Marketing Test Bank PDF

1.​True or False? It has been found that too few companies leverage the advantage of salespeople as listening posts in terms of competitive intelligence. ANSWER: True 2.​True or False? In one study conducted by a hospital, it was reported that banning medical device representatives from the...

1.​True or False? It has been found that too few companies leverage the advantage of salespeople as listening posts in terms of competitive intelligence. ANSWER: True 2.​True or False? In one study conducted by a hospital, it was reported that banning medical device representatives from the operating room led to an increase in hip replacement costs because the surgeons were no longer aware of lower-cost devices to use as implants. ANSWER: False 3.​True or False? In an organizational setting, a gatekeeper is often involved in the preapproach stage. ANSWER: True 4.​True or False? Citing testimonials is often helpful for a salesperson when trying to address a customer’s logical objections in the sales presentation step. ANSWER: False 5.​True or False? From the buyer’s perspective, a key aspect of an effective sales presentation is the adaptability of the salesperson. ANSWER: True 6.​True or False? Positive conversion is turning a customer’s objection in the sales process into the exact reason for the purchase of the product or service. ANSWER: True 7.​True or False? In the sales process, the trial close is asking the customer to buy but not asking for immediate payment. ANSWER: False 8.​True or False? A canned sales presentation style is based on a Pavlovian approach to sales. ANSWER: True 9.​True or False? The canned sales presentation assumes that each prospect will react in the same way, which is its major limitation. ANSWER: True 10.​ True or False? In the selling formula approach, the salesperson follows a defined script that leads to buyer action after generating interest and desire. ANSWER: False 11.​ True or False? In the second stage of the needs satisfaction approach, the salesperson ensures that the buyer recognizes that the product meets the customer’s needs, which will lead to closure of the sale. ANSWER: False 12.​ True or False? The most customer-oriented of all sales approaches is the needs satisfaction approach. ANSWER: True 13.​ True or False? The three stages of the selling formula approach are need development, need awareness, and need fulfillment. ANSWER: False 14.​ True or False? Helping customers arrive at better solutions than they would have discovered on their own is a part of the consultative selling approach. ANSWER: True 15.​ True or False? Trust is at the core of the need satisfaction method. ANSWER: False 16.​ True or False? The simplest way to organize a sales force is by product line. ANSWER: False 17.​ True or False? The more homogeneous the customer base, the more a company might have a geographic organization in terms of its sales force structure. ANSWER: True 18.​ True or False? The geographic approach to sales force organization requires salespeople to have the broadest knowledge of the company’s product line. ANSWER: True 19.​ True or False? With a sales force based on product organization, specialization in structure can lead to a customer getting multiple calls by the same seller organization. ANSWER: True 20.​ True or False? The most appropriate way for healthcare organizations to organize a sales force is the product structure. ANSWER: False 21.​ True or False? As the cost of health care has increased, the influence of employed physicians has increased within healthcare systems in the decision to purchase devices and supplies. ANSWER: False 22.​ True or False? A focus on a solutions strategy is most possible with a sales force structure based on customer organization. ANSWER: True 23.​ True or False? The workload method determines sales force size by assessing the number of accounts to be called on based on their size and their profit value to the organization. ANSWER: False 24.​ True or False? The workload method does not recognize that the cost of servicing accounts may vary, which is a limitation of this method in determining sales force size. ANSWER: True 25.​ True or False? The first step in developing an effective sales force is recruiting to solicit a large number of potential job applicants from which to select. ANSWER: False 26.​ True or False? Ninety percent of firms are now using social media sites such as Facebook and LinkedIn for recruitment of job applicants. ANSWER: True 27.​ True or False? Almost 90% of all employers eliminate candidates for a job based on prior screening of the applicants on the Internet. ANSWER: False 28.​ True or False? The in-depth personal interview is the first step in eliminating individuals who are not qualified for the sales position that the company is seeking to fill. ANSWER: False 29.​ True or False? The structured interview allows candidates to be compared using the same dimensions, which makes it the best interview tool for recruiting candidates. ANSWER: False 30.​ True or False? Structured interviews are the best approach to use with job applicants. ANSWER: True 31.​ True or False? Putting potential candidates in role-playing interviews is part of the stress  interview. ANSWER: True 32.​ True or False? The best way to assess personality and social skills is with the structured interview. ANSWER: False 33.​ True or False? It has been found that it takes several unstructured interviews to equal the reliability of one structured interview. ANSWER: True 34.​ True or False? When it is difficult to determine the effect of a salesperson’s efforts on sales rather than pay any incentive through commission, it is better to use a bonus with salary as part of the compensation package. ANSWER: False 35.​ True or False? Nonsales activities tend to be less attended to by salespeople when the compensation is primarily based on commission. ANSWER: True 36.​ True or False? Pretesting a compensation plan should always be done prior to implementing any commission-based plan. ANSWER: False 37.​ True or False? Nonfinancial incentives are often used to relate to a salesperson’s higher-order needs such as self-esteem. ANSWER: True 38.​ True or False? Effective evaluation measures of a sales force should include both input and output measures. ANSWER: True 1.​Which of the following roles do salespeople not perform? A)​Production B)​Marketing C)​Facilitating D)​Partnering ANSWER: C 2.​Hybrid selling involves: A)​using face-to-face and digital customer approaches. B)​delivering a product online as well as through direct retail or wholesale support. C)​using an omnichannel approach. D)​using hybrid technology to facilitate ordering by the customer. ANSWER: A 3.​When the salesperson leads the buyer through a canned presentation, there is the expectation of a response (a purchase). This method is: A)​the selling formula. B)​need satisfaction. C)​the consultative formula. D)​the stimulus–response approach. ANSWER: D 4.​The advantage of the stimulus–response approach to selling is that: A)​it always leads to a close. B)​it ensures that the salesperson will follow the intended message. C)​the customer usually decides to purchase. D)​the message is delivered to result in a sale. ANSWER: B 5.​The major limitation to the stimulus–response sales presentation approach is that: A)​it does not encourage prospect involvement in the sales presentation. B)​it is highly interactive, resulting in long sales calls. C)​it is very expensive to create an effective presentation. D)​salespeople are often not satisfied with the close. ANSWER: A 6.​The approach that assumes that the buyer goes through a series of steps internally before they purchase is the logic behind which method? A)​Stimulus–response B)​Need satisfaction C)​Consultative D)​Selling formula ANSWER: D 7.​Which of the following is the most marketing-oriented sales presentation approach? A)​Technical selling B)​Need satisfaction C)​Stimulus–response D)​Selling formula ANSWER: B 8.​In the need awareness stage of the need satisfaction method of selling, the key objective of the sales representative is to ensure that the: A)​sales representative is aware of all of the customer’s problems. B)​customer recognizes all the same needs as the salesperson. C)​salesperson recognizes all the same needs as the customer. D)​buyer is aware this is the only solution. ANSWER: B 9.​At the need fulfillment stage of the need satisfaction selling method, the salesperson: A)​highlights the buyer’s needs and how the product meets those needs. B)​highlights what the product does. C)​highlights all the needs that exist in the market that the company’s offerings can meet. D)​discusses how the company’s product breadth can fulfill all of the buyer’s needs. ANSWER: A 10.​ Which of the following is not one of the three primary ways a consultative sales approach delivers value to the customer? A)​Helps customers understand their problems, issues, and opportunities in a new or different way B)​Assists in structuring a new paradigm by which the business process can be reformulated or reconfigured C)​Helps customers arrive at new or better solutions to their problems than they would have discovered on their own D)​Acts as the customer’s advocate inside the supplier organization, ensuring the timely allocation of resources to deliver customized or unique solutions that meet the customer’s special needs ANSWER: B 11.​ Having a relationship perspective and trust is a central part of which sales approach? A)​Selling formula B)​Stimulus–response C)​Needs satisfaction D)​Consultative selling ANSWER: D 12.​ The simplest way to organize a sale force is by: A)​product. B)​customer. C)​geography. D)​market. ANSWER: C 13.​ When the customer base is homogeneous, the sales force structure can be: A)​product based. B)​geographic. C)​customer structured. D)​revenue structured. ANSWER: B 14.​ The major advantages of geographic organization to the sales force structure is: A)​cost and customer knowledge. B)​customer knowledge and travel time. C)​travel time and customer expertise. D)​travel time and cost. ANSWER: D 15.​ The problem of needing to have broad knowledge of the customers is particularly problematic in which form of sales force structure? A)​Geographic B)​Customer C)​Market D)​Product ANSWER: A 16.​ Customers often receive multiple sales calls from the same organization when the sellers use which sales structure? A)​Geographic B)​Product C)​Customer D)​Market ANSWER: B 17.​ Having a broad understanding of the product and service mix is the major limitation of which sales forces structure? A)​Geographic B)​Product C)​Market D)​Customer ANSWER: D 18.​ In order to use the workload method, it is necessary to estimate: A)​how efficient an average salesperson is. B)​the work effort required to service an account. C)​the average travel time between accounts. D)​the total number of accounts per salesperson and the average distance traveled. ANSWER: B 19.​ The major limitation to the workload method is that it does not: A)​account for the varying effectiveness of the individual salesperson. B)​recognize differences in response by accounts if given varying levels of sales effort. C)​account for the variations in sales territories. D)​None of these is correct. ANSWER: B 20.​ Prior to recruiting any individual for a sales job, it is essential that the organization: A)​analyzes who are the most effective salespeople and determine their characteristics. B)​identifies the characteristics of those who have not been successful. C)​conducts an analysis of the sales job. D)​performs a multifactorial trait analysis of high and low performers. ANSWER: C 21.​ Which of the following factors is an indicator of an unsuccessful salesperson? A)​Instability of residence B)​Failure in business within the last 2 years C)​Unexplained gaps in the person’s employment record D)​All of these are correct. ANSWER: D 22.​ Which of the following questions is not illegal under the Equal Opportunity Guidelines to ask on a personal history form in the hiring process of an individual? A)​Age B)​Religion C)​Gender D)​All of these are illegal questions. ANSWER: D 23.​ The goal of the stress interview is to: A)​place the interviewee under as much tension as possible. B)​observe how the candidate will react in on-the-job conditions. C)​create stress to observe the candidate’s breaking point. D)​All of these are correct. ANSWER: B 24.​ Unstructured interviews are useful to assess an applicant’s: A)​personality. B)​quantitative skills. C)​judgment. D)​crisis management skills. ANSWER: A 25.​ Interviewing of job candidates can be improved by using: A)​role-playing. B)​unstructured interviews. C)​structured interviews. D)​stress interviews. ANSWER: C 26.​ In a sales position in which the majority of the responsibility is relationship maintenance, the appropriate compensation structure would be: A)​straight salary. B)​commission. C)​combination. D)​None of these is correct. ANSWER: A 27.​ When sales volume is declining, the compensation plan that is particularly disadvantageous to an organization is: A)​straight salary. B)​commission. C)​base plus bonus. D)​variable. ANSWER: A 28.​ Missionary sales tasks tend to be focused on the least by salespeople under which type of compensation plan? A)​Straight salary B)​Commission C)​Combination D)​Variable ANSWER: B 29.​ Pretesting is particularly critical under which form of compensation plan? A)​Straight salary B)​Commission C)​Combination D)​Mixed ANSWER: C 30.​ In order for supplemental incentives to succeed as part of a compensation plan, it is important that: A)​the reward be important to the salespeople. B)​vacations to interesting destinations always be part of the incentives. C)​the time period be realistic. D)​salespeople believe they have an opportunity to win. ANSWER: D