Question 1

The closest relationships between customers and suppliers arise when ________.

Accepted Answer

A) supply is important to the customer 
B) procurement is simple 
C) there are many undifferentiated vendors in the marketplace 
D) the customer is highly price sensitive 
E) all of the above

Question 2

In the straight rebuy,"out-suppliers" try to get a small order and then enlarge their purchase share over time.

Accepted Answer

A) True 
 B)False

Question 3

In order to successfully develop customer reference stories,firms should ________.

Accepted Answer

A) state the customer's needs in compelling terms 
B) use very few direct customer quotes 
C) avoid referencing the barriers to satisfying customer needs 
D) describe the company's solution in terms of products and services 
E) focus on qualitative results

Question 4

Illustrate the differences between a straight rebuy,modified rebuy,and a new-task purchase.

Accepted Answer

The answer of Illustrate the differences between a straight rebuy,modified...

Question 5

Sometimes a rise of only 10% in consumer demand can cause as much as a 200% rise in business demand for products for the next period.This is an example of ________.

Accepted Answer

A) inelastic demand 
B) direct purchasing 
C) fluctuating demand 
D) derived demand 
E) a straight rebuy

Question 6

The first step (buyphase)in the straight rebuy buyclass is ________.

Accepted Answer

A) problem recognition 
B) general need description 
C) product specification 
D) supplier search 
E) proposal solicitation

Question 7

In the purchasing decision process,the ________ are those who have the power to prevent sellers or information from reaching members of the buying center.

Accepted Answer

A) gatekeepers 
B) buyers 
C) initiators 
D) approvers 
E) deciders

Question 8

Explain the concept of derived demand.

Accepted Answer

The answer of Explain the concept of derived demand....

Question 9

With respect to assessing customer value,in conjoint analysis customers are asked to rank their preference for alternative market offerings or concepts.

Accepted Answer

A) True 
 B)False

Question 10

Using the ________ form of solution selling,W.W.Grainger employees work at large customer facilities to reduce materials-management costs.

Accepted Answer

A) solutions to partnerships 
B) solutions to alter corporate culture 
C) solutions to enhance customer revenues 
D) solutions to decrease customer risks 
E) solutions to reduce customer costs

Question 11

Ultimately,the amount of steel sold to General Motors depends on the consumer's demand for GM cars and trucks.From the standpoint of the steel manufacturer,which of the following demand forms is most pertinent?

Accepted Answer

A) Derived demand 
B) Inelastic demand 
C) Geographic demand 
D) Relational demand 
E) Static demand

Question 12

Product value analysis (PVA)attempts to reduce costs by studying components to see if they can be redesigned,standardized,or produced more cheaply.

Accepted Answer

A) True 
 B)False

Question 13

The Tuxax Company has decided that handling price-oriented buyers can be profitable under certain conditions.Conditions that would make good sense for Tuxax Company would be all of the following EXCEPT ________.

Accepted Answer

A) limiting the quantity that can be purchased 
B) no services 
C) no adjustments 
D) no refunds 
E) no packaging or crating

Question 14

As a seller in the business market,you have promised your customers that you have corporate credibility as one of your corporate goals.What three factors will have some bearing on whether you will be able to meet your goal and promise?

Accepted Answer

The answer of As a seller in the business market,you...

Question 15

Business buyers often select suppliers who also buy from them.

Accepted Answer

A) True 
 B)False

Question 16

Companies are increasingly reducing the number of suppliers they utilize,and there is a trend toward single sourcing.

Accepted Answer

A) True 
 B)False

Question 17

Identifying good leads and converting them to sales requires the whole marketing and sales organization to work in a coordinated,multichannel approach in the role of ________ to prospective customers .

Accepted Answer

A) product specification 
B) price de-escalation 
C) systems selling 
D) trusted advisor 
E) strategic alliance

Question 18

In barter markets,participants offer to trade goods or services.

Accepted Answer

A) True 
 B)False

Question 19

Vertical coordination can facilitate stronger customer-seller ties but at the same time may increase the risk to the customer's and supplier's specific investments.What are specific investments and why are they risky?

Accepted Answer

The answer of Vertical coordination can facilitate stronger customer-seller ties...

Question 20

In the ________ category of buyer-supplier relationship,although bonded by a close,cooperative relationship,the seller adapts to meet the customer's needs without expecting much adaptation or change on the part of the customer in exchange.

Accepted Answer

A) contractual transaction 
B) cooperative system 
C) collaborative 
D) mutually adaptive 
E) customer is king

Exam 7: Analyzing Business Markets

The closest relationships between customers and suppliers arise when ________.

In the straight rebuy,"out-suppliers" try to get a small order and then enlarge their purchase share over time.

In order to successfully develop customer reference stories,firms should ________.

Illustrate the differences between a straight rebuy,modified rebuy,and a new-task purchase.

Sometimes a rise of only 10% in consumer demand can cause as much as a 200% rise in business demand for products for the next period.This is an example of ________.

The first step (buyphase) in the straight rebuy buyclass is ________.

In the purchasing decision process,the ________ are those who have the power to prevent sellers or information from reaching members of the buying center.

Explain the concept of derived demand.

With respect to assessing customer value,in conjoint analysis customers are asked to rank their preference for alternative market offerings or concepts.

Using the ________ form of solution selling,W.W.Grainger employees work at large customer facilities to reduce materials-management costs.

Ultimately,the amount of steel sold to General Motors depends on the consumer's demand for GM cars and trucks.From the standpoint of the steel manufacturer,which of the following demand forms is most pertinent?

Product value analysis (PVA)attempts to reduce costs by studying components to see if they can be redesigned,standardized,or produced more cheaply.

The Tuxax Company has decided that handling price-oriented buyers can be profitable under certain conditions.Conditions that would make good sense for Tuxax Company would be all of the following EXCEPT ________.

As a seller in the business market,you have promised your customers that you have corporate credibility as one of your corporate goals.What three factors will have some bearing on whether you will be able to meet your goal and promise?

Business buyers often select suppliers who also buy from them.

Companies are increasingly reducing the number of suppliers they utilize,and there is a trend toward single sourcing.

Identifying good leads and converting them to sales requires the whole marketing and sales organization to work in a coordinated,multichannel approach in the role of ________ to prospective customers .

In barter markets,participants offer to trade goods or services.

Vertical coordination can facilitate stronger customer-seller ties but at the same time may increase the risk to the customer's and supplier's specific investments.What are specific investments and why are they risky?

In the ________ category of buyer-supplier relationship,although bonded by a close,cooperative relationship,the seller adapts to meet the customer's needs without expecting much adaptation or change on the part of the customer in exchange.