978-0133866339 Chapter 03 Part 4

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127) In terms of personality, an introvert is likely to display each of the following characteristics

within the buying center except:

A) spend less time talking within the buying center.

B) become more involved in the buying process.

C) will not ask important questions because of timidity.

D) will listen carefully to others in the group.

Question Tag: Critical Thinking

AACSB Category: Reflective thinking

Objective: 3-4

128) Roles and perceived roles, motivational levels, and attitudes toward risk are examples of

which factor that affect members of business buying centers?

A) Organizational

B) Individual

C) Cultural

D) Economic

Question Tag: Definition (Concept)

AACSB Category: Written and oral communication

Objective: 3-4

129) A person’s level of power in the buying process depends on each of the following except:

A) his or her role in the buying center.

B) his or her official position in the company.

C) the impact of the purchase decision on a his or her job.

D) the level of cognitive involvement.

Question Tag: Critical Thinking

AACSB Category: Diverse and multicultural work environments

Objective: 3-4

130) Buying center members with higher levels of cognitive involvement will:

A) use the purchasing process to further personal power goals.

B) ask more questions during the purchasing process.

C) have no opinion about purchase risk.

D) be most inclined to base a purchase decision on nepotism.

Question Tag: Definition (Concept)

AACSB Category: Diverse and multicultural work environments

Objective: 3-4

131) Individuals with high levels of cognitive involvement will display all of the following

characteristics except:

A) want more information prior to making a decision.

B) ask more questions during the purchase process.

C) spend less time deliberating prior to making a decision.

D) want clear message arguments.

Question Tag: Critical Thinking

AACSB Category: Diverse and multicultural work environments

Objective: 3-4

132) The business buying center consists of the individuals in the purchasing office of a firm

who make purchases on behalf of a company.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-4

133) The gatekeeper is the individual in the business buying center who makes the eventual

purchasing decision.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-4

134) In the business buying center, buyers are given formal responsibility for making the

purchase while deciders are the individuals who authorize those decisions.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-4

135) Individuals within the buying center who shape the purchasing decision by providing

information or criteria that should be used in evaluating alternatives are called deciders.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-4

136) Individuals perform only one role in the buying center, but there can be more than one

individual involved in any particular role.

Question Tag: Definition (Concept)

AACSB Category: Reflective thinking

Objective: 3-4

137) The behaviors of each member of the buying center are influenced by both organizational

and individual factors.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-4

138) Organizational factors that impact individuals in the buying center include the company’s

goals, its operating environment, and personalities of the buying center members.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-4

139) Heuristics that are used in purchase decision making are created by company goals,

budgets, and other organizational factors.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-4

140) A decision rule often employed by organizations is satisficing, which means that when the

buying center has identified the best possible solution, it is chosen and the search is complete.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-4

141) Most buying center members are able to avoid personality factors from affecting decisions

by using decision rules called heuristics.

Question Tag: Critical Thinking

AACSB Category: Diverse and multicultural work environments

Objective: 3-4

142) Individuals who are extroverted tend to become less involved in the business-to-business

buying process than introverts.

Question Tag: Definition (Concept)

AACSB Category: Diverse and multicultural work environments

Objective: 3-4

143) Roles within the buying center are socially constructed, which means people define how

they will act in the business-to-business purchase process and how they will interact with others.

Question Tag: Critical Thinking

AACSB Category: Diverse and multicultural work environments

Objective: 3-4

144) If an individual is directly affected by a purchase decision, then he/she will strive to gain

more power in the business-to-business buying process.

Question Tag: Definition (Concept)

AACSB Category: Diverse and multicultural work environments

Objective: 3-4

145) Risk avoidance leads buyers to switch to the vendor offering the lowest prices.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-4

146) Name and describe the members of a business buying center.

Question Tag: Definition (Concept)

Objective: 3-4

147) What individual factors affect members of the buying center?

Question Tag: Definition (Concept)

Objective: 3-4

148) An example of a straight rebuy would be:

A) re-ordering raw materials from the same vendor.

B) buying materials from a new vendor.

C) seeking bids from a new vendor because of dissatisfaction with the current supplier.

D) purchasing a new building for an expansion project.

Question Tag: Definition (Concept)

AACSB Category: Reflective thinking

Objective: 3-5

149) The purchase decision that requires the least effort and is often made quickly is a(n):

A) straight rebuy.

B) modified rebuy.

C) new task.

D) accelerated buy.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

150) A straight rebuy purchase decision occurs:

A) when the firm has previously chosen a vendor and intends to place a reorder.

B) when a company is dissatisfied with their current vendor and wants to consider new options.

C) when a new company makes an offer that appears to be more attractive than what is currently

being supplied by the current vendor.

D) at the end of a contractual relationship and the company wants to evaluate competitive bids.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

151) No evaluation of vendor alternatives or information takes place in which buying situation?

A) Modified rebuy

B) Straight rebuy

C) New task

D) High-involvement

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

152) A modified rebuy purchase decision occurs in each of the following situations except:

A) when the firm has previously chosen a vendor and intends to place a reorder.

B) when a company is dissatisfied with their current vendor and wants to consider new options.

C) when a new company makes an offer that appears to be more attractive than what is currently

being supplied by their current vendor.

D) at the end of a contractual relationship and the company wants to evaluate competitive bids.

Question Tag: Definition (Concept)

AACSB Category: Reflective thinking

Objective: 3-5

153) A modified rebuy is most likely to occur when:

A) the company becomes dissatisfied with a vendor and wants to examine new options.

B) re-ordering raw materials from the same vendor.

C) buying a new computer system.

D) purchasing a new building for an expansion project.

Question Tag: Critical Thinking

AACSB Category: Reflective thinking

Objective: 3-5

154) A company that buys a product but only has limited or infrequent experience with that

product will be involved in a:

A) straight rebuy.

B) modified rebuy.

C) new task purchase.

D) joint demand purchase.

Question Tag: Critical Thinking

AACSB Category: Reflective thinking

Objective: 3-5

155) If a potential vendor offers what is perceived by a member of the buying center to be a

better buy, the company may want to revisit the purchase decision. This type of situation is

typically a:

A) straight rebuy.

B) modified rebuy.

C) new task purchase.

D) joint demand purchase.

Question Tag: Definition (Concept)

AACSB Category: Reflective thinking

Objective: 3-5

156) A company has reached the end of a contractual agreement with a vendor and wants to open

it up for bid again before signing a new contract. This type of purchase situation is a:

A) straight rebuy.

B) modified rebuy.

C) new task purchase.

D) joint demand purchase.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

157) A new task purchasing decision involves:

A) re-ordering from the same vendor.

B) ordering new materials from the same vendor.

C) requesting bids from multiple vendors since the contractual period with the current vendor has

expired.

D) buying an expensive good or service for the first time.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

158) Which takes the most time to complete and typically involves the highest number of people

in the buying process?

A) Straight rebuy

B) Modified rebuy

C) New task purchase

D) Identifying a need

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

159) Kimberly-Clark is going to place an additional order for plastic from its current vendor

because of a larger order from a customer for products Kimberly-Clark manufacturers. The

additional order for plastic would be a:

A) straight rebuy purchase.

B) modified rebuy purchase.

C) new task purchase.

D) strategic buy.

Question Tag: Critical Thinking

AACSB Category: Reflective thinking

Objective: 3-5

160) A modified rebuy is a reorder from the same vendor.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

161) The straight rebuy is normally a routine process involving only a few members of the

buying center and may even be carried out electronically with little human involvement.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

162) A modified rebuy may occur when someone in the buying center believes the current

vendor should be reevaluated.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

163) A new task purchase situation exists when a new, potential vendor offers a company what is

perceived to be a better buy than the company is getting now from its current vendor.

Question Tag: Critical Thinking

AACSB Category: Reflective thinking

Objective: 3-5

164) If bids are taken at the end of each year’s contractual agreement with a company’s vendors,

then each time the company engages in this activity, it is considered a straight rebuy purchase.

Question Tag: Definition (Concept)

AACSB Category: Reflective thinking

Objective: 3-5

165) A new task purchase is the easiest, because new specifications will be developed.

Question Tag: Definition (Concept)

AACSB Category: Application of knowledge

Objective: 3-5

166) Typically, a new task purchasing situation involves the most members of the buying center

and takes the greatest amount of time to complete.

Question Tag: Definition (Concept)

AACSB Category: Reflective thinking

Objective: 3-5

167) What are the three categories of business-to-business purchase decisions? Define each one.

Question Tag: Definition (Concept)

Objective: 3-5