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part.
Chapter 14 – Personal Selling and Sales Management
1. One role of personal selling is to get consumers to buy things they may not need but can be induced to
want.
2. An outside order taker, such as a retail clerk, simply takes payment for products or services.
3. An outside order taker typically calls on business buyers or members of the trade channel and
performs relatively routine tasks related to orders for inventory replenishment.
4. System selling entails selling a set of interrelated components that fulfill all or a majority of a
customer’s needs in a product or service area.
5. A detail salesperson performs relatively routine selling tasks such as working with retailers to place
reorders for basic product.
6. The effect of personal selling on sales is more identifiable then the effects of other elements of the
promotion mix.
7. A source of satisfaction to individual buyers is the source (company) superiority.
8. By controlling the communication a salesperson keeps the customer from asking questions that might
be difficult to address. Therefore, by eliminating the problem of overcoming objections, sales are
facilitated.
9. The first stage of the personal selling process is prospecting.
10. The final stage in the personal selling process is closing the sale.
11. It is at the initial contact that the salesperson should try to close the sale first. This is known as a trial
close.
12. A canned presentation has a sales person recite, nearly verbatim, a prepared sales pitch.
13. The need satisfaction presentation technique holds that three different buyer need states can be
identified—need development, need awareness, and need fulfillment.
14. Consultative selling is essentially the same as telemarketing.
15. If the salesperson has correctly followed the personal selling process then the sale will essentially
“close itself.”
16. Becky, a salesperson for Mega brands is holding a training session for her client’s customers so they
know how to operate the X-500 she has sold them. This is an example of the follow-up stage of the
personal selling process.
17. One area of responsibility for sales force management is determining the marketing and promotion
strategy.
18. The vice-president of Marketing for Mega brands is assessing the strengths and weakness of the sales
force and corporate support for the selling effort. He is engaged in the external situation analysis.
© 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in
part.
OBJ: 14-5
19. Promotional materials—samples, catalogs, product brochures are considered an advertising expense
and are not a part of the personal selling budget.
20. One way the sales force can be structured is by type of customer.
MULTIPLE CHOICE
1. Which of the following is NOT one of the roles of personal selling?
a.
market analysis
b.
communications
c.
sales coordination
d.
stimulating an immediate, measurable change in behavior (i.e., sales)
2. involves providing feedback to the firm on trends in overall demand and competitors
activities.
a.
Market analysis
b.
Sales forecasting
c.
Buyer behavior analysis
d.
Customer relationship management
3. Jane coordinated the delivery to her customer of the X-5000 Super Unit. She arranged financing and
also oversaw installation. Finally she trained the customer’s staff in the proper operation of the X-
5000. Jane is specifically engaged in
a.
sales coordination.
b.
market analysis.
c.
customer service.
d.
customer relationship management.
4. Which of the following is NOT one of the types of personal selling?
a.
order taker
b.
creative selling
c.
internal selling
d.
All of the above are types of personal selling.
part.
5. Jim visits his local department store and after finding the pants and shirt he wants has his sale rung up
by a pleasant selling association who asks him “Did you find everything you needed?” This is an
example of
a.
missionary salesperson.
b.
detail salesperson.
c.
inside order taker.
d.
system selling.
6. selling is the type of selling where customers rely heavily on the salesperson for technical
information, advice, and service.
a.
Creative
b.
Detail
c.
Order taking
d.
System
7. Jack from production, Jane from engineering, Scott from logistics, and Julie from marketing have
gotten together with a client to sell their new X-5000 communication/network solutions system. This
is an example of
a.
missionary selling.
b.
system selling.
c.
team selling.
d.
detail selling.
8. is designed to reach a group of customers, rather then an individual customer, with
information about the firm’s products or services.
a.
Seminar selling
b.
Missionary selling
c.
System selling
d.
Team selling
9. While selling involves many members of an organization meeting with the client
selling involves many clients meeting with the seller.
a.
missionary; outside
b.
team; seminar
c.
system; seminar
d.
inside order taking; outside order taking
10. Which of the following is NOT an objective of personal selling?
a.
create a profitable differential competitive advantage
b.
accord uniqueness to each potential buyer
c.
manage a set of buying-selling relationship for mutual benefit
d.
dominate the relationship
11. By listening carefully, a salesperson can
a.
accord uniqueness to each potential buyer.
b.
manage a set of buying-selling relationship for mutual benefit.
c.
control the communication.
d.
close the sale.
12. If a salesperson can in the encounter, the potential buyer will be able to learn
quickly and accurately what the firm has to offer.
a.
control the communication
b.
manage a set of buying-selling relationships
c.
manage buyer behavior analysis
d.
facilitate customer service
13. Which of the following is NOT an element of the personal selling process?
a.
prospecting
b.
preparation
c.
close the sale
d.
pre-preparation
14. The stages of the personal selling process, in order, are
a.
prospecting, preparation, initial contact, presentation, handing objections, closing the sale,
follow-up.
b.
preparation, prospecting, initial contact, presentation, handing objections, closing the sale,
follow-up.
c.
preparation, prospecting, initial contact, presentation, handing objections, closing the sale,
follow-up.
d.
prospecting, initial contact, preparation, presentation, handing objections, closing the sale,
follow-up.
15. involves gathering relevant information about current customers, potential customers,
product characteristics, and applications.
a.
Preparation
b.
Prospecting
c.
Initial contact
d.
Pre-presentation
part.
16. Overall, involves knowing the firm’s capabilities in all areas of the marketing
mix, competitors’ strengths and weaknesses, effects of the external environment, and customer choice
criteria.
a.
initial contact
b.
prospecting
c.
preparation
d.
closing the sale
17. A corporate buyer fills out a mail-in coupon, providing her name, address, and phone number. The
buyer has just helped the selling firm with which activities in the personal selling process?
a.
initial contact
b.
prospecting
c.
preparation
d.
closing the sale
18. Jane asks Jim if he is happy with his insurance agent. Jim answers that he is and offers to introduce
Jane to his agent. Jim has just helped his agent with which activity in the personal selling process?
a.
initial contact
b.
prospecting
c.
preparation
d.
closing the sale
19. Jack is presenting to a potential client. He has a polished, rehearsed sales pitch that covers all
important sales points. However, when the potential client asks a question focused on his specific
situation Jack essentially brushes off the buyer’s question and continues his presentation. Jack is using
a(n) presentation.
a.
attention-interest-desire-action (AIDA)
b.
need satisfaction
c.
canned
d.
consultative selling
20. AIDA stands for
a.
attention-interest-desire-action.
b.
attraction-interest-desire-accomplishment.
c.
attention-income-development-action.
d.
attrition-investment-detection-attraction.
21. A sophisticated and informed approach to the presentation that relies on the marketing concept
is the presentation.
a.
canned
b.
need satisfaction
c.
attention-interest-desire-action
d.
need hierarchy
22. There are two basic presentation formats available to salespeople for the presentation:
a.
canned; AIDA
b.
need development; need awareness
c.
consultative selling; telemarketing
d.
trial close; straightforward
23. Research shows that of the time do salespeople ask for the sale.
a.
only 40%
b.
over 65%
c.
almost 90%
d.
only 20%
24. Which of the following is NOT one of the changes in the broad business environment that have created
a significant new environment for personal selling.
a.
increased sophistication of marketing planning
b.
sales force automation (SFA)
c.
legal challenges to high pressure selling
d.
All of the above are changes that have created a new environment.
25. Overall, experts suggest that the value of the Internet to the personal selling process relates to building
customer loyalty, saving customers money, increasing the speed of the sales process, improving
customer relationships with more frequent communication, and
a.
lower the sales cost.
b.
increasing the rate of closing the sale.
c.
improving the tech savvy image of the company.
d.
lowering overall compensations costs by reducing commissions rates.
26. Which of the following is NOT an area of responsibility for sales management?
a.
situational analysis
b.
motivation and compensation
c.
sales force structure
d.
All of the above are areas of responsibility for sales management.
part.
27. A(n) identifies trends in the industry, technological advances in product categories,
economic conditions that may be affecting the firm’s customers, competitors’ activities and choice
criteria being emphasized by buyers.
a.
external situation analysis
b.
internal situation analysis
c.
performance evaluation
d.
sales force audit
28. Bill is the sales force manager for Mega brands. He is in the process of assessing the strengths and
weaknesses of the sales force and corporate support for the selling effort. Bill is conducting
a(n) .
a.
external situation analysis
b.
internal situation analysis
c.
job description
d.
performance evaluation
29. Factors charged to the personal selling budget includes all of the following EXCEPT:
a.
training costs
b.
promotional materials
c.
cost-of-goods sold
d.
salaries and benefits
30. Which of the following is NOT one of the major methods of budgeting for personal selling?
a.
percentage-of-sales
b.
competitive-parity
c.
objective-and-task method
d.
commission
31. Typically, a sales force is structured around product lines, geographic territory or
a.
type of customer.
b.
sales force competency.
c.
sales force qualifications.
d.
profitability of territories.
32. Mega brands has some salespeople that call on wholesalers, large retail chains, and small retailers.
Mega brand has structured the salesforce by
a.
geographic territory.
b.
product lines.
c.
type of customer .
d.
channel power.
part.
33. The decision on sales force structure is driven by two considerations: and
.
a.
qualitative; quantitative considerations
b.
the nature of the product; the nature of the market
c.
internal; external resources
d.
funds needed; funds available
34. A(n) will identify all the tasks to be performed by salespeople.
a.
qualification appraisal
b.
situational audit
c.
job description
d.
internal situation analysis
35. Which of the following is one of the factors that firms reported successful recruiting for salespeople
depends on?
a.
diverse workforce
b.
salary
c.
reasonable work hours and holidays/vacation time
d.
corporate culture
36. Which of the following is not one of the decisions that must be made about training?
a.
content of the program
b.
duration of training
c.
whether to train or churn (i.e., hire and fire)
d.
location of training
37. If there are significant nonselling tasks in a sales job then the most appropriate compensation
method is
a.
salary.
b.
commission.
c.
a combination of salary and commission.
d.
hourly.
38. Which of the following is NOT one of the nonmonetary techniques to increase motivation of the
salesforce?
a.
task clarity
b.
job/life satisfaction
c.
recognition of goal attainment
d.
perquisites/perks
39. Mike, the sales manager for Mega brands wants to increase the motivation of his sales force but has a
very tight budget and cannot increase compensation. “Well, money isn’t everything” he thinks. Mike
decides to start posting on the company website the high performing individuals that have exceeded
their short-term goals. Which of the following nonmonetary compensation methods is Mike
employing?
a.
task clarity
b.
job/life satisfaction
c.
recognition of goal attainment
d.
perquisites/perks
ESSAY
1. For many organizations personal selling is the most important element of the promotion mix. Discuss
the factors that would lead an organization to emphasize personal selling. When is personal selling
useful to an organization and when is it less useful?
2. What are some of the different types of personal selling? When is one method more appropriate than
another?
© 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in
part.
Creative sellers require more expertise. These sellers help customers with technical information,
advice, and service. They are often required to analyze and solve specific problems and provide
informative and persuasive presentations to recruit new clients and maintain existing clients.
Supportive communications sales forces do not actually deal directly in generating sales. This area of
selling provides customers with information, offer services, and create goodwill. These sellers try to
ensure that buyers are satisfied with the product or service.
PTS: 1 DIF: Moderate REF: p. 287–289 OBJ: 14-2
3. Discuss the need satisfaction presentation method. Identify and explain the three different buyer’s
need-states considered in this approach.
4. Discuss the affect of Sales Force Automation (SFA) and the Internet on the personal selling function.
How can these tools help the salesperson and the customer? Are they any drawbacks to these tools?
© 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in
part.
However, judicious use of such devices is paramount, however. If the only contacts a customer has
with a sales representative are voicemail and email messages, the lack of personal attention can strain
an otherwise healthy relationship. These tools aid efficiency but are not substitutes for personal contact
and customer service. Using the Internet also introduces a major threat to the selling process if firms
fail to consider the impact of their Web strategies on compensation and incentive plans. If salespeople
see the company’s website as competing with them, they will discourage customers from using it.
PTS: 1 DIF: Difficult REF: p. 296 OBJ: 14-5
