NS EXAM 1
According to the quadrants of the social style matrix, which of the following best describes amiables?
They are particularly interested in receiving guarantees about a product's performance
According to the social style matrix, which of the following best describes drivers?
They are swift and efficient decision makers
According to the quadrants of the social style matrix, which of the following should salespeople do when selling to expressives?
They should demonstrate how their product will help the customers achieve personal status and recognition.
An automobile firm wants to purchase either machine A or machine B. The initial cost of machines A and B are $40,000 and $50,000, respectively. The power consumption per year of machines A and B are 120 MWh and 100 MWh, respectively. The power cost is $40/MWh. The estimated life of both machines is 10 years. The estimated operating and maintenance cost over 10 years is $30,000 for machine A and $20,000 for machine B. According to the life-cycle costing approach, the overall cost of machines A and B are:
$118,000 and $110,000, respectively.
Which of the following types of purchase situations requires a longer time compared with others to arrive at a purchase decision in an organizational buying decision process?
A new-task situation
Which of the following types of purchase situations requires the least number of people in the organizational buying decision process?
A straight rebuy situation
Using the life-cycle costing approach, salespeople can demonstrate that:
a product with a higher initial cost will have lower overall costs.
Which of the following members of the buying center would typically be involved in a value analysis?
-A representative from the engineering department -Members of the purchasing department -Technical experts from the production department -Technical experts from the quality control department
Alia is the logistics manager of a firm. She has recognized that her firm's poor performance is because of the faulty supply chain management software that the firm is currently using. According to the organizational buying process, which of the following should Alia do next?
Alia should define the type of management software needed.
James is best described as a risk avoider who moves deliberately and speaks slowly. He is supportive by nature, cool and aloof, and never shows any emotion. In which of the following quadrants of the social style matrix does James most likely belong?
Analyticals
According to the quadrants of the social style matrix, identify a similarity between analyticals and amiables.
Both tend to develop loyalty toward suppliers.
Which of the following statements is true about the importance of knowledge in adaptive selling?
By developing categories of customer types or types of sales situations, salespeople free up their mental capacity to think more creatively
Which of the following is usually considered a major financial commitment for manufacturers?
Capital equipment items
According to the quadrants of the social style matrix, which of the following best describes analyticals?
They are low on assertiveness and low on responsiveness
When firms want to influence the perceived value of one of its products among customers, which of the following strategies is typically used as a last resort?
Decreasing the price of the product
In the context of changing the perceived value of a product, which of the following could be considered a dangerous strategy if employed by a salesperson?
Decreasing the rating of a competitive product
Kevin works as a salesperson in a company that manufactures and sells luxury cars. He wants to present a luxury car to Simone, the owner of a luxury car showroom. The customer database team has informed him that she belongs to the expressive quadrant of the social style matrix. What should Kevin do to close the deal?
He should inform Simone that the car will be launched at her showroom
electronic data interchange
It allows suppliers to handle inventory in industrial settings.
Which of the following is a benefit of the standard memorized sales presentation?
It ensures that salespeople will provide complete and accurate information about their firm's products and policies
In the context of the most common sales presentation types, which of the following statements is true about the customized presentation?
It lets the salesperson demonstrate empathy.
In the context of the most common sales presentation types, which of the following statements is true about the standard memorized presentation?
Its effectiveness is limited because it offers no opportunity for the salesperson to tailor the presentation to the needs of a specific customer
According to the quadrants of the social style matrix, which of the following best exemplifies an analytical prospect?
Kimaya, who leans backward during a sales presentation
The need for risk reduction is one of the factors affecting an individual making an organizational buying decision. What can a salesperson do to help reduce the risk?
Provide the buyer with product information from independent sources not connected with the company for which the salesperson works
Which of the following statements best describes style flexing?
Salespeople adjust their behavior to mirror or match that of their customers.
According to the quadrants of the social style matrix, which of the following best describes analytical salespeople?
They are orderly, serious, and thorough
To develop the close coordination needed for just-in-time (JIT) inventory control systems, manufacturers tend to rely on one supplier. Based on which criterion is the supplier selected?
The ability to be flexible
Jimmy works as a salesperson with Encyclopedia Inc. and usually visits his clients' homes to sell his company's books. During all his client visits, he talks about his company, informs clients about the unique features of the books, and asks the same set of questions. Over a period of time, he has realized that memorizing the sales pitch and delivering it word for word has helped him perform his task better. Which of the following has most likely helped Jimmy improve his performance in this scenario?
The standard memorized presentation
The supervisor of an automated teller machine (ATM) facility learns that the machine is not functioning efficiently because it uses an old software. According to the organizational decision buying process, which of the following should the supervisor do next?
The supervisor should identify and define the type of update needed
Which of the following best describes responsive people?
They are informal and casual in social situations.
According to the quadrants of the social style matrix, which of the following should salespeople do when selling to amiables?
They should stress their product's benefits in terms of its effects on the satisfaction of employees.
To reduce the uncertainty and risk involved in buying raw materials from multiple vendors, Miguel always buys the raw materials for his firm from a preferred vendor. From the perspective of an out-supplier, Miguel's account would be treated as:
a "lost for good" account.
On her first day as a salesperson, Barbara was given a written sales presentation and asked to learn it so that she could recite it while talking to her prospects. Her sales manager insisted that she deliver this presentation word for word. In this scenario, Barbara will most likely be using _____ presentation during her sales calls.
a standard memorized
Effective selling to government agencies requires:
a thorough knowledge of their unique procurement procedures and rules
During a sales presentation to the owner of Harold's Dress Shop about a window display, Scott realizes by observing nonverbal behaviors that the owner wants something different. Scott asks, "Would you be interested in a window display with less clutter that showcases some of your more expensive items?" When the owner confirms, Scott modifies his existing sales strategy to incorporate the owner's ideas for the window display. In this scenario, Scott is most likely practicing _____ selling
adaptive
Tony works as a salesperson at Franklin Delights, a company that specializes in labor-saving kitchen appliances. When Tony gives a presentation to the owner of a small but popular diner, he actually demonstrates how swiftly one can chop, slice, or grate vegetables and fruits using his company's product. However, when selling the same product to a luxury hotel, he informs the hotel manager about his existing client base. This ability to vary his sales presentation indicates that Tony is practicing _____ selling
adaptive
Luisa has worked as a salesperson for almost three years. During this period, she has learned that different sales presentations are necessary for different customers. She has often changed her presentation depending on the nature of the selling situation. In this scenario, Luisa is most likely using:
adaptive selling
Jackson likes his major parts supplier for his automobile repair business but always buys some of the parts from another competitor. Jackson is using a(n) _____ strategy.
always a share
Jake, a sales trainee, has been working with his manager Tiana for almost a year. He has been helping her prepare presentations and accompanying her during all her sales presentations. During this period, Tiana has found him to be consistently dependable, supportive, and personable. However, she has noticed that he is usually undisciplined and rigid. According to the quadrants of the social style matrix, Jake is most likely a(n) _____ salesperson.
amiable
Each quadrant of the social style matrix defines a different type of personality. People who are low on assertiveness and high on responsiveness are called:
amiables
"With your gardening background, Ms. Black, I am sure you can see the time and energy you will save by investing in this new self-propelled tiller. You can work on an even bigger vegetable garden with the same energy, and have more vegetables to sell. You will be able to easily repay the initial investment after the first year, even when we factor in an assumed rate of interest of 12.5 percent." Based on the details provided in the salesperson's presentation here, Ms. Black most likely belongs to the _____ quadrant of the social style matrix.
analyticals
Moira and Mariah are sisters. Both of them are risk avoiders. They speak slowly and softly in a monotone voice, move stiffly, and use few gestures. Both of them dislike people who tend to be slow, late, and inconsistent. They don't like the idea of dressing casually to work, and they appreciate lectures that include lots of facts and figures. According to the quadrants of the social style matrix, Moira and Mariah are most likely to be classified as
analyticals
Unlike more responsive people, less responsive people _____.
are disciplined about time
Unlike less versatile people, more versatile people _____
are unpredictable
The degree to which people have opinions about issues and publicly make their positions clear to others is called _____.
assertiveness
In the social style matrix, the two critical dimensions used to understand social behavior are:
assertiveness and responsiveness
Rock-Tenn Corporation continually receives data on production schedules from its customers. It uses the information to determine the quantity of boxes to be shipped to them. Rock-Tenn has established a(n) _____ relationship with its customers.
automatic replenishment (AR)
Neil wants to buy raw materials for his automobile firm. After identifying the type of raw materials needed and their specifications, he compiles a list of new vendors. During the buying process, he becomes more involved with a specific vendor and focuses his attention more on buying from that vendor than from other vendors. This is an example of
creeping commitment
As part of his job, Leon travels from one prospective client's location to another and performs detailed analyses of their operations. Based on the data, he then helps his team prepare presentations on how the company's products can improve the clients' business. This scenario best exemplifies _____ presentations
customized
Before Harley can make a(n) _____ presentation, he will need cooperation from his clients to conduct an analysis of their needs
customized
Before Janice calls her clients to sell her company's UPS system, she collects information about what they need. During her sales presentation, she focuses on the individual power consumption and power backup needs of her clients and explains how purchasing her company's product will be beneficial for their operations. In this scenario, Janice most likely uses the _____ method of sales presentations
customized
In the context of the most common sales presentation types, salespeople have the greatest opportunity to adapt their presentations to customer needs when using the _____ presentation.
customized
A hospital is considering changing its supplier of replacement joints. While surgeons make the final decision, the hospital's purchasing department is promoting Kyocera because it manufactures one of the cheapest and most durable hip joints on the market. In terms of the buying center, the purchasing department is a(n):
decider
Almac Aluminum is a large manufacturer of can sheets that are used to manufacture beverage cans. Its ability to sell to Pearl Brewing Company is directly related to how many people buy Pearl Beer. This is an example of:
derived demand
Salespeople need to understand that purchases made by their customers' customers are based on:
derived demand
Weston makes uniforms and overalls for employees in any industry where there is a risk of fire injury. It uses fabric from Indie Fabric Co. for all of the uniforms it manufactures. If there is a decrease in the demand for products in the chemical industry, then there will be a decrease in employment in that industry. This will lead to a decrease in the demand for Weston's uniforms. Since fewer uniforms will be needed, the sales for Indie Fabric will decrease. This is an example of
derived demand
"Your approach on that last call was off target. You emphasized low acquisition cost, while the prospect seemed more interested in durability and minimizing the need for regular maintenance," critiqued Robin's sales manager when evaluating a sales call they had made together. In this scenario, Robin is receiving _____ feedback
diagnostic
Even before Michelle could explain why a prospect had not purchased her company's new line of eco-friendly outdoor furniture, her supervisor started explaining how she should have emphasized the fact that the furniture is made through a revolutionary recycling process and that the prices are justified by the furniture's quality and eco-friendly nature. In this scenario, the supervisor provided Michelle with _____ feedback by telling her how she could make better sales presentations.
diagnostic
_____ feedback provides information about what you are doing right and what you are doing wrong.
diagnostic
When Marty met his supervisor for his quarterly review, the supervisor congratulated him on closing 4 out of 6 sales deals. The manager also wished him luck for the next quarter. However, Marty wanted his supervisor to help him figure out why he had been unable to close the other deals. In this scenario, Marty wanted _____ feedback, but his supervisor gave him _____ feedback.
diagnostic; performance
Kenneth, the operations manager of a cosmetic firm, rejects a particular promotional strategy for use by the firm because he estimates that the financial costs of conducting such a campaign would be extremely high and the strategy would yield no return. According to Miller and Heiman, Kenneth is most likely a(n):
economic influencer
According to the quadrants of the social style matrix, _____ is most likely a strength of driver salespeople.
efficiency
Hammond Inc. supplies its retailers with handheld Crownlink electronic data interchange terminals. All of its retailers use these terminals to transmit merchandise orders to Hammond in Kansas City. Their inventories are always stocked as needed. Shipments are made daily as required by individual retailers. This is an example of a(n) _____ system.
efficient consumer response
TMV Auto uses a computer-to-computer linkage, called HarpLink, to manage its annual export of 65,000 vehicles. HarpLink provides worldwide control, invoicing, and information about ports, carriers, and custom documentation. HarpLink exemplifies _____.
electronic data interchange
The business environment is changing dramatically, and organizational buying is also changing. As organizations are pressured to improve product quality, control costs, and minimize inventory, they are:
elevating their purchasing directors to reflect the increasing importance of this function.
Ruth markets rock concerts. She is looking for a company that will handle all of the various mailing needed to promote the purchase of concert tickets. She wants to use Graham Mail House because she is a good friend of the mailing house's operations manager, but others involved in the decision making want to take bids from other mailing houses. In this example, Ruth is expressing a(n) _____ need in the buying process.
emotional
The evaluation and selection of products and suppliers are affected by the needs of both the organization and the individuals making the decision. These needs are categorized as:
emotional and rational
According to the quadrants of the social style matrix, which of the following is most likely a strength of expressive salespeople?
enthusiasm and creativity
The last step in the organizational buying process is the:
evaluation of product performance.
When Kerry went to meet a new prospect, he found that the prospect was dressed in a flamboyant suit and his office had an open and friendly atmosphere. His desk was quite cluttered and unorganized. Furthermore, Kerry noticed the prospect waving at and greeting subordinates throughout the sales presentation. Kerry's prospect will most likely fall under the category of _____ according to the social style matrix.
expressiveness
_____ control the flow of information and limit the alternatives considered in the organizational buying decision process.
gatekeeper
Studies have shown that using customer relationship management systems:
has a positive impact on being adaptive while selling.
Eva is considering adding new products to her store and is concerned about her profit margin. She is concerned about:
how much she will make on each sale.
instead of using her company's standard presentation, Fiona has developed an outline presentation. She knows an outline presentation has the advantage of being:
informal and natural
Mike's Autos uses a supply chain management system to schedule the delivery of auto parts to arrive at its plants exactly thirty minutes before the parts are to be used in the assembly process. The company uses a(n) _____ system.
just-in-time inventory control
Automatic replenishment (AR) and electronic data interchange (EDI) are elements of:
just-in-time inventory control.
Ryan wants a vendor who will provide ingredients for his restaurant each day according to the number of reservations he has for that evening. Ryan is looking for a vendor who will provide:=
just-in-time inventory control.
Foster has decided to buy all his maintenance, repair, and overhaul (MRO) supplies from Alexia's Supply House. For competitors, Foster's account is:
lost for good.
Some companies insist that their inside salespeople:
memorize the entire sales presentation and deliver it word for word
A salesperson for the Big Apple Sign Corporation was trying to get the owner of a hardware store to buy a new kind of advertising tool called floor graphics—an opaque vinyl film that applies directly to the floor, is easy to remove, and can be used to promote in-store specials. Since the store owner has purchased advertising before—just not this particular kind of advertising tool—this is an example of a _____ situation.
modified rebuy
Handell has established a small company that manufactures decorative items for homes. One of the company's latest items is a line of thermometers reproduced from ones that were given away for free before World War II. Since quality is essential to the company's success, it has spent a great deal of time and effort locating the best suppliers for the metal, wood, paint, and mercury for its first round of production. The purchase of these components would be an example of a _____ buying situation.
new task
Plasto is a Spanish company that manufactures stadium seating for sports venues. It is one of many such manufacturers. The city of Marsia, which is going to host the next Olympic Games, forms a committee to make purchases of equipment that would be required at its venues. The committee has limited knowledge of the available products, but eventually decides to purchase Plasto stadium seating for the venues. This purchase by the recently formed committee is an example of a _____ situation.
new-task
In the context of the social style matrix, the best social style for a salesperson is that of a(n):
not expressive, analytical, amiable, driver
When identifying customers' social styles, Karen should
not let her own feelings cloud her judgment about a prospect's behavior.
When P.C. Logic, a fax machine manufacturer, purchases ceramic printing heads from Kyocera to install in its fax machines, it is acting as a(n):
original equipment manufacturer.
Harvey uses a prearranged presentation that includes a standard introduction and standard answers to common objections raised by customers. It also includes a standard method for getting a customer to place an order. In this scenario, Harvey is most likely using a(n) _____ presentation
outlined
As you enter a prospect's office, you see _____ and become fairly certain that you are dealing with a prospect who is most likely to be categorized as an amiable according to the social style matrix.
pictures of the prospect's family on the desk
A manufacturer of aquariums for consumers' homes is most likely to go through all eight steps of the organizational buying process when it is:
purchasing a new computerized inventory system.
The chief executive of Norell, an agency that supplies businesses with temporary workers, realizes that the health care industry requires temporary workers as much, if not more, as goods-oriented businesses. Which of the following stages of the buying process does this illustrate?
recognition of a need
_____ is a dimension of social style that is based on how emotional people tend to get in social situations.
responsiveness
Which of the following sources of information would customers usually view to be less credible than the others?
sales literature
The _____ matrix is a training program for building adaptive selling skills that uses two critical dimensions: assertiveness and responsiveness
social style
Maynard, the head of the research and development department of a pharmaceutical firm, rejects a new drug manufactured by the firm because the drug does not meet the required quality standards. According to Miller and Heiman, Maynard is most likely a(n)
technical influencer
_____ is similar to personal selling because it allows salespeople to tailor their presentations to each customer
the customized presentation
Regan wants to develop a long-term relationship with his customers. To accomplish this objective, Regan will need to pay close attention to:
the evaluation of product performance.
According to the quadrants of the social style matrix, a significant weakness of expressive salespeople is that:
they can seem opinionated, undisciplined, and unstable.
Clara is the head of the sales department of a firm. She wants to know the volume of sales generated by her sales department and how quickly the firm's products are sold in the regional market. In this case, Clara is most likely calculating the:
turnover of the products.
LifeStream Industries has used BrightLight light bulbs for years. When it needs new light bulbs, it uses a straight rebuy. The distributor of Tungsram LED light bulbs would like an opportunity to get his product considered by LifeStream. A(n) _____ would be particularly useful for Tungsram, the out-supplier.
value analysis
Vincent has been purchasing goods for his firm from a single supplier for many years. On every purchase, the supplier gives him reasonable discounts. Even though other vendors sell the same goods at lower rates, Vincent states that he has never considered an alternate supplier because the quality of goods provided by his existing supplier has always been exceptional. This is an example of:
vendor loyalty
The effort people make to increase the productivity of a relationship by adjusting to the needs of the other party is known as:
versatility