B) It is often used by firms that enter new markets.
C) It is usually done using mass appeals.
D) It requires a high number of contacts to gain a sale.

Question 32

Which of the following is true of random lead generation?

A) Random lead generation is used when there is an existing database of names and addresses of prospects.
B) Random lead generation usually requires a lower number of contacts to gain a sale.
C) Households and businesses are insignificant sources for random leads.
D) Random lead generation can be carried out by employing mass appeals and advertising.

Question 33

Origin International has developed a new device for monitoring refrigerant leaks in supermarket refrigerated display cases. The devices are compliant with the latest environmental standards. To identify supermarkets and convenience stores that would be interested in its new product, Origin's sales department publishes an advertisement in the supplement of the local newspaper with its basic contact details. A coupon is attached to the advertisement in case interested store owners want to use it to seek further information. Based on this scenario, it can be inferred that Origin is using _____ for its prospecting.

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

Question 34

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

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

Question 35

Which of the following occurs when a buyer and a salesperson have a close personal relationship that leads to them relying on each other and communicating honestly?

A) Strategic alliance
B) Buyer-salesperson affinity
C) Functional relationship
D) Cross functional marketing

Question 36

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) exclusively 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 37

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

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

Question 38

Which of the following is a secondary data source for sales lead generation?

A) Seminars
B) Catalogs
C) Directories
D) Spotters

Question 39

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

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

Question 40

Paula 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." Based on which of the following questions of the qualifying process is Paula 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 Paula's products or services?
D) Is the lead eligible to buy?

Question 41

Glazetech Inc., a software giant, is involved in the production of a technologically complex product that is the first of its kind in the market and is slated to be sold to the entire organization. Considering its uniqueness, its manufacturers quote a high price in the market. Considering these aspects, which of the following teams or people are most suitable to support its sales force?

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

Question 42

_____ do not seek an 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 43

The distribution channel for a producer that manufactures industrial cleaning products comprises the primary manufacturer, the marketing intermediary, and the end user. The manufacturer seeks to provide support to his sales force by providing training and product application assistance to prospective buyers. To do so, which of the following groups is the manufacturer most likely to approach?

A) Spotters
B) Technical sales specialists
C) Missionary agents
D) Horizontal sales teams

Question 44

In a bid to gain a marketing advantage over its competitors, Highflier, an airline firm, enters into a long-term, formal relationship with CaféBean, a coffee outlet. The two companies make significant investments in each other in order to jointly pursue mutual goals to improve the profitability of each other. This a typical example of a _____.

A) transactional relationship
B) relational subsidy
C) strategic alliance
D) technical relationship

Question 45

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

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

Question 46

Better Offices Inc. manufactures office supplies and equipment for a large client base, including the city's largest retailer, Office Space. A salesperson from Better Offices met with the procurement manager of Office Space to sell copiers. Two days later, another salesperson from Better Offices called on Office Space to sell copier paper. Considering this, Better Offices most likely uses a _____ structure to organize its sales force.

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

Question 47

Newage, Inc. has developed a high-end, technically complex software to track consumer buying behavior. It is extremely high priced and is being sold to a large departmental store chain. All the units of the departmental store require specialized knowledge 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 48

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

A) syntactic
B) geographic
C) customer
D) product

Question 49

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 50

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 at a good profit margin
D) To replace a couple of computers in a university computer laboratory

Question 51

When individual sales personnel are assigned specific regions to handle and represent all of a company's products, it is indicative that the company follows a:

A) product structure to organize its sales force.
B) geographical structure to organize its sales force.
C) customer specific sales management approach.
D) major account management or team selling approach.

Question 52

A _____ supports the sales staff by providing training or other technical assistance to a buyer.

A) missionary salesperson
B) technical sales specialist
C) techno-functional sales team
D) chief technology officer

Question 53

A company has developed a technologically complex traffic-management software. It is very expensive and is being sold to be used by all the teams of an organization in charge of managing a city's traffic. Specialized knowledge is required by all the 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 54

Which of the following is a variation of the customer structure of organizing sales force?

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

Question 55

Forward Inc. is an investment bank that operates in a particular geographic territory in Valentia. The company allocates specific salesperson or a selling team to each client to serve the specific needs of that client. A salesperson with a finance background is allocated to a client who needs financial advice. Forward Inc. most likely uses a _____ structure to organize its sales force.

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

Question 56

_____ are used 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) Front-line sales teams

Question 57

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 a product is very expensive 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 a product is to be used to solve certain technical problems of the buyer.

Question 58

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

A) It can result in large sales and satisfied customers.
B) It is inexpensive and therefore cost-effective.
C) It is most applicable when buyers have similar needs.
D) It limits the distance each salesperson must travel to see customers.

Question 59

Which of the following is true about missionary salespeople?

A) They are used to focus exclusively on promotion of existing products and introduction of new products.
B) They are used when a 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 a product is to be used to solve certain technical problems of buyers.

Question 60

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

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

Question 61

The top management of Kryptos Inc., a supplier of office stationery to large IT corporations, is involved in a meeting with its sales personnel. To forecast the company's future sales, its sales department takes into account the views of the top management representing marketing, production, finance, purchasing, and administration. Kryptos Inc. is using _____ for sales forecasting.

A) correlation analysis
B) the customer expectations method
C) time-series analysis
D) the jury of executive opinion method

Question 62

_____ allow a company to monitor whether salespeople are engaging in tasks 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 63

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 method
B) Customer expectations analysis
C) Time-series analysis
D) Jury of executive opinion method

Question 64

Which of the following is true of sales quotas?

A) They are limited in the sense that they can be used only to evaluate salespersons' performances but not to evaluate and control their efforts.
B) They are not representative of specific sales goals assigned to each territory or unit over a designated time period.
C) They allow a management to pinpoint individuals and units that are performing above average and those experiencing difficulty.
D) They allow a company to track the amount of profitable sales a company is engaging in.

Question 65

A manufacturer of bathtubs analyzes the relationship 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) time-series analysis.
B) sales force composite method.
C) customer expectations method.
D) correlation analysis.

Question 66

During sales forecasting, the sales force of a company uses past data and analyzes it to study the impact of factors that influence sales trends. It identifies cyclical fluctuations and assesses long-term growth trends with the help of available data. Which of the following methods of sales forecasting is it using?

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

Question 67

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 68

The most common method of establishing quotas for territories is to:

A) relate sales to forecasted sales potential.
B) discount activity quotas independently.
C) evaluate salespersons' performances without controlling their efforts.
D) assign quotas only for dollar sales but not for a selling function.

Question 69

_____ 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 70

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 71

To forecast its future sales, the sales department of a large chain of grocery stores requires the entire sales force to give their projections so that it can combine the views of the entire sales force to gain an overview on the future outlook for sales. Which of the following methods of sales forecasting is the grocery store using?

A) Sales force executive opinion method
B) Sales force composite method
C) Sales force time-series analysis
D) Sales force correlation analysis

Question 72

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

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

Question 73

In establishing sales quotas for individual territories, the management of a company should:

A) consider that all territories within a region have equal potential and, therefore, compensation must be made equally.
B) realize that quotas can vary only by territory, but not by assigned tasks.
C) assign quotas only for dollar sales, but not for each selling function.
D) understand that the sales task in each territory varies across time periods.

Question 74

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 time-series analysis
D) Sales force correlation analysis

Question 75

A(n) _____ is an estimate of how much of a 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) leverage ratio
D) output assumption

Question 76

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) Customer expectations method
C) Time-series analysis
D) Correlation analysis

Question 77

The owner of a bookstore in a college town notices that the demand for certain textbooks peaks 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 the future sales of these textbooks by measuring the relationship between the sales of these books and the announcement of courses that recommend them. Which of the following methods of sales forecasting is she using?

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

Question 78

Which of the following is true about a sales forecast?

A) It is useful in predicting customer reactions to pre-launched products.
B) It might not be suitable for use in situations that involve personal selling efforts.
C) It is typically used by a marketing manager to budget selling expenses.
D) It is typically used to implement customers' comments into product development.

Question 79

In order to forecast the sales for a marketing management textbook in his geographic vicinity, Lauren, a bookstore owner, decides to use the time-series analysis of sales forecasting. In this case, which of the following is Lauren more likely to do?

A) Combine and average the views of top management representing marketing, production, finance, purchasing, and administration.
B) Request his sales personnel to submit estimates of the future sales in their territories.
C) Measure the relationship between the dependent variable and one or more independent variables.
D) Analyze past sales data and the impact of factors that influence sales like seasonal variations.

Question 80

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

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