PMK review (chap 16-17)

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"45) The purpose of a training program for salespeople is to teach them about all of the following EXCEPT ." A) customers' buying habits B) customers' buying motives C) competitor strategies D) industry history E) company goals

Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

16) Which of the following questions is NOT asked when designing a sales force strategy and structure? A) Should salespeople sell in the field by phone or using online and social media? B) Should salespeople work alone or in teams with other company employees? C) How big should the sales force be? D) Should salespeople follow strict steps in the sales process? E) How should salespeople and their tasks be structured?

Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

109) Which of the following refers to a closing technique used by salespeople? A) asking customers for referrals B) developing solutions to customers' problems C) seeking out hidden objections D) reviewing points of agreement E) taking objections as opportunities to provide more information

Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Moderate

137) Which consumer promotion tool requires the consumer to provide a proof of purchase to the manufacturer? A) price packs B) coupons C) samples D) rebates E) displays

Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"51) are communities over the Internet where people congregate socialize and exchange views and information." A) Corporate Web sites B) Interactive television C) Digital catalogs D) Online social networks E) Content sponsorships

Answer: D AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

64) Sales force management refers to hiring and training the sales force.

Answer: FALSE AACSB: Written and oral communication Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

65) In the territorial sales force structure each salesperson is responsible for selling a single exclusive product across different geographical regions.

Answer: FALSE AACSB: Written and oral communication Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

9) All companies must have salespeople.

Answer: FALSE Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Easy

80) Social selling emphasizes personal contact between the company and its customers.

Answer: FALSE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

10) Direct marketing seldom occurs on a one-to-one interactive basis.

Answer: FALSE Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

60) Online-only companies are more successful than omni-channel marketing companies.

Answer: FALSE Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

79) Salespeople are only evaluated on the number of sales they close within a certain time frame.

Answer: FALSE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

119) The first step in the selling process is preapproach-learning about an organization and its buyers.

Answer: FALSE Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

122) In the follow-up stage of the selling process the salesperson asks the customer for an order.

Answer: FALSE Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

160) Sales promotion consists of long-term incentives to encourage the purchase of a product or service.

Answer: FALSE Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

161) Advertising specialties include displays and demonstrations that take place at the point of sale.

Answer: FALSE Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

163) Trade promotions are targeted at final buyers.

Answer: FALSE Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

11) Direct marketing through catalogs and direct mailers is still the primary method used by marketing professionals.

Answer: FALSE Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

164) Business promotions are used to generate business leads stimulate purchases reward customers and motivate salespeople.

Answer: TRUE Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

12) For customers the benefits of direct marketing are being able to shop online anytime and anywhere.

Answer: TRUE Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

19) Digital and traditional direct marketing forms must be blended into an integrated marketing communications program for best results.

Answer: TRUE Skill: Concept Objective: LO 17.2: Identify and discuss the major forms of direct and digital marketing. Difficulty: Easy

"147) Trade shows most likely help companies to ." A) maximize productivity B) find new sales leads C) trim overhead costs D) reduce the inside sales force E) shorten the selling process

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

73) Sales assistants confirm appointments follow up on deliveries and

answer customers' questions when outside salespeople cannot be reached. ,Answer: TRUE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

72) The inside sales force consists of salespeople who conduct business from their offices via telephone the Internet or visits from buyers.

Answer: TRUE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

162) Creating a brand-marketing event or serving as a sole or participating sponsor of events created by others is known as event marketing.

Answer: TRUE Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"41) Hannah Adams is a senior sales manager in Elmo Corp. a rapidly growing company manufacturing personal computers and printers. In order to handle sales effectively Hannah insists on using the services of different groups of people from different departments within the company such as the sales marketing technical support and finance departments. In this instance Hannah makes use of ." A) team selling B) competitive marketing intelligence C) hybrid selling D) occasion segmentation E) sales force automation systems

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

149) Why are people that are reached by direct mail better prospects for a company than those reached by mass media such as television or magazines?

Answer: Unlike mass media direct mail allows for high target-market selectivity so only consumers who are likely to become customers can be contacted in addition direct mail can be personalized for each individual which helps to build customer relationships. AACSB: Analytical thinking Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

Refer to the scenario below to

answer the following question(s). Reliable Tools Company is a manufacturer of hubs and axles for the trailer and heavy truck industry. Although Reliable Tools only has 15 customers the company is the sole supplier of hub and axle components to those customers. Monthly sales at Reliable Tools are approximately $1 million. "You might say we have all our eggs in one basket" says owner Arthur Deetz. It is critical that a competent sales force be maintained in order to nurture those few but large accounts. Ninety-five percent of Reliable Tools' customers are located in Michigan Ohio and Indiana which means that travel time to all customers is relatively short. However given the nature of the industry time spent with each customer is crucial. 159) Which of the following promotions would be most appropriate for Reliable Tools to use in its attempt to promote its products and generate new business leads? A) rebates and price packs B) premiums C) specialty advertising D) samples E) conventions and trade shows ,Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

Refer to the scenario below to

answer the following question(s). The Treble Clef sells music books musical instruments and novelty gifts of a musical nature. In recent years owner Gary Zahn has served as the local representative of several musical instrument manufacturers providing a contact person for three local schools. He sends a sample of a manufacturer's products to schools that request a demonstration or presentation. "If we don't have it we can definitely get it for you" Gary tells all Treble Clef visitors and customers. Most walk-ins are particularly interested in a specific piece of sheet music from a particular era or just browsing among the hundreds of music knick-knacks in the store. Gary spends most of his time making presentations to beginners at the local schools and making biweekly visits to the schools to deliver instruments make minor repairs or pick up instruments to ship to the manufacturer for more complicated repairs. After establishing a loyal customer base Gary was convinced that a Treble Clef Web site could benefit a variety of customers. He began with a simple Web site that provided information about the store and the types of gifts and services available. The site received so much response that Gary added a question-and-,answer option. Questions poured in ranging from "Where can I get sheet music for 'Hello Dolly'?" to "Do you carry clarinet reeds?" to "My saxophone needs two new pads. When will you be at Elmhurst School to repair it?" The Web site is now able to accept credit card orders and gifts can even be wrapped and shipped for no extra charge. "This Web site idea was fantastic!" Gary admitted. "It allows us to be so responsive. And our novelties sales have doubled!" 18) Which kind of Web site does Treble Clef use? A) branded community Web site B) corporate Web site C) investor relations Web site D) marketing Web site E) online Web site ,Answer: D AACSB: Analytical thinking Skill: Application Objective: LO 17.2: Identify and discuss the major forms of direct and digital marketing. Difficulty: Challenging

27) Which of the following helps companies in setting sales force size? A) workload approach B) pull strategy C) push strategy D) top-down approach E) bottom-up approach

Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

"24) Johnson Business Solutions maintains one sales force for its copy machines and a separate sales force for its computer systems. Johnson Business Solutions utilizes a ." A) product sales force structure B) customer sales force structure C) territorial sales force structure D) digital marketing system E) geographical operations system

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

"26) Morrill Motors splits the United States of America into 10 sales regions. Within each of those regions the company has separate sales personnel selling the company's full line of products. Morrill Motors uses a sales force structure." A) territorial B) complex C) customer D) product E) market

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

"118) Right after closing Joshua a senior sales manager at Halcyon Technologies called up the customer to ensure that she was satisfied with Halcyon's products. By calling the customer Joshua also wanted to ensure repeat business. In this instance Joshua is in the stage of the selling process." A) follow-up B) handling objections C) preapproach D) closing E) prospecting

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Moderate

"150) Bose offers $50 cash back to customers who purchase a new speaker and send in a proof of purchase. This is an example of a ." A) rebate B) POP promotion C) price pack D) premium E) sample

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

155) Happy Pet is a large pet food company that has convinced the retailers and the wholesalers of the New England area to resell its products. Happy Pet promises to reimburse the advertising costs to its retailers and wholesalers for advertising its products. This is an example of a(n) . A) trade promotion B) point-of-purchase promotion C) sweepstake D) price pack E) advertising specialty

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

156) Orion is planning to give away free mouse pads imprinted with the company logo and name to anyone who enters their store on the day they launch their new laser mouse. What kind of sales promotion is Orion planning? A) promotional products B) rebate C) price packs D) sweepstakes E) premiums

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

157) Waldo Stores will reward an all-expense-paid trip to Hawaii to anyone who correctly guesses the date on which Waldo Stores was first established in the Boston area. Which type of sales promotion is evident here? A) contest B) sample C) premium D) trade promotion E) point-of-purchase promotion

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

158) Blue Fizz Inc. sponsors every race that takes place at the Sears Racing Track in Orange County California. The high-octane racing at Sears is perfect for Blue Fizz to sell its energy drinks and to establish the desired brand image of the company. Which type of promotion is evident here? A) event marketing B) mass marketing C) point-of-purchase promotion D) solution selling E) advertising specialties

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

"37) While comparing hotel rates on Google's search engine Brenda came across text-based ads and links alongside the search results. This form of advertising is known as ." A) contextual advertising B) rich media ads C) content sponsorship D) catalog advertising E) social media advertising

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Moderate

27) Gant Hardware is a huge chain of hardware stores. GantHardware.com helps customers conduct product research and also lets them order directly online or redirects them to the nearest Gant retail store. Which of the following best describes GantHardware.com? A) marketing Web site B) digital catalog C) social network D) podcast E) blog

30) Spartan Sportsgear is a company that sells sports equipment for adventure sports. It recently launched ExtremeSpartan.com to showcase products and provide testimonials of famous adventure sports athletes who use Spartan's products. It also includes videos and blogs. Which of the following best describes ExtremeSpartan.com? A) branded community Web site B) digital catalog C) social network D) podcast E) blog

"138) Gary wants to expand the reach of his business. An effective approach to reaching the most likely potential customers would be marketing. The message will include a link to Treble Clef's Web site." A) e-mail B) viral C) kiosk D) mobile E) catalog

Answer: A AACSB: Analytical thinking Skill: Application Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Challenging

137) In addition to sending samples of sheet music to schools Gary sends school music directors messages with links to sample digital clips of the compositions. What kind of marketing is this? A) e-mail marketing B) viral marketing C) kiosk marketing D) mobile marketing E) catalog marketing

106) Sales executives at Keiron Air Conditioners use phone directories to call customers and convince them to buy their air conditioners. Which form of direct marketing is used here? A) telemarketing B) direct-mail marketing C) catalog marketing D) direct-response television marketing E) kiosk marketing

120) Green Gardens is a click-and-mortar company that sells gardening and landscaping goods and equipment. When customers are unable to find a product they need on the shelves of their local Green Gardens store customers order the product online with the help of the in-store ordering machine. Which of the following best describes the ordering machine? A) kiosk B) digital catalog C) podcast D) tablet E) online networks

98) Fiona Lambrech is the marketing director of a newly established detergent company. In order to introduce her product effectively into the market Fiona sends samples of the detergent to a select group of individuals. Which of the following forms of marketing was most likely used by Fiona? A) direct-mail marketing B) catalog marketing C) telephone marketing D) kiosk marketing E) direct-response television marketing

Principles of Marketing 17e (Kotler/Armstrong) Chapter 16 Personal Selling and Sales Promotion 1) Which of the following is true with regard to personal selling? A) Personal selling entails personal presentations by a firm's sales force for the purpose of making sales and building customer relationships. B) Personal selling involves making personal requests to potential buyers to enter into short- term business relationships with firms. C) Personal selling distances the buyer from the seller and does not focus on building enduring relationships. D) An outside sales force is not involved in personal selling. E) Personal selling is a relatively new profession.

Answer: A AACSB: Analytical thinking Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Easy

3) Which of the following is true about the sales force of a company? A) Salespeople represent customers to the company and manage the buyer-seller relationship. B) Salespeople represent workers' interests to upper management. C) The primary responsibility of a sales force is to formulate operational strategies. D) The sales force is responsible for product development and product strategy. E) The sales force oversees the auditing process and recovers money from defaulting customers.

"17) In the each salesperson is assigned to an exclusive geographic area and sells the company's full line of products or services to all customers in that region." A) territorial sales force structure B) digital marketing system C) product sales force structure D) geographical operations system E) customer sales force structure

Answer: A AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

56) Which of the following refers to a positive incentive intended to increase the sales force effort? A) sales contests B) prospecting C) telecommuting D) sales collateral E) annual sales plan

Answer: A AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

50) Which of the following is most likely a true statement about sales compensation in economically tough circumstances? A) Cutting sales force compensation is usually a last resort for firms that want to maintain positive customer relationships. B) Morale is boosted by distributing commissions equally among low and high sales performers. C) Online selling is discontinued to improve customer relations. D) Compensation for the inside sales force is reduced to increase commissions for the outside sales force. E) Low performers are retained and top performers are dismissed to reduce commission payments.

Answer: A AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

"136) are like coupons except that the price reduction occurs after the purchase rather than at the retail outlet." A) Rebates B) Promotional products C) Premiums D) Samples E) Price packs

Answer: A AACSB: Analytical thinking Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

112) Neal Murphy sells his company's unique products on television programs. He hosts a 30- minute show in which he demonstrates and explains the advantages of the product. At the end of the show a toll-free number is displayed on the screen that can be used by viewers to place their orders for the product. Which of the following forms of advertising is evident here? A) direct-response television advertising B) telemarketing C) interactive television marketing D) podcast marketing E) kiosk marketing

Answer: A AACSB: Application of knowledge Skill: Application Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Challenging

38) Which of the following best explains why companies are adopting the team selling approach to service large complex accounts? A) Products have become too complicated for one salesperson to handle a large company's needs. B) Customers prefer dealing with many salespeople rather than one sales representative. C) Job rotation an integral part of team selling keeps workers motivated and boosts their morale. D) Team selling facilitates the evaluation of individual contributions. E) With team selling companies are not required to train the outside sales force any longer.

Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

109) Marketers publicize inbound toll-free numbers to consumers in television and print ads direct mail and catalogs. The benefit to sellers is that it presents an opportunity for consumers to order products and for the seller to build the relationship. A benefit to consumers is . A) increased convenience B) increased telemarketing calls C) decreased telemarketing calls D) 24/7 availability of support E) a discounted price on the product

Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

128) What action do consumers continue to perform even though a majority are concerned with identify theft? A) shopping online B) searching for product information C) reading reviews from friends on Facebook D) sending and responding to e-mail messages E) watching videos

Answer: A AACSB: Ethical understanding and reasoning Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

135) According to the "Privacy Promise to American Consumers" program DMA members need to comply with which of the following consumer privacy rules? A) agree to notify customers when any personal information is rented sold or exchanged with others B) offer to register all customers in the National Do Not Call Registry C) make sure that consumers are adhering to the Children's Online Privacy Protection Act D) educate consumers on the Can Spam legislation E) include the advertising option icon to let consumers know why they are being targeted

50) Which of the following is a reason a consumer would follow a company's blog? A) The blog offers fresh insights or new ideas about the company or products. B) The blog provides the consumer with familiar information. C) The blog allows consumers to communicate with each other. D) A well-followed blog gives the company influence in the marketplace. E) Consumers know that companies want them to follow the blog postings.

Answer: A AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

54) Which of the following is a disadvantage of using blogs as a marketing tool? A) The blogosphere is cluttered and difficult to control. B) Advertising on a blog is typically expensive and time consuming. C) Using blogs as a marketing tool offers minimum reach to a target audience. D) Blogs when used as a marketing tool have a low rank in Web directories and search engines. E) Blogs do not provide the kind of personalized approach that today's marketers are looking for.

"79) Social media are all of the following EXCEPT ." A) expensive B) interactive C) personal D) targeted E) timely

Answer: A AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Easy

85) James is looking for a new suit for a job interview. He is shopping at Smith & Jones a "well-regarded menswear store. While he looks at various styles and uses his smartphone to scan codes the menswear shopping app provides him with suggestions for shirts ties and shoes that would complete the ensemble he needs to make a strong positive impact at his interview. The ability of the app to provide this information serves to ." A) enrich the shopping experience B) annoy James C) complicate the shopping experience D) use James' data plan E) interrupt the shopping experience

Answer: A AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Easy

78) Which of the following is a challenge of marketing through online social networks? A) Results are hard to measure. B) Users seldom have control over the online social networks. C) Most existing networks are already controlled by major corporations and therefore do not favor competitors. D) It is difficult to get the approval of the online advisory board to post an ad in a social network. E) Marketing via online social networks is expensive and time-consuming.

Answer: A AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Moderate

"131) To enable customers to opt out of seeing particular ads marketers use a(n) . This is added to behaviorally targeted online ads to tell consumers why they are seeing a particular ad." A) advertising option icon B) opt-in question C) X to close the ad D) survey E) questionnaire

Answer: A AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

119) Which term refers to an in-store machine that allows a customer to order merchandise not carried in the store? A) kiosk B) automated teller machine C) virtual catalog D) interactive TV E) direct-response device

17) Which of the following is the fastest growing form of direct marketing? A) ambush marketing B) digital marketing C) direct-mail marketing D) kiosk marketing E) telemarketing

Answer: B AACSB: Information technology Skill: Concept Objective: LO 17.2: Identify and discuss the major forms of direct and digital marketing. Difficulty: Easy

98) Prospects can be qualified by looking at all of the following characteristics EXCEPT . A) occupational mobility B) financial ability C) volume of business D) location E) possibilities for growth

Answer: A Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

"132) Sales promotions are targeted toward members of the sales force business customers retailers wholesalers and ." A) final buyers B) employees C) manufacturers D) suppliers E) upstream companies

Answer: A Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"134) The was established by the Direct Marketing Association." A) Privacy Promise to American Consumers B) Trusted Email Open Standard C) Children's Online Privacy Protection Act D) CAN-SPAM legislation E) Do Not Call Registry

Answer: A Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

"101) Before calling on a prospect the salesperson should learn as much as possible about the organization and its buyers. This step is known as ." A) preapproach B) closing C) approach D) presentation E) prospecting

Answer: A Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

"135) are offers of a trial amount of a product." A) Samples B) Coupons C) Premiums D) Rebates E) Price packs

Answer: A Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"142) A calls for consumers to submit an entry to be judged by a panel that will select the best entries." A) contest B) sweepstake C) sample D) premium E) rebate

Answer: A Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

67) Provide two reasons why companies are shifting more of their marketing dollars to online advertising.

Answer: As consumers spend more and more time online companies are shifting more of their marketing dollars to online advertising to build brand sales or attract visitors to their Internet mobile and social media sites. The main forms of online advertising are display ads and search-related ads. AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

"60) For sales managers to understand how the members of the Reliable Tools sales force spend their time the salespeople must submit a(n) ." A) expense report B) time-and-duty analysis C) mobile conferencing schedule D) sales forecast E) incentive plan

Answer: B AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

"32) Robin works in a manufacturing company in Ohio. She sells products and handles customer requests via the company's online live chat feature. In her company Robin is most likely a part of the ." A) outside sales force B) inside sales force C) product designing team D) operations management team E) executive management

Answer: B AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

"62) Purposes of social selling the use of online mobile and social media are to do all of the following EXCEPT ." A) augment sales performance B) eliminate person-to-person selling C) build stronger customer relationships D) engage customers E) provide customers more control over the selling process

Answer: B AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

"153) A five-foot high cardboard display of Terry the polar bear mascot of Terry's protein shake next to the shelf containing Terry's products in a supermarket is an example of a(n) ." A) sample B) point-of-purchase promotion C) business promotion D) advertising specialty E) rebate

Answer: B AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

44) Uptown-Clean Crew is a company that provides house-cleaning services in major urban and suburban areas. Marketers at Uptown-Clean Crew developed a short humorous video promoting the company's services and posted it online. Soon the video was a rage as customers who saw the video found it hilarious and they passed it on to their friends and colleagues calling it the "Uptown comedy." Which form of marketing is illustrated from this scenario? A) telemarketing B) viral marketing C) integrated marketing D) omni-channel marketing E) kiosk marketing

Answer: B AACSB: Analytical thinking Skill: Application Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Moderate

"123) Charlie Putnam received an e-mail promoting a new financial services institution that offers surprisingly low mortgage rates. The e-mail simply asked customers to provide their address date of birth social security number and current mortgage information in order to receive a free loan quote. Suspicious of the offer Charlie researched the company and discovered that the e-mail was a fraud. This is an example of ." A) cyberbullying B) phishing C) adware D) spamdexing E) viral marketing

Answer: B AACSB: Analytical thinking Skill: Application Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Challenging

6) Which of the following would most likely improve coordination between marketing and sales? A) Salespeople should directly participate in the development of new products. B) Salespeople should participate in marketing planning sessions by sharing firsthand customer knowledge. C) The sales force should strategize promotional strategies and be the primary decision makers about marketing. D) Marketing managers should field test new promotion strategies before the sales team. E) The marketing and sales departments should conduct annual job rotations.

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Moderate

25) In what situation is a complex sales force structure used? A) when a company sells a narrow variety of products to few types of customers over a broad geographic area B) when a company sells a wide variety of products to many types of customers over a broad geographic area C) when a company sells a wide variety of products to many types of customers over a small geographic area D) when a company sells a wide variety of products to few types of customers over a small geographic area E) when a company sells a narrow variety of products to many types of customers over a small geographic area

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

35) Which of the following best explains the growth of telephone and online selling? A) the use of the Do Not Call Registry B) the ability to make up to 8 times as many more customer contacts per day than an outside salesperson C) the similarity in cost between the inside and outside sales forces D) the difficulty and expense of reaching some customers E) the preference of customers for face-to-face contact

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

111) Which of the following is true with regard to value selling? A) Value selling refers to earning business from customers by cutting down prices of value products. B) Value selling refers to delivering superior customer value and capturing a fair return on that value. C) Value selling refers to the mass production of inferior-quality goods for sale. D) Value selling dilutes customer loyalty in the long run. E) Value selling tarnishes the brand image of a product in the long run.

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Moderate

"139) are goods offered either free or at low cost as an incentive to buy a product ranging from toys included with kids' products to phone cards and DVDs." A) Coupons B) Premiums C) Price packs D) Rebates E) Cents-off deals

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

134) Which of the following is the most effective-but most expensive-way to introduce a new product or create new excitement for an existing one? A) coupons B) sampling C) cash refunds D) cents-off deals E) satisficing

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

131) Which of the following factors has most likely contributed to the rapid growth of sales promotion particularly in consumer markets? A) declining interest in quality B) declining advertising efficiency C) rising hostility toward large firms D) increasing popularity of e-procurement E) increasing number of international firms

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

33) Companies must attract visitors to their Web sites. Which of the following is a method companies use to entice visitors not just to visit but also to return to a site? A) using flashy graphics bright colors and vivid pictures B) aggressively promoting the site in broadcast advertising and through ads and links on other sites C) offering prizes for visiting the site D) providing rewards for visitors connecting their friends to the site E) requiring registration on the first visit to the site

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

"110) By using to contact potential customers marketers sell directly to consumers. A) undercover marketing" B) outbound telephone marketing C) affinity marketing D) multi-level marketing E) ambush marketing

Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Challenging

"105) In building a connection to customers through catalogs marketers want to . A) offer a new brand experience" B) inspire and engage C) create word-of-mouth advertising D) develop a viral following E) perform marketing research

"94) All of the following are forms of traditional direct marketing EXCEPT . A) face-to-face selling" B) point-of-purchase promotion C) telemarketing D) direct-mail marketing E) kiosk marketing

95) Which of the following types of marketing involves sending out letters brochures samples and DVDs to consumers' addresses? A) direct-response marketing B) direct-mail marketing C) direct digital marketing D) kiosk marketing E) online marketing

96) Why does direct-mail marketing most likely remain a popular promotional tool for marketers? A) It does not disturb consumers enrolled in the Do Not Call Registry. B) It provides something tangible for people to keep. C) It builds long-term customer relationships. D) It involves very low marketing costs. E) It reaches the consumer very quickly.

Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Moderate

132) Which of the following acts requires that Web site operators obtain parental consent before collecting personal information about children under the age of 13? A) Safe Children's Act of 2001 B) Children's Online Privacy Protection Act C) Children's Online Protection Act D) Adam Walsh Child Protection and Safety Act E) Children's Act for Responsible Employment

Answer: B AACSB: Ethical understanding and reasoning Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

"26) are designed to engage consumers in interactions that will move them closer to a direct purchase or other marketing outcome." A) Online magazines B) Marketing Web sites C) Search engines D) Digital catalogs E) Podcasts

Answer: B AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

"28) A(n) is designed to present brand content that engages consumers and creates customer-brand community." A) podcast B) branded community Web site C) search engine D) digital catalog E) online magazine

"35) Online ads that incorporate animation video sound and interactivity are called ." A) search-related ads B) rich media ads C) content-based ads D) digital catalogs E) parody ads

"39) A is an unsolicited unwanted commercial e-mail message that clogs up e- mailboxes." A) catalog B) spam C) podcast D) tweet E) blog

"52) are online journals where people post their thoughts usually on a narrowly defined topic." A) Social networks B) Blogs C) Forums D) Search engines E) Web directories

23) Which term best describes sites such as the New York Times on the Web and ESPN.com? A) search engine B) content site C) online social network D) transaction site E) e-tailer

46) Which of the following is NOT a deception or fraud concern for Internet users and marketers? A) phishing B) viral marketing C) malware D) cyber spying E) spyware

"55) While blogs are a fundamentally a consumer-controlled medium marketers can ." A) directly contact customers through them B) use insights from them to improve their marketing programs C) offer special promotions to new customers D) retrieve research data from clicks in them E) provide content

75) Which kind of social media networks are smaller communities likely to join or create? A) blog B) niche C) Internet D) video E) commercial

Answer: B AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Moderate

121) Marbles Inc. has placed vending machines in most of its retail stores in Florida. Consumers can order a pack of marbles by just selecting their requirements on the touch screen. Which term best describes such machines? A) POP B) kiosk C) virtual catalog D) interactive television E) automated teller machine

Answer: B AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

"118) Using interactive TV can allow consumers to perform all the following tasks during a company's ad EXCEPT ." A) see what other sizes or colors are available B) identify a nearby location at which the product is available C) access additional product information D) order the product E) send product information to another device

"130) To decrease direct marketing abuses government agencies are investigating do-not-call lists do-not-mail lists do-not-track-online lists and ." A) claimed fraudulent credit card charges B) Can Spam legislation C) possibly deceptive television advertising D) offerings of illegal products E) bait-and-switch offers

"47) A hybrid sales rep ." A) works exclusively from remote locations B) is a modern cross between a field sales rep and an inside rep C) rarely engages in face-to-face interactions with customers D) performs sales audits E) sets the sales objectives of companies

Answer: B Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

"39) A(n) is a written representation of a salesperson's completed activities." A) bill of sale B) call report C) tender D) sales quotation E) contract of sale

Answer: B Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

103) Which of the following will NOT be a call objective in a preapproach plan? A) qualify the prospect B) find the initial lead C) gather information D) determine the best approach and timing E) make an immediate sale

Answer: B Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

"133) weakens a given promotion's ability to trigger an immediate purchase." A) A customer-oriented promotion mix B) Promotion clutter C) Puffery D) Local marketing E) Niche marketing

Answer: B Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

104) Which of the following is a major form of direct-response television marketing? A) telemarketing B) interactive TV C) social media D) digital catalog E) podcast

Answer: B Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

"14) is defined as analyzing planning implementing and controlling sales force activities." A) Benchmarking B) Sales force management C) Business intelligence D) Sales force automation E) Sampling

Answer: B Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

"145) A manufacturer that offers cash or gifts to dealers for encouraging the purchase of its products is using ." A) coupons B) push money C) promotional products D) premiums E) bonuses

Answer: B Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

72) Compare and contrast the purpose and content of a branded community Web site to that of a marketing Web site.

Answer: Branded community Web sites are designed to present brand content that engages consumers and builds closer customer relationships rather than to sell the company's products directly. Such sites typically offer a rich variety of brand information videos blogs activities and other features that build closer customer relationships and generate engagement with and between the brand and its customers. In contrast marketing Web sites are designed to engage consumers in an interaction that will move them closer to a direct purchase. A marketing Web site allows customers to view research and purchase specific items. AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Moderate

"63) Disadvantages of social selling include ." A) its impact on efficiency B) its ability to provide information C) its expense and the difficulty of presenting some things via the Internet D) the ability to spot opportunities E) its impact on productivity

Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

30) Stahl Inc. has 1000 A-level accounts each requiring 30 calls per year and 3000 B-level accounts each requiring 10 calls per year. If each salesperson at Stahl Inc. can make 1500 sales calls per year how many salespeople would be needed to meet the total workload? A) 25 B) 35 C) 40 D) 45 E) 60

Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

34) Kelly works as a sales representative at Ginner Machine Works. She uses the phone and the Internet to identify prospects and make sales. Kelly calls customers and explains the products offered by Ginner and the advantages of using them. If requested she also mails the customer product information brochures. Which of the following is most likely Kelly involved in? A) outside selling B) technical sales support C) telemarketing and online selling D) research and administrative backup E) field sales

Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

37) Amanda Perkins is a senior sales manager in Arlington Steelworks. As the customer base of her company has grown larger and more demanding over the last few years Amanda insists on or using groups of people from various departments such as sales technical support engineering and even upper management to service complex accounts. A) cross selling B) e-procurement C) team selling D) observational research E) vendor screening

Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

36) Travis Computing Systems earns most of its revenue from sales and in-person computer services. The sales force at Travis recently began telemarketing and online selling. How would telemarketing and online selling most likely benefit Travis? A) The need for an outside sales force would be completely eliminated through telemarketing. B) Travis sales reps would be able to engage in more frequent face-to-face interaction with large high-value customers. C) Travis sales reps would be able to service hard-to-reach customers more effectively. D) The overhead costs of Travis would significantly decrease. E) The current liabilities of Travis would decrease.

Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

"113) Melissa Price is a member of the sales force at Urban Fashions a Houston-based manufacturer of women's apparel. Melissa is preparing for a first meeting with a wholesaler who is a potential customer. She is learning as much as she can about her prospect and his organization. Melissa is in the step of the personal selling process." A) prospecting B) qualifying C) preapproach D) follow-up E) demonstration

Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

112) A salesperson of a manufacturing company has qualified a number of leads. Which of the following is most likely the next step in the selling process? A) calling on all the prospects one by one B) closing the deal with the most promising prospect C) learning as much as possible about the qualified prospects D) handling all objections raised by the prospects E) narrating the "value story" to the buyer

115) Richard a salesperson works for Wellington Steelworks. After researching a qualified lead Richard is preparing opening lines for meeting the customer for the first time. Which step of the selling process is he about to enter? A) follow-up B) handling objections C) approach D) presentation E) preapproach

142) Interactive TV (iTV) lets viewers interact with television programming and advertising.

Answer: TRUE AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

149) Which of the following is an example of trade promotion? A) manufacturers offering regular value-for-money deals to attract thrifty and value-conscious customers B) salespeople engaging in door-to-door selling activities C) manufacturers offering free merchandise to resellers who feature a certain flavor or size D) advertisers claiming that a certain product is the best in the market E) marketers selling specialty products to a small segment of customers with unique preferences

Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"76) Runners can compare performances set up profiles meet new people and share information on Nike's Nike+ Web site. Nike+ is an example of a(n) ." A) podcast B) blog C) online community D) content sponsorship program E) kiosk

Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Moderate

114) Donello Equipment hosts infomercials on television and at the same time allows its viewers to interact with its advertisements. Viewers can request more details and order via their Internet-ready smart televisions. Which of the following forms of marketing is evident here? A) catalog marketing B) telemarketing C) interactive television D) podcast marketing E) kiosk marketing

Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Challenging

"2) A(n) is an individual who represents a company to customers by prospecting communicating selling servicing information gathering and/or relationship building." A) auditor B) trainer C) salesperson D) manager E) human resource personnel

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Easy

7) Which of the following is NOT likely to improve coordination between marketing and sales? A) appointing a high-level marketing executive to oversee both marketing and sales B) arranging joint meetings and spelling out communications channels C) creating rewards systems that put marketing and sales in competition with each other D) including brand managers in sales calls E) adding marketing-sales liaisons to coordinate programs and efforts

21) Which of the following is true about the product sales force structure? A) A product sales force structure is most appropriate for a company that manufactures a small number of simple products. B) In a product sales force structure each salesperson is assigned to an exclusive geographic area and sells the company's full line of products or services to all customers in that territory. C) In a product sales force structure salespersons specialize in only a particular product line as the company produces numerous and complex products. D) In a product sales force structure a single salesperson can become an expert in all product categories. E) In a product sales force structure specialization is highly discouraged.

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

"15) Sales force management includes all of the following EXCEPT salespeople." A) recruiting B) evaluating C) paying D) supervising E) training

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

"51) A(n) shows how much time is spent selling traveling waiting taking breaks and doing administrative chores by the salesperson." A) customer relationship management tool B) corporate social networking site C) time-and-duty analysis tool D) outsourcing relationship management tool E) product lifecycle management analysis

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

44) Which of the following abilities would LEAST likely be measured when recruiting and testing applicants for a sales position? A) sales aptitude B) work style C) accounting skills D) motivation E) relationship skills

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

49) More and more companies are moving away from high-commission plans because . A) outside salespeople tend to undermine the efforts of the inside sales team B) high-commission plans require salespeople to work overtime C) salespeople tend to become pushy which affects customer relationships D) salespeople are prone to taking multiple sales jobs to maximize their income E) salespeople end up spending too much time traveling to meet customers

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

114) Which of the following is true with regard to prospecting? A) Salespersons meet and greet the buyer. B) Salespersons learn as much as possible about the organization. C) Salespersons identify qualified potential customers. D) Salespersons tell the "value story" to the buyer showing how the company's offer solves the customer's problems. E) Salespersons ask for the order review points of agreement and offer to write up the order.

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Moderate

"138) In the producer marks the reduced prices directly on the label or package. These offer consumers savings off the regular price of a product and are very effective in stimulating short-term sales." A) promotional products B) coupons C) cents-off deals D) samples E) rebates

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

82) Mobile marketing is used to enrich the brand experience stimulate immediate buying or . A) decrease advertising costs B) help friends contact friends C) make shopping easier D) create new customer relationships E) find new suppliers

Answer: C AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Moderate

4) Which of the following statements is true of direct marketing? A) Direct marketing is also referred to as referral marketing. B) Salespersons are compensated for other salespeople they recruit. C) Direct marketing offers sellers a low-cost alternative for reaching their markets. D) Direct marketing involves two or more intermediaries. E) In direct marketing consumers earn a commission every time they buy a product.

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Moderate

101) What is the primary advantage of printed catalogs? A) filtering out interested prospects B) offering immediate rebates and coupons C) building emotional connections with customers D) offering unlimited space for merchandise details E) reaching consumers in a quick and inexpensive manner

Answer: C AACSB: Analytical thinking Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Moderate

107) Which of the following is an advantage of a well-designed and targeted telemarketing plan? A) exemption from the National Do Not Call Registry B) ability to portray wider merchandise C) purchasing convenience for customers D) interactive infomercials via phone E) coordination with nearby kiosks

83) Joanna uses her smartphone to accomplish many tasks everyday. She is also an avid shopper. Which online marketing tool will benefit Joanna the most to help her shop? A) e-mail messages from sites to which she subscribes B) banking app for her bank C) instant deals and digital coupons D) YouTube video E) Facebook friends

Answer: C AACSB: Information technology Skill: Application Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Moderate

"2) All of the following are benefits of online direct marketing for buyers EXCEPT ." A) access to numerous products B) access to product reviews C) live product demonstrations D) convenience E) privacy

Answer: C AACSB: Information technology Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

6) Which of the following is true about online direct marketing? A) Online direct marketing is also referred to as multi-level marketing. B) Salespersons are compensated for other salespeople they recruit. C) Online direct marketing allows sellers to create immediate timely and personal offers. D) Online direct marketing involves two or more intermediaries. E) In online direct marketing outside and inside sales forces coordinate to provide value products to customers.

Answer: C AACSB: Information technology Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Moderate

"24) companies use both offline and online marketing channels." A) Start-up B) Click-only C) Omni-channel retailing D) Brick-and-mortar E) Brick-only

Answer: C AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

38) Which of the following is true about e-mail marketing messages? A) E-mail marketing messages involve sending an offer announcement reminder or sample to a person living at a particular address. B) E-mail marketing messages involve connecting directly with carefully targeted consumers exclusively on a one-to-one interactive basis. C) E-mail marketing messages are effective in reaching the desired target market and result in low costs. D) E-mail marketing messages cost more per thousand people reached than mass media such as television or magazines. E) E-mail marketing messages create a stronger emotional connection with the customers compared to traditional direct mail.

40) Which of the following best describes permission-based e-mail marketing? A) sending unsolicited unwanted commercial e-mail messages B) sending requests to users to join online social networking communities C) sending e-mail pitches only to customers who "opt-in" D) offering free promotional materials to new customers E) gathering demographic details for customer databases

47) Which of the following statements is true of viral marketing? A) Marketers have significant control over where their viral messages end up. B) Viral marketing gives consumers online places to congregate socialize and exchange views. C) Because customers find and pass along the message viral marketing can be very inexpensive. D) In viral marketing links appear alongside search engine results on sites such as Google and Bing. E) Viral marketing messages are blocked by most search engines security software and social networking sites.

48) Which of the following is most likely a disadvantage of viral marketing? A) Viral marketing usually takes time to make an impact. B) Viral marketing is very inexpensive. C) Marketers have great control over who receives the viral message. D) Viral marketing messages are offensive to the audiences who are not a part of the targeted market. E) Viral marketing messages are blocked by most search engines.

77) Which of the following is NOT a reason that companies use social media? A) cost effectiveness B) engagement and social sharing capabilities C) ease of creating content D) immediacy and timeliness E) interactiveness

"124) Buyers with low sales resistance can often be tempted by all the following common features of infomercials EXCEPT ." A) elaborately staged demonstrations B) "while they last" time limitations C) free shipping D) smooth-talking hosts E) claims of drastic price reductions

Answer: C AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

"133) TRUSTe a nonprofit self-regulatory organization works with other companies to audit online privacy and security measures. It lends its TRUSTe privacy seal to all the following communication channels that meet its privacy and security standards EXCEPT ." A) mobile apps B) e-mail marketing C) telemarketing D) Web sites E) social media

"22) In the separate sales forces are set up for different industries." A) territorial sales force structure B) digital marketing system C) customer sales force structure D) geographical operations system E) product sales force structure

Answer: C Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

"102) refers to a practice in which salespeople drop in unannounced on various offices." A) Hybrid selling B) Niche marketing C) Cold calling D) Value selling E) Direct marketing

Answer: C Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

105) Which of the following is especially crucial in the approach stage of the selling process? A) ensuring the customer understands the company's history B) telling the customer about the company's products C) listening to the customer D) presenting the solution that the customer needs E) overcoming the customer's objections

Answer: C Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

"144) refer to sales promotion tools used to persuade resellers to carry a brand give it" shelf space promote it in advertising and push it to consumers. A) Point-of-purchase promotions B) Frequency marketing programs C) Trade promotions D) Events E) Coupons and inserts

Answer: C Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"7) All of the following are benefits of direct marketing for sellers EXCEPT ." A) access to small groups or individuals B) program flexibility C) mass reach and immediate returns D) low cost E) easy to personalize products

Answer: C Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

"55) refers to the standard that establishes the amount each salesperson should sell and how sales should be divided among the company's products." A) Conditional sale B) A bill of sale C) A sales quota D) Prospecting E) Satisficing

Answer: C Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

"40) All of the following are disadvantages of team selling EXCEPT ." A) selling teams can be confusing and overwhelming for customers B) salespeople who are used to having customers all to themselves may have trouble learning to work with and trust others on a team C) team selling reduces the overall efficiency of the selling process D) individual contributions and compensations can be difficult to assess in team selling E) team selling discourages individual contributors because the team receives credit for good performance

Answer: C Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

"106) During the step of the selling process the salesperson tells the value story to the buyer showing how the company's product or service solves the customer's problems." A) prospecting B) preapproach C) presentation D) closing E) follow-up

Answer: C Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

"108) All of the following are traits that buyers dislike in salespeople EXCEPT ." A) disorganization B) tardiness C) empathy D) being overly talkative E) deceit

Answer: C Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

"97) In the stage of the selling process a company first identifies qualified potential customers." A) preapproach B) follow-up C) prospecting D) presentation E) approach

Answer: C Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

14) How does direct marketing give buyers access to more comparative information about companies products and competitors?

Answer: Catalogs and Web sites both forms of direct marketing can provide extensive product information and helpful product reviews. Customers can easily research companies products and competitors by comparing information in catalogs or on various Web sites. AACSB: Information technology Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

92) Explain the strengths of mobile marketing from the marketer's point of view.

Answer: Companies can use mobile marketing to stimulate immediate buying make shopping easier enrich the brand experience or all of these. It lets marketers provide consumers with information incentives and choices at the moment they are expressing an interest or when they are in a position to make a buying choice. The rich-media ads can create substantial engagement and impact. They can enrich the brand experience by providing information or even entertainment. They can target "anytime anywhere and everywhere." AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Challenging

90) Explain integrated social media marketing.

Answer: Companies that use social media successfully are integrating a broad range of diverse media to create brand-related social sharing engagement and customer community. They design full-scale social media efforts that blend with and support other elements of a brand's marketing strategy and tactics. AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Easy

166) Briefly explain the major sales promotion tools.

Answer: Consumer promotions include a wide range of tools-from samples coupons refunds premiums and point-of-purchase displays to contests sweepstakes and event sponsorships. Marketers also promote their brands through event marketing. They can create their own brand-marketing events or serve as sole or participating sponsors of events created by others. Trade promotions can persuade resellers to carry a brand give it shelf space promote it in advertising and push it to consumers. Manufacturers often have to offer price-offs allowances buy-back guarantees or free goods to retailers and wholesalers to get products on the shelf and once there to keep them on it. Business promotions are used to generate business leads stimulate purchases reward customers and motivate salespeople. Business promotions include many of the same tools used for consumer or trade promotions. AACSB: Written and oral communication Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

53) Which of the following involves computerized digitized sales force operations that let salespeople work more effectively anytime anywhere? A) SWOT analysis B) BCG matrix C) digital marketing system D) sales force automation system E) field service management system

Answer: D AACSB: Analytical thinking Information technology Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

29) Sigma Inc. has 2000 Type-A accounts each requiring 35 calls per year and 1000 Type-B accounts each requiring 15 calls per year. What is the sales force's workload? A) 15000 calls B) 35000 calls C) 70000 calls D) 85000 calls E) 95000 calls

Answer: D AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

57) Mary Conti a sales manager at National Computer Training wants to evaluate the performance of her sales force in the New England territory. Which of the following would Mary most likely use? A) SWOT analysis B) breakeven analysis C) sales forecast D) expense reports E) call plan

Answer: D AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

"117) After successfully overcoming a potential customer's objection to buying the vacuum cleaner he was selling Terrence a salesperson asked the customer for an order. Terrence is in the stage of the selling process." A) follow-up B) approach C) preapproach D) closing E) prospecting

Answer: D AACSB: Analytical thinking Skill: Application Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

116) Capitalizing on the customer's complaints about the previous detergents she has used Sheila a salesperson explains to the customer why her company's detergent Swish is better and how it can be a one-stop solution for everyday washing. In which of the following steps of the selling process is Sheila? A) follow-up B) handling objections C) preapproach D) presentation E) prospecting

29) Oscarz Aviation's Web site GoOscarzAv.com informs customers about a wide variety of services offered by the firm. It also has a guestbook where customers can provide feedback on their experiences with Oscarz Aviation. They can also view videos Oscarz Aviation posts as well as read and respond to blogs and ask questions. GoOscarzAv.com is an example of a(n) . A) online social network B) blog C) kiosk D) branded community Web site E) digital catalog

Answer: D AACSB: Analytical thinking Skill: Application Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Moderate

84) Kirk's Comic Store has its own mobile app that users can download for free. The app lets users know about special events discounts and merchandise currently available in the store. Which of the following forms of marketing is exemplified from this scenario? A) social media marketing B) kiosk marketing C) direct-response television marketing D) mobile marketing E) direct-mail marketing

Answer: D AACSB: Analytical thinking Skill: Application Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Easy

5) Which of the following is true about the sales force of a company? A) Salespeople rely on engineers and manufacturers to learn about customer needs. B) The sales force plays a minor role in customer-company relationships. C) Salespeople rarely visit in person with customers. D) Salespeople represent customers to the company championing customers' interests. E) Salespeople do not have the authority to act on customers' objections.

Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Moderate

"42) All of the following are problems associated with the poor selection of salespeople EXCEPT ." A) lower sales B) costly turnover C) less productivity D) fewer training expenses E) disruptive customer relationships

Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

48) All of the following are basic types of compensation plans for salespeople EXCEPT . A) straight commission B) straight salary C) salary plus commission D) salary plus company shares E) salary plus bonus

Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

103) Why are historically online shops such as Zappos.com adding catalogs to their marketing methods? A) to meet the increased demand in print catalogs B) to reduce the costs involved in online marketing C) to connect with customers in hard-to-reach places D) to drive online sales and services E) to reduce the need for telemarketers

Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

108) Geller Insurance calls qualified prospects to sell insurance. Which of the following forms of marketing is evident from this example? A) catalog marketing B) kiosk marketing C) direct-response television marketing D) telemarketing E) direct-mail marketing

Answer: D AACSB: Application of knowledge Skill: Application Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Moderate

43) Eric Brown is a human resource manager in a company selling and manufacturing personal computers. Who among the following is Eric most likely to hire as a salesperson if his objective is to minimize training costs post recruitment? A) Samantha a fresh college graduate B) Richard a product developer from a competing firm C) Nancy an experienced engineer with no prior experience in personal selling D) Melissa a proven salesperson from a competing firm E) Henry a young salesperson with a few months' experience in a large MNC

Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

"20) If a company it should adopt a product sales force structure in which the sales force specializes along product lines." A) specializes in a single product B) manufactures a small number of simple products C) maintains that product specialization is counterproductive D) has numerous and complex products E) lacks salespeople with superior technical know-how

Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

18) Which of the following is true about the territorial sales force structure? A) The territorial sales force structure does not define each salesperson's job clearly. B) Salespeople specialize in selling only a small portion of the company's products. C) In a territorial sales force structure separate sales forces are set up for different industries. D) Travel expenses are relatively small as each salesperson travels within a limited geographic area. E) In a territorial sales force structure separate sales forces are often established to handle a single large account in every territory.

Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

52) Which of the following is the best way for a company to increase selling time? A) implementing high-commission plans B) reducing the number of customers C) sharing less information with customers D) simplifying administrative duties E) implementing mass customization

Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

148) Which of the following questions would help a marketer evaluate the return on a sales promotion investment? A) Was the sales force successful in filtering out the good prospects from the poor ones? B) Did customers enjoy the events associated with the promotion? C) Did customers receive high-quality promotional products? D) Did the promotion attract new customers or more purchasing from current customers? E) Were channel intermediaries effectively positioned to ensure a seamless supply of products?

Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"129) Consumers' names and additional information likely become part of whenever they enter a sweepstakes apply for a credit card visit a Web site or send a tweet." A) other consumers' contact lists B) telemarketers' lists C) their computer's cookie history D) a company's database E) the FTC's surveys regarding online privacy

Answer: D AACSB: Ethical understanding and reasoning Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

3) Advantages of direct and digital marketing for sellers include all of the following EXCEPT . A) low cost B) efficiency C) speed D) need for sales training E) flexibility

Answer: D AACSB: Information technology Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

"22) Companies such as Amazon.com and Expedia.com that sell products and services directly to final buyers exclusively over the Internet are known as ." A) transaction sites B) content sites C) search engines and portals D) e-tailers E) online social media

"25) Online marketing includes marketing via the Internet using company Web sites e-mail marketing blogs and ." A) direct mail brochures B) live demonstrations C) samples D) online video E) focus groups

"36) In text-based ads and links appear alongside search engine results on sites such as Google Yahoo! and Bing." A) content sponsorships B) digital billboards C) digital catalogs D) contextual advertisements E) RSS feeds

"43) involves creating a video e-mail mobile message advertisement or other marketing event that is so infectious that customers will seek it out or pass it along to their friends." A) Telemarketing B) Omni-channel marketing C) Integrated marketing D) Viral marketing E) Kiosk marketing

32) Which of the following is NOT a specific goal of branded community Web sites? A) present brand content that engages consumers B) build closer customer relationships C) generate engagement with and between the brand and its customers D) increase online sales E) allows visitors to interact with likeminded people to explore and communicate experiences with the brand

56) What is a significant issue for social media and for companies using it as a marketing tool? A) measuring viewership B) creating content C) identifying target markets D) monetizing the tool E) recognizing effective social media sites

"81) marketing features marketing messages and promotions delivered to on-the-go consumers through their handheld devices." A) Kiosk B) Ambush C) Direct-mail D) Mobile E) Catalog

Answer: D AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Easy

80) An integrated social marketing campaign likely could include all of the following EXCEPT . A) Facebook pages B) Twitter postings C) Instagram photos D) television ads E) YouTube videos

Answer: D AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Easy

116) Even large companies use infomercials for all the following reasons EXCEPT to . A) recruit members B) refer customers to retailers C) attract buyers to online mobile and social media sites D) introduce new advertising campaigns E) sell their products

Answer: D AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

126) Which of the following is a type of identity theft that uses deceptive e-mails and fraudulent Web sites to fool consumers into revealing their personal data? A) bait-and-switch B) cyber spying C) viral marketing D) phishing E) spam

100) Which of the following is an advantage of using digital catalogs? A) lists the phone numbers of interested prospects B) coordinates with direct-response television ads C) points customers to the nearest kiosk D) eliminates printing and mailing costs E) creates emotional contact with customers

"107) refers to the sales step in which a salesperson asks the customer for an order." A) Prospecting B) Demonstration C) Approach D) Closing E) Handling objections

Answer: D Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

"130) consists of short-term incentives to encourage the purchase of a product or service." A) Value selling B) Conditional sale C) Advertising D) Sales promotion E) Benchmarking

Answer: D Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"143) Creating a brand-marketing event or serving as a sole or participating sponsor of events created by others is known as ." A) point-of-purchase promotions B) sweepstakes C) team selling D) event marketing E) personal selling

Answer: D Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"93) involves sending an offer announcement reminder or other item to a person at a particular address." A) Kiosk marketing B) Online marketing C) Ambush marketing D) Direct-mail marketing E) Telemarketing

Answer: D Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

"99) During the prospecting stage a salesperson needs to identify the good leads and screen out the poor ones through a process known as ." A) closing B) satisficing C) presenting D) qualifying E) approaching

Answer: D Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

104) In which of the following steps of the selling process is a salesperson most likely to meet the customer for the first time? A) prospecting B) preapproach C) follow-up D) approach E) closing

Answer: D Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

95) Which of the following is the last step in the selling process? A) qualifying B) handling objections C) demonstration D) follow-up E) approach

Answer: D Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

"140) are useful articles imprinted with an advertiser's name logo or message that are given as gifts to consumers." A) Rebates B) Cents-off deals C) Premiums D) Promotional products E) Sweepstakes

Answer: D Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

"141) include displays and demonstrations that take place at the point of sale." A) Rebates B) Price packs C) Premiums D) POP promotions E) Samples

Answer: D Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

152) Why is the use of direct-response television growing in popularity?

Answer: Direct-response television (DRTV) marketing takes one of two major forms: direct- response television advertising and interactive TV (iTV) advertising. Using direct-response television advertising direct marketers air television spots often 60 or 120 seconds in length which persuasively describe a product and give customers a toll-free number or a Web site for ordering. It also includes full 30-minute or longer advertising programs called infomercials for a single product. Successful direct-response advertising campaigns can ring up big sales. Interactive TV (iTV) lets viewers interact with television programming and advertising. Thanks to technologies such as interactive cable systems Internet-ready smart TVs and smartphones and tablets consumers can now use their TV remotes phones or other devices to obtain more information or make purchases directly from TV ads. Interactive ads and infomercials are appearing not just on TV but also on mobile online and social media platforms adding even more TV-like interactive direct marketing venues. AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

126) Briefly describe the presentation stage of the selling process.

Answer: During the presentation step of the selling process the salesperson tells the "value story" to the buyer showing how the company's offer solves the customer's problems. AACSB: Written and oral communication Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

8) At Price & Wallace Inc. a pharmaceuticals company members of the sales force and marketing department tend to have disagreements when things go wrong with a customer. The marketers blame the salespeople for poorly executing their strategies while the salespeople blame the marketers for being out of touch with customers. Which of the following steps should upper management at Price & Wallace take to help bring the sales and marketing functions closer together? A) establish a customer sales force structure and make sure that sales quotas are easily achievable B) establish a complex sales force structure C) emphasize traditional methods of selling D) adopt a sales force automation system and implement team selling E) appoint a high-level marketing executive to oversee both marketing and sales

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Moderate

19) Ultra Tech Inc. a company manufacturing gardening tools has decided to switch to a territorial sales force structure. Which of the following benefits is the company most likely to gain as a result of this decision? A) The cost of training new recruits would be eliminated. B) An increased focus on short-term customer relationships would boost local sales of specialized products. C) Each salesperson would be assigned to sell a single product in which he/she specializes. D) The capacity for mass production of a wide range of products would significantly increase. E) As each salesperson travels within a limited geographic area travel expenses would decline.

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

61) Several compensation plans are available to reward and motivate Reliable Tool's salespeople. Since generating new leads and new business can be a goal for the sales force which compensation plan approach is MOST likely to motivate and direct the salespeople in that direction? A) straight commission B) salary plus bonus C) straight salary D) salary plus commission E) salary commission and bonus

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

"31) Kevin is a salesperson working for a company that manufactures gardening tools. He is involved in door-to-door sales and travels every day to call on customers. In his company Kevin is most likely a part of the ." A) top management B) inside sales force C) product designing team D) customer support team E) outside sales force

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

"58) At the beginning of each year the management of Dee Decor states the exact amount a salesperson should sell. This specific sales target is also known as a ." A) sales lead B) prospect C) bill of sale D) channel length E) sales quota

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

"151) Monty Boyd an account manager travels frequently on West Coast Airlines. Monty earns points for every mile he flies and he will soon have enough points to receive a free airline ticket. West Coast Airlines is attempting to build a strong customer relationship with Monty through a ." A) trade promotion B) promotional product C) rebate offer D) point-of-purchase promotion E) frequency marketing program

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

"152) Renee's a company selling winter clothing in Chicago ran a preseason promotion on some of its fur jackets offering cash refunds if the snowfall in the customer's market area turned out to be below average. This exemplifies ." A) puffery B) satisficing C) prospecting D) a price pack E) a rebate

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

154) Kirk Wilkins renewed his cell phone contract with Zip Wireless Services and purchased a new cell phone through the Zip Web site. If Kirk mails Zip Wireless Services his transaction receipt he would be eligible to receive $50 as cash refund. Which of the following types of sales promotion is evident here? A) point-of-purchase promotion B) advertising specialty C) premium D) price pack E) rebate

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Moderate

146) Which of the following is used to generate business leads stimulate purchases reward customers and motivate salespeople? A) business plan B) SWOT analysis C) POP promotion D) benchmarking E) business promotion

Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

31) Runner Sprintz a particular brand of shoes has its own Web site myrunnersprintz.com that welcomes consumers to "the Runner Sprintz Century" invites readers to post their Runner Sprintz stories and offers a wide variety of shoes for direct purchase. The site even allows customers to individually design their own shoes and share them among their circles on the Web site. Which of the following best describes myrunnersprintz.com? A) Web directory B) blog C) corporate Web site D) digital catalog E) branded community Web site

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Moderate

41) After selecting a sweater on the Land's End Web site Kelly was asked to fill in details for the customer database. Kelly was given a form that required her to fill in her name date of birth and e-mail address. Kelly then checked a box that was next to the following statement: "Yes I would like to receive weekly promotional information from Land's End online." Which of the following practices is evident from this scenario? A) e-mail hosting service B) e-mail spoofing C) catalog marketing D) contextual advertising E) permission-based e-mail marketing

42) Randy keeps getting unwanted and annoying e-mails from several marketing firms unknown to him. The number of these e-mails is alarmingly high in his inbox. Which of the following best describes these e-mails? A) malware B) adware C) Trojan D) firewall E) spam

125) Josh received an e-mail stating that he had won a lottery of $500000 from Lottors Corporation. The e-mail asked Josh to send his bank account details and social security number to transfer cash directly to his account. Josh did not remember buying any lottery tickets and so was apprehensive about providing his bank details without verification. Which of the following is illustrated from this scenario? A) adware B) viral marketing C) telemarketing D) cyberbullying E) phishing

Answer: E AACSB: Analytical thinking Skill: Application Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Challenging

122) Music Mogul has arrangements with several stores and retail chains to place their DVDs and digital music machines in prime spots such as near billing counters and at store entrances. Consumers can buy DVDs by depositing payment or they can buy music online via the touchscreen interface on the machine. Which form of marketing is illustrated in this scenario? A) direct-response television advertising B) telemarketing C) interactive television D) podcast marketing E) kiosk marketing

97) SparkClean is a company that specializes in producing cleaning products for automobiles. In order to promote its products SparkClean sends a complimentary sample of its products to auto enthusiasts. Which form of marketing is SparkClean involved in? A) online marketing B) viral marketing C) telemarketing D) kiosk marketing E) direct-mail marketing

99) While shopping at KelfanDesigns.com Shelly came across a checkbox beside which a statement said "I want to receive promotional offers from KelfanDesigns.com." Which of the following types of marketing is illustrated in this example? A) telemarketing B) viral marketing C) direct response television marketing D) contextual advertising E) permission-based e-mail marketing

4) Which of the following is NOT a position that a salesperson covers? A) order taker B) creative seller C) order getter D) relationship builder E) shipping arranger

Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Moderate

"28) The workload approach takes into account all of the following EXCEPT ." A) customer account status B) amount of effort required to maintain the account C) customer account size D) number of times each class of account is to be contacted E) success rate at closing orders with account

Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

23) Which of the following is true about the customer sales force structure? A) The customer sales force structure is a combination of territorial sales force structure and product sales force structure. B) Each salesperson is assigned to an exclusive geographic area and sells the company's full line of products or services to all customers in that territory. C) Salespersons specialize in only a particular product line as the company produces numerous and complex products. D) Companies using customer sales force structure tend to ignore the importance of long-term relationship building with customers. E) Separate sales forces are set up for different industries serving current customers versus finding new ones.

Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

110) Which of the following steps in the selling process is most focused on ensuring customer satisfaction and repeat business? A) preapproach B) demonstration C) handling objections D) qualifying prospects E) follow-up

Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

65) Viral marketing allows marketers to send tailored messages to targeted customers who have chosen to receive them.

Answer: FALSE AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

"102) Digital catalogs offer all of the following benefits EXCEPT . A) presenting an almost unlimited amount of merchandise" B) offering a broad assortment of presentation formats including search and video C) adding and removing products as needed D) adjusting prices instantly to meet demand E) touching the product

Answer: E AACSB: Analytical thinking Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Moderate

33) Which of the following is true with regard to the inside sales force of a company? A) The inside sales force is invariably more attentive to customer needs than the outside sales force. B) Unlike the outside sales force the inside sales force does not require training. C) Inside sales representatives engage in face-to-face interaction with customers. D) The inside sales force is far more knowledgeable about customer habits than are outside salespeople. E) Inside salespeople provide support for the outside sales force freeing them to spend more time selling to major accounts and finding new prospects.

Answer: E AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

46) Which of the following is a primary reason that companies use e-learning to conduct sales training programs? A) Customer needs and habits can be unambiguously conveyed through online training programs. B) Sales training programs that do not use e-learning are mostly ineffective. C) E-learning eliminates employee attrition. D) E-learning is the best way to simulate real-life sales calls. E) E-learning cuts travel and training costs.

Answer: E AACSB: Information technology Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

54) Which of the following is an advantage of using a sales force automation system? A) lowers sales team training costs B) records major competitor's sales C) eliminates the need for an inside sales force D) eliminates employee attrition E) improves customer service

Answer: E AACSB: Information technology Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

Principles of Marketing 17e (Kotler/Armstrong) Chapter 17 Direct Online Social Media and Mobile Marketing "1) Amazon.com and GEICO approach customers via Web sites or mobile apps. This is an example of marketing." A) mass B) niche C) individual D) multi-level E) direct

Answer: E AACSB: Information technology Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

"21) Online companies include all of the following EXCEPT ." A) content sites B) online social media C) search engines and portals D) transaction sites E) brick-and-mortar

Answer: E AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

"34) Effective Web sites contain interactive tools that help find and evaluate content of interest links to other related sites useful information changing promotional offers and ." A) celebrity endorsers B) respected columnists C) advertising for unrelated products D) enticements for customers to include their friends and contacts E) entertaining features that lend excitement

45) What is a disadvantage of a viral success? A) Many people will see the marketing message. B) The cost per exposure is relatively low. C) Word-of-mouth is strong. D) Publicity is always good. E) Marketers have little control over where the message ends up.

49) Which of the following is most likely an advantage of viral marketing? A) Viral marketing reinforces consumers' attitudes about a brand. B) Most messages are likely to "go viral." C) Consumers want to be a part of viral marketing. D) Viral marketing can easily be successfully accomplished. E) Viral marketing produces engagement and positive exposure for a brand.

53) Which of the following is a benefit of using blogs as marketing tools for companies? A) Blogs provide companies with a platform to help portray wider merchandise. B) Blogs are online selling platforms for people located in hard-to-reach places. C) Blogs help reach a wider audience compared to other online direct marketing tools. D) Demographic information about customers can be easily discovered. E) Blogs can offer a fresh original personal and cheap way to enter into consumer conversations.

"115) allows consumers to gain additional information about a product through the use of a remote control." A) Telemarketing B) Kiosk marketing C) Podcasting D) Video conferencing E) Interactive television

Answer: E AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

"127) All of the following are Internet marketing concerns EXCEPT ." A) financial scams B) access by vulnerable or unauthorized groups C) phishing D) identity theft E) secure online and digital Web sites

87) Social media sites primarily exist for broad topics making it difficult for marketers to appeal to smaller communities and niche markets.

Answer: FALSE AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Easy

111) How has do-not-call legislation helped direct marketers? A) Marketers are compensated by the Federal Trade Commission for lost sales caused by the laws. B) Direct marketers have outsourced their activities to firms that are exempt from such laws. C) Direct marketers have developed kiosks as an alternative to telemarketing. D) Telemarketers are allowed to call customers for a small fee. E) Telemarketers have developed opt-in calling systems that target consumers who have chosen to be contacted and therefore are less invasive.

117) What is the most likely reason that direct-response television marketing has increased in recent years? A) uses of social media B) shifts in demographics C) increases in global demand D) changes in FTC legislation E) advances in technology

100) Salespeople can draw prospective leads by referrals from all of the following EXCEPT . A) current customers B) suppliers C) dealers D) directories E) competitive salespeople

Answer: E Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

96) Which of the following is the first step in the personal selling process? A) handling objections B) follow-up C) presentation and demonstration D) preapproach E) prospecting and qualifying

Answer: E Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

113) Which of the following terms refers to a 30-minute television advertising program that markets a single product? A) social media B) digital catalog C) telemarketing D) blog E) infomercial

Answer: E Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

74) What are the strengths and weaknesses of e-mail marketing?

Answer: E-mail is still the king as 91 percent of all U.S. consumers use e-mail every day with 65 percent of those opened on mobile devices. E-mail can be 40 times more effective at capturing customers than Facebook and Twitter combined. Thanks to low costs e-mail marketing brings one of the highest marketing returns on investment. It lets marketers send highly targeted personalized relationship-building messages that are colorful inviting and interactive. However spam has produced consumer irritation and frustration as it now accounts for 70 percent of all e-mail sent worldwide. Marketers want to add value for consumers but not be intrusive and annoying. AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Moderate

143) You receive a text message on your phone from Upscale Furnishings about an upcoming sale on custom furniture. Upscale Furnishings is developing a direct customer relationship with you through kiosk marketing.

Answer: FALSE AACSB: Analytical thinking Skill: Application Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Moderate

71) The workload approach is used to determine the type of sales force structure required by a company.

Answer: FALSE AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

75) Using teams of people from sales marketing engineering finance technical support and even upper management to service large complex accounts is known as complex selling.

Answer: FALSE AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

147) Because of strict consumer privacy regulations invasion of privacy is no longer a concern for the direct marketing industry.

Answer: FALSE AACSB: Ethical understanding and reasoning Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

74) Telemarketing has ceased to be an important tool for most B-to-B marketers owing to the federal government's Do Not Call Registry.

Answer: FALSE AACSB: Information technology Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

13) Direct marketing is an expensive way of reaching target markets.

Answer: FALSE AACSB: Information technology Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

8) Direct and digital marketing involve targeting broad segments of customers.

59) Marketers drive traffic to the company Web sites solely through using other online and digital marketing tools.

61) Search advertisers buy search terms from the search site and pay whenever the search terms come up in the results of a consumer's search.

62) Consumers welcome e-mail marketing messages opportunities to control the messages they receive are frequently ignored.

141) With outbound telephone marketing the company provides a toll-free phone number to receive orders from television ads print ads direct mail and catalogs.

Answer: FALSE AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

144) Kiosk marketing connects users around the world to each other and to an amazingly large information repository.

145) Kiosk marketing features marketing messages and promotions delivered to on-the-go consumers through their mobile devices.

11) Salespeople do not represent customers to the company.

Answer: FALSE Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Easy

69) In the customer sales force structure each salesperson is assigned to an exclusive geographic area and sells the company's full line of products or services to all customers in that territory.

Answer: FALSE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

77) Companies are increasingly adopting high-commission plans to make sure that salespersons are motivated to build long-term relationships with customers.

Answer: FALSE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

78) The goal of supervision is to encourage salespeople to "work hard" and energetically toward sales force goals.

Answer: FALSE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

120) During the prospecting step of the selling process the salesperson meets the customer for the first time.

Answer: FALSE Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

16) Explain the major benefits of direct marketing for customers and for sellers.

Answer: For customers direct marketing is convenient easy to use and private. It gives buyers ready access to a wealth of products and information at home or work and around the globe. It is immediate and interactive. For sellers direct marketing is powerful for building customer relationships. Marketers can target small groups or individual consumers tailor offers to individual needs and promote these offers through personalized communications. It provides great timing and offers a low- cost efficient alternative for reaching markets. AACSB: Application of knowledge Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Moderate

82) Under what conditions is a company most likely to use a product sales force structure?

Answer: If a company has numerous and complex products it can adopt a product sales force structure in which the sales force specializes along product lines. AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

81) What is the role of a salesperson in a territorial sales force structure?

Answer: In the territorial sales force structure each salesperson is assigned to an exclusive geographic area and sells the company's full line of products or services to all customers in that territory. AACSB: Written and oral communication Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

89) Discuss the differences between the three major sales force structures. What are the potential benefits of each structure?

Answer: In the territorial sales force structure each salesperson is assigned to an exclusive geographic area and sells the company's full line of products or services to all customers in that territory. This organization clearly defines each person's job fixes accountability and increases the person's desire to build local business relationships that improve selling effectiveness. The product sales force structure allows the sales force to sell along product lines the seller becomes very knowledgeable about products. The customer sales force structure organizes its sales force along customer or industry lines. This can help a company build closer relationships with important customers. AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

93) Explain the methods of evaluating the performance of a sales force. Why is the evaluation of a company's sales force considered necessary?

Answer: Management gets information about its salespeople in several ways. The most important source is sales reports including weekly or monthly work plans and longer-term territory marketing plans. Salespeople also write up their completed activities on call reports and turn in expense reports for which they are partly or wholly reimbursed. The company can also monitor the sales and profit performance data in the salesperson's territory. Additional information comes from personal observation customer surveys and talks with other salespeople. Using various sales force reports and other information sales management evaluates the members of the sales force. It evaluates salespeople on their ability to "plan their work and work their plan." Formal evaluation forces management to develop and communicate clear standards for judging performance. It also provides salespeople with constructive feedback and motivates them to perform well. On a broader level management should evaluate the performance of the sales force as a whole. Is the sales force accomplishing its customer relationship sales and profit objectives? Is it working well with other areas of the marketing and company organization? Are sales force costs in line with outcomes? As with other marketing activities the company wants to measure its return on sales investment. AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

83) Why and how do companies use workload approach?

Answer: Many companies use some form of workload approach to set sales force size. Using this approach a company first groups accounts into different classes according to size account status or other factors related to the amount of effort required to maintain the account. It then determines the number of salespeople needed to call on each class of accounts the desired number of times. AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

87) Why have firms adopted sales force automation systems?

Answer: Many firms have adopted sales force automation systems to help their salespeople better manage their time improve customer service lower sales costs and increase sales performance. AACSB: Information technology Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

89) Describe how marketers can engage in social media.

Answer: Marketers can engage in social media in two ways: They can use existing social media or they can set up their own. Using existing social media seems easiest but many companies have also created their own online brand communities. AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Easy

91) Describe two ways that marketers can participate in online social networks. What are the challenges and advantages of these approaches?

Answer: Marketers can engage in social media in two ways: They can use existing social media or they can set up their own. Using existing social media seems the easiest. Thus many brands now use a host of social media sites. Although large social media networks are most familiar countless niche social media have also emerged. Niche online social networks cater to the needs of smaller communities of likeminded people making them ideal vehicles for marketers who want to target special interest groups. Beyond these independent social media many companies have created their own online brand communities. Using social media presents both advantages and challenges. On the plus side social media are targeted and personal interactive immediate and timely. Social media can be very cost effective. Perhaps the biggest advantage of social media is their engagement and social sharing capabilities. Social media are especially well suited to creating customer engagement and community-for getting customers involved with the brand and with each other. Social media marketing also present challenges. First many companies are still experimenting with how to use them effectively and results are hard to measure. Second such social networks are largely user controlled. The company's goal in using social media is to make the brand a part of consumers' conversations and their lives. However marketers must become a valued part of the online experience by developing a steady flow of engaging content. AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Moderate

154) How can firms that use new direct marketing technologies avoid backlash from consumers who view such marketing as an invasion of privacy?

Answer: Marketers should always target their direct marketing offers carefully and bring real value to customers through direct marketing. Firms can opt for database marketing so that consumers receive offers that closely match their interests. Using sophisticated computer technologies direct marketers can mine these databases to "microtarget" their selling efforts. Most marketers have become highly skilled at collecting and analyzing detailed consumer information. AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

15) How does online marketing provide flexibility for sellers?

Answer: Online marketing allows the marketer to make ongoing adjustments to its prices and programs or make immediate timely and personal announcements and offers. Online catalogs if used can be adjusted daily or even hourly if needed. AACSB: Information technology Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

88) Why is a firm's organizational climate an important part of building a successful sales staff?

Answer: Organizational climate describes the feeling that salespeople have about their opportunities value and rewards for a good performance. Some companies treat salespeople as if they are not very important so performance suffers accordingly. Other companies treat their salespeople as valued contributors and allow virtually unlimited opportunity for income and promotion. Not surprisingly these companies enjoy higher sales force performance and less turnover. AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

84) Distinguish between an outside sales force and an inside sales force.

Answer: Outside sales force (or field sales force) consists of salespeople who travel to call on customers in the field. On the other hand inside sales force consists of salespeople who conduct business from their offices via telephone the Internet or visits from prospective buyers. AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

12) What is personal selling?

Answer: Personal presentations by the firm's sales force for the purpose of making sales and building customer relationships is known as personal selling. AACSB: Written and oral communication Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Easy

150) Why are printed catalogs still thriving in the face of the growing popularity of Web-based catalogs?

Answer: Printed catalogs are more effective at creating an emotional connection with customers and continue to be one of the best ways to drive online sales. AACSB: Analytical thinking Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

124) How do salespeople qualify prospects?

Answer: Prospects can be qualified by looking at their financial ability volume of business special needs location and possibilities for growth. AACSB: Written and oral communication Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

151) Explain how the creation of the National Do Not Call Registry may have helped telemarketers more than it hurt them.

Answer: Rather than making unwanted calls many of these marketers are developing "opt-in" calling systems in which they provide useful information and offers to customers who have invited the company to contact them by phone or e-mail. The opt-in model provides better returns for marketers than the formerly invasive one. AACSB: Analytical thinking Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

165) How can sales promotion be accomplished through samples?

Answer: Sampling can be a powerful promotional tool. Some samples are free for others the company charges a small amount to offset its cost. The sample might be sent by mail handed out in a store or at a kiosk attached to another product or featured in an ad or an e-mail. Samples are sometimes combined into sample packs which can then be used to promote other products and services. AACSB: Application of knowledge Skill: Concept Objective: LO 16.4: Explain how sales promotion campaigns are developed and implemented. Difficulty: Easy

155) How has the direct marketing industry taken steps to address privacy and security concerns?

Answer: Some companies use a nonprofit self-regulatory organization that audits a company's security and privacy measures and then approves Web sites mobile apps e-mail marketing and other online and social media channels that meet its privacy and security standards. The Direct Marketing Association launched a Privacy Promise that asks member companies to agree to notify customers when any personal information is rented sold or exchanged with others. They must also honor customer requests to opt-out of receiving further solicitations or having their contact information transferred to other marketers. Finally they must abide by the DMA's Preference Service by removing the names of consumers who do not wish to receive mail phone or e-mail offers. AACSB: Ethical understanding and reasoning Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

153) Provide an example of how a marketer uses kiosk marketing.

Answer: Students' answers will vary. Many airlines and hotels use kiosks as self-service check- in devices many retail stores offer in-store ordering kiosks. AACSB: Analytical thinking Skill: Application Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

148) The Children's Online Privacy Protection Act requires online operators targeting children to post privacy policies on their sites and notify parents about any information they are gathering and obtain parental consent before collecting information from children under age 13.

Answer: TRUE AACSB: Ethical understanding and reasoning Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Easy

76) Training online instead of on-site can cut travel and other training costs and it takes up less of a salesperson's selling time.

Answer: TRUE AACSB: Information technology Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

57) A marketing Web site interacts with consumers to move them closer to a direct purchase or other marketing outcome.

Answer: TRUE AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

63) E-mail can be the ultimate direct marketing tool as it lets marketers send highly targeted tightly personalized relationship-building messages.

64) Spam is unsolicited unwanted commercial e-mail messages that clog up users' e- mailboxes.

66) Blogs can be used to appeal to specific special-interest groups about almost any topic.

58) Branded community Web sites are designed to present brand content that engages consumers and builds closer customer relationships rather than to sell the company's products directly.

86) Social media marketing can be inexpensive for companies to use.

Answer: TRUE AACSB: Information technology Skill: Concept Objective: LO 17.4: Discuss how companies use social media and mobile marketing to engage consumers and create brand community. Difficulty: Easy

88) While many consumers welcome the convenience that mobile marketing ads offer marketers still must be smart about how they engage people on mobile devices.

139) Digital catalogs eliminate printing and mailing costs.

140) Telemarketing is especially effective for business-to-business marketers.

146) One common form of Internet fraud is phishing a type of identity theft that uses deceptive e-mails and fraudulent online sites to fool users into divulging personal data.

66) In a territorial sales force structure as each salesperson travels within a limited geographic area travel expenses are relatively small.

Answer: TRUE AACSB: Written and oral communication Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

121) During the presentation step of the selling process the salesperson tells the "value story" to the buyer showing how the company's offer solves the customer's problems.

Answer: TRUE Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

123) Buyers prefer to work with salespeople who are good listeners.

Answer: TRUE Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

9) Most companies use direct marketing as a supplementary channel or medium.

Answer: TRUE Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

10) Personal selling involves interpersonal interactions between salespeople and individual customers.

Answer: TRUE Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Easy

67) If a company has numerous and complex products it can adopt a product sales force structure in which the sales force specializes along product lines.

Answer: TRUE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

68) In a product sales force structure no single salesperson can become an expert in all of the product categories so product specialization is required.

Answer: TRUE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

70) In a complex sales force structure salespeople can be specialized by customer and territory product and territory product and customer or territory product and customer.

Answer: TRUE Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

90) Why are more companies using team selling? What are its pros and cons?

Answer: Team selling is useful for servicing large complex accounts. Sales teams can uncover problems solutions and sales opportunities that no individual salesperson could. In many cases the move to team selling mirrors similar changes in customers' buying organizations. Many large customer companies have implemented team-based purchasing requiring marketers to employ equivalent team-based selling. When dealing with large complex accounts one salesperson can't be an expert in everything the customer needs. Instead selling is done by strategic account teams quarterbacked by senior account managers or customer business managers. Team selling does have some pitfalls however. For example salespeople are by nature competitive and have often been trained and rewarded for outstanding individual performance. Salespeople who are used to having customers all to themselves may have trouble learning to work with and trust others on a team. In addition selling teams can confuse or overwhelm customers who are used to working with only one salesperson. Finally difficulties in evaluating individual contributions to the team selling effort can create some sticky compensation issues. AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

156) Identify the major advantage of the following traditional forms of direct marketing: telephone direct mail catalog direct-response television and kiosk.

Answer: Telephone marketing provides purchasing convenience and increased product and service information. Direct-mail marketing permits selectivity and personalization. Paper catalogs create emotional connections with customers that digital sales spaces can't and through online catalogs marketers can use real-time merchandising adding or removing products based on their availability. Direct-response television marketing allows live demonstrations without salespeople having to visit buyers' homes or businesses. Kiosk marketing places information and ordering machines in convenient places such as airports stores and malls. AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Moderate

157) How has the implementation of the National Do Not Call Registry changed telephone marketing?

Answer: The National Do Not Call Registry was created by legislation passed in 2003 it bans most business telemarketing calls to registered phone numbers. However people can still receive calls from nonprofit groups politicians and companies with which they have recently done business. Millions of customers have joined the do-not-call list and businesses that break the laws can be fined heavily. The use of unsolicited outbound telemarketing has greatly decreased due to the law but inbound consumer telemarketing and outbound business-to- business telemarketing remain strong and growing. Many telemarketers are shifting their call- center activity from making unsolicited cold calls on often resentful customers to managing existing customer relationships. They are developing "opt-in" calling systems in which they provide useful information and offers to customers who have invited the company to contact them by phone or e-mail. AACSB: Information technology Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Moderate

70) Explain how a company benefits from monitoring the blogosphere.

Answer: They can offer a fresh original personal and cheap way to enter into consumer online and social media conversations. Beyond their own brand blogs many marketers use third-party blogs to help get their messages out. Marketers can use insights from consumer online conversations to improve their marketing programs. AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

94) Describe social selling and what changes it is bringing to the selling process.

Answer: The fastest-growing sales trend is the explosion in social selling-the use of online mobile and social media to engage customers build stronger customer relationships and augment sales performance. New digital sales force technologies are creating exciting new avenues for connecting with and engaging customers in the digital and social media age. Used properly online and social media technologies will make salespeople more productive and effective. The new digital technologies are providing salespeople with powerful tools for identifying and learning about prospects engaging customers creating customer value closing sales and nurturing customer relationships. Social selling technologies can produce big organizational benefits for sales forces. They help conserve salespeople's valuable time save travel dollars and give salespeople new vehicles for selling and servicing accounts. Social selling hasn't really changed the fundamentals of selling. Sales forces have always taken the primary responsibility for reaching out to and engaging customers and managing customer relationships. Now more of that is being done digitally. However online and social media are dramatically changing the customer buying process. As a result they are also changing the selling process. In today's digital world many customers no longer rely as much as they once did on information and assistance provided by salespeople. Instead they carry out more of the buying process on their own-especially the early stages. In response to this new digital buying environment sellers are reorienting their selling processes around the new customer buying process. They are "going where customers are"- social media forums online communities blogs-in order to engage customers earlier. They are engaging customers not just where and when they are buying but also where and when they are learning about and evaluating what they will buy. Salespeople now routinely use digital tools that monitor customer social media exchanges to spot trends identify prospects and learn what customers would like to buy how they feel about a vendor and what it would take to make a sale. Today's sales forces are also ramping up their own use of social media to engage customers throughout the buying process. AACSB: Analytical thinking Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

128) What is the follow-up step of the selling process? Why is it important?

Answer: The follow-up step is important if the salesperson wants to ensure customer satisfaction and repeat business. Right after closing the salesperson should complete any details on delivery time purchase terms and other matters. The salesperson then should schedule a follow-up call after the buyer receives the initial order to make sure proper installation instruction and servicing occur. This visit would reveal any problems assure the buyer of the salesperson's interest and reduce any buyer concerns that might have arisen since the sale. AACSB: Application of knowledge Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Moderate

68) Describe the largest form of online advertising.

Answer: The largest form of online advertising is search-related ads or contextual advertising. Text- and image-based ads and links appear atop or alongside search engine results on sites such as Google Yahoo! and Bing. A search advertiser buys search terms from the search site and pays only if consumers click through to its site. AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

125) Why should a salesperson set call objectives?

Answer: The salesperson should set call objectives which may be to qualify the prospect gather information or make an immediate sale. This prepares the salesperson for the approach stage of the selling process. AACSB: Written and oral communication Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Easy

127) What are the different steps in the selling process? Briefly describe each step.

Answer: The selling process consists of seven steps: prospecting and qualifying preapproach approach presentation and demonstration handling objections closing and follow-up. 1. The first step in the selling process is prospecting in which a salesperson or company identifies qualified potential customers. 2. Before calling on a prospect the salesperson should learn as much as possible about the organization (what it needs who is involved in the buying) and its buyers (their characteristics and buying styles). This step is known as preapproach. 3. The sales step in which a salesperson meets the customer for the first time is known as approach. During the approach step the salesperson should know how to meet and greet the buyer and get the relationship off to a good start. 4. During the presentation step of the selling process the salesperson tells the "value story" to the buyer showing how the company's offer solves the customer's problems. 5. The sales step in which a salesperson seeks out clarifies and overcomes any customer objections to buying is known as handling objections. 6. After handling the prospect's objections the salesperson next tries to close the sale. This step is known as closing in which a salesperson asks the customer for an order. 7. The last step in the selling process-follow-up-is necessary if the salesperson wants to ensure customer satisfaction and repeat business. In this step a salesperson follows up after the sale to ensure customer satisfaction and repeat business. AACSB: Written and oral communication Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Moderate

129) How are the personal selling process and customer relationship management interrelated? What are the primary requirements of value selling?

Answer: The selling process should be understood in the context of building and maintaining profitable customer relationships as companies are interested in more than simply securing a one-time sale. Successful sales organizations recognize that winning and keeping accounts requires more than making good products and directing the sales force to close lots of sales. If the company wishes only to close sales and capture short-term business it can do this by simply slashing its prices to meet or beat those of competitors. Instead most companies want their salespeople to practice value selling-demonstrating and delivering superior customer value and capturing a return on that value that is fair for both the customer and the company. Unfortunately in the heat of closing sales-especially in a tight economy-salespeople often take the easy way out by cutting prices rather than selling value. Sales management's challenge is to transform salespeople from customer advocates for price cuts into company advocates for value. Value selling requires listening to customers understanding their needs and carefully coordinating the whole company's efforts to create lasting relationships based on customer value. AACSB: Application of knowledge Skill: Concept Objective: LO 16.3: Discuss the personal selling process distinguishing between transaction- oriented marketing and relationship marketing. Difficulty: Moderate

86) What does a call plan show?

Answer: The weekly monthly or annual call plan shows which customers and prospects to call on and which activities to carry out. AACSB: Written and oral communication Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

92) Describe some of the methods used to supervise salespeople and help them work more efficiently.

Answer: Through supervision or helping salespeople "work smart" companies can help salespeople do the right things in the right way. This includes helping salespeople identify target customers and manage their time. A weekly monthly or annual call plan is used in many companies to show salespeople which customers and potential customers to call on within a breaks and doing administrative chores. Companies are always looking for ways to save time -simplifying administrative duties developing better sales call and routing plans supplying more and better customer information and using phone e-mail or Internet conferencing instead of traveling. Many firms have adopted sales force automation systems: computerized digitized sales force operations that let salespeople work more effectively anytime anywhere. Companies now routinely equip their salespeople with technologies such as laptops or tablets smartphones wireless connections videoconferencing technologies and customer-contact and relationship management software. Armed with these technologies salespeople can more effectively and efficiently profile customers and prospects analyze and forecast sales schedule sales calls make presentations prepare sales and expense reports and manage account relationships. The result is better time management improved customer service lower sales costs and higher sales performance. In all technology has reshaped the ways in which salespeople carry out their duties and engage customers. AACSB: Written and oral communication Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

73) What are the characteristics of a successful Web site?

Answer: To attract visitors companies aggressively promote their Web sites in offline print and broadcast advertising and through ads and links on other sites. The key is to create enough engaging and valued content to get consumers to come to the site stick around and come back again. At the very least a Web site should be easy to use and visually appealing. Ultimately however Web sites must also be USEFUL. When it comes to online browsing and shopping most people prefer substance over style and function over flash. Thus effective Web sites contain deep and useful information interactive tools that help find and evaluate content of interest links to other related sites changing promotional offers and entertaining features that lend relevant excitement. AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Moderate

13) Describe the nature of personal selling and the role of the sales force.

Answer: Today most salespeople are well-educated and well-trained professionals who work to build and maintain long-term customer relationships by listening to their customers assessing customer needs and organizing the company's efforts to solve customer problems. The best salespeople are the ones who work closely with customers for mutual gain. Personal selling is the interpersonal arm of the promotion mix. The sales force acts as a critical link between a company and its customers. Salespeople represent the company to the customer and the customer to the company to produce customer satisfaction and company profit. AACSB: Written and oral communication Skill: Concept Objective: LO 16.1: Discuss the role of a company's salespeople in creating value for customers and building customer relationships. Difficulty: Moderate

20) Identify the traditional direct marketing tools and differentiate them from the digital direct marketing tools. What is their importance?

Answer: Traditional direct marketing tools include face-to-face selling direct-mail marketing catalog marketing telemarketing direct-response television marketing and kiosk marketing. In recent years however digital direct marketing tools have burst onto the marketing scene including online marketing (Web sites online ads and promotions e-mail online videos and blogs) social media marketing and mobile marketing. It's important to remember that all of these tools-both the new digital and the more traditional forms-must be blended into a fully integrated marketing communications program. Skill: Concept Objective: LO 17.2: Identify and discuss the major forms of direct and digital marketing. Difficulty: Easy

85) What is the goal of training salespeople?

Answer: Training programs have several goals. First salespeople need to know about customers and how to build relationships with them. Therefore the training program must teach them about different types of customers and their needs buying motives and buying habits. It must also teach them how to sell effectively and train them in the basics of the selling process. Salespeople also need to know and identify with the company its products and its competitors. Therefore an effective training program teaches them about the company's objectives organization products and the strategies of major competitors. AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Easy

69) Explain the goal of viral marketing.

Answer: Viral marketing is the digital version of word-of-mouth marketing. Viral marketing involves creating videos ads or other marketing content that are so infectious that customers will want to pass them along to their friends. AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Easy

158) Internet marketing practices have raised a number of ethical and legal questions. Why is invasion of privacy perhaps the number one online marketing concern?

Answer: Web site activities provide extensive personal information. This may leave consumers open to information abuse if companies make unauthorized use of the information in marketing their products or exchanging databases with other companies. Critics worry that through database marketing marketers know too much about consumers' lives and may not use that information responsibly taking unfair advantage of consumers. AACSB: Ethical understanding and reasoning Skill: Concept Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Moderate

71) Identify the major advantage of the following forms of digital and social media marketing: Web sites viral marketing e-mail blogs social media and mobile ads and apps.

Answer: Web sites are designed to engage the customers. Marketing Web sites want to move them closer to a direct purchase or other marketing outcomes. Branded community Web sites want to provide content that builds closer customer relationships and generates engagement with and between the brand and its customers. Viral marketing can be very inexpensive when customers find and pass along the message or promotion. E-mail lets marketers send highly targeted tightly personalized relationship-building messages. Blogs can offer a fresh original personal and cheap way to enter into consumer online and social media conversations. Social media first and foremost are targeted and personal. Mobile ads and apps are used to increase convenience for customers whether in making a purchase or accessing information. AACSB: Information technology Skill: Concept Objective: LO 17.3: Explain how companies have responded to the Internet and the digital age with various online marketing strategies. Difficulty: Challenging

91) How do successful companies recruit and train their salespeople? What does an effective training program teach salespeople?

Answer: When recruiting a company should analyze the sales job itself and the characteristics of its most successful salespeople to identify the traits needed by a successful salesperson in their industry. Then it must recruit the right salespeople. The human resources department looks for applicants by getting names from current salespeople using employment agencies searching the Internet placing classified ads and working through college placement services. Another source is to attract top salespeople from other companies. Proven salespeople need less training and can be productive immediately. New salespeople may spend anywhere from a few weeks or months to a year or more in training. After the initial training ends most companies provide continuing sales training via seminars sales meetings and Internet e-learning throughout the salesperson's career. Many companies are now using imaginative and sophisticated e-learning techniques to make sales training more efficient. Salespeople also need to know and identify with the company its products and its competitors. Therefore an effective training program teaches them about the company's objectives organization products and the strategies of major competitors. AACSB: Application of knowledge Skill: Concept Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Moderate

Refer to the scenario below to

answer the following question(s). Reliable Tools Company is a manufacturer of hubs and axles for the trailer and heavy truck industry. Although Reliable Tools only has 15 customers the company is the sole supplier of hub and axle components to those customers. Monthly sales at Reliable Tools are approximately $1 million. "You might say we have all our eggs in one basket" says owner Arthur Deetz. It is critical that a competent sales force be maintained in order to nurture those few but large accounts. Ninety-five percent of Reliable Tools' customers are located in Michigan Ohio and Indiana which means that travel time to all customers is relatively short. However given the nature of the industry time spent with each customer is crucial. 59) How would a customer sales force structure benefit Reliable Tools? A) It would eliminate the need for the company's salespeople to travel to meet customers. B) It would enable the company's salespeople to build close relationships with customers. C) It would help the company's salespeople become experts in the products they sell. D) It would enable the company's management to cut training costs substantially. E) It would make telemarketing irrelevant. ,Answer: B AACSB: Analytical thinking Skill: Application Objective: LO 16.2: Identify and explain the six major sales force management steps. Difficulty: Challenging

Refer to the scenario below to

answer the following question(s). The Treble Clef sells music books musical instruments and novelty gifts of a musical nature. In recent years owner Gary Zahn has served as the local representative of several musical instrument manufacturers providing a contact person for three local schools. He sends a sample of a manufacturer's products to schools that request a demonstration or presentation. "If we don't have it we can definitely get it for you" Gary tells all Treble Clef visitors and customers. Most walk-ins are particularly interested in a specific piece of sheet music from a particular era or just browsing among the hundreds of music knick-knacks in the store. Gary spends most of his time making presentations to beginners at the local schools and making biweekly visits to the schools to deliver instruments make minor repairs or pick up instruments to ship to the manufacturer for more complicated repairs. After establishing a loyal customer base Gary was convinced that a Treble Clef Web site could benefit a variety of customers. He began with a simple Web site that provided information about the store and the types of gifts and services available. The site received so much response that Gary added a question-and-,answer option. Questions poured in ranging from "Where can I get sheet music for 'Hello Dolly'?" to "Do you carry clarinet reeds?" to "My saxophone needs two new pads. When will you be at Elmhurst School to repair it?" The Web site is now able to accept credit card orders and gifts can even be wrapped and shipped for no extra charge. "This Web site idea was fantastic!" Gary admitted. "It allows us to be so responsive. And our novelties sales have doubled!" 136) Gary sends samples of sheet music to schools for demonstration or presentation. Which of the following types of marketing is being illustrated from this statement? A) kiosk marketing B) viral marketing C) direct-mail marketing D) telemarketing E) direct-response television marketing ,Answer: C AACSB: Analytical thinking Skill: Application Objective: LO 17.5: Identify and discuss the traditional direct marketing forms and overview public policy and ethical issues presented by direct marketing. Difficulty: Challenging

"5) With direct marketing companies can interact with customers in all of the following ways EXCEPT ." A) in person B) learning more about customers' needs C) personalizing products and services D)

answering questions from customers E) by phone or online ,Answer: A AACSB: Information technology Skill: Concept Objective: LO 17.1: Define direct and digital marketing and discuss their rapid growth and benefits to customers and companies. Difficulty: Easy

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