Ch4 - Business To Business Marketing Verified Test Bank

Chapter 04 - Business to business marketing

Test Bank

Type: multiple choice question

Title: Chapter 04 Question 01

01) organizations such as churches and charities, community-based organizations such as housing associations, and government-related organizations such as hospitals, schools, museums, libraries, and universities are examples of:

a. Users

b. Original Equipment Manufacturers (OEMs)

c. Institutions

d. Distributors

Type: multiple choice question

Title: Chapter 04 Question 02

02) Which of the following is not a characteristic of business markets?

a. True he buying processes.

b. The high level of promotion.

c. The relationships.

d. The nature of demand.

Type: multiple choice question

Title: Chapter 04 Question 03

03) A unique purchase situation in the business market that requires considerable effort on the decision maker’s part is called:________

a. a selective rebuy.

b. a modified rebuy.

c. a straight rebuy.

d. a new-task buy.

Type: multiple choice question

Title: Chapter 04 Question 04

04) Which of the following is not a stage in the organizational buyer behaviour?

a. Need/problem recognition.

b. Supplier and product search.

c. Evaluation of proposals.

d. Consumer research.

Type: multiple choice question

Title: Chapter 04 Question 05

05) There are three aspects of demand in business markets: derivation, variance, and __________.

a. elasticity

b. competition

c. supply

d. relationships

Type: multiple choice question

Title: Chapter 04 Question 06

06) Organizations communicate with one another and do so through application of a __________. This provides a series of cues through which stakeholders develop impressions about an organisation.

a. corporate plan

b. corporate communication mix

c. corporate branding

d. corporate social responsibility

Type: multiple choice question

Title: Chapter 04 Question 07

07) Organizations reduce the number of their suppliers, sometimes to just one, and _________is used to negotiate with suppliers on a cooperative basis in order to help build long-term relationships.

a. strategic procurement

b. buy evaluation

c. price-minimizer strategy

d. evaluation of proposals

Type: multiple choice question

Title: Chapter 04 Question 08

08) The term ___________has become the established term to refer to those customers who are considered to be strategically important.

a. partner

b. key account

c. stakeholder

d. client

Type: multiple choice question

Title: Chapter 04 Question 09

09) When demand for a product is_____, an increase or decrease in the price of a product will not significantly affect demand for the product.

a. elastic

b. responsive

c. inelastic

d. derived

Type: multiple choice question

Title: Chapter 04 Question 10

10) Organizations that not only smooth the progress of products through the marketing channel but also add value to them by providing storage, services, or financial support are called:

a. users.

b. retailers.

c. distributors.

d. original equipment manufacturers.

Type: true-false

Title: Chapter 04 Question 11

11) Supply goods are otherwise known as maintenance, repair, and operating materials (MRO) items.

a. True

b. False

Type: true-false

Title: Chapter 04 Question 12

12) Commercial, government, and education institutions are identified as three broad types of B2B organizations.

a. True

b. False

Type: true-false

Title: Chapter 04 Question 13

13) Buying centre is another term for Decision Making Unit.

a. True

b. False

Type: true-false

Title: Chapter 04 Question 14

14) A Customer Portfolio Matrix is a 2x2 grid that is used to reflect the strength of the relationships between a buyer and seller and the profitability each account represents to the seller.

a. True

b. False

Type: true-false

Title: Chapter 04 Question 15

15) Deciders are people who make organizational purchasing decisions and are often very difficult to identify.

a. True

b. False

Type: true-false

Title: Chapter 04 Question 16

16) Users are people who have the potential to control the type and flow of information to the organization and to DMU members.

a. True

b. False

Type: true-false

Title: Chapter 04 Question 17

17) Supply goods have been subjected to different levels of processing (raw materials, semi-manufactured parts, and finished goods),

a. True

b. False

Type: true-false

Title: Chapter 04 Question 18

18) Equipment goods are necessary for manufacturing and operations to take place.

a. True

b. False

Type: true-false

Title: Chapter 04 Question 19

19) Fewer people are involved in the decision-making process for a modified rebuy than in the new task situation.

a. True

b. False

Type: true-false

Title: Chapter 04 Question 20

20) Users are organizations that purchase goods and services that are then consumed as part of their production and manufacturing processes.

a. True

b. False

Type: multiple choice question

Title: Chapter 04 Question 21

21) Which of the following is the not a key issue of organizational buying behaviour?

a. True he functions and processes.

• The functions and processes buyers move through when purchasing products for use in business markets.

• Strategy, where purchasing is designed to assist value creation, competitive advantage and influence supply chain activities.

• The network of relationships that organizations are part of when purchasing. The placement of orders and contracts between organizations can confirm a current trading relationship, initiate a new set of relationships, or may even signal the demise of a relationship.

b. The strategy.

• The functions and processes buyers move through when purchasing products for use in business markets.

• Strategy, where purchasing is designed to assist value creation, competitive advantage and influence supply chain activities.

• The network of relationships that organizations are part of when purchasing. The placement of orders and contracts between organizations can confirm a current trading relationship, initiate a new set of relationships, or may even signal the demise of a relationship.

c. The network of relationships.

• The functions and processes buyers move through when purchasing products for use in business markets.

• Strategy, where purchasing is designed to assist value creation, competitive advantage and influence supply chain activities.

• The network of relationships that organizations are part of when purchasing. The placement of orders and contracts between organizations can confirm a current trading relationship, initiate a new set of relationships, or may even signal the demise of a relationship.

d. The promotional methods.

• The functions and processes buyers move through when purchasing products for use in business markets.

• Strategy, where purchasing is designed to assist value creation, competitive advantage and influence supply chain activities.

• The network of relationships that organizations are part of when purchasing. The placement of orders and contracts between organizations can confirm a current trading relationship, initiate a new set of relationships, or may even signal the demise of a relationship.

Type: multiple choice question

Title: Chapter 04 Question 22

22) In B2B transactions demand is essentially _________. This means if suppliers raise their prices, most manufacturers will try to absorb the increases into their own cost structures to prevent letting their customers down in the short term, or because they are tied into fixed priced contracts.

a. elastic

b. mature

c. inelastic

d. stagnant

Type: multiple choice question

Title: Chapter 04 Question 23

23) There is little reason to invest in the ________________ customers in sector D. Relationships with these customers are weak and, because they are relatively unattractive in terms of profit potential, many of these customers should be let go—that is, released to competitors.

a. must-have customers.

b. need-to-have customers.

c. do-not-need customers.

d. good-to-have customers.

Type: multiple choice question

Title: Chapter 04 Question 24

24) In which stage of Key Account Management, suppliers identify and isolate those customer accounts that have key account potential?

a. basic

b. exploratory

c. integrated

d. cooperative

Type: multiple choice question

Title: Chapter 04 Question 25

25) What is the fundamental purpose of Key Account Management?

a. to create strategic alliances with key accounts through the development of long-term relationships .

b. to create intended use of the product among key accounts.

c. to create communications method to potential customers.

d. to create distribution channels among potential clients.

Type: multiple choice question

Title: Chapter 04 Question 26

09) Rail journey demand declines following a major train accident or a significant fare increase; it increases in response to fuel price rises and calls for consumers to be more environmentally aware. This is an example of which aspect of demand?

a. elastic

b. responsive

c. variable

d. derived

Type: true-false

Title: Chapter 04 Question 27

27) Organizations communicate with one another through application of a corporate communications mix. The mix provides a series of cues by means of which stakeholders develop impressions about an organization.

a. True

b. False

Type: true-false

Title: Chapter 04 Question 28

28) Symbolic is a form of corporate communications that emanate from the interactions, decisions, tone of voice, and overall empathy between employees and with others outside the organization.

a. False

b. True