Question 1

_____ is the process of moving a seller toward long-term, cost-effective, mutually beneficial trust with selected customers.

Accepted Answer

A)  Customerization 
B)  Mass optimization 
C)  Mass aggregation 
D)  Undifferentiated distribution management 
E)  Customer relationship management 
A)  Customerization 
B)  Mass optimization 
C)  Mass aggregation 
D)  Undifferentiated distribution management 
E)  Customer relationship management

Question 2

The North American Industry Classification System:

Accepted Answer

A)  enables a company to identify relatively small segments of its business market. 
B)  is unaffected by the government's nondisclosure rules. 
C)  places all U.S. businesses into five categories. 
D)  codes multiproduct companies in a variety of ways within the classification system. 
E)  was developed by the Standard Industrial Association. 
A)  enables a company to identify relatively small segments of its business market. 
B)  is unaffected by the government's nondisclosure rules. 
C)  places all U.S. businesses into five categories. 
D)  codes multiproduct companies in a variety of ways within the classification system. 
E)  was developed by the Standard Industrial Association.

Question 3

Norske Skog is a global supplier of publication paper with mills and sales offices on five continents. The Norwegian company's core business is newsprint and magazine paper for its 2,300 customers worldwide. It has a partnership with many of its customers and develops special paper grades in co-operation with its customers. Sarah DeJohn, its chief executive, announced the company would be downsizing in 2003 due to falling demand for paper. (Demand for publication paper is affected by economic activity in the market and printed media advertising revenue.)
-Norske Skog is an example of a company with a _____ business market because its product is only usable by publishing companies and printers.

Accepted Answer

A)  vertical 
B)  direct 
C)  indirect 
D)  horizontal 
E)  linear 
A)  vertical 
B)  direct 
C)  indirect 
D)  horizontal 
E)  linear

Question 4

What do Kestern Wholesale Company, Costco warehouse store, Kohl's, and Dillard's department store have in common?

Accepted Answer

A)  They all only sell to ultimate consumers. 
B)  They all use a mass marketing strategy. 
C)  They are all part of the reseller market. 
D)  They create time, place, and form utility. 
E)  They are all classified as business user intermediaries. 
A)  They all only sell to ultimate consumers. 
B)  They all use a mass marketing strategy. 
C)  They are all part of the reseller market. 
D)  They create time, place, and form utility. 
E)  They are all classified as business user intermediaries.

Question 5

Resellers create all of the following types of utility EXCEPT:

Accepted Answer

A)  possession utility. 
B)  time utility. 
C)  place utility. 
D)  information utility. 
E)  form utility. 
A)  possession utility. 
B)  time utility. 
C)  place utility. 
D)  information utility. 
E)  form utility.

Question 6

Value added refers to the profit a manufacturer earns on a product once it has subtracted the costs of the inputs it used to make the product.

Accepted Answer

A) True 
 B)False

Question 7

Elasticity of demand for a business product is likely to increase:

Accepted Answer

A)  as the product becomes a greater part of the total cost of the finished good. 
B)  if the product will be sold in both the consumer and business markets. 
C)  when the product is relatively small and inexpensive. 
D)  if there is no derived demand for the business product. 
E)  if monopolistic competition exists in the market. 
A)  as the product becomes a greater part of the total cost of the finished good. 
B)  if the product will be sold in both the consumer and business markets. 
C)  when the product is relatively small and inexpensive. 
D)  if there is no derived demand for the business product. 
E)  if monopolistic competition exists in the market.

Question 8

According to the text, the level at which customer relationship management is conducted depends on:

Accepted Answer

A)  the organization. 
B)  parametric analysis. 
C)  multiple regression analysis. 
D)  the industry culture. 
E)  the size of the buying center. 
A)  the organization. 
B)  parametric analysis. 
C)  multiple regression analysis. 
D)  the industry culture. 
E)  the size of the buying center.

Question 9

The demand for plastic grommets used to make belts is inelastic because if the price of the grommets were to suddenly increase, it would have no effect on the price of the belts.

Accepted Answer

A) True 
 B)False

Question 10

State Farm Insurance sells security. Disneyland provides entertainment. Brake-O repairs brakes and sells safety. All three of these organizations are part of the _____ market.

Accepted Answer

A)  services 
B)  reseller 
C)  retail 
D)  SIC 
E)  nonbusiness 
A)  services 
B)  reseller 
C)  retail 
D)  SIC 
E)  nonbusiness

Question 11

Why are business buyers better informed about what they are buying than ultimate consumers?

Accepted Answer

A)  Derived demand is predictable. 
B)  Buyers have more warning that they need to stock up on a particular product. 
C)  Ultimate consumers have a smaller inventory to choose from than business users. 
D)  There are relatively few alternative sources for the buyer to consider. 
E)  There is no real difference between business and consumer buyers because an error in buying is only a small inconvenience for either. 
A)  Derived demand is predictable. 
B)  Buyers have more warning that they need to stock up on a particular product. 
C)  Ultimate consumers have a smaller inventory to choose from than business users. 
D)  There are relatively few alternative sources for the buyer to consider. 
E)  There is no real difference between business and consumer buyers because an error in buying is only a small inconvenience for either.

Question 12

Ashley has been a dental office manager for 20 years. When she places an order for dental adhesive, tooth desensitizing gel, cotton sponges, and dental exam gloves, she is most likely making a _____ purchase.

Accepted Answer

A)  straight rebuy 
B)  specialty 
C)  reciprocity 
D)  modified rebuy 
E)  new-task buying 
A)  straight rebuy 
B)  specialty 
C)  reciprocity 
D)  modified rebuy 
E)  new-task buying

Question 13

If a business product is usable by virtually all firms in only one or two industries, it has a(n) _____ business market.

Accepted Answer

A)  vertical 
B)  direct 
C)  indirect 
D)  horizontal 
E)  linear 
A)  vertical 
B)  direct 
C)  indirect 
D)  horizontal 
E)  linear

Question 14

The BrokerForum.com is a Web site, which allows brokers and distributors of electronic components parts to buy and sell parts. The BrokerForum.com is an example of:

Accepted Answer

A)  electronic commerce. 
B)  an ISP system. 
C)  customer relationship management. 
D)  customerization. 
E)  computer-oriented marketing. 
A)  electronic commerce. 
B)  an ISP system. 
C)  customer relationship management. 
D)  customerization. 
E)  computer-oriented marketing.

Question 15

If Weyman Paper Company agrees to always buy its shrinkwrap from a plastics manufacturer that has agreed to buy all of its paper products from Weyman, it would be an example of a:

Accepted Answer

A)  leasing agreement. 
B)  new-task buy. 
C)  modified rebuy situation. 
D)  tying contract. 
E)  reciprocity arrangement. 
A)  leasing agreement. 
B)  new-task buy. 
C)  modified rebuy situation. 
D)  tying contract. 
E)  reciprocity arrangement.

Question 16

It is cheaper to clean VISA fabric than any other kinds of fabric, and VISA fabric lasts four to five times longer than any cotton or blends. Thus, VISA is often used to make white tablecloths used in restaurants. As the number of times a week people eat out is increasing, so is the number of restaurants who need a steady supply of fabric. This results in an increase demand for VISA fabric. VISA fabric has a _____  demand.

Accepted Answer

The answer of It is cheaper to clean VISA fabric...

Question 17

The acceleration principle describes the techniques used by some companies to shorten the negotiation periods for business products.

Accepted Answer

A) True 
 B)False

Question 18

Because demand in the business market for fabricating parts and materials is _____, a small increase in the price of wood screws will have relatively little effect on the price of reclining furniture that use the wood screws.

Accepted Answer

A)  inelastic 
B)  contrived 
C)  negotiated 
D)  reciprocal 
E)  elastic 
A)  inelastic 
B)  contrived 
C)  negotiated 
D)  reciprocal 
E)  elastic

Question 19

The purchase of a replacement refrigeration unit for storing fresh cut flowers at a florist's shop is probably an example of a modified rebuy purchase.

Accepted Answer

A) True 
 B)False

Question 20

Many companies make no effort to sell to the government because they are intimidated by the red tape.

Accepted Answer

A) True 
 B)False

_____ is the process of moving a seller toward long-term, cost-effective, mutually beneficial trust with selected customers.

The North American Industry Classification System:

What do Kestern Wholesale Company, Costco warehouse store, Kohl's, and Dillard's department store have in common?

Resellers create all of the following types of utility EXCEPT:

Value added refers to the profit a manufacturer earns on a product once it has subtracted the costs of the inputs it used to make the product.

Elasticity of demand for a business product is likely to increase:

According to the text, the level at which customer relationship management is conducted depends on:

The demand for plastic grommets used to make belts is inelastic because if the price of the grommets were to suddenly increase, it would have no effect on the price of the belts.

State Farm Insurance sells security. Disneyland provides entertainment. Brake-O repairs brakes and sells safety. All three of these organizations are part of the _____ market.

Why are business buyers better informed about what they are buying than ultimate consumers?

Ashley has been a dental office manager for 20 years. When she places an order for dental adhesive, tooth desensitizing gel, cotton sponges, and dental exam gloves, she is most likely making a _____ purchase.

If a business product is usable by virtually all firms in only one or two industries, it has a(n) _____ business market.

The BrokerForum.com is a Web site, which allows brokers and distributors of electronic components parts to buy and sell parts. The BrokerForum.com is an example of:

If Weyman Paper Company agrees to always buy its shrinkwrap from a plastics manufacturer that has agreed to buy all of its paper products from Weyman, it would be an example of a:

The acceleration principle describes the techniques used by some companies to shorten the negotiation periods for business products.

Because demand in the business market for fabricating parts and materials is _____, a small increase in the price of wood screws will have relatively little effect on the price of reclining furniture that use the wood screws.

The purchase of a replacement refrigeration unit for storing fresh cut flowers at a florist's shop is probably an example of a modified rebuy purchase.

Many companies make no effort to sell to the government because they are intimidated by the red tape.

The Field of Marketing

The Dynamic Marketing Environment

Global Markets and Marketing

Consumer Markets and Buying Behavior

Marketing Research and Market Information

Product Planning and Development

Product-Mix Strategies

Brands, Packaging, and Other Product Features

Services Marketing

Price Determination

Pricing Strategies

Channels of Distribution

Retailing

Wholesaling and Physical Distribution

Integrated Marketing Communications

Personal Selling and Sales Management

Advertising, Sales Promotion, and Public Relations

Strategic Marketing Planning

Marketing Implementation and Evaluation

Marketing and the Information Economy

Market Segmentation Targeting and Positioning

Filters

Exam 5: Business Markets and Buying Behavior

_____ is the process of moving a seller toward long-term, cost-effective, mutually beneficial trust with selected customers.

The North American Industry Classification System:

What do Kestern Wholesale Company, Costco warehouse store, Kohl's, and Dillard's department store have in common?

Resellers create all of the following types of utility EXCEPT:

Value added refers to the profit a manufacturer earns on a product once it has subtracted the costs of the inputs it used to make the product.

Elasticity of demand for a business product is likely to increase:

According to the text, the level at which customer relationship management is conducted depends on:

The demand for plastic grommets used to make belts is inelastic because if the price of the grommets were to suddenly increase, it would have no effect on the price of the belts.

State Farm Insurance sells security. Disneyland provides entertainment. Brake-O repairs brakes and sells safety. All three of these organizations are part of the _____ market.

Why are business buyers better informed about what they are buying than ultimate consumers?

Ashley has been a dental office manager for 20 years. When she places an order for dental adhesive, tooth desensitizing gel, cotton sponges, and dental exam gloves, she is most likely making a _____ purchase.

If a business product is usable by virtually all firms in only one or two industries, it has a(n) _____ business market.

The BrokerForum.com is a Web site, which allows brokers and distributors of electronic components parts to buy and sell parts. The BrokerForum.com is an example of:

If Weyman Paper Company agrees to always buy its shrinkwrap from a plastics manufacturer that has agreed to buy all of its paper products from Weyman, it would be an example of a:

The acceleration principle describes the techniques used by some companies to shorten the negotiation periods for business products.

Because demand in the business market for fabricating parts and materials is _____, a small increase in the price of wood screws will have relatively little effect on the price of reclining furniture that use the wood screws.

The purchase of a replacement refrigeration unit for storing fresh cut flowers at a florist's shop is probably an example of a modified rebuy purchase.

Many companies make no effort to sell to the government because they are intimidated by the red tape.

The Field of Marketing

The Dynamic Marketing Environment

Global Markets and Marketing

Consumer Markets and Buying Behavior

Marketing Research and Market Information

Product Planning and Development

Product-Mix Strategies

Brands, Packaging, and Other Product Features

Services Marketing

Price Determination

Pricing Strategies

Channels of Distribution

Retailing

Wholesaling and Physical Distribution

Integrated Marketing Communications

Personal Selling and Sales Management

Advertising, Sales Promotion, and Public Relations

Strategic Marketing Planning

Marketing Implementation and Evaluation

Marketing and the Information Economy

Market Segmentation Targeting and Positioning

Filters