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Chapter 09: Expanding Customer Relationships
Copyright Cengage Learning. Powered by Cognero.
Page 1
True / False
1. Building goodwill is important to converting new customers to committed lifetime customers.
a.
True
b.
False
ANSWER:
True
2. Processing requests for rush deliveries is unimportant to building successful long-term relationships.
a.
True
b.
False
ANSWER:
False
3. A salesperson should focus his or her sales resources on only one individual in the buying organization.
a.
True
b.
False
ANSWER:
False
4. Computer technology is only helpful to salespeople in helping them track their customers.
a.
True
b.
False
ANSWER:
False
5. Routine follow-up with customers is important to building successful long-term relationships.
a.
True
b.
False
ANSWER:
True
6. Providing customers with high-quality information is an activity that will help salespeople enhance their relationships
with those customers.
a.
True
b.
False
ANSWER:
True
7. Many customers feel neglected once they place an order with a company because the salesperson has many new
customers and is not as attentive as he or she was previously.
a.
True
b.
False
ANSWER:
True
8. Unless the delivery delay is going to be very long, it is unwise to alert the buyer to minor delivery delays.
a.
True
b.
False
ANSWER:
False
9. To gain a competitive edge, salespeople train only one person as stated in the sales terms.
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a.
True
b.
False
ANSWER:
False
10. Customer training does not require the assistance of a company trainer or engineer if the product is technical.
a.
True
b.
False
ANSWER:
False
11. Salespeople should encourage critical encounters with their customers to encourage effective dialogue.
a.
True
b.
False
ANSWER:
True
12. Handling complaints in any manner as long as they are handled is important to building successful long-term
relationships.
a.
True
b.
False
ANSWER:
False
13. One way for a selling firm to create a stronger bond with its customers is to host social engagements with them.
a.
True
b.
False
ANSWER:
True
14. Companies host week-long training sessions, seminars, and social engagements with their customers exclusively to
ensure a sales commitment.
a.
True
b.
False
ANSWER:
False
15. The goal for salespeople is to meet customer expectations and not exceed them.
a.
True
b.
False
ANSWER:
False
16. Customers do not care about slogans and service claims until something happens to them.
a.
True
b.
False
ANSWER:
True
17. A customer cannot be turned onto an organization just by meeting many caring "can-do" people.
a.
True
b.
False
ANSWER:
False
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Chapter 09: Expanding Customer Relationships
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Page 3
18. Reliability, warmth, and friendliness are attributes that buyers look for in choosing a salesperson with whom to do
business.
a.
True
b.
False
ANSWER:
True
Multiple Choice
19. The number-one characteristic found to define a world-class salesperson is someone who:
a.
does not follow up with new customers once an order has been placed.
b.
fails to consider the importance of developing and maintaining a customer for the company he or she works
for.
c.
personally manages the customer's satisfaction and is accountable for the customer's desired results.
d.
feels his or her job is done once the order is obtained and the sale is closed.
e.
handles complaints in a timely and thoughtful manner by delegating the work to other salespeople.
ANSWER:
c
20. Natalie is a salesperson for a company that manufactures office supplies. Which of the following activities is
appropriate for Natalie to engage in if she is interested in converting her customers into highly committed lifetime
customers?
a.
Handling complaints when possible
b.
Adding value to the selling organization
c.
Processing requests for rush deliveries willingly
d.
Cutting the price as often as possible
e.
Passing customer complaints to higher authorities
ANSWER:
c
21. Ethan is a salesperson for an industrial equipment manufacturer. Once a prospect becomes a new customer, Ethan
looks for ways to improve the products and services that his company provides for them in order to convert a new
customer into a loyal customer. In other words, Ethan looks for ways to:
a.
sell more.
b.
add value.
c.
keep up-to-date.
d.
stay competitive.
e.
gain more buyers.
ANSWER:
b
22. To overpromise and underdeliver to a customer is an example of a(n) _____.
a.
enhancer
b.
service motivator
c.
service quality
d.
service strategy
e.
detractor
ANSWER:
e
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23. Which of the following is a reason for the importance of assessing customer satisfaction?
a.
Doing so helps build trust with the buyers.
b.
Doing so provides competitor information.
c.
It is not important as long as the company is profitable.
d.
Assessing satisfaction is a ploy used to begin the next sales cycle.
e.
Doing so increases a salesperson's competitiveness.
ANSWER:
a
24. In maintaining and enhancing customer relationships, salespeople are involved in:
a.
gaining commitment and not sales follow-up.
b.
installing the product if it is technical in nature.
c.
passing on customer complaints to higher authorities.
d.
performing routine post-sale follow-up activities.
e.
neglecting changes in the customer's situation.
ANSWER:
d
25. Long-term relationships are formed between a buyer and a salesperson when:
a.
various employees from a selling organization interact with the buyer.
b.
the salesperson provides free samples to the buyer during sales calls.
c.
the salesperson gets other employees to handle customer complaints in a timely manner.
d.
the salesperson gains a purchase commitment from the buyer.
e.
multiple buyer-seller interactions occur in which the seller wins the trust of the buyer.
ANSWER:
e
26. Scott is a salesperson for an automobile manufacturing company. He usually makes an effort to have effective
encounters with customers in order to have effective communication between them. He wants his customers to be highly
involved in the decision-making process. In this scenario, which of the four sequential components of effective follow-up
is Scott utilizing?
a.
Interact
b.
Connect
c.
Understand
d.
Relate
e.
Encourage
ANSWER:
a
27. Grace is a salesperson for a software developing company. She makes it a point to know at least three influential
people in each of her customers' companies that can influence purchase decisions. In this scenario, which of the four
sequential components of effective follow-up is Grace utilizing?
a.
Interact
b.
Connect
c.
Know
d.
Relate
e.
Encourage
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ANSWER:
b
28. The specific component of effective salesperson follow-up designed to _____ with customers refers to a salesperson's
ability to apply relevant understanding and insight to create value-added interactions.
a.
interact
b.
connect
c.
agree
d.
relate
e.
plead
ANSWER:
d
29. Salespeople have employed a variety of technology-based salesforce automation tools in order to:
a.
help higher authorities manage the storage of diverse types of information.
b.
better track the increasingly complex combination of buyer-seller interactions.
c.
reduce the number of critical encounters with buyers.
d.
maintain contact with and influence the purchase decisions of multiple individuals in the buying organization.
e.
develop insight into how more products can be sold to a buyer.
ANSWER:
b
30. Jake is a salesperson for a corporate jet manufacturer. From experience, Jake knows that most customers will have
questions or concerns after placing an order. Which of the following post-sale follow-up methods is the best way for Jake
to provide useful information to his customers?
a.
A personal visit
b.
A letter
c.
An e-mail
d.
A handwritten note
e.
Social media
ANSWER:
a
31. In the context of expediting orders and monitoring installation, salespeople:
a.
must track orders and inform customers when there is a delay.
b.
must not set estimates on product delivery dates.
c.
must not interfere with the installation team and the installation process.
d.
must not inform the customer about the reason for delay when the product is delivered.
e.
must wait till the delivery day to announce any delays.
ANSWER:
a
32. Even though salespeople are rarely responsible for installation, which of the following is a reason for them to be
present when their products are being installed?
a.
This allows the salesperson the opportunity to sell the customer additional products.
b.
Installation teams usually do not possess the same relational skills that salespeople do.
c.
The salesperson may have to cover up installation- or order-processing mistakes.
d.
The salesperson can refer other salespeople to the buyer for additional follow-up sessions.
e.
This allows the salesperson to ask for a testimonial for future sales dialogues.
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ANSWER:
b
33. With respect to training customer personnel, salespeople should:
a.
leave the training to the training experts.
b.
encourage customers to provide their own training.
c.
always use it as a bargaining tool when trying to get the buyer to make a purchase.
d.
be involved directly or indirectly in the training process unless otherwise specified by the customer.
e.
schedule the training sessions as conveniently as possible for the customer.
ANSWER:
e
34. Susan always asks her customers to be candid with her, especially when it comes to their satisfaction. She wants her
customers to be honest about how they feel regarding each of the services they avail from her company. In this scenario,
Susan:
a.
is encouraging critical encounters.
b.
is focusing only on getting an order.
c.
is hoping the customers will not complain.
d.
is discouraging negative feedback.
e.
is hoping to get a commitment.
ANSWER:
a
35. Jane is a salesperson for a company that manufactures laptop computers. One of her customers left her a message
indicating that he was unhappy about the last order he received. While on her way to visit the customer to discuss the
problem, Jane decides to review her procedure for handling complaints. What is the first thing she needs to do in order to
resolve the customer's complaint?
a.
Jane should ask the customer what he would like her to do.
b.
Jane should ask the customer to explain the problem and listen carefully to get the whole story.
c.
Jane should offer the customer a discount on his next order.
d.
Jane should inform the customer that she will not charge him for the order.
e.
Jane should ask the customer if he would like her to ask her superior to handle this complaint.
ANSWER:
b
36. Glenn is a salesperson for a beer and wine distributor. One of his customers stated that she is unhappy because her last
order contained several broken bottles and was not delivered on time. Which of the following should Glenn do after
expressing empathy and taking responsibility for the problem?
a.
He should offer the customer a discount on their next order.
b.
He should reimburse the customer for the broken bottles.
c.
He should ask the customer what he or she would like him to do.
d.
He should allow the customer to vent.
e.
He should apologize and send more bottles to replace the broken bottles.
ANSWER:
c
37. Laila is very good at getting customers to purchase her company's products by telling them how the products are the
best in the world. However, her customers are usually dissatisfied with the performance of the products even though they
perform well and sometimes even slightly better than the competitor's products. In this scenario, which of the following is
most likely the problem?
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a.
Laila is setting her customers' expectations too high.
b.
Laila's customers are hard to satisfy.
c.
Laila is not doing a good job of prospecting.
d.
Laila's company makes inferior products.
e.
Laila is setting her customers' expectations too low.
ANSWER:
a
38. Customers often know the strengths and weaknesses of the product they use and can provide some insight into how
improvements can be made. This fact can be made use of to expand _____ between both the buying and selling
organizations.
a.
critical encounter
b.
service quality
c.
service motivation
d.
collaborative involvement
e.
communication
ANSWER:
d
39. Mel is a salesperson for a technology services company. He is looking for ways to increase cooperation and
involvement between his organization and his buyer's organizations. Which of the following activities would be ideal to
help Mel achieve this?
a.
Mel could conduct seminars for just the buyers of the buying organizations.
b.
Mel could have engineers from the buying and selling organizations work together during a sales call.
c.
Mel could conduct product demonstrations for groups of buyers.
d.
Mel could work with the buying organizations’ employees to develop a better product offering.
e.
Mel could have buyers write summaries and testimonials of their experiences with his organization.
ANSWER:
b
40. Which of the following activities should salespeople engage in to enhance customer value?
a.
Be tactful in providing opinions
b.
Keep in touch with customers to pass on information
c.
Ask customers to refer the salesperson to other buyers
d.
Do what is right and necessary when asked to by the customer
e.
Thank customers only after the sale has been made
ANSWER:
b
41. In markets where it's hard to differentiate the core products, more and more companies are turning to _____ as a
strategy to acquire and maintain customers.
a.
collaborative involvement
b.
service motivation
c.
resilience
d.
service quality
e.
reliability
ANSWER:
d
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42. For many salespeople, the core products that they are selling provide the same features and benefits as those of their
competitors. Which of the following statements is true regarding this sort of competitive environment?
a.
The best way to build long-term relationships is to offer the lowest price.
b.
The best way to build long-term relationships is to offer superior service quality.
c.
Competing on price produces customers who are loyal and easy to keep.
d.
This sort of competitive environment is rare.
e.
Service quality includes salespeople promising to exceed customer expectations.
ANSWER:
b
43. Anthony, a purchasing agent for a hospital, finds several items missing from a shipment that the hospital received
from one of its suppliers. Anthony speaks with a customer service representative who is very friendly and helpful.
Anthony calls the supplier again the next day but talks to a different customer service representative who is not as friendly
or helpful. Which of the following describes the problem the supplier has with customer service?
a.
It is difficult to train customer service representatives.
b.
The quality of service provided is inconsistent across customer service agents.
c.
The first customer service representative set unrealistic expectations.
d.
The first customer service representative needs more training.
e.
The first customer service representative is not qualified enough to help buyers.
ANSWER:
b
44. Customers expect:
a.
to have to deal with surly salespeople.
b.
salespeople to deliver service consistently.
c.
salespeople to forget them once the sale is done.
d.
salespeople to ask for references.
e.
salespeople to not be personally accountable for desired results.
ANSWER:
b
45. Mathew has called the customer service department of one of his suppliers to make a complaint. The customer service
agent acts indifferently toward Mathew's problem but agrees to resolve the issue. In this scenario, the customer service
agent should:
a.
not have resolved the issue until he or she had the whole story.
b.
have been more empathetic to Mathew's situation.
c.
have asked Mathew more questions.
d.
have agreed to Mathew's demands at the start of the conversation.
e.
have asked Mathew to speak to his supervisor.
ANSWER:
b
46. Which of the following questions must a salesperson ask when developing a service strategy?
a.
How do customers rate us in terms of their expectations?
b.
What can we sell to the buyer in addition to the products already being bought?
c.
Can we reduce product prices in order to gain more customers?
d.
How do customers rate our products?
e.
How do we compete with our competitor's prices?
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ANSWER:
a
47. Which of the following is the most important dimension of customer service?
a.
Communication
b.
Critical encounters
c.
Resilience
d.
Service motivation
e.
Anticipation
ANSWER:
a
48. A salesperson should not lose his or her cool when dealing with customer complaints and difficult customers, but must
display _____.
a.
indifference
b.
motivation
c.
resilience
d.
apathy
e.
diligence
ANSWER:
c
Completion
49. _________ is the process of improving a product or service for the customer.
ANSWER:
Adding value
50. The four sequential components of effective follow-up include interact, _________, know, and relate.
ANSWER:
connect
51. According to the specific components designed for effective salesperson follow-up, _________ refers to the
salesperson applying relevant understanding and insight to create value-added interactions.
ANSWER:
relate
52. An organization's dedicated and proprietary computer network offering password-controlled access to people within
and outside the organization is referred to as a(n) _________.
ANSWER:
intranet
53. A(n) _________ is a system that dynamically links buyers and sellers into a rich communication network to establish
and reinforce long-term, profitable relationships.
ANSWER:
customer relationship management (CRM) system
54. A(n) _________ refers to proprietary computer networks created by an organization for use by the organization's
customers or suppliers and linked to the organization's internal systems, information databases, and intranet.
ANSWER:
extranet
55. One of the ways to ensure customer satisfaction is to _________ and monitor installation.
ANSWER:
expedite orders
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56. Meetings in which a salesperson encourages a buyer to discuss tough issues, especially in areas where the
salesperson's organization is providing less-than-satisfactory performance, are called _________.
ANSWER:
critical encounters
57. By exceeding expectations and _________, a salesperson helps ensure repeat business.
ANSWER:
adding value
58. _________ are brief moments that occur whenever a customer comes into contact with a salesperson, the training
staff, installers, field engineers, or service personnel and has an opportunity to form an impression.
ANSWER:
Moments of truth
