ch. 7 (b)

Orders by business customers tend to be much ________ than individual consumer sales. (smaller or larger)

larger

________ is an arrangement unique to business marketing in which two organizations agree to buy from each other.

reciprocity

T/F: With business purchase decisions, only a few people or departments in the purchasing organization are involved.

*false* With business purchase decisions, several people or departments in the purchasing organization are often involved.

NAICS divides industrial activity into ____ sectors with 1,170 industry classifications.

20

Which of the following NAICS codes gives you the most detail? 31-33 or 334111

334111

NAICS stands for....

North American Industry Classification System

The _______ _______ _______ ________ ________ is an industry classification system that generates comparable statistics among the United States, Canada, and Mexico.

North American Industry Classification System (NAICS)

Purchasing decisions for businesses are often made by _________.

committee

With business purchase decisions, products may need to be _______ built to meet the specific needs of a customer.

custom

Some business purchases involve ________ items, such as complex military systems.

expensive

The NAICS classification is based on ________ ________.

production activities

Discussions and negotiations associated with business purchases can require considerable marketing ______ and ________ ________.

time and selling effort

T/F: NAICS is similar to the International Standard Industrial Classification (ISIC) system used in Europe.

true

T/F: Product orders made by businesses are frequently large and expensive.

true