Exam 6: Sales Force Organization

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An example of a functional specialist type sales organization is to have new customer and retention specialists.

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One benefit of a customer oriented sales force organization is that:

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Given enough analysis, it is usually easy to find a firm's optimal organization structure.

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A 3M engineer responsible for working with the design engineers in an customer account is an example of an end-user specialists

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If a company's objective is to minimize total sales force costs, then some form of sales force specialization is the best sales force structure option.

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Organizing along product lines is the most common form of sales force organization today.

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With permission marketing, the customer initiates the selling process.

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A company is thinking of switching from independent sales agents to hiring its own sales force. If 10 salespeople were hired, they would be paid a 3% commission on sales plus a salary of $20,000 each. Independent sales agents are currently paid a commission of 5% on sales. At what sales volume is the company economically indifferent about which sales organization to use in a selling situation?

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The primary objective of forming a functional team sales organization is to develop a closer customer relationship when servicing existing customers.

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Working with a telemarketing sales force is generally welcomed by the outside sales force.

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Relatively smaller territories and reduced travel time and expenses are advantages related to which organizational approach?

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To be successful, specialized sales force structures often require exceptional training capabilities.

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When Hyatt Hotels had a separate sales force dedicated to each of its hotel properties, its sales force was organized according to:

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A simple geographic organization of a sales force generally works best when the product line is fairly broad and complex.

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Which of the following are commonly used types of sales specialization?

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The most serious problem with geographic organization is:

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It is not uncommon for firms to turn to independent sales agents to develop new markets.

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The most common form of sales force organization today is according to geographic territories without farther specialization.

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Many companies service their small accounts by using telemarketing.

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Multiple salespeople calling on the same customer is one of the drawbacks to customer specialization type of sales force organization.

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