123) Which of the following statements is LEAST likely to be true about networking?
A) Networking is your personal array of relationship.
B) Salespeople should always ask themselves how they can help those in their network.
C) Building and maintaining relationships requires the mutual investment of effort, time, and
resources.
D) The people who make up your relationship network will allow you to learn from them.
E) Relationships are based on usefulness and profit sharing.
124) Which of the following statements is NOT true about emotional intelligence?
A) Emotional intelligence involves the ability to perceive other’s emotions
B) Emotional intelligence involves the ability to identify your emotions
C) Emotional intelligence involves the ability to understand what’s causing your emotion
D) Emotional intelligence involves the ability to control guilt
E) Emotional intelligence involves the ability to manage your emotions
125) How can a salesperson use break-even analysis as a time management tool?
126) Lawrence sells lockers like those found in airports, bus stations, exercise centers, and
schools. His fixed selling costs are $65,000 annually. His annual sales are $390,000 and the
annual cost of the lockers he sells equals $255,000. Calculate his gross profit in percentage and
his break-even point.
127) Greg owns a small business of selling athletic equipment to retailers. He spends $12,500
annually on transportation. His annual fixed cost is $19,000. His other annual expenses total
$4,000. His annual sales are $130,000 and the cost of the goods he sells is $65,000. Calculate
Greg’s direct costs and his break-point point.
128) Karolyn sells bathroom fixtures. She believes that if she can get a customer she is calling on
to go out to lunch with her, she will close the sale. What do you think about Karolyn’s
assumption?
129) List the time management skills that can help sales professionals in achieving success:
130) What is a sales territory? What are the major reasons for forming sales territories?
131) Why is the development of sales territories inefficient for some companies?
132) What are the two general approaches used for account analysis?
133) Explain the undifferentiated selling approach.
134) What is the relationship between the ELMS system and the 80/20 principle?
135) Explain multivariable account segmentation.
136) What commonly causes the frequency of sales calls made by a salesperson to increase?
137) How is the sales response function used by salespeople in time management?
138) Differentiate between routing and scheduling.
139) Why would a company insist that its salespeople stick to strict route designs?
140) What is territorial evaluation? What is the purpose and benefit of territorial evaluation?
141) Discuss how technology use can enhance a salesperson’s time efficiency?
142) What does the term executive presence means? Why is it important for an emerging
salesperson to work on his/her executive presence?
143) What is emotional intelligence? Why is it considered a prevalent topic within the sales
industry?
144) What are benefits for a salesperson to develop and maintain a relationship network?
145) List any three time management skills that can help sales professionals in achieving
success:
146) What is a sales territory?
147) A sales territory is not advisable in the life insurance industry. Why?
148) What is the first step in account analysis?
149) What are the two general approaches to account analysis?
150) Account analysis classifies accounts according to the ELMS system. Briefly describe this
system.
151) Briefly explain sales call allocation step in territory management.
152) At what point does the salesperson reach the most productive number of sales calls?
153) Lin Zander sells health and beauty aids to retailers. If she sells $74,130, she exactly covers
all of her territory’s direct costs. Based on an 8-hour workday, a five-day week, and a 48-week
year, how much does Zander need to sell hourly to reach her break-even point?
154) Describe sales technology.
155) List two software technology tools used in territory management, as per the text.
156) List the four abilities that in combination represent emotional intelligence (EI).
157) Clearwater Hampers is a small British company that sells luxury food and drinks in various
combinations in picnic hampers. Food and wine are seen as classic, fail-safe gifts in a market
where present-buying is increasingly tricky. Corporate customers, both in the United Kingdom
and abroad, are important to the business as well as are a number of department stores.
Clearwater has had several orders for more than a quarter of a million dollars and prides itself on
how much repeat business it does. The company’s leading salesperson, Peter Austin, is placed in
charge of an important territory divided on the basis of geography and sales potential. He
classifies his customers according to the size of their average orders.
The product handled by Austin has an average gross profit percentage of 25%. Austin’s annual
salary and expenses total $200,000. Austin works 8 hours a day, 5 days a week, and 40 weeks in
a year. What is Austin’s break-even volume per hour?
A) $500.00
B) $265.00
C) $150.00
D) $100.00
158) Clearwater Hampers is a small British company that sells luxury food and drinks in various
combinations in picnic hampers. Food and wine are seen as classic, fail-safe gifts in a market
where present-buying is increasingly tricky. Corporate customers, both in the United Kingdom
and abroad, are important to the business as well as are a number of department stores.
Clearwater has had several orders for more than a quarter of a million dollars and prides itself on
how much repeat business it does. The company’s leading salesperson, Peter Austin, is placed in
charge of an important territory divided on the basis of geography and sales potential. He
classifies his customers according to the size of their average orders.
Austin has arrived at a prospect’s office 30 minutes earlier than his appointment time. What
should Austin do?
A) Reschedule the appointment.
B) Read the local newspaper.
C) Meditate and stretch.
D) Catch up on paperwork.
E) Leave for the next call.
159) Clearwater Hampers is a small British company that sells luxury food and drinks in various
combinations in picnic hampers. Food and wine are seen as classic, fail-safe gifts in a market
where present-buying is increasingly tricky. Corporate customers, both in the United Kingdom
and abroad, are important to the business as well as are a number of department stores.
Clearwater has had several orders for more than a quarter of a million dollars and prides itself on
how much repeat business it does. The company’s leading salesperson, Peter Austin, is placed in
charge of an important territory divided on the basis of geography and sales potential. He
classifies his customers according to the size of their average orders.
Which method is used by Austin to segment his market?
A) TTM
B) ELMS
C) FAB
D) SELL
E) L-O-C-A-T-E
160) Clearwater Hampers is a small British company that sells luxury food and drinks in various
combinations in picnic hampers. Food and wine are seen as classic, fail-safe gifts in a market
where present-buying is increasingly tricky. Corporate customers, both in the United Kingdom
and abroad, are important to the business as well as are a number of department stores.
Clearwater has had several orders for more than a quarter of a million dollars and prides itself on
how much repeat business it does. The company’s leading salesperson, Peter Austin, is placed in
charge of an important territory divided on the basis of geography and sales potential. He
classifies his customers according to the size of their average orders.
Austin is a firm believer in the 80/20 principle. This means he believes:
A) 80 percent of his effort will not result in sales.
B) 20 percent of his time should be spent on prospecting and qualifying.
C) 80 percent of his time should be spent in follow-up service.
D) 20 percent of his customers will provide 80 percent of the sales.
E) 20 percent of his time should be spent on paperwork.
161) Clearwater Hampers is a small British company that sells luxury food and drinks in various
combinations in picnic hampers. Food and wine are seen as classic, fail-safe gifts in a market
where present-buying is increasingly tricky. Corporate customers, both in the United Kingdom
and abroad, are important to the business as well as are a number of department stores.
Clearwater has had several orders for more than a quarter of a million dollars and prides itself on
how much repeat business it does. The company’s leading salesperson, Peter Austin, is placed in
charge of an important territory divided on the basis of geography and sales potential. He
classifies his customers according to the size of their average orders.
In preparing for his sales call allocation plans, Austin should consider all of the following
EXCEPT:
A) non-selling time.
B) cost of goods sold.
C) time required for each sales call.
D) frequency of sales calls.
E) return on time invested.