350 CHAPTER 6

__________ is a business buying situation in which the buyer routinely reorders something without any modifications.

Straight rebuy

A business buying situation in which the buyer reorders something without any modifications is known as a​ __________

Straight rebuy (There are three major types of buying​ situations: straight​ rebuys, modified​ rebuys, and new tasks. In a straight​ rebuy, the buyer reorders something without any modifications. It is usually handled on a routine basis by the purchasing department.)

__________ is the stage of the business buying process in which the buyer reviews proposals and selects a supplier or suppliers.

Supplier selection

__________ refers to buying a packaged solution to a problem from a single seller, thus avoiding all the separate decisions involved in a complex buying situation.

Systems selling

Which of the following happens in the proposal solicitation stage of the business buying process?

The buyer invites qualified suppliers to submit proposals.

Supplier search is the stage of the business buying process in which __________.

The buyer tries to find the best vendors

Business buyer behavior is best defined as __________.

The buying behavior for organizations that buy goods and services for use in the production of other products and services that are sold, rented, or supplied to others

In the business buying process, product specification is the stage in which __________.

The buying organization decides on and specifies the best technical product characteristic for a needed item

________ is the federal, state, and local units that purchase or rent goods and services for carrying out the main functions of government.

The government market

Which of the following statements is not a difference between business markets and consumer​ markets?

The market is very small and limited. (The business market is huge-larger than the consumer market)

Which of the following describes systems selling?

The purchase of a packaged solution to a problem from a single seller, thus avoiding all the separate decisions involved in a complex buying situation

What is supplier development?

The systematic development of networks of supplier-partners to ensure an appropriate and dependable supply of products and materials used in making products or reselling to others

New task is __________.

A business buying situation in which the buyer purchases a product or service for the first time

In the business buying process, performance review is the stage in which the buyer __________.

Assesses the performance of the supplier and decides to continue, modify, or drop the arrangement

__________ refers to the buying behavior for organizations that buy goods and services for use in the production of other products and services that are sold, rented, or supplied to others.

Business buyer behavior

Which term refers to how business buyers determine which products and services their organizations need to purchase and involves finding, evaluating, and choosing among alternative suppliers and brands?

Business buying process

__________ are people in an organization's buying center who make an actual purchase.

Buyers

Institutional markets are​ __________.

Characterized by low​ budget, captive patrons (Institutional markets are characterized by low budgets and captive patrons. The institutional market consists of​ schools, hospitals, nursing​ homes, prisons, and other institutions that provide goods and services to people in their care. Institutions differ from one another in their sponsors and their objectives.)

__________ are people in an organization's buying center who have formal or informal power to select or approve the final suppliers.

Deciders

General need description is the stage of the business buying process in which a buyer __________.

Describes the general characteristics and quantity of a needed item

Hospital purchasing agents should prefer​ __________.

Food venors with low prices and qualirt products (The hospital purchasing agent must search for institutional food vendors whose quality meets or exceeds a certain minimum standard and whose prices are low.)

Developing product specifications follows​ __________ in the business buyer decision process.

General need description (having recognized a​ need, the buyer next prepares a general need description that describes the characteristics and quantity of the needed item.)

Business markets have demand that​ is __________.

Inelastic (Business markets have inelastic and fluctuating demand. The total demand for many business products is not much affected by price changes. The demand for many business goods and services tends to change morelong dashand more quicklylong dashthan does the demand for consumer goods and services. A small percentage increase in consumer demand can cause large increases in business demand.)

​__________ are members of the buying center who help define specifications and provide information for evaluating alternatives.

Influencers (Influencers often help define specifications and also provide information for evaluating alternatives. Technical personnel are particularly important influencers)

Which of the following includes schools, hospitals, nursing homes, prisons, and other institutions that provide goods and services to people in their care?

Institutional market

The rapidly expanding use of​ e-procurement in​ business-to-business deals provides several​ advantages; however, one of the disadvantages is​ __________.

It pits suppliers against one another (Buyers now use the power of the Internet to pit suppliers against one another and search out better​ deals, products, and turnaround times on a​ purchase-by-purchase basis.)

Which of the following is a business buying situation in which the buyer wants to alter product specifications, prices, terms, or suppliers?

Modified Rebuy

​__________ includes the final order with the chosen supplier or suppliers and lists other required items.

Order routine specification (Order-routine specifications include the final order with the chosen supplier or suppliers and lists items such as technical​ specifications, quantity​ needed, expected delivery​ time, return​ policies, and warranties.)

Which of the following describes influencers

People in an organization's buying center who affect the buying decision; they often help define specifications and also provide information for evaluating alternatives

__________ is the stage of the business buying process in which the buyer invites qualified suppliers to submit proposals.

Proposal solicitation

To do​ e-procurement, companies can conduct ​__________​, in which they put their purchasing requests online and invite suppliers to bid for the business.

Reverse auction (In reverse​ auctions, companies put their purchasing requests online and invite suppliers to bid for the business.)

__________ are members of the buying organization who will actually use the purchased product or service.

Users

Order-routine specification is the stage of the business buying process in which the buyer __________.

Writes the final order with the chosen supplier(s), listing the technical specifications, quantity needed, expected time of delivery, return policies, and warranties