Chapter 7 - Business-to-Business Marketing

True or false: In most large organizations, buying decisions are made exclusively by members of the purchasing or procurement department, with limited or no input from other employees.

False

_______ buy raw materials, components, and parts that allow them to make and market their own goods and ancillary services.

Manufacturers

During the B2B buying process, a firm will typically invite alternative suppliers to bid on supplying the firm's required components for a product. This stage is called the _______ for proposal process.

request

True or false: The government is usually one of the largest spenders in the B2B market.

True

Within a typical buying center, the ______ is the person who first suggests buying a particular product or service. a. influencer b. decider c. gatekeeper d. initiator

d. initiator

Select all that apply The majority of B2B buying situations can be described as which three of the following? a. Straight rebuys b. Organizational buy c. B2C buys d. New buys e. Modified rebuys

a. Straight rebuys d. New buys e. Modified rebuys

A firm's organizational ______ demonstrates the set of values, traditions, and customs that moderate its employees' behavior. (Enter one word in the blank.)

culture

Terence recognizes that in order to fulfill customers' expectations for his florist business, he needs a customized delivery van. This illustrates the requirements for which stage in the B2B process? a. Stage 3: Order specification b. Stage 4: Performance assessment c. Stage 2: Product specification d. Stage 1: Need recognition

d. Stage 1: Need recognition

The three B2B buying situations are ______ buys, _______ rebuys, and straight rebuys. (Enter one word in each blank.)

new, modified

The _______ is the role that controls information, access, or both to decision makers and influencers.

gatekeeper

In the first stage of the B2B buying process, the buying organization recognizes, through either internal or external sources, that it has a(n) ______ need. a. expiring b. satisfied c. unfulfilled d. redundant

c. unfulfilled

In the third stage of the B2B buying process, the firm will invite alternative suppliers to bid on supplying the firm's required components. This stage is known as the ______ for ______ process. a. request; product specification b. review; product specification c. review; proposals d. request; proposals

d. request; proposals

The ______ will be the person who ultimately determines any part of the buying decision. (Use the exact term.)

decider

In the B2B buying process, a firm will always recognize a need before engaging in the second phase of the process, the ______ stage of the process. a. proposal analysis b. RFP process c. order specification d. product development e. product specification

e. product specification

A local clinic (institution) in need of more Purell antibacterial soap might purchase from Target, which is a ______ of soap, whereas a local high school (institution) in need of more textbooks might buy some from McGraw-Hill, which is a ______. a. manufacturer; manufacturer b. manufacturer; retailer c. wholesaler; manufacturer d. manufacturer; distributor e. retailer; manufacturer

e. retailer; manufacturer

Within a typical buying center, who is the person who controls information, access, or both to decision makers and influencers? a. Gatekeeper b. Buyer c. User d. Decider

a. Gatekeeper

______ to- ________ marketing refers to the process of buying and selling goods or services to be used in the production of other goods and services, for consumption by the buying organization, and/or for resale by wholesalers and retailers.

Business, Business

The final stage of the B2B buying process is also known as _______ performance assessment using metrics.

Vendor or Supplier

Select all that apply Which of the following are general types of organizational buying cultures? a. Autocratic b. Populous c. Consultative d. Theocratic

a. Autocratic c. Consultative

When Hertz Rent a Car decides to expand its fleet, several companies as well as consumers will be involved. Financial services will be provided by banks, and the actual fleet of cars will come from auto manufacturers. Hertz will rent the cars to consumers. In this scenario, which of the following are involved in B2B marketing? a. Banks financing Hertz's car purchases b. Hertz, renting the cars to consumers c. Auto manufacturers selling cars to Hertz d.. Consumers renting the cars

a. Banks financing Hertz's car purchases c. Auto manufacturers selling cars to Hertz

Each role within the buying center is different. Which role makes the final determination as to which product is purchased from which supplier, if purchased at all? a. Decider b. Gatekeeper c. Buyer d. Initiator

a. Decider

Burt's Bees buys raw materials in order to provide its finished earth-friendly products, such as perfumes, lip balms, and hair products. Which of the following business markets best describes Burt's Bees? a. Manufacturer or producer b. Institution c. Reseller d. Consumer advocate

a. Manufacturer or producer

______ refers to a set of unspoken guidelines that employees share in various work situations. a. Organizational culture b. Organizational structure c. Organizational climate d. Organizational theory

a. Organizational culture

Using metrics to evaluate a supplier of raw materials to a manufacturer is part of which stage of the B2B buying process? a. Vendor performance assessment b. Need recognition c. RFP process d. Order specification stage

a. Vendor performance assessment

A software development firm has built a program that can help businesses more efficiently target advertisements toward those who are most likely to buy. The sales team wants to introduce the product to potential clients but doesn't want to overwhelm them with a pushy sales pitch or overly technical language. To do this, they should create which of the following? a. White paper b. Buying center c. Modified rebuy d. Request for proposal

a. White paper

In most country markets, the central government tends to be the ______ purchaser of goods and services. a. largest b. cheapest c. most-profitable d. only

a. largest

Democratic, autocratic, consultative, and consensus are different types of ______. a. organizational buying cultures b. roles in the buying center c. buyer-seller relationships d. buying situations

a. organizational buying cultures

Once a firm recognizes a need, the firm will consider alternative solutions and develop a list of requirements to be given to potential vendors. What is the name for this process? a. product specification b. proposal analysis c. vendor negotiation d. need recognition

a. product specification

Which of the following is NOT a step in the formal business-to-business buying process? a. RFP process b. Commercialization c. Need recognition d. Product specification

b. Commercialization

A pharmaceutical sales representative who visits with health care professionals to demonstrate new products they may wish to use plays which buying role? a. Gatekeeper b. Influencer c. Buyer d. Initiator

b. Influencer

A doctor who recommends a procedure and determines which equipment and products will be required participates in which buying role? a. Buyer b. Initiator c. Gatekeeper d. User

b. Initiator

What is the purpose of a white paper? a. To promote a product to other businesses using eye-catching phrases and endorsements b. To provide product information in an easy-to-read informational context c. To build rapport with other businesses by passing along funny anecdotes or experiences d. To identify a need and solicit proposals from suppliers to help fill it

b. To provide product information in an easy-to-read informational context

Which of the following are roles within a buying center? a. Reseller b. User c. Vendor d. Initiator e. Decider

b. User d. Initiator e. Decider

Within a typical buying center, there will be someone who handles the paperwork for the actual purchase. This person is referred to as the ______. a. initiator b. buyer c. user d. decider

b. buyer

All of the following are involved in business-to-business (B2B) marketing EXCEPT: a. manufacturers b. consumers c. wholesalers d. retailers

b. consumers

Select all that apply Prior to finalizing a purchase, the procurement department may consult ______ to ensure that the purchase being made is suitable for the function it will have in the company. a. competitors who use similar materials b. employees who use the materials c. customers of the company d. design team members

b. employees who use the materials d. design team members

The person who may agree with the initiator and convince others in the firm to agree with buying a particular item is called a(n) ______. a. gatekeeper b. influencer c. buyer d. purchaser

b. influencer

Hospitals, universities and religious organizations could be considered _______ to which a B2B vendor would sell products. a. manufacturers b. institutions c. businesses d. resellers

b. institutions

Resellers can be thought of as ______. a. end customers b. intermediaries c. institutions d. manufacturers

b. intermediaries

When a firm places its orders with its preferred supplier(s), it engages in ______. a. supplier engagement b. order specification c. supplier acceptance d. order requesting

b. order specification

In the fourth stage of the B2B buying process, _____, vendor negotiation, and selection all occur. a. demonstration of product b. proposal analysis c. request for proposals d. product specification

b. proposal analysis

The person who handles the paperwork of the actual purchase and is responsible for making the purchase is the ______

buyer

A doctor who recommends a procedure and determines which equipment and products will be required participates in which buying role? a. User b. Gatekeeper c. Initiator d. Buyer

c. Initiator

The fourth stage of the B2B buying process has a number of mini steps within itself. Which of the following is NOT one of the steps within the fourth stage? a. Vendor negotiation b. Selection c. Product specification d. Proposal analysis

c. Product specification

B2B marketing involves the process of buying and selling goods or services to be used in the production of other goods and services, for ______ by the buying organization, and/or for ______ by wholesalers and retailers. a. resale; consumption b. consumption; consumption c. consumption; resale d. resale; resale

c. consumption; resale

There may be a person who acts as a(n) ________ in the buying center, often by providing specifications and recommendations for the product being purchased or the vendor being considered and communicating that to others in the buying center. a. user b. initiator c. influencer d. gatekeeper

c. influencer

______ are the entire category of marketing intermediaries that move the product further downstream in the channel without significantly altering the form. a. Wholesalers b. Manufacturers c. Retailers d. Resellers

d. Resellers

When a doctor schedules you for a surgery and requests that the hospital have specific instruments and supplies for your procedure, who initiates the buying process? a. The patient b. The nurse c. The hospital d. The doctor

d. The doctor

In the fifth stage of the B2B buying process, ______ specification, the firm places its order with its preferred supplier(s). a. preference b. vendor c. supplier d. order

d. order