Chapter 6
straight rebuy
A business buying situation in which the buyer reorders something without any modifications is known as a _________
product specification
Product value analysis is an approach to cost reduction that is used at which stage of the buying decision process?
it pits suppliers against one another
The rapidly expanding use of e-procurement in business-to-business deals provides several advantages; however, one of the disadvantages is __________.
derived
Business-to-business marketers will sometimes promote their goods directly to consumers. This is because business demand is __________
influencers
__________ are members of the buying center who help define specifications and provide information for evaluating alternatives.
reverse auctions
one form of e-procurement is __________ in which companies put their purchasing requests online and invite bids.
is inelastic
Business markets have demand that __________.
General need description
Developing product specifications follows __________ in the business buyer decision process.
derived demand
Eaton sells only to businesses and focuses on the electrical, hydraulics, aerospace, and vehicle markets. When the economic crises hit in 2008, consumers began cutting back, and as a result, Eaton's customers needed to cut costs and scale back operations. This, in turn, impacted Eaton's sales, which is known as __________.
food vendors with low prices and quality products
Hospital purchasing agents should prefer __________.
systems selling
In the B-to-B market, one strategy is to offer a complete solution to a buyer's problems. This is called __________.
a new task buying situation
In which type of buying situation will a buyer usually go through all eight stages of the business buying process?
characterized by low budget, captive patrons
Institutional markets are __________.
influencer
A University is buying new overhead projectors for its classrooms. The University's Information Technology Department has been asked to provide specifications and recommendations for this purchase. The IT Department is playing which role in the University's buying center?
influencers
When Eaton worked with the University of Notre Dame on its new engineering building to improve its energy efficiency and earn LEED credits, Eaton engaged with a number of people at Notre Dame to finalize the partnership and solidify terms and conditions associated with the agreement. Which of the following people in the buying center would have affected Notre Dame's buying decision (for example, define specs and provide information on evaluating alternatives)?
problem recognition
When Eaton's customers became aware that they needed solutions for power management, energy savings, green technologies, and LEED certification, they were in which phase of the business buying process?
organizations that provide goods and services to people in their care
Which of the following correctly defines the institutional market?
A grocery store buying cereal from Kellogg's
Which of the following is a business-to-business market transaction?
It allows businesses to target individuals within a business who affect buying decisions
Which of the following statements about the use of digital and social media for B-to-B marketing is correct? A. It allows businesses to target individuals within a business who affect buying decisions B. It is growing rapidly but offers limited ways to engage customers compared to face-to-face selling. C. It reduces customer engagement and interaction. D. It is growing slowly because business buyers are only occasionally connected to digital devices. E. It is a very important medium but its use is currently limited to a small number of industries.
the market is very small and limited
Which of the following statements is not a difference between business markets and consumer markets?
The U.S. government is the largest buyer of goods and services in the world.
Which of the following statements regarding the U.S. government market is correct? A. Government buying is not scrutinized by outside publics. B. Selling to the U.S. government requires no specific knowledge of that market. C. The U.S. government is the largest buyer of goods and services in the world. D. The U.S. government market is not affected by environmental factors. E. The government tends to favor foreign suppliers over domestic suppliers.
Many sets of business purchases are made for one set of consumer purchases.
Which of the following statements regarding the business market is correct? A. The business market is not as large as the consumer market in terms of dollars spent and items purchased. B. The business market has more buyers than the consumer market. C. In the business market buying process, buyers and sellers are less dependent on each other than in the consumer market. D. Many sets of business purchases are made for one set of consumer purchases. E. Business buying decisions are less complex than consumer buying decisions.
order routine specification
__________ includes the final order with the chosen supplier or suppliers and lists other required items.
Order-routine specification
Items such as technical specifications, quantity, delivery time, return policies, and warranties are included in which stage of the buying decision process?
environmental
There are a number of influences on the buying organization and buying center that can impact how and what is purchased by a business. For Eaton's customers, the economic crises in 2008 would be classified as what type of influence?
buying center
The __________ consists of all the people who are involved in an organizational buying decision.
manufacturers, producers, wholesalers, retailers
The __________ consists of all the people who are involved in an organizational buying decision.
reverse auctions
To do e-procurement, companies can conduct __________, in which they put their purchasing requests online and invite suppliers to bid for the business.
The buying center and the buying decision process
What are the two major components of a B-to-B marketer's buying activity?
solutions selling
through the years, Eaton has shifted from selling strictly components to solving its customers' problems with more tailored offerings. This is an example of _________.
