Question 1

Derived demand refers to

Accepted Answer

A) a graph relating the quantity sold and price, which shows the maximum number of units that will be sold at a given price. 
B) the demand for industrial products and services that is driven by the demand for consumer products and services. 
C) the relationship between total revenue and total cost to determine profitability at various levels of output. 
D) the point on a demand curve where supply and demand intersect. 
E) the percentage change in quantity demanded relative to a percentage change in price. 
A) a graph relating the quantity sold and price, which shows the maximum number of units that will be sold at a given price. 
B) the demand for industrial products and services that is driven by the demand for consumer products and services. 
C) the relationship between total revenue and total cost to determine profitability at various levels of output. 
D) the point on a demand curve where supply and demand intersect. 
E) the percentage change in quantity demanded relative to a percentage change in price.

Question 2

In a buying center, __________ have formal authority and responsibility to select the supplier and negotiate the terms of a contract.

Accepted Answer

A) buyers 
B) gatekeepers 
C) adopters 
D) influencers 
E) users 
A) buyers 
B) gatekeepers 
C) adopters 
D) influencers 
E) users

Question 3

Spruceland Millworks in Canada makes wood pallets for transporting and storing new appliances such as stoves, freezers, and refrigerators. The demand for Spruceland pallets would be classified as

Accepted Answer

A) reactive demand, which is tied to the sales of appliances, not the sale of the pallets. 
B) unitary demand, which is tied to the sales of appliances. 
C) derived demand, which is tied to the sales of appliances. 
D) inelastic demand, which is tied to the cost of the components of the pallets. 
E) elastic demand, which is tied to the cost of the components of the pallets. 
A) reactive demand, which is tied to the sales of appliances, not the sale of the pallets. 
B) unitary demand, which is tied to the sales of appliances. 
C) derived demand, which is tied to the sales of appliances. 
D) inelastic demand, which is tied to the cost of the components of the pallets. 
E) elastic demand, which is tied to the cost of the components of the pallets.

Question 4

List seven organizational buying criteria.

Accepted Answer

Key organizational buying criteria: (1)

Question 5

Federal, state, and local agencies that buy products and services for the constituents they serve are referred to as

Accepted Answer

A) industrial markets. 
B) reseller markets. 
C) consumer markets. 
D) government units. 
E) global markets. 
A) industrial markets. 
B) reseller markets. 
C) consumer markets. 
D) government units. 
E) global markets.

Question 6

When the Federal Aviation Administration (FAA) purchases radar systems for 22 major air traffic control centers in the United States, it is operating as

Accepted Answer

A) a government unit. 
B) an industrial market. 
C) a business market. 
D) a consumer market. 
E) a service provider. 
A) a government unit. 
B) an industrial market. 
C) a business market. 
D) a consumer market. 
E) a service provider.

Question 7

Within the buying center, deciders are people who

Accepted Answer

A) have the formal authority and responsibility to select the supplier and negotiate the terms of the contract. 
B) control the flow of information in the buying center. 
C) have the formal or informal power to select or approve the supplier that receives the contract. 
D) affect the buying decision usually by helping define the specifications for what is bought. 
E) actually use and evaluate the product or service. 
A) have the formal authority and responsibility to select the supplier and negotiate the terms of the contract. 
B) control the flow of information in the buying center. 
C) have the formal or informal power to select or approve the supplier that receives the contract. 
D) affect the buying decision usually by helping define the specifications for what is bought. 
E) actually use and evaluate the product or service.

Question 8

At which stage of the organizational buying decision process would a firm use key organizational buying criteria such as price, quality, delivery time, and technical capability to select a supplier?

Accepted Answer

A) problem recognition 
B) information search 
C) purchase decision 
D) purchase review 
E) alternative evaluation 
A) problem recognition 
B) information search 
C) purchase decision 
D) purchase review 
E) alternative evaluation

Question 9

Which of the following possible characteristics of consumer buying is least likely to enter into an organizational buying decision?

Accepted Answer

A) comparison of product performance with expectations 
B) purchase decisions based on the highest overall evaluation 
C) alternatives evaluated on important criteria 
D) information gathered from internal and external searches 
E) problem recognition triggered by self-actualization motives 
A) comparison of product performance with expectations 
B) purchase decisions based on the highest overall evaluation 
C) alternatives evaluated on important criteria 
D) information gathered from internal and external searches 
E) problem recognition triggered by self-actualization motives

Question 10

There are seven commonly used organizational buying criteria. One of them is

Accepted Answer

A) flexibility. 
B) ability to meet the quality specifications required for the item. 
C) adherence to government regulation. 
D) senior management directives. 
E) consumer demand. 
A) flexibility. 
B) ability to meet the quality specifications required for the item. 
C) adherence to government regulation. 
D) senior management directives. 
E) consumer demand.

Question 11

Organizational buying behavior is similar to consumer behavior in some ways and different in others. One key difference is that in the organizational buying process,

Accepted Answer

A) only four stages are used. 
B) fewer individuals are involved. 
C) firms are not affected by derived demand. 
D) the post-purchase evaluation behavior is more formalized. 
E) there is less reliance on gatekeepers to control product information. 
A) only four stages are used. 
B) fewer individuals are involved. 
C) firms are not affected by derived demand. 
D) the post-purchase evaluation behavior is more formalized. 
E) there is less reliance on gatekeepers to control product information.

Question 12

Differentiate between traditional and reverse auctions.

Accepted Answer

In a traditional auction, there is one s

Question 13

The North American Industry Classification System (NAICS) designates industries with a numerical code in a defined structure. A six-digit coding system is used. The fourth digit designates

Accepted Answer

A) an industry subsector. 
B) an industry group. 
C) a specific industry. 
D) an individual country-level national industry. 
E) a sector of the economy. 
A) an industry subsector. 
B) an industry group. 
C) a specific industry. 
D) an individual country-level national industry. 
E) a sector of the economy.

Question 14

The predominant person-to-person trading community in the world is

Accepted Answer

A) Facebook. 
B) Amazon. 
C) NASDAQ. 
D) Craigslist. 
E) eBay. 
A) Facebook. 
B) Amazon. 
C) NASDAQ. 
D) Craigslist. 
E) eBay.

Question 15

The system that provides common industry definitions for Canada, Mexico, and the United States, which makes it easier to measure economic activity in the three member countries of the North American Free Trade Agreement (NAFTA), is referred to as the

Accepted Answer

A) Standard Industrial Code System (SICS). 
B) United Nations Central Product Classification System (UNCPCS). 
C) National Codes of Industry System (NCIS). 
D) North American Industry Classification System (NAICS). 
E) Federal System of International Organizations (FSIO). 
A) Standard Industrial Code System (SICS). 
B) United Nations Central Product Classification System (UNCPCS). 
C) National Codes of Industry System (NCIS). 
D) North American Industry Classification System (NAICS). 
E) Federal System of International Organizations (FSIO).

Question 16

For routine orders, the decider is usually

Accepted Answer

A) the buyer or purchasing manager. 
B) the CEO. 
C) the COO. 
D) the head of R&D. 
E) the customer. 
A) the buyer or purchasing manager. 
B) the CEO. 
C) the COO. 
D) the head of R&D. 
E) the customer.

Question 17

Lara assumed the __________ role in the buying center when she shook the salesperson's hand and said, "Ms. Hron, we would like to accept your bid. I'll expect 48 boxes of ring shank nails to be delivered by November 8, and we will pay the agreed-upon price of $21.74 per box."

Accepted Answer

A) gatekeeper 
B) broker 
C) buyer 
D) influencer 
E) user 
A) gatekeeper 
B) broker 
C) buyer 
D) influencer 
E) user

Question 18

The North American Industry Classification System (NAICS) designates industries with a numerical code in a defined structure. A six-digit coding system is used. The sixth digit designates

Accepted Answer

A) an industry subsector. 
B) an industry group. 
C) a specific industry. 
D) an individual country-level national industry. 
E) a sector of the economy. 
A) an industry subsector. 
B) an industry group. 
C) a specific industry. 
D) an individual country-level national industry. 
E) a sector of the economy.

Question 19

A buy class situation affects buying center tendencies in different ways. If there are two or three people involved, the problem definition has only minor modifications, and the buying objective is the low-priced supplier, the buy class situation is most likely a

Accepted Answer

A) new buy. 
B) modified rebuy. 
C) conditional rebuy. 
D) straight rebuy. 
E) standard reorder. 
A) new buy. 
B) modified rebuy. 
C) conditional rebuy. 
D) straight rebuy. 
E) standard reorder.

Question 20

Within the buying center, influencers are people who

Accepted Answer

A) have the formal authority and responsibility to select the supplier and negotiate the terms of the contract. 
B) control the flow of information in the buying center. 
C) affect the buying decision usually by helping define the specifications for what is bought. 
D) have the formal or informal power to select or approve the supplier that receives the contract. 
E) actually use and evaluate the product or service. 
A) have the formal authority and responsibility to select the supplier and negotiate the terms of the contract. 
B) control the flow of information in the buying center. 
C) affect the buying decision usually by helping define the specifications for what is bought. 
D) have the formal or informal power to select or approve the supplier that receives the contract. 
E) actually use and evaluate the product or service.

Exam 6: Understanding Organizations As Customers

Derived demand refers to

In a buying center, __________ have formal authority and responsibility to select the supplier and negotiate the terms of a contract.

Spruceland Millworks in Canada makes wood pallets for transporting and storing new appliances such as stoves, freezers, and refrigerators. The demand for Spruceland pallets would be classified as

List seven organizational buying criteria.

Federal, state, and local agencies that buy products and services for the constituents they serve are referred to as

When the Federal Aviation Administration (FAA) purchases radar systems for 22 major air traffic control centers in the United States, it is operating as

Within the buying center, deciders are people who

At which stage of the organizational buying decision process would a firm use key organizational buying criteria such as price, quality, delivery time, and technical capability to select a supplier?

Which of the following possible characteristics of consumer buying is least likely to enter into an organizational buying decision?

There are seven commonly used organizational buying criteria. One of them is

Organizational buying behavior is similar to consumer behavior in some ways and different in others. One key difference is that in the organizational buying process,

Differentiate between traditional and reverse auctions.

The North American Industry Classification System (NAICS) designates industries with a numerical code in a defined structure. A six-digit coding system is used. The fourth digit designates

The predominant person-to-person trading community in the world is

The system that provides common industry definitions for Canada, Mexico, and the United States, which makes it easier to measure economic activity in the three member countries of the North American Free Trade Agreement (NAFTA), is referred to as the

For routine orders, the decider is usually

Lara assumed the __________ role in the buying center when she shook the salesperson's hand and said, "Ms. Hron, we would like to accept your bid. I'll expect 48 boxes of ring shank nails to be delivered by November 8, and we will pay the agreed-upon price of $21.74 per box."

The North American Industry Classification System (NAICS) designates industries with a numerical code in a defined structure. A six-digit coding system is used. The sixth digit designates

A buy class situation affects buying center tendencies in different ways. If there are two or three people involved, the problem definition has only minor modifications, and the buying objective is the low-priced supplier, the buy class situation is most likely a

Within the buying center, influencers are people who

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Scanning the Marketing Environment

Ethical and Social Responsibility for Sustainable Marketing

Understanding Consumer Behavior

Understanding and Reaching Global Consumers and Markets

Marketing Research: From Customer Insights to Actions

Market Segmentation Targeting and Positioning

Developing New Products and Services

Managing Successful Products Services and Brands

Services Marketing

Building the Price Foundation

Arriving at the Final Price

Managing Marketing Channels and Supply Chains

Retailing and Wholesaling

Integrated Marketing Communications and Direct Marketing

Advertising Sales Promotion and Public Relations

Using Social Media and Mobile Marketing to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Pulling It All Together: the Strategic Marketing Process

Financial Aspects of Marketing

Building an Effective Marketing Plan

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