sales management test #3 10, 13, 14

14. Motivation is how much the salesperson ___________ on each activity or task. A) Is required to expend effort. B) Values effort. C) Wants to expend effort. D) Envisions effort

C) Wants to expend effort.

21. Mark has found that he can increase salespeople's performance by involving salespeople in: A) Corporate organizational citizenship behavior. B) Valences for rewards. C) Territory design. D) Targeting role accuracy.

C) Territory design.

3. When considering the five determinants that affect a salesperson's performance it is important to recognize that: A) Aptitude is the most important determinant. B) Motivation is more important than skill level. C) The determinants interact with each other. D) Personal variables are less important than organizational variables.

C) The determinants interact with each other.

29. Which of the following job satisfaction dimensions provides primarily intrinsic rewards? A) The job itself. B) Pay. C) Customers. D) Promotion and advancement.

A) The job itself.

49. Leadership in sales management is particularly important when: A) The salesperson's job is complex and ambiguous. B) Sales methods are routine. C) Canned presentations are substituted for problem-solving selling. D) Emphasis is placed on transactional sales

A) The salesperson's job is complex and ambiguous.

17. When evaluating a salesperson's performance, the number of customer and/or prospect calls is often used to determine: A) Whether the salesperson is covering the territory. B) How well a salesperson is controlling expenses. C) How much time is spent on nonselling activities. D) All of the choices are correct.

A) Whether the salesperson is covering the territory.

9. One reason industrial salespeople often experience role inaccuracy, conflict, and ambiguity is: A) They work too hard. B) Industrial selling is complex. C) They spend so much time out of the office and with customers. D) All of the choices are correct.

C) They spend so much time out of the office and with customers.

22. Danielle is paid different amounts depending on the types of products she sells. She is being paid based on a: A) Fluctuating salary plan. B) Defined salary plus bonus plan. C) Variable commission rate. D) Variable quota plus perks plan.

C) Variable commission rate.

23. The relationship between performance and rewards in sales is: A) Defined by the sales manager. B) Complex. C) Regulated in most states. D) Internally defined.

B) Complex.

25. A draw is commonly associated with which type of salary compensation plan? A) Salary B) Commission C) Bonus. D) Quota

B) Commission

3. A key issue in evaluating the performance of salespeople is distinguishing among the concepts of: A) Behavior, performance, and effectiveness. B) Internal, external, and 360 degree feedback. C) Input, output, and throughput measures/ D) Bias, non-bias, and objective feedback.

A) Behavior, performance, and effectiveness.

15. Frank assumes that, if he makes more sales calls, his sales will increase. For Frank this is an: A) Expectancy B) Valence. C) Perceived role. D) Role accuracy.

A) Expectancy

5. A salesperson's performance is: A) His or her contribution to the goals of the organization. B) What they do. C) A summary index of organizational outcomes for which he or she is at least partially responsible. D) The percentage of quota attained.

A) His or her contribution to the goals of the

41. One of the problems associated with a "remote" sales force is: A) Isolation. B) Increased costs. C) Weaker customer relationships. D) All of the choices are correct.

A) Isolation.

50. Greg has successfully implemented a performance management system. To do so, he shifted his leadership style to that of: A) Partner. B) Salesman. C) Manager. D) Counselor.

A) Partner.

7. Marvin is not sure whether his company's product will really benefit the customer. He thinks it will but needs specific information to be sure. Marvin is struggling with: A) Perceived role ambiguity. B) Role inaccuracy. C) Perceived role conflict. D) All of the choices are correct.

A) Perceived role ambiguity.

33. Expectations and demands concerning how salespeople should behave are communicated during the _________________ step in defining a salesperson's role. A) Role partners communicate expectations. B) Salespeople develop perceptions. C) Salespeople convert perceptions into behavior. D) All of the choices are correct.

A) Role partners communicate expectations.

19. Career counselors often advise college graduates seeking their first sales job to seek out positions heavier in ________ component to give the salesperson time to learn how to sell. A) Salary B) Commissions C) Bonus. D) Quota

A) Salary

9. __________ can be used to motivate effort on nonselling activities, while ___________ can be used to motivate a high level of selling effort. A) Salary; commissions. B) Bonuses; sales contests. C) Benefits; contests. D) Contests; benefits.

A) Salary; commissions.

29. One of the problems with incentive ceilings is: A) Salespeople may reach the earnings maximum early and not work to their maximum potential the rest of the year. B) Top salespeople may wind up earning more than sales managers. C) It could result in windfalls for salespeople, not related to their sales effort. D) All of the choices are correct.

A) Salespeople may reach the earnings maximum early and not work to their maximum potential the rest of the year.

1. How a sales manager organizes and deploys the sales force can affect: A) Salespeople's perceptions of the job. B) Training expectations. C) Cost of living. D) The sales manager's perceived self role ambiguity.

A) Salespeople's perceptions of the job.

26. In combination sales compensation plans, the incentive portion should be relatively large if ______________ is an important part of the job. A) Selling skill. B) Nonselling efforts. C) Benefits. D) Expense accounts.

A) Selling skill.

12. ___________ measures of sales performance rely on personal evaluations, generally gathered via direct observation. A) Subjective. B) Objective. C) External. D) Biased.

A) Subjective.

42. Frank is considering the development of a BARS system for evaluating subjective criteria. His major reservation is BARS systems: A) Take time to develop. B) Only evaluate output measures. C) Introduce an outcomes bias. D) Provide only half of the 360-degree feedback.

A) Take time to develop.

37. Salespeople are likely to experience more role conflict than other people in the company because they work at: A) The boundary of the firm. B) Too many hours. C) Closely with their sales managers. D) All of the choices are correct.

A) The boundary of the firm.

31. Most incentive plans credit the salesperson when the order is: A) Placed. B) Accepted by the company. C) Shipped. D) Delivered.

B) Accepted by the company.

10. __________ can be used to provide additional rewards for top performers, while _____________ can be used to match competitive offers. A) Salary; commissions. B) Bonuses; benefits. C) Benefits; contests. D) Contests; commissions.

B) Bonuses; benefits.

11. Good salespeople are not necessarily _________ with the inherent abilities to be good. A) Provided B) Born C) Trained D) None of the above

B) Born

33. When constructing a subjective performance evaluation form, A) Begin with objective measures. B) Criteria should match those identified as important for success in the position. C) Product knowledge is the most important criteria. D) Develop dependability/ attitude ratios.

B) Criteria should match those identified as important for success in the position.

13. Skill levels are learned proficiencies. Sales managers have found that: A) All salespeople need to be equally trained so they can adapt to any selling environment. B) Different kinds of skills are needed for different types of selling tasks. C) Technical skills are more important in today's selling environment. D) Leadership and presentation skills can overcome a lack of interpersonal skills.

B) Different kinds of skills are needed for different types of selling tasks.

20. From a salesperson's perspective, the major limitation of straight salary compensation is: A) Financial rewards are tied to draws. B) Financial rewards are not tied directly to any specific aspect of job performance. C) Financial rewards vary with commission schedules and nonfinancial incentives. D) All of the choices are correct.

B) Financial rewards are not tied directly to any specific aspect of job performance.

41. Limited expense reimbursement plans, can have the effect of limiting: A) The cost to the salesperson. B) Incentives to do what needs to be done. C) Quotas. D) The draw/benefit ratio.

B) Incentives to do what needs to be done.

26. The difference between extrinsic rewards and intrinsic rewards is: A) Extrinsic rewards are always monetary rewards. B) Intrinsic rewards are internal and extrinsic come from others. C) Intrinsic rewards are more important. D) Extrinsic rewards are more important.

B) Intrinsic rewards are internal and extrinsic come from others.

45. Allowing salespeople to have direct input by establishing their personal growth goals on the job and then incorporating these goals in performance evaluation, helps support salespeople's: A) Pay for performance. B) Intrinsic rewards. C) Customer feedback loop. D) Unbiased outcomes assessment.

B) Intrinsic rewards.

39. From the perspective of motivating salespeople, recognition programs provide the benefit of: A) Increased health insurance. B) Making others in the organization aware of the salesperson's accomplishment. C) Variable commission rates in order to reconfigure bonuses. D) Reduced expense account costs.

B) Making others in the organization aware of the salesperson's accomplishment.

36. One of the benefits of awarding merchandise instead of cash to sales contest winners is: A) It costs less. B) Merchandise is visible and people will talk about their awards. C) Every company has suitable merchandise in their inventory to give away. D) Nonfinancial incentives are always more important than financial incentives.

B) Merchandise is visible and people will talk about their awards.

11. ___________ measures of sales performance reflect statistics the sales manager can gather from the firm's internal data. A) Subjective. B) Objective. C) External. D) Biased.

B) Objective.

47. Great sales organizations use the performance evaluation process to facilitate: A) Profit-sharing. B) Ongoing dialogue. C) Intrinsic reward allocation. D) Customer approval ratings.

B) Ongoing dialogue.

30. When developing a sales compensation plan with incentive ceilings, it is a good idea to: A) Consult customers first. B) Pretest the plan using sales records. C) Allow salespeople to define the ceiling. D) All of the choices are correct.

B) Pretest the plan using sales records.

27. Ginger feels unappreciated in her sales organization. She would probably be motivated by: A) Bonuses. B) Recognition. C) Personal growth. D) Security.

B) Recognition.

31. A sales manager who works to eliminate salespeople's role ambiguity and conflict will: A) Be viewed positively by his or her salespeople. B) Reduce the challenge and could limit long-term performance. C) Increase sales force satisfaction. D) All of the choices are correct.

B) Reduce the challenge and could limit long-term performance.

38. If a salesperson is faced with the question of "Do I know what the role partner expects with regard to that activity?" they are struggling with: A) Role expectations. B) Role ambiguity. C) Role conflict. D) Role inaccuracy.

B) Role ambiguity.

45. By closely supervising salespeople, sales managers can reduce: A) Role expectations. B) Role ambiguity. C) Role conflict. D) Role inaccuracy.

B) Role ambiguity.

46. Gwen was involved with determining the performance standards her sales manager uses to evaluate her. This will likely reduce Gwen's: A) Role expectations. B) Role ambiguity. C) Role conflict. D) Role inaccuracy.

B) Role ambiguity.

47. Because Frank reports to both the marketing manager and the sales manager, he sometimes experiences: A) Role expectations. B) Role ambiguity. C) Role security. D) Role inaccuracy.

B) Role ambiguity.

8. Leah tells her customer that she has available the billboards the customer wants, not knowing that an executive sales rep has committed those billboards to a national account. Leah is experiencing: A) Perceived role ambiguity. B) Role inaccuracy. C) Perceived role conflict. D) All of the choices are correct.

B) Role inaccuracy.

5. The role of a salesperson is largely defined through the expectations, demands, and pressures communicated by his or her: A) Peers. B) Role partners. C) Customers. D) Sales managers.

B) Role partners.

37. Which of following is a potential criticism of sales contests for motivating salespeople? A) Contests may create only long-term results without short-term improvement. B) Salespeople may "borrow" sales from before or after the contest to increase their chances of winning. C) Contests can increase the cohesiveness and morale of the sales force. D) All of the choices are correct.

B) Salespeople may "borrow" sales from before or after the contest to increase their chances of winning.

27. Leonard sees that the sales force he has inherited is not very motivated under the current combination plan. Leonard should increase: A) The salary. B) The incentive portion. C) The size of the territories. D) The draw.

B) The incentive portion.

16. Roland thinks opening new accounts is more important than maintaining existing accounts. Roland's perception regarding opening new accounts is his: A) Expectancy B) Valence for performance. C) Perceived role. D) Role accuracy.

B) Valence for performance.

4. A salesperson's behavior is: A) His or her contribution to the goals of the organization. B) What they do. C) A summary index of organizational outcomes for which he or she is at least partially responsible. D) The percentage of quota attained.

B) What they do.

44. Janice has just received her performance evaluation. She sees she has been evaluated by her peers, sales manager, and even customers. Janice has just received: A) Her termination notice. B) A BARS system evaluation. C) 360-degree performance feedback. D) An effectiveness, behavioral outcomes assessment.

C) 360-degree performance feedback.

6. A salesperson's effectiveness is: A) His or her contribution to the goals of the organization. B) What they do. C) A summary index of organizational outcomes for which he or she is at least partially responsible. D) The percentage of quota attained.

C) A summary index of organizational outcomes for which he or she is at least partially responsible.

32. Jordan is debating how often incentive payments for her sales force should be made. Shorter intervals increase the motivating power but decrease the ______________. A) Cost. B) Sales. C) Amount received. D) Salary.

C) Amount received.

28. In combination sales compensation plans, as the degree of relationship selling increases, the incentive pay portion of the plan should: A) Be increased. B) Remain constant. C) Be reduced. D) Have no impact.

C) Be reduced.

19. A salesperson' motivation: A) Is under the direct control of the sales manager. B) Is directly controlled only by obsessive sales managers. C) Can be influenced by things the sales manager does. D) Is independent of outside forces.

C) Can be influenced by things the sales manager does.

37. The problem of ______________ in subjective performance evaluations can be particularly troublesome when a company attempts to use poor performance as a basis for termination. A) Halo effect. B) Lack of outcome focus. C) Central tendency. D) Ill-defined personality traits.

C) Central tendency.

40. Before implementing a BARS system, the evaluator needs to: A) Study psychology. B) Observe behavioral telecommuting outcomes. C) Identify the specific behaviors relevant to salespeople's performance. D) Understand external subjective behaviors.

C) Identify the specific behaviors relevant to salespeople's performance.

17. Roland thinks that opening twenty new accounts will significantly add to his annual bonus. This perception is Roland's: A) Expectancy B) Valence for performance. C) Instrumentality. D) Role accuracy.

C) Instrumentality.

8. One of the weaknesses of using quotas to assess salespeople's performance is: A) It gives a salesperson a defined goal. B) It can be adjusted for the size of the territory. C) It ignores profitability. D) It can be changed based on emerging trends in the market.

C) It ignores profitability.

49. In a performance management system approach, salespeople take the lead in: A) Adjusting their salaries. B) Determining who gets which territories. C) Performance measurement. D) CEO bonuses.

C) Performance measurement.

2. Psychologist Fritz Heider classified the variables evaluators use into the following three categories: A) Preferences, performance, promises. B) Territory, time, trends. C) Performance, environmental, and person or dispositional D) None of the choices are correct.

C) Performance, environmental, and person or dispositional

31. Nancy is developing performance measures for her sales force. She finds: A) Total sales volume is the best measure of performance. B) Expense ratios show how well the salesperson is managing his or her personal finances. C) Qualitative measures are more difficult to measure than quantitative ones. D) All of the choices are correct.

C) Qualitative measures are more difficult to measure than quantitative ones.

11. Perry is shifting the compensation plan for his sales force from straight commissions to a salary and bonus system. Perry knows that setting the quota is important and quotas should be: A) Easily attained by all salespeople. B) Attainable by very few salespeople in order to provide incentives to the rest of the sales force. C) Specific, measurable, and realistically attainable. D) All of the choices are correct.

C) Specific, measurable, and realistically attainable.

18. Which of the following sales compensation plans is LEAST consistent with relationship selling? A) Benefits and perks. B) Straight salary. C) Straight commissions. D) Combination plans.

C) Straight commissions.

23. Arnold has designed sales territories that are of equal potential. He thinks it is fair to base sales force compensation based on: A) Straight bonuses. B) Straight salary. C) Straight commissions. D) Combination plans.

C) Straight commissions.

40. The benefits of having a "remote" sales force usually include lower costs and: A) Better family relationships. B) Reduced technology costs. C) Stronger customer relationships. D) All of the choices are correct.

C) Stronger customer relationships.

35. A well-constructed subjective evaluation form will facilitate: A) Cost containment through reduced evaluation time. B) Improved sales/expense ratios. C) Determining which objective measures are most critical in that particular territory. D) A constructive dialogue between the salesperson and sales manager.

D) A constructive dialogue between the salesperson and sales manager.

27. An important measure of sales performance of businesses that provide supplies and raw materials is the _______________ ratio. A) Call activity. B) Expense. C) Cost per call. D) Account share.

D) Account share.

25. Judy is highly motivated by intrinsic rewards. Judy will be most influenced by: A) Feelings of accomplishment. B) Personal growth. C) A sense of self-worth. D) All of the choices are correct.

D) All of the choices are correct.

28. Job satisfaction is the characteristics of a job that salespeople find: A) Rewarding. B) Fulfilling. C) Unsatisfying. D) All of the choices are correct.

D) All of the choices are correct.

30. Carlos, a sales manager, wants to minimize the negative consequences of role perceptions among his salespeople. Carlos will consider: A) The kinds of salespeople he hires. B) Training methods. C) Incentives used. D) All of the choices are correct.

D) All of the choices are correct.

8. ____________ can be used to stimulate additional targeted sales effort, while __________ can be used to satisfy salespeople's security needs. A) Salary; commissions. B) Bonuses; sales contests. C) Benefits; contests. D) Contests; benefits.

D) Contests; benefits.

22. When designing job-related rewards for salespeople, sales managers need to recognize: A) Money is always the most important reward. B) Intrinsic rewards need to be made extrinsic. C) Extrinsic rewards need to be made intrinsic. D) Desired rewards vary with demographic characteristics.

D) Desired rewards vary with demographic characteristics.

44. One way to reduce role conflict is to give salespeople: A) Greater rewards. B) More time off. C) Sufficient support staff to reduce the number of sales calls they need to make. D) Greater voice in what they do and how they do it.

D) Greater voice in what they do and how they do it.

10. A certain amount of role conflict and ambiguity enables salespeople to: A) Be more empathic to their sales manager. B) Avoid role inaccuracy. C) Increase extrinsic rewards. D) Make creative decisions.

D) Make creative decisions.

29. Given the equation sales = days worked x calls/days worked x orders/call x sales/orders, a salesperson increase sales by: A) Decreasing the number of calls per day. B) Decreasing the number of days worked. C) Decreasing the orders per call ratio. D) None of the choices are correct.

D) None of the choices are correct.

24. Ryan is highly motivated by extrinsic rewards. Ryan will be most influenced by: A) Feelings of accomplishment. B) Personal growth. C) A sense of self-worth. D) Recognition from his peers and sales manager.

D) Recognition from his peers and sales manager.

2. A salesperson's performance is a function of all of the following EXCEPT: A) Role perception. B) Aptitude. C) Skill level. D) Textural context.

D) Textural context.

46. When salespeople are surprised by anything he or she is told during a formal performance review: A) The salesperson should be fired. B) The manager is doing his or her job. C) The evaluation instrument is faulty. D) The manager is not doing a very good job.

D) The manager is not doing a very good job.

18. Erica is debating whether the bonus she will receive by meeting the sales requirements is worth the extra effort. Erica is debating the: A) Expectancy B) Valence for performance. C) Instrumentality. D) Valence for rewards.

D) Valence for rewards.