75) To manage costs, most companies are choosing a leveraged sales force that focuses reps on
selling the company’s more complex and customized products to large accounts and uses inside
salespeople and online ordering for low-end selling.
76) Demand creators are not permitted to take an order but expected rather to build goodwill or
educate the actual or potential user.
77) Targeting refers to the process of deciding which customers will get scarce products during
product shortages.
78) Information gathering refers to the act of conducting market research and doing intelligence
work.
79) The term sales representative covers a broad range of positions, tasks, and responsibilities.
List and briefly describe each of the positions.
80) Briefly explain the various tasks that the salespeople of an organization perform.
81) Jack is the sales representative of a company that designs and installs modular kitchens. The
company’s salesforce is trained to customize their offerings as per customer requirements. After
analyzing factors such as the space available and the budget, Jack provides personalized designs
to individual customers. What kind of a salesperson is Jack? Briefly explain your answer.
82) You are appointed as the B-to-B sales representative of a manufacturing company. What are
the various tasks that you will have to perform as a B-to-B salesperson?
83) You are the sales manager of a company that manufactures and markets server computers.
The company’s products require high-involvement from the sellers and require salespeople to
provide complex and technical information. What kind of a compensation structure do you select
for your sales representatives?
84) The process of deciding how to allocate company’s time among prospects and customers is
called ________.
A) targeting
B) prospecting
C) allocating
D) dispersing
E) delegating
85) Which of the following refers to the process of deciding which customers will get scarce
products during product shortages?
A) delegating
B) prospecting
C) allocating
D) dispersing
E) targeting
86) A company uses sales representatives for selling the company’s more complex and
customized products to large accounts, while using inside salespeople and Web ordering for low-
end selling. Which of the following describes the company’s sales force best?
A) demand creators
B) direct marketing force
C) missionary sellers
D) technical salesforce
E) leveraged salesforce
87) Your company has customer-service representatives who provide you with leads, write up
proposals, fulfill orders, and provide post-sales support. Your responsibilities are to concentrate
on the larger accounts with more complex and customized needs. Your company most likely has
a ________ salesforce.
A) distributive
B) territory based
C) leveraged
D) decentralized
E) parallel
88) A medical “detailer” that represents an ethical pharmaceutical house, who builds goodwill or
educates the actual or potential user but is not permitted to take an order, is an example of a
________.
A) missionary salesperson
B) technician
C) demand creator
D) solution vendor
E) deliverer
89) Consulting on problems, rendering technical assistance, arranging financing, and expediting
delivery are examples of the ________ task in the selling context.
A) information gathering
B) targeting
C) communicating
D) servicing
E) allocating
90) ________ sales force consists of manufacturers’ reps, sales agents, and brokers who earn a
commission based on sales.
A) Virtual
B) Domestic
C) Contingent
D) Contractual
E) Decentralized
91) Part-time paid employees who work exclusively for the company are a part of the ________
sales force.
A) direct
B) virtual
C) contractual
D) implicit
E) brokered
92) Fixed compensation receives more emphasis in sales rep jobs with ________.
A) a high ratio of selling to nonselling duties
B) a high requirement for individual initiatives
C) an intensive focus on selling activities
D) very little need for teamwork
E) technical complexities
93) Identify the first step in the workload approach to establish sales force size.
A) grouping customers into size classes according to annual sales volume
B) establishing desirable call frequencies for each customer class
C) determining the total workload for the country in terms of sales calls per year
D) determining the average number of calls a sales representative can make per year
E) calculating the total number of sales reps needed
94) Which of the following sales positions is most likely to have fixed compensation?
A) an FMCG salesperson selling to supermarkets
B) a salesperson who handles the industrial customers
C) an insurance agent who works part time
D) a service representative in charge of handling incoming customer queries
E) a telemarketer calling up existing customers to bring in additional sales
95) Which of the following is NOT a main part of managing the sales force?
A) recruiting and selecting sales representatives
B) identifying prospects for sales representatives
C) training sales representatives
D) motivating sales representatives
E) evaluating sales representatives
96) ________ helps sales representatives understand how they spend their time and how they
might increase their productivity.
A) Time-and-duty analysis
B) A sales quota
C) A feed-forward approach
D) An expense allowance
E) A norm for prospect calls
97) Kate is coaching members of her field sales team to help them understand how they spend
their time and how they might increase their productivity. She is using ________ to provide them
with feedback.
A) time-and-duty analysis
B) a sales quota
C) a feed-forward approach
D) an expense allowance
E) a norm for prospect calls
98) Key indicators of sales performance include all of the following EXCEPT ________.
A) average number of sales calls per salesperson per day
B) average revenue per sales call
C) advanced marketing cost per sales call
D) average cost per sales call
E) entertainment cost per sales call
99) Which of the following is NOT one of the advantages of inside selling?
A) Inside selling is less expensive than in-person selling.
B) Inside salespeople spend more time checking inventory.
C) Inside salespeople spend more time following up orders.
D) Inside salespeople spend more time phoning smaller accounts.
E) All of the above are advantages.
100) Which of the following statements about technology support for salespeople is NOT true?
A) Computer-based decision support systems have been created for sales manager and sales
representatives.
B) A Web site can help define a firm’s relationships with individual accounts and identify those
whose business warrants a personal sales call.
C) Social media is useful in front-end prospecting and lead qualification.
D) Social media is useful in back-end relationship building and management.
E) All of the above are true.
101) Compensation plans may need to vary depending on the type of salespersons. Which type
of salesperson benefits from no ceiling or caps on commissions, overachievement commissions
for exceeding quotas, and prize structures that allow multiple winners?
A) stars
B) core performers
C) dogs
D) cash cows
E) laggards
102) Randi is most motivated when there is no ceiling or caps on her commissions, she can earn
overachievement commissions for exceeding quotas, and benefits from prize structures that
allow multiple winners. She is probably a ________.
A) star
B) core performer
C) dog
D) cash cow
E) laggard
103) Compensation plans may need to vary depending on the type of salespersons. Which type
of salesperson benefits from multi-tier targets that serve as stepping stones for achievement and
sales contests with prizes that vary in nature and value?
A) stars
B) core performers
C) dogs
D) cash cows
E) laggards
104) Compensation plans may need to vary depending on the type of salespersons. Which type
of salesperson benefits from consistent quarterly bonuses and social pressure?
A) stars
B) core performers
C) dogs
D) cash cows
E) laggards
105) Company call center executives provide procedural information to clients who call in about
the specifications and operation of the product. These call center employees can be called
________.
A) technical support people
B) sales assistants
C) telemarketers
D) deliverers
E) consultants
106) A contractual sales force consists of part-time employees who work exclusively for the
company.
107) A company that sells one product line to one end-using industry with customers in many
locations would use product or market structure for its salesforce.
108) The first step in the workload approach for designing salesforce size is to establish desirable
call frequencies for each customer class.
109) The fixed amount in a salesperson’s salary is primarily designed to stimulate and reward
efforts from salespeople.
110) Variable compensation is common in jobs where the selling task is technically complex and
requires teamwork.
111) What key indicators of sales performance do sales managers extract from call reports?
112) What can you learn from John Smith from the sales report reflected in the table?