Exam 8: Business Markets and Buying Behavior

As the new sales representative for H & L Electronics,Sophie is responsible for calling on hospital management and selling electronic hospital equipment such as blood pressure cuffs,scales,and heart monitors.Sophie knows that she needs to be friendly with the administrative assistants in the management offices in order to make sure that H & L's information brochures and new product diagrams actually get to the management staff.In this situation,Sophie is exhibiting her knowledge that administrative assistants are often ________ in the buying decision process.

An example of a business market would be farmers.

Management at Readyfresh Dry Cleaners is concerned that it maintains a high level of service for its business accounts.How should the firm monitor the level of service these customers receive?

Explain how purchase decisions for business products may be influenced by persons in a buying center.

When the major component of an item experiences a price increase,the demand for the item may become more elastic.

Mike's Roadside Market buys produce from area farmers,marks the merchandise at a price that includes some profit,and then sells the fruit and vegetables to the people in and around Centerville.Mike's would be classified as part of a ____ market.

Wholesalers sell primarily to ultimate consumers.

During the search for products and evaluating possible suppliers stage of the business buying decision process,marketers sometimes use ____ analysis to examine the quality,design,materials,and possibly item reduction in order to acquire the product in the most cost-effective way.

Compare and contrast the three major types of purchases made by business customers.

A buyer for Macy's Department Stores orders handbags from a supplier because that supplier allows the buyer to maintain Macy's company policy of 30-day advance purchase notice.This is an example of ____ influence on the business buying decision process.

Most businesses try to control the level of quality in the parts they buy from suppliers.Most firms develop standards for ____ in order to achieve their quality goals.

The demand for many business products is inelastic at the industry level.

Scenario 8.2 Use the following to answer the questions. Precision Brake Company is a supplier of brake components to the manufacturers of lawn tractors and 4-wheel ATV's.It also sells its products to independent repair centers,dealers,and other wholesalers in the northeast and southern states.Precision Brake has done research on the demand for lawn tractors and found that most manufacturers are in the states of Kentucky,Tennessee,and Alabama.Research also shows that most of the dealers who sell directly to individual consumers are in the midwestern states,while dealers who sell to small business landscaping companies tend to be located in the northeastern states.Company executives are considering expansion of its distribution to markets in the Midwest. -Refer to Scenario 8.2.When Precision Brake sells to the individual dealers,they would be considered which of the following business types?

The government decides to purchase a new fleet of fighter jets for the U.S.Air Force.What type of buying procedure is the government most likely to use?

The third stage in the business buying decision process is to

____ buy products from manufacturers and then resell the products to other firms in the distribution system.

Because retailers have to be concerned with product selection,price,and space,they often evaluate products on the basis of

All of the following describe the demand for business products except

Which of the following statements about business buying is false?

The increase in government purchases has resulted partly from the increase in the number of services provided by the government.