Exam 7: Business Marketing

_____ refers to the phenomenon in which a small increase or decrease in consumer demand can produce a much larger change in demand for the facilities and equipment needed to make the consumer product.

The use of direct channels in business marketing has increased dramatically in the past decade with the introduction of various Internet buying and selling schemes.

Which of the following statements is a difference between buyers in consumer markets and buyers in business markets?

In the context of negotiations, final contracts are often short and precise.

Which of the following statements is true of business marketing?

Inland Eastex Inc. manufactures toothpastes. Even when the company increased the price of its toothpastes last year, the sales did not drop. This is an example of _____.

Nutrimax Cookies Inc. buys around three tons of raw materials every year. If the demand for its cookies increases next year, the company might need to buy more raw materials in order to meet the increased demand. This illustrates _____.

A practice whereby business purchasers choose to buy from customers of their competitors is called reciprocity.

Explain the distribution structure followed in business markets.

Which of the following statements is true of the North American Industry Classification System (NAICS)?

In the context of business products, which of the following is a difference between major equipment and accessory equipment?

In the context of business products, which of the following statements is true of major equipment?

In the context of business customers, which of the following statements is true of institutions?

Federal, state, and local buying units account for the greatest volume of purchases of any customer category in the United States.

Businesses contract outside providers to perform janitorial, advertising, and legal services as it costs less than hiring an employee to perform the particular task.

Which of the following statements is true of accessory equipment?

Which of the following statements is true of content marketing?

Which of the following statements is a difference between wholesalers and retailers?

The more digits in a North American Industry Classification System code, the less homogeneous a group will be.

In the context of categories of business customers, describe the role of resellers.