Question 1

According to research studies, the closest relationships between customers and suppliers arise when ________.

Accepted Answer

A)  supply is important to the customer and there were procurement obstacles 
B)  procurement is simple 
C)  there are many undifferentiated vendors in the marketplace 
D)  the customer is highly price sensitive 
E)  the suppliers charge a premium for their products 
A)  supply is important to the customer and there were procurement obstacles 
B)  procurement is simple 
C)  there are many undifferentiated vendors in the marketplace 
D)  the customer is highly price sensitive 
E)  the suppliers charge a premium for their products

Question 2

The business market consists of all the organizations that acquire goods and services used in the production of other products or services that are sold, rented, or supplied to others. List the major industries that make up the business market.

Accepted Answer

The major industries making up the busin

Question 3

If you were a purchasing agent facing a modified rebuy situation, how would you describe that situation?

Accepted Answer

The buyer wants to modify prod

Question 4

A given percentage increase in consumer demand can lead to a much larger percentage increase in the demand for plant and equipment necessary to produce the additional output. Economists refer to this as ________.

Accepted Answer

A)  derived demand 
B)  inelastic demand 
C)  the acceleration effect 
D)  a straight rebuy 
E)  the sales cycle 
A)  derived demand 
B)  inelastic demand 
C)  the acceleration effect 
D)  a straight rebuy 
E)  the sales cycle

Question 5

List the seven roles played by members of a buying center.

Accepted Answer

The roles are: (1) initiators,

Question 6

With reference to online buying, what are vertical markets? Give an example of a vertical market.

Accepted Answer

Student answers may vary.
Companies buyi

Question 7

The buying center is where consumers go to purchase their goods and services.

Accepted Answer

A) True 
 B)False

Question 8

In the ________ category of buyer-supplier relationships, competition rather than cooperation is the dominant form of governance.

Accepted Answer

A)  basic buying and selling 
B)  bare bones 
C)  contractual transaction 
D)  customer supply 
E)  collaborative 
A)  basic buying and selling 
B)  bare bones 
C)  contractual transaction 
D)  customer supply 
E)  collaborative

Question 9

In which of the following is a person performing the role of an influencer?

Accepted Answer

A)  Dan decides on the product requirements and makes the final choice of suppliers. 
B)  Luke has the authority to pick out the supplier and negotiate the terms of purchase. 
C)  Liam heads the Tech team at LKG and provides information for evaluating the possible alternatives. 
D)  LKG gets many calls from potential suppliers, and it is Leah's job to weed out the good prospects and refer them to others in LKG. 
E)  Dana authorizes the actions of the deciders and buyers in LKG. 
A)  Dan decides on the product requirements and makes the final choice of suppliers. 
B)  Luke has the authority to pick out the supplier and negotiate the terms of purchase. 
C)  Liam heads the Tech team at LKG and provides information for evaluating the possible alternatives. 
D)  LKG gets many calls from potential suppliers, and it is Leah's job to weed out the good prospects and refer them to others in LKG. 
E)  Dana authorizes the actions of the deciders and buyers in LKG.

Question 10

In which of the following is a person performing the role of an approver?

Accepted Answer

A)  Dan decides on the product requirements and makes the final choice of suppliers. 
B)  Luke has the authority to pick out the supplier and negotiate the terms of purchase. 
C)  Liam heads the Tech team at LKG and provides information for evaluating the possible alternatives. 
D)  LKG gets many calls from potential suppliers, and it is Leah's job to weed out the good prospects and refer them to others in LKG. 
E)  Dana authorizes the actions of the deciders and buyers in LKG. 
A)  Dan decides on the product requirements and makes the final choice of suppliers. 
B)  Luke has the authority to pick out the supplier and negotiate the terms of purchase. 
C)  Liam heads the Tech team at LKG and provides information for evaluating the possible alternatives. 
D)  LKG gets many calls from potential suppliers, and it is Leah's job to weed out the good prospects and refer them to others in LKG. 
E)  Dana authorizes the actions of the deciders and buyers in LKG.

Question 11

Companies are increasingly reducing the number of suppliers they utilize, and there is a trend toward single sourcing.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following is true for business marketers?

Accepted Answer

A)  They deal with more and larger buyers than consumer marketers. 
B)  They deal with more and smaller buyers than consumer marketers. 
C)  They deal with fewer and larger buyers than consumer marketers. 
D)  They deal with fewer and smaller buyers than consumer marketers. 
E)  They deal with the same kind of buyers as consumer marketers. 
A)  They deal with more and larger buyers than consumer marketers. 
B)  They deal with more and smaller buyers than consumer marketers. 
C)  They deal with fewer and larger buyers than consumer marketers. 
D)  They deal with fewer and smaller buyers than consumer marketers. 
E)  They deal with the same kind of buyers as consumer marketers.

Question 13

Framing occurs when customers are given a perspective or point of view that allows the firm to "put its best foot forward."

Accepted Answer

A) True 
 B)False

Question 14

________ is a key industrial marketing strategy in bidding to build large-scale industrial products such as dams, pipelines, etc.

Accepted Answer

A)  Systems contracting 
B)  Systems buying 
C)  Systems selling 
D)  Solutions buying 
E)  Turnkey logistics 
A)  Systems contracting 
B)  Systems buying 
C)  Systems selling 
D)  Solutions buying 
E)  Turnkey logistics

Question 15

Mason's is a supplier of specialty chemicals to a number of companies. The company previously supplied just three big clients, but the CEO is considering targeting the small business market. Selling to small businesses presents a huge opportunity, he says, but some board members disagree, saying it also presents huge challenges. Explain the challenges the firm might face in targeting small businesses.

Accepted Answer

The small business market is large and f

Question 16

In the purchasing decision process, the ________ are those who have the power to prevent sellers or information from reaching members of the buying center.

Accepted Answer

A)  approvers 
B)  buyers 
C)  initiators 
D)  gatekeepers 
E)  deciders 
A)  approvers 
B)  buyers 
C)  initiators 
D)  gatekeepers 
E)  deciders

Question 17

In buyer-seller relationships, the contractual transaction generally shows low levels of trust, cooperation, and interaction.

Accepted Answer

A) True 
 B)False

Question 18

The type of buyer-supplier relationship in which buyers and sellers make many relationship-specific adaptations, but without necessarily achieving strong trust or cooperation is termed as ________.

Accepted Answer

A)  customer is king 
B)  mutually adaptive 
C)  collaborative 
D)  contractual transaction 
E)  customer supply 
A)  customer is king 
B)  mutually adaptive 
C)  collaborative 
D)  contractual transaction 
E)  customer supply

Question 19

In the purchasing decision process, the ________ are those who request that something be purchased. They may be users or others in the organization.

Accepted Answer

A)  users 
B)  initiators 
C)  influencers 
D)  deciders 
E)  approvers 
A)  users 
B)  initiators 
C)  influencers 
D)  deciders 
E)  approvers

Question 20

An increase in the demand for plant and equipment can lead to a much larger increase in consumer demand. This is known as the acceleration effect.

Accepted Answer

A) True 
 B)False

Exam 7: Analyzing Business Markets

According to research studies, the closest relationships between customers and suppliers arise when ________.

The business market consists of all the organizations that acquire goods and services used in the production of other products or services that are sold, rented, or supplied to others. List the major industries that make up the business market.

If you were a purchasing agent facing a modified rebuy situation, how would you describe that situation?

A given percentage increase in consumer demand can lead to a much larger percentage increase in the demand for plant and equipment necessary to produce the additional output. Economists refer to this as ________.

List the seven roles played by members of a buying center.

With reference to online buying, what are vertical markets? Give an example of a vertical market.

The buying center is where consumers go to purchase their goods and services.

In the ________ category of buyer-supplier relationships, competition rather than cooperation is the dominant form of governance.

In which of the following is a person performing the role of an influencer?

In which of the following is a person performing the role of an approver?

Companies are increasingly reducing the number of suppliers they utilize, and there is a trend toward single sourcing.

Which of the following is true for business marketers?

Framing occurs when customers are given a perspective or point of view that allows the firm to "put its best foot forward."

________ is a key industrial marketing strategy in bidding to build large-scale industrial products such as dams, pipelines, etc.

In the purchasing decision process, the ________ are those who have the power to prevent sellers or information from reaching members of the buying center.

In buyer-seller relationships, the contractual transaction generally shows low levels of trust, cooperation, and interaction.

The type of buyer-supplier relationship in which buyers and sellers make many relationship-specific adaptations, but without necessarily achieving strong trust or cooperation is termed as ________.

In the purchasing decision process, the ________ are those who request that something be purchased. They may be users or others in the organization.

An increase in the demand for plant and equipment can lead to a much larger increase in consumer demand. This is known as the acceleration effect.

Defining Marketing for the 21st Century

Developing Marketing Strategies and Plans

Collecting Information and Forecasting Demand

Conducting Marketing Research

Creating Long-Term Loyalty Relationships

Analyzing Consumer Markets

Identifying Market Segments and Targets

Creating Brand Equity

Crafting the Brand Positioning

Competitive Dynamics

Setting Product Strategy

Designing and Managing Services

Developing Pricing Strategies and Programs

Designing and Managing Integrated Marketing Channels

Managing Retailing, Wholesaling, and Logistics

Designing and Managing Integrated Marketing Communications

Managing Mass Communications: Advertising, Sales Promotions, Events and Experiences, and Public Relations

Managing Personal Communications: Direct and Interactive Marketing, Word of Mouth, and Personal Selling

Introducing New Market Offerings

Tapping into Global Markets

Managing a Holistic Marketing Organization for the Long Run

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