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Chapter 07
Test Bank
1. Business-to-business marketing refers to buying and selling goods or services to consumers.
2. B2B marketing involves manufacturers, wholesalers, and service firms.
3. Resellers differ from producers in that resellers significantly alter the form of goods they sell.
4. The B2B buying process tends to be more formal than B2C buying.
5. The RFP process is used by buyers to allow customer input into value creation.
6. The final step of the business-to-business buying process is a formal vendor performance analysis.
7. Organizational culture may vary by geography.
8. Most B2B buying situations can be categorized into three categories: new buys, structured rebuys, and automatic rebuys.
9. In both new buy and straight rebuy situations, several members of a buying center will be intensely involved in the purchasing decision.
10. An architect working for a large firm requests specific computer software to produce designs, drawings, and other technical information for his
clients. The architect probably serves as a gatekeeper in the buying center.
11. A buying center whose members reach a decision based on a collective agreement is known as an autocratic buying center.
12. A small business decides to upgrade its aging phone system. The business will probably place a straight rebuy order.
13. When the Toyota Prius first entered the marketplace, dealers kept waiting lists of people wanting one and the factories had to ramp up production
and order more raw materials. This is an example of derived demand.
14. Fabricworld buys fabric from China and sells it to clothing manufacturers in the United States. Fabricworld is a retailer.
15. Public institutions do not engage in B2B relationships.
16. Formal performance evaluations of the vendor and the products sold generally occur in the B2C buying process.
17. The local school district realized it needed to upgrade the computers in the school libraries. This represents the product specification stage of the
B2B buying process.
18. A small business may use a web portal as a means of forming a supply chain that can respond to its needs.
19. Once a vendor receives an order from a firm, it responds by immediately filling the order.
20. As the owner of a small business with 60 employees that makes custom floor mats, Paul makes all of the buying decisions. Paul is most likely the
user.
21. When you go to the hospital for an operation, you are the decider in the buying process.
22. Consultative buying centers use one person to make a decision but solicit input from others before doing so.
23. LinkedIn is useful for networking in the B2B marketplace, but Twitter is not typically used.
24. As Daphne's business grew, she needed to find a new way to manage payroll for her employees, so she researched payroll companies to see which
one would best meet her needs. Daphne was involved in a new buy situation.
25. Neighbors Bicycles needed more bicycle seats. It decided to order gel seats in addition to the traditional seats it had always ordered. This is a straight
rebuy.
26. Business-to-business marketing involves buying and selling goods or services by all of the following except
27. Derek bought a pickup truck to transport his equipment to fishing tournaments. He also bought a trailer for his lawn maintenance business. His
purchases were
28. Jackie works as a sales rep for a company that produces and sells steel used in building construction. Jackie is in __________ sales.
29. Sales of electric components manufactured by Rick's company depend on sales of new cars. Rick's company faces __________ demand.
30. Paula has developed a successful business selling appliances to homebuilders. She carefully monitors the issuance of new home permits to
anticipate how many appliances she will need to buy in order to supply her customers. Paula is concerned with __________ demand.
31. Whether targeting consumers or resellers, marketers need to focus on
32. Unlike manufacturers, __________ buy products from other businesses but do not significantly alter the form of the products they buy before selling
33. A __________ is a type of reseller, a business that buys from other businesses but does not significantly alter the form of the products it buys.
34. Malcolm buys overrun clothing from factories around the South. He sells the clothes to discount retailers. Malcolm is a
35. Hospitals, schools, and religious organizations are examples of __________ buyers.
36. Which of the following is an example of an institutional buyer?
37. Which of the following is an example of a government buyer?
38. In most countries, __________ is(are) among the largest purchasers of goods and services.
39. Both the B2B and B2C buying processes begin with
40. Compared to the B2C process, the information search and alternative evaluation steps in the B2B process are
41. Typically, B2B buyers ask potential suppliers to
42. B2B buying decisions are often made by
43. When Goodwish Marketing decided to upgrade its computer network, many people were involved in the decision. In B2B buying systems, decisions
are often made
44. Judy knows it is important to approach business buyers at the right time, often during the first stage of their buying process, which is
45. After need recognition, a business develops __________ that suppliers might use to develop their proposals.
46. After Hurricane Katrina, many states reevaluated their coastal area building requirements. These new building codes represented __________ that
building materials companies used to develop new products.
47. Charlie is hoping to get a chance to bid on supplying key components to Ned's business. He is eager to move forward, but he must wait until
48. After need recognition and product specification, many firms using the B2B buying process
49. During the RFP stage, B2B buyers
50. The process through which organizations invite alternative vendors or suppliers to bid on supplying their required components or specifications is
formally referred to as
51. After posting an RFP for telecommunications equipment, USF Corporation received six proposals from qualified vendors. Next, USF will
52. The buying center for USF Corporation is in the process of discussing price, quality, and delivery schedules with potential suppliers. They are in the
__________ stage of the business-to-business buying process.
53. An Internet site whose purpose is to be a major starting point for users when they connect to the web and is often used by smaller companies in the
RFP process is referred to as a(n)
54. Frieda has just received a major order from Northrop Corporation for her firm's hydraulic lift equipment. After reviewing the order information,
Frieda will
55. The final stage in the business-to-business buying process is to
56. As purchasing manager for Avalon Electronics, Carrie is required to submit a vendor performance analysis every three months. To meet this
requirement, Carrie will most likely
57. In most large organizations, several people are responsible for making a purchase decision. This group is called the
58. When you purchase a book on Amazon, you generally have two choices: Buy it directly from Amazon, or purchase it through Amazon but from a
third-party vendor. If you go the direct route, Amazon has already purchased the book from a publisher and is holding it in an Amazon fulfillment
center—a _______ transaction. If you take the third-party route, Amazon acts as an agent for the supplier and takes a commission of about 10 percent of
the value of the merchandise for the right to sell it on Amazon’s platform—a ______ transaction.
59. Melanie is the director of human resources for a small manufacturing firm. She has a strong personal interest in technology, and is known
throughout the firm as the one with the most knowledge about new kinds of communications technologies. If the firm decides to upgrade its network,
Melanie will probably function in what role in the firm's buying center?
60. Raycom Construction needs heavy-duty equipment to install a new pipeline in northern Alaska. Raycom's engineers have been asked to provide
detailed specifications and recommendations for the equipment needed. The Raycom engineers will primarily play the __________ role in the
company's buying center.
61. At many universities, education faculty members were among the first to ask for personal computers. These faculty members were __________ in
the buying center.
62. Raycom Construction needs heavy-duty equipment to install a new pipeline in northern Alaska. After a vendor is chosen, Reginald will handle the
paperwork and send out the purchase order. Reginald plays the role of __________ in the buying center.
63. Kim is the sales representative for a major textbook publisher. When she calls on the business faculty at General University, her first stop is to chat
with Frank, the business department secretary. From Frank, Kim learns which professors have left the university or have newly arrived. Frank also helps
Kim make appointments to see professors to discuss textbook choices. Frank acts as the __________ in the business department buying center.
64. Kim is the sales representative for a major textbook publisher. When she calls on the business faculty at General University, she also tries to meet
with several students to get their feedback on textbooks. She passes this feedback to her managers to guide the development of the publisher's future
textbooks. The students are the __________ in the buying center.
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65. Many health insurance policies require patients to call and get preapproval for tests or procedures. The health insurance company acts as a(n)
__________ for the purchase of these medical services.
66. Unlike a firm's mission statement or employee handbook, a firm's organizational culture often
67. A firm's organizational culture reflects
68. While no one in the firm has discussed it, Brad notices everyone else seems to dress more casually on Fridays during the summer. Brad is observing
part of his firm's
69. While training for her new job as a pharmaceutical sales representative, Mallory spent several days shadowing an experienced company rep. She
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watched the rep focusing on the benefits of the new drugs while not volunteering pricing information, side effects, or comparison data. Mallory assumed
that this reflected part of the pharmaceutical firm's
70. All of the following are general types of organizational cultures except
71. The customer whom Carlotta is calling on today has a(n) __________ buying center culture. This means that the decision process will involve
reaching agreement among all members of the buying center.
72. Markham Publishing is known for its consultative buying center culture. Recognizing this corporate culture, someone attempting to sell to Markham
Publishing should
73. Fordham Hardware is known for its consensus buying center culture. Recognizing this corporate culture, someone attempting to sell to Fordham
Hardware should
74. At the main campus of a large university, faculty always refer to one another as "Dr.," wear suits, and guard their academic domains against one
another. This leads to frequent name-calling and strenuous debates. Meanwhile, at the various branch campuses, faculty members call one another by
their first names, dress casually, and support one another's scholarly efforts. This example illustrates the differences in __________ that can exist within
an organization.
75. Not knowing the roles of key players in the buying process could cause a sales representative to
76. When Leanne gave her presentation to the BigDeal buying center team, she focused on answering Beverly's questions, since she is the decision
maker. What type of buying center does BigDeal employ?
