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Indicate whether the statement is true or false.
1. Relationship selling is more often used in selling consumer goods.
a.
True
b.
False
2. Personal selling provides a brief and precise explanation of the product.
a.
True
b.
False
3. Because the salesperson usually has multiple opportunities to present solutions to his or her clients in personal selling,
the quality of the sales proposal and the presentation are not critical in making the sale.
a.
True
b.
False
4. The prevailing view of personal selling is mostly concerned with making one-time sales and then moving on to the next
prospect.
a.
True
b.
False
5. Salespeople who practice relationship selling emphasize a long-term investment in the time and effort needed to
uncover each customer’s specific needs and wants and to meet them with the best product or service that can be offered.
a.
True
b.
False
6. A good salesperson perceives objections as a hindrance to the purchase decision.
a.
True
b.
False
7. A sales manager’s sole function is to maximize sales at a reasonable cost while also maximizing profits.
a.
True
b.
False
8. A salesperson’s responsibilities usually end with making the sale and placing the order.
a.
True
b.
False
9. E-business—that is, the buying, selling, marketing, collaborating with partners, and servicing customers electronically
using the Internet—has not affected personal selling very much.
a.
True
b.
False
10. Salespeople selling in foreign markets should tailor their presentations and closing styles to each market.
a.
True
b.
False
11. Personal selling should be directed toward all prospects—qualified and unqualified.
a.
True
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b.
False
12. A sales presentation is a written document that outlines how a company’s product or service will meet or exceed the
client’s needs.
a.
True
b.
False
13. Unlike advertising and sales promotion, in personal selling, responses are provided only to the questions and
objections that the copywriter thinks are important to customers.
a.
True
b.
False
14. In personal selling, cost per contact is much greater than for mass forms of communication.
a.
True
b.
False
15. Cold calling is a process of finding out about potential clients from friends, business contacts, coworkers,
acquaintances, and fellow members in professional and civic organizations.
a.
True
b.
False
16. Point-of-sale interaction is a touch point in stores or information kiosks that uses software to enable customers to
easily provide information about themselves without feeling violated.
a.
True
b.
False
17. Lead qualification is the identification of the firms and people most likely to buy the seller’s offerings.
a.
True
b.
False
18. When customers try to pit suppliers against each other to drive down the price of the product, the salesperson should
offer an initial discount and then raise the price later on.
a.
True
b.
False
19. Personal selling is considerably less effective than other forms of promotion in obtaining a sale and gaining a satisfied
customer.
a.
True
b.
False
Indicate the answer choice that best completes the statement or answers the question.
20. Which statement is true of traditional selling?
a.
It allows ample time for a detailed follow-up with customers after a sale.
b.
It results in more win–win transactions for salespeople than relationship selling.
c.
Minimal effort is placed on asking questions to identify customer needs.
d.
High emphasis is placed on matching customers’ needs and wants to the benefits of the product.
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21. Which term refers to developing product or service offerings customized for a customer segment and then pricing and
communicating these offerings for the purpose of enhancing customer relationships?
a.
Transaction management
b.
Campaign management
c.
Sales Promotion
d.
Lead qualification
22. A step in the selling process that concerned with identifying firms and people most likely to buy the seller’s offerings
is called _______________.
a.
lead generation
b.
lead qualification
c.
preapproach
d.
needs assessment
23. A term that describes a company that customizes its products and services based on data generated through
interactions between the customer and the company would be described as being ______.
a.
customer-centric
b.
employee-centric
c.
business-centric
d.
organization-centric
24. The process by which customer information is centralized and shared to enhance the relationship between customers
and the organization is called ___________ management.
a.
knowledge
b.
customer relationship
c.
sales force
d.
organizational
25. Which statement is true of networking?
a.
Approaching potential buyers without any prior knowledge of the prospects’ needs or financial status
b.
Using friends, business contacts, acquaintances, and fellow members in organizations to identify potential
clients
c.
Doing the “homework” that must be done by a salesperson before he or she contacts a prospect
d.
Determining a customer’s specific needs and wants and the range of options the customer has for satisfying
them
26. Personal selling is more important than advertising and sales promotion if the products being sold
a.
are standardized.
b.
have many consumers.
c.
have a low value.
d.
are technically complex.
27. Which of the following defines the sales process?
a.
The process of identifying the firms and people most likely to buy the seller’s offerings
b.
The process a salesperson goes through to sell a particular product or service
c.
The process of finding out about potential clients from various contacts or sources
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d.
The process of a salesperson doing his or her “homework” before contacting a prospect
28. Which of the following terms refers to a meeting in which the salesperson offers a sales proposal to a prospective
buyer?
a.
Sales proposal
b.
Sales presentation
c.
Sales offer
d.
Negotiation
29. Which of the following indicates the final step of the selling process, in which the salesperson ensures delivery
schedules are met, goods or services perform as promised, and the buyers’ employees are properly trained to use the
products?
a.
Follow-up
b.
Negotiation
c.
Developing and proposing solutions
d.
Handling objections
30. Which of the following statements is true of negotiation?
a.
It plays an important role in the closing of the sale.
b.
It is effective when price is used as a negotiation tool.
c.
Salespeople increase the perceived value of a product when they quickly accept a client’s price negotiation.
d.
It is a formal meeting where salespeople present sales proposals.
31. In personal selling, costs of promoting a product or service can be controlled by
a.
promoting a product to both qualified and nonqualified prospects.
b.
promoting undifferentiated sales messages toward prospective consumers.
c.
purchasing advertising and sales promotion in large amounts.
d.
adjusting the size of the sales force in one-person increments.
32. Which of the following describes the kind of candidates sales managers look for when recruiting sales force
candidates?
a.
A sense of urgency without exhibiting competitiveness
b.
An impotent ego but capable of understanding complex concepts
c.
Competitiveness without exhibiting risk-taking behavior
d.
Assertiveness, as well as creativity and empathy
33. Which of the following statements is true of lead qualification?
a.
It refers to a process in which a salesperson approaches potential buyers without any prior knowledge of the
prospects’ needs or financial status.
b.
It refers to using friends, business contacts, coworkers, acquaintances, and fellow members in professional and
civic organizations to identify potential clients.
c.
It refers to a process that describes the “homework” that must be done by a salesperson before he or she
contacts a prospect.
d.
It refers to determining the recognized need, buying power, and receptivity and accessibility of a sales
prospect.
34. In which case is personal selling more effective or economic than advertising and sales promotion?
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a.
Customers are geographically dispersed.
b.
The product has a low value.
c.
The product is easy to understand.
d.
There are few customers.
35. Which of the following measures one customer’s influence on the behavior of other customers through
recommendations on social media?
a.
Net promoter score
b.
Customer relationship score
c.
Social CRM
d.
Social media score
36. In the selling process, which of the following is true of a salesperson’s conducting the needs assessment of prospective
clients?
a.
It should be carried out by the salesperson during development of the sales proposal.
b.
It requires the salesperson to be aware of regulations and legislation that affect the industry.
c.
It does not include the impact of competition on the demand for the product that is being sold.
d.
The salesperson in relationship selling does not need to conduct a needs assessment.
37. Which of the following is NOT an advantage of personal selling?
a.
Personal selling provides a detailed explanation or demonstration of the product.
b.
Costs can be controlled by adjusting the size of the sales force.
c.
Personal selling is considerably more effective than other forms of promotion in obtaining a sale and gaining a
satisfied customer.
d.
Personal selling is not as effective as other forms of sales promotion.
38. Which of the following is involved in defining the sales goals of the salesforce?
a.
Assigning quotas to salespeople
b.
Evaluating the effectiveness of a sales representative
c.
Training new salespeople
d.
Designing the sales force structure
39. Which of the following is a combination of sales automation and Internet technology that some marketers use to
enhance customer satisfaction and bring in more business?
a.
The preapproach model
b.
The attribution model
c.
Needs assessment
d.
Automated e-mail follow-up marketing
40. Mandy’s Inc. is a well-known supplier of industrial goods. While selling goods, it provides personalized benefits to
each customer. It focuses on developing trust over time instead of transacting one-time sales. This is an example of _____
selling.
a.
price-based
b.
relationship
c.
discount
d.
persuasive
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41. Effective sales management begins with
a.
determining sales goals to be met by the salesforce.
b.
determining the most efficient structure for the sales force.
c.
specifying the sales force size.
d.
designing a compensation plan.
42. Which of the following is among the responsibilities of a sales manager?
a.
Recruiting and training the sales force, but its evaluation is done by the human resources department
b.
Evaluating the sales force, but not determining its structure
c.
Determining the sales force structure, but not its evaluation
d.
Recruiting, training, motivating, and evaluating the sales force
43. The assertion that “great salespeople should have strong, healthy self-esteem and the ability to bounce back from
rejection” describes which trait that is desirable in applicants for sales position?
a.
Ego strength
b.
Risk takers
c.
Assertiveness
d.
Empathy
44. Why do salespeople need to conduct thorough and continued follow-up with clients?
a.
Conducting post-sale follow-ups gives rise to cognitive dissonance.
b.
Customers today are more loyal toward brands and vendors than before.
c.
Most businesses depend on repeat sales, which depend on follow-up by the salesperson.
d.
Buyers look for the best deal when they experience good post-sale follow-up.
45. The ability to place oneself in someone else’s shoes, which enables salespeople to understand the client’s situation, is
called ________.
a.
assertiveness
b.
ego strength
c.
risk taking
d.
empathy
46. Which of the following is NOT true of relationship selling?
a.
It emphasizes making a one-time sale.
b.
It focuses on building mutual trust between the buyer and seller.
c.
Its end result is loyal customers.
d.
Its strategy is often less expensive than continuously marketing products.
47. LaPizza is a restaurant that recently implemented a new system to identify and gather information about its regular
customers. It rewards these customers by giving them gift coupons and cash prizes. This practice is an example of _____.
a.
organizational optimization
b.
profit maximization
c.
total quality management
d.
customer relationship management
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48. Which of the following occurs when a customer and a company representative exchange information and develop
learning relationships?
a.
Transactional selling
b.
An intervention
c.
Customer profiling
d.
An interaction
49. An electronic equipment manufacturer collects data about its customers through customer interactions. On the basis of
the data, the firm customizes its products and services according to the needs of customer segments. This is an example of
effective _____.
a.
transaction management
b.
campaign management
c.
lead generation
d.
lead qualification
50. A current sales practice that involves building, maintaining, and enhancing interactions with customers in order to
develop long-term satisfaction through mutually beneficial partnerships is called _____________ selling.
a.
price-based
b.
consultative
c.
discount
d.
persuasive
51. Which of the following statements is true of prequalification systems?
a.
They free sales representatives from the time-consuming task of following up on leads to determine need,
buying power, and receptiveness.
b.
They describe the “homework” that must be done by a salesperson before contacting the prospect.
c.
They use friends, business contacts, coworkers, acquaintances, and fellow members in professional and civic
organizations to identify potential clients.
d.
They determine a customer’s specific needs and wants and the range of options the customer has for satisfying
them.
52. The point at which a customer and a company representative exchange information and develop learning relationships
is called __________.
a.
interaction
b.
knowledge exchange
c.
knowledge management
d.
touch points
53. A process of finding out about potential clients from friends, business contacts, coworkers, acquaintances, and fellow
members in professional and civic organizations is called _____________.
a.
referrals
b.
networking
c.
cold calling
d.
lead qualification
54. A touch point that customers encounter in stores or information kiosks, and that uses software to enable them to easily
provide information about themselves without feeling violated, is called __________.
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a.
point-of-sale interaction
b.
lead generation
c.
inquiry management
d.
personal selling interaction
55. Which of the following is a sales practice that involves building, maintaining, and enhancing interactions with
customers to develop long-term satisfaction through mutually beneficial partnerships?
a.
Price-based selling
b.
Adaptive selling
c.
Stimulus-response selling
d.
Relationship selling
56. Which of the following refers to a purchase situation involving a personal, paid-for communication between two
people in an attempt to influence each other?
a.
Personal selling
b.
Sales promotion
c.
Relationship selling
d.
Promotional selling
57. Generally speaking, personal selling often works better than other forms of promotion if
a.
the number of potential customers increases.
b.
the complexity of the product increases.
c.
the value of the product decreases.
d.
the role of social media increases.
58. A sales manager at a consumer durable goods manufacturing firm instructs his new salesperson, Rita, that she must
identify ten potential customers and sell five flat screen televisions per week. This directive from the sales manager is
referred to as Rita’s _____.
a.
referrals
b.
sales leads
c.
quota
d.
touch points
59. Unlike consumer-focused salespeople, business-focused salespeople
a.
require customers to come directly to a retail store.
b.
call on other companies to sell their products.
c.
shorten the sales process time.
d.
do not travel to customer locations.
60. Which term refers to a process that describes the “homework” that must be done by a salesperson before he or she
contacts a prospect?
a.
Needs assessment
b.
Preapproach
c.
Lead qualification
d.
Networking
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61. Which of the following is NOT true of sales force compensation?
a.
Compensation needs to be competitive enough to attract and motivate the best salespeople.
b.
Companies and industries with lower levels of compensation have lower turnover rates.
c.
Recognition and rewards may help increase overall sales volume.
d.
Sales managers often offer rewards or incentives to motivate their sales force.
62. Which of the following refers to the determination of a sales prospect’s recognized need, buying power, receptivity,
and accessibility?
a.
Referral
b.
Networking
c.
Cold calling
d.
Lead qualification
63. Which term refers to a form of lead generation in which the salesperson approaches potential buyers without any prior
knowledge of the prospects’ needs or financial status?
a.
Cold calling
b.
Referral
c.
Networking
d.
Lead qualification
64. Manchester Classics manufactures apparel for men and women. It calls on other retailers to sell its products. Members
of its sales team travel to their customers’ locations to finalize sales deals. In this scenario, the team at Manchester
Classics is comprised of _____.
a.
business-focused salespeople
b.
consumer-focused salespeople
c.
opinion leaders
d.
late adopters
65. The process during which both the salesperson and the prospect offer special concessions in an attempt to arrive at a
sales agreement is known as _____________.
a.
negotiation
b.
follow-up
c.
a sales proposal
d.
a sales presentation
66. Which of the following best defines the term “touch points”?
a.
Storage of customer information in a central location that is accessible to all company departments
b.
The points where a salesman exchanges information with the company and the company doesn’t take interest.
c.
Areas of a business where customers have contact with the company and data might be gathered
d.
Customized product or service offerings for different customer segments
67. Determining sales goals is part of effective sales management. A statement of a salesperson’s sales goals, usually
based on sales volume, is called a(n) _________.
a.
quota
b.
referral
c.
sales plan
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d.
offer
68. As part of the needs assessment, the consultative salesperson must know everything about __________.
a.
customers and their needs, but not necessarily the product or service
b.
the product or service, but not necessarily the competition and potential impact
c.
competitors’ companies and products, but not necessarily the customers and their needs
d.
customers and their needs, the product or service being sold, and the product’s competition
69. Robust, a leading industrial manufacturer, has developed a new air conditioner with high cooling capacity. To identify
potential clients who will be interested in the new product, the company has sent out pamphlets to many firms along with
its contact details for anyone interested. This scenario illustrates _____.
a.
a needs assessment
b.
lead generation
c.
a sales presentation
d.
knowledge management
70. When recruiting the sales force, sales managers prefer salespeople who
a.
often avoid getting involved in negotiation process.
b.
get their point across confidently without being overbearing or aggressive.
c.
ensure that there is no negotiation during the process of closing a sale.
d.
are transaction-oriented rather than relationship-oriented.
71. Name the ultimate goal of a new trend in marketing that focuses on understanding consumers as individuals instead of
as part of a group.
a.
Organizational optimization
b.
Profit maximization
c.
Total quality management
d.
Customer relationship management
72. Which statement is true of the developing and proposing solutions step in the personal selling process?
a.
Developing and proposing solutions is a step in the selling process that comes before the final purchase
transaction.
b.
Customers are more likely to remember what salespeople say rather than how they present themselves in their
sales presentation.
c.
Formal presentation is an ineffective tool to answering customer’s needs.
d.
The quality of both the sales proposal and the sales presentation can make or break the sale.
73. Briefly explain the impact of technology on personal selling.
74. Discuss the lead qualification step of sales process and different ways in which leads are qualified.
75. Describe how the relationship selling model differs from traditional (or transactional) personal selling.
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