52) Which one of the following is NOT a time management skill that can help sales professionals
in achieving success:
A) Be selective in prioritizing time and spend time on high-priority tasks
B) Have a better sense of the time needed to complete tasks
C) Avoid overcommitting to nonessential tasks at the expense of core work tasks.
D) Develop an effective plan to allocating efforts across goals, activities, and time periods.
E) Avoid maintaining the account for the outcomes you aim to achieve before allocating time to
achieve these outcomes.
53) Which one of the following is a time management skill that can help sales professionals in
achieving success:
A) Try not to be selective in prioritizing time and spend time on high-priority tasks.
B) Do not worry about of the time needed to complete tasks.
C) Always overcommit to nonessential tasks at the expense of core work tasks.
D) Avoid following a plan to allocate efforts across goals, activities, and time periods.
E) Always maintain a systematic account for the outcomes you aim to achieve before allocating
time to achieve these outcomes.
54) A(n) ________ comprises a group of customers or a geographical area assigned to a
salesperson.
A) market development area
B) MSA
C) sales territory
D) market potential
E) sales quota
55) Which of the following statements about sales territories is true?
A) A sales territory contains only one key account.
B) Sales territories always have geographic boundaries.
C) Sales territories are used to maximize the sales potential of a market.
D) A sales territory guarantees that a company reaches the breakeven point.
E) Sales territories are used to evaluate the effectiveness of the marketing mix.
56) Which of the following statements about sales territories is INCORRECT?
A) A sales territory contains present customers.
B) Geographic boundaries define a sales territory.
C) Firms use sales territories to evaluate performance.
D) A sales territory typically contains potential customers.
E) A sales territory comprises a geographic area assigned to a salesperson.
57) Companies establish sales territories to accomplish all of the following objectives EXCEPT
to:
A) set responsibilities for salespeople.
B) avoid duplicating sales efforts.
C) control corporate credit ratings.
D) create goodwill with customers.
E) meet sales goals.
58) How do sales territories benefit a company’s customers?
A) Monitors sales team salaries and expenses
B) Links organizational vision with buyer’s needs
C) Establishes relationships between buyers and sellers
D) Ensures sales presentation structure and organization
E) Matches long-term strategic goals with seller’s personality
59) According to the text, which of the following is one of the objectives given for establishing
sales territories?
A) To lower long-term company profits.
B) To improve customer relations and satisfaction.
C) To match the wants of the salesperson with the needs of the customers served.
D) To facilitate utilization of the undifferentiated selling approach.
E) To attain more efficiency in businesses based on personal friendships.
60) Robert is the CEO of a small firm which manufactures inverters. Company sales have been
increasing, and Robert finds it increasingly difficult to manage the salespeople. The company has
a sufficient number of salespeople, but they are not able to reach all current and potential
customers. Robert also has difficulties in evaluating the performance of salespeople. What advice
can you give Robert?
A) Robert can hire more salespeople to have better sales coverage.
B) Robert can appoint more supervisors for managing and evaluating the sales force.
C) Robert can ask the salespeople to work overtime to obtain better coverage.
D) Robert can manage the salespeople by assigning each of them to different groups of
customers.
E) Robert can ask salespeople to report directly to him, and he can use the authoritative
management style.
61) A sales territory:
A) is essential for all kind of industries for managing the sales force.
B) makes the evaluation of performance more difficult.
C) does not aid in improving customer relations.
D) always contains group of customers residing in different geographic areas.
E) contains present and potential customers.
62) Sales territories are a disadvantage for some firms in all of the following cases EXCEPT
when:
A) sales performance is difficult to monitor and evaluate.
B) personal friendships are the basis for attracting customers.
C) salespeople are more motivated if they are not restricted by territorial boundaries.
D) the company is too small to be concerned about segmenting the market into sales areas.
E) management lacks the knowledge, time, and interest to develop and establish sales territories.
63) A company may avoid establishing sales territories if:
A) it uses a matrix organizational structure.
B) personal friendships attract customers.
C) the company uses qualitative evaluations.
D) the company has no key accounts.
E) sales expenses are rising.
64) Which of the following companies would LEAST likely form sales territories?
A) McGraw-Hill Publishing
B) Century-21 Real Estate
C) Anheuser Busch
D) Hewlett Packard
E) Proctor & Gamble
65) Which of the following companies is most likely to avoid the formation of sales territories?
A) A large distributor of books
B) A global consumer products manufacturer
C) A leading manufacturer of small engines
D) A small company that makes custom architectural pieces
E) A company that supplies the inventory for convenience stores in 35 states
66) For the salesperson, territory management :
A) is only useful during busy seasons.
B) is most relevant during periods of economic recession.
C) is only useful when the salesperson is selling homogeneous products.
D) is a continuous process of planning, executing, and evaluating.
E) requires an efficient and effective sales manager.
67) An insurance company should most likely:
A) form territories based on income distribution.
B) make geographical sales territories.
C) avoid making distinct sales territories.
D) make small, local sales territories.
E) have territories with only prospects.
68) The first step of territory management is:
A) setting quotas.
B) seeking referrals.
C) scheduling calls.
D) planning travel routes.
E) engaging in prospecting.
69) After conducting an account analysis in the time and territory management process,
salespeople should:
A) set account objectives and sales quotas.
B) manage scheduling and routing.
C) conduct customer sales planning.
D) evaluate customers and accounts.
E) conduct territory evaluations.
70) Rick Preston, a pharmaceutical sales representative, has a new kidney medication available.
He is in the process of identifying physicians in his territory that might be interested in the new
drug and estimating the sales potential of each. Rick is in the process of:
A) customer sales planning.
B) route reporting.
C) sales call allocation.
D) account analysis.
E) quota scheduling.
71) The two general approaches to ________ are the undifferentiated selling approach and the
account segmentation approach.
A) customer sales planning.
B) route reporting.
C) sales call allocation.
D) account analysis.
E) quota scheduling.
72) Account analysis:
A) identifies accounts and their varying levels of sales potential.
B) begins with an estimate of a prospect’s past sales.
C) involves four general approaches.
D) requires management oversight.
E) is another form of value analysis.
73) The two general approaches to account analysis for salespeople are:
A) time and territory management.
B) undifferentiated selling and account segmentation.
C) mass marketing and target marketing.
D) personal selling and mass selling.
E) homogeneous selling and heterogeneous selling.
74) The undifferentiated selling approach is used by the salesperson when:
A) accounts in a market are similar.
B) customers are primarily heterogeneous.
C) the product line is varied with unique uses.
D) major distinctions exist in a geographic region.
E) accounts have different needs and characteristics.
75) Which selling approach would most likely involve a salesperson using the same selling
strategy for all customers?
A) Homogeneous selling
B) Heterogeneous selling
C) Account segmentation
D) TTM segmentation
E) Undifferentiated selling
76) Which of the following statements about undifferentiated selling is true?
A) The undifferentiated selling approach is only useful if customers are heterogeneous.
B) Many door-to-door salespeople use the undifferentiated approach.
C) The undifferentiated selling approach allows salespeople to devote time to customers in
proportion to the customer’s potential value.
D) The undifferentiated selling approach allows salespeople to streamline their pre-call
preparation and thus is growing in popularity.
E) Undifferentiated selling cannot be used in conjunction with a stimulus-response presentation.
77) Stephen started a new company that offers house-cleaning services. He decided to reach out
to homeowners in his neighborhood to promote his services. Which selling approach will most
likely be used by Stephen?
A) Account segmentation
B) Undifferentiated
C) Customized
D) Specific
E) Unstructured
78) In most cases, the total sales quota for a salesperson is:
A) the same for all salespeople in the company.
B) set by the individual salesperson.
C) set by the sales manager.
D) fluctuating and flexible.
E) based on new accounts.
79) The account segmentation approach to territory management is used to:
A) insure equal treatment of the firm’s prospects.
B) prevent dependence on the 80/20 principle.
C) insure equal treatment of the firm’s customers.
D) increase the profitability of the territory.
E) insure equal treatment of the firm’s salespeople.
80) Salespeople using the ________ approach recognize their territories contain accounts with
heterogeneous needs and differing characteristics that require different selling strategies.
A) account segmentation
B) market diversification
C) undifferentiated selling approach
D) territorial development
E) market penetration
81) When a salesperson refers to her key accounts, she is talking about her ________ accounts.
A) newest
B) homogeneous
C) extra-large
D) undifferentiated
E) break-even
82) Sales managers use the ELMS system to:
A) identify demographic characteristics so that customer needs match sales goals.
B) evaluate salespeople during annual performance appraisals.
C) match the personalities of salespeople and customers.
D) create the most efficient travel routes for salespeople.
E) categorize accounts in terms of profitability.
83) The ELMS system:
A) is used by the home office not by the individual salesperson.
B) classifies prospects according to how and when they were qualified.
C) classifies accounts to extra-large, large, medium, and small accounts.
D) categorizes according to geographic location relative to the home office.
E) classifies according to time spent on average with each buyer.
84) Which of the following is a method used to define accounts in terms of their size?
A) OAKS
B) KISS
C) FAB
D) ELMS
E) SELL
85) The use of the ELMS system is most closely related to the:
A) FAB closing.
B) 80/20 principle.
C) 50-50 method.
D) SELL sequence.
E) KISS selling process.
86) The 80/20 principle can be used to explain why salespeople use:
A) the ELMS system to segment accounts in their sales territories.
B) trial closes a minimum of three times per sales call.
C) three different types of routing patterns.
D) waiting time for non-selling activities.
E) mobile offices and technology.
87) The 80/20 principle:
A) is a territorial management concept that favors a salesperson putting 80 percent of his time on
planning and 20 percent on action.
B) refers to the fact that eighty salespeople require twenty sales managers to keep the appropriate
1-to-4 ratio of supervisors to employees.
C) indicates that no matter how hard a salesperson tries, 80 percent of the customer’s potential
business ends up going to competitors.
D) is a territorial management concept that favors a salesperson putting 80 percent of her time on
action and 20 percent on planning.
E) refers to the idea that 20 percent of a firm’s customers account for 80 percent of a firm’s
profitability.
88) Salespeople need to segment their accounts by the amount of revenue generated to:
A) reduce the amount of time they spend with large accounts.
B) improve the quality of their firm’s advertising campaigns.
C) perform an OAKS analysis before a value analysis.
D) ensure they use their time appropriately.
E) accomplish all their personal goals.
89) Sheryl Ford, a senior salesperson at a large firm, was asked by her sales manager to handle a
key customer at a distant place from her home. Sheryl was surprised because that area belonged
to another salesperson. According to the text, what is the most likely reason for Sheryl’s
assignment?
A) Sheryl’s area lacks key accounts, and the manager wants to distribute the accounts equally
among the salespeople.
B) The salesperson in the customer’s area is inexperienced.
C) The sales manager wants Sheryl to utilize her time better.
D) The sales manager is punishing Sheryl for breaking a sales policy.
E) The sales manager is trying to lower sales and travel expenses.
90) According to the text, when a company directs its sales force members to use multiple selling
strategies, this means salespeople are expected to:
A) split commissions if a buyer’s purchasing office is in one salesperson’s territory and the retail
outlet is the territory of another salesperson.
B) have several sales approaches planned so that if their first sales attempt is unsuccessful, they
can shift to an alternate approach without delay.
C) develop different sales approaches for the different products in the company’s product line.
D) invest the bulk of their time and resources in the large, important accounts in their territories.
E) develop one form of presentation for existing accounts and another for prospects.
91) ________ means using more than one criterion to characterize an organization’s accounts.
A) Multivariable account segmentation
B) Key stoning
C) Parallel account integration
D) Territory-aggregate management
E) Double positioning