Question 1

JCPMedia

Accepted Answer

A)  buys the fashions that are sold in JCPenney stores.
B)  is an advertising agency for industrial companies seeking brand recognition.
C)  is the print and paper purchasing arm of JCPenney.
D)  is a marketing research company that monitors e-commerce activities.
E)  buys and sells media space for newspapers.F) C) and D)
G) All of the above

Question 2

Mile High Frozen Foods is a distributor for McDonalds.They also bake the buns used by McDonalds in several states.They purchase flour, yeast, sesame seeds, manufacture the buns, and then distribute them to the McDonald's stores.Mile High Frozen Foods is operating in a(n)  __________ market.

Accepted Answer

A)  tax regulated
B)  government
C)  institutional
D)  consumer dominant
E)  industrialF) A) and E)
G) A) and B)

Question 3

What is the last stage of the organizational purchase decision process?

Accepted Answer

A)  information search
B)  postpurchase behavior
C)  alternative evaluation
D)  purchase decision
E)  purveyor reviewF) B) and E)
G) A) and B)

Question 4

To lower costs and reduce manufacturing time, Michelin has people work together on important purchases.These people include individuals in the roles of buyers, deciders, gatekeepers, and others, as needed.This type of cross-functional group is known as a(n)

Accepted Answer

A)  status quo committee.
B)  negotiating panel.
C)  buying center.
D)  supply partnership.
E)  strategic agency.F) B) and E)
G) D) and E)

Question 5

What are the five stages of the organizational buying process?

Accepted Answer

The five stages of the organizational bu...

Question 6

Derived demand refers to

Accepted Answer

A)  the demand for consumer products and services that is driven by excess inventory of manufacturers, distributors, or suppliers.
B)  the demand for industrial products and services that is driven by demand for consumer products and services.
C)  the formula used to determine the greatest number of potential buyers based upon the lowest price they would be willing to pay.
D)  the point on a demand curve where supply and demand intersect.
E)  the formula used to determine which element of the marketing mix has the greatest impact on increases or decreases in demand.F) A) and C)
G) B) and E)

Question 7

What is the important limitation of NAICS codes that limit their usefulness?

Accepted Answer

The NAICS has an important limitation.Fi...

Question 8

An industrial firm is a firm that

Accepted Answer

A)  is distinguished by the amount of energy it uses and potential for pollution to the environment.
B)  has more than 500 employees who are paid at least minimum wage and receive some form of additional benefit.
C)  deal exclusively with federal, state, and local governments and traditionally holds a long-term contract.
D)  in some way reprocesses a good or service it buys before selling the product again to the next buyer.
E)  is most likely to be located in the eastern U.S., and operates out of a factory.F) A) and D)
G) B) and D)

Question 9

Sales engineers from Siemens, a German manufacturer, have won a contract for a new space telescope.They must now evaluate whether components and assemblies will be purchased from outside suppliers or be built by Siemens itself.At what stage of the buying decision process is this determined?

Accepted Answer

A)  information search
B)  problem recognition
C)  alternative evaluation
D)  supplier search
E)  purchase decisionF) B) and C)
G) B) and E)

Question 10

Buying center refers to

Accepted Answer

A)  the group of people within an organization who participate in the buying process and share common goals, risks, and knowledge important to a purchase decision.
B)  the department within a firm responsible for the logistical process of placing, tracking, and delivering orders to other departments within the firm.
C)  the department within a firm responsible for the logistical process of placing, tracking, and delivering orders to ultimate consumers.
D)  a centralized location for large national or international firms that allows purchases to be made from multiple vendors at the same time.
E)  the department within a firm that allows purchases to be made from a centralized location, from multiple vendors at the same time.F) B) and C)
G) B) and E)

Question 11

When JCPMedia buys paper, it considers the supplier's forest management practices and its environmental practices.How the supplier assumes its __________ is important in the selection of a paper supplier for JCPMedia.

Accepted Answer

A)  profit responsibility
B)  societal responsibility
C)  ecological accountability
D)  environmental autonomy
E)  stakeholder responsibilityF) A) and D)
G) B) and D)

Question 12

Important marketing mix characteristics in organizational buying behavior include: advertising and other forms of promotion are technical in nature; price is often negotiated, evaluated as part of broader seller and product or service qualities, and frequently affected by quantity discounts; and

Accepted Answer

A)  few large transactions are made over the Internet due to concerns of industrial espionage.
B)  products must be easily adaptable in form and function to accommodate consumer tastes.
C)  negotiations, purchases, and delivery occur in real time at an accelerated rate.
D)  direct selling to organizational buyers is the rule, and distribution is very important.
E)  sellers rather than buyers, are responsible for post-purchase evaluation of their goods or services.F) A) and B)
G) D) and E)

Question 13

Supply partnership refers to

Accepted Answer

A)  an agreement between a manufacturer and a supplier that precludes the purchase of any similar products to other manufacturers.
B)  an agreement between a supplier and a manufacturer that precludes the purchase of any similar products from other suppliers.
C)  a manufacturing firm that actually holds title to the raw materials (mines)  or processing plants (smelting plants)  although the actual operation of that facility is independent of the firm.
D)  a relationship that exists when a buyer and its supplier adopt mutually beneficial objectives, policies, and procedures for the purpose of lowering the cost of and/or increasing the value of goods and services delivered to the ultimate customer.
E)  an illegal partnership amongst suppliers to control prices that are charged to their customers-a form of price fixing and manipulation.F) All of the above
G) C) and E)

Question 14

At which stage in the buying decision process would design and production engineers draft specifications?

Accepted Answer

A)  problem recognition
B)  information search
C)  alternative evaluation
D)  purchase decision
E)  value analysisF) B) and D)
G) B) and C)

Question 15

FIGURE 6-5 
-In Figure 6-5 above, as the number of sellers increases, the price

Accepted Answer

A)  increases.
B)  decreases.
C)  stays the same.
D)  has no relation to the number of sellers.
E)  fluctuates depending on economic conditions.F) A) and B)
G) B) and D)

Question 16

production facilities and capacity.

Accepted Answer

A)  price
B)  loyalty
C)  flexibility
D)  adaptability
E)  consumer demandF) B) and D)
G) A) and D)

Question 17

E-marketplace can take two different formats

Accepted Answer

A)  bricks-and-mortar exchanges and clicks-and-mortar exchanges.
B)  privately-owned trading communities and open-to-the-public trading communities.
C)  networked exchanges and public trading communities.
D)  independent trading communities and private exchanges.
E)  public exchanges and networked exchanges.F) A) and E)
G) D) and E)

Question 18

A supply partnership exists when a buyer and its supplier adopt mutually beneficial objectives, policies, and procedures for the purpose of

Accepted Answer

A)  putting competitors of both parties out of business.
B)  lowering costs and increasing profits.
C)  lowering costs or increasing value of products or services to the ultimate consumer.
D)  creating a single channel of distribution.
E)  creating an exclusionary relationship from all other buyers and sellers.F) B) and C)
G) D) and E)

Question 19

production facilities and capacity.

Accepted Answer

A)  flexibility and adaptability
B)  ability to meet the quality specifications required for the item
C)  adherence to governmental policies
D)  senior management directives
E)  consumer demandF) None of the above
G) B) and D)

Question 20

If a purchase is a straight or modified rebuy for a manufacturer, the seller would most likely emphasize a competitive price and __________, in meetings with the purchasing agent.

Accepted Answer

A)  nationwide distribution
B)  reliable supply
C)  available advertising money
D)  quality product
E)  a great brand nameF) None of the above
G) A) and B)

Exam 6: Understanding Organizations As Customers

What is the last stage of the organizational purchase decision process?

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production facilities and capacity.

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Derived demand refers to

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When JCPMedia buys paper, it considers the supplier's forest management practices and its environmental practices.How the supplier assumes its __________ is important in the selection of a paper supplier for JCPMedia.

Correct AnswerverifiedShow Answer

If a purchase is a straight or modified rebuy for a manufacturer, the seller would most likely emphasize a competitive price and __________, in meetings with the purchasing agent.

Correct AnswerverifiedShow Answer

FIGURE 6-5 -In Figure 6-5 above, as the number of sellers increases, the price

Correct AnswerverifiedShow Answer

What are the five stages of the organizational buying process?

Correct AnswerverifiedThe five stages of the organizational bu...View AnswerShow Answer

production facilities and capacity.

Correct AnswerverifiedShow Answer

Important marketing mix characteristics in organizational buying behavior include: advertising and other forms of promotion are technical in nature; price is often negotiated, evaluated as part of broader seller and product or service qualities, and frequently affected by quantity discounts; and

Correct AnswerverifiedShow Answer

Buying center refers to

Correct AnswerverifiedShow Answer

To lower costs and reduce manufacturing time, Michelin has people work together on important purchases.These people include individuals in the roles of buyers, deciders, gatekeepers, and others, as needed.This type of cross-functional group is known as a(n)

Correct AnswerverifiedShow Answer

Sales engineers from Siemens, a German manufacturer, have won a contract for a new space telescope.They must now evaluate whether components and assemblies will be purchased from outside suppliers or be built by Siemens itself.At what stage of the buying decision process is this determined?

Correct AnswerverifiedShow Answer

JCPMedia

Correct AnswerverifiedShow Answer

An industrial firm is a firm that

Correct AnswerverifiedShow Answer

Mile High Frozen Foods is a distributor for McDonalds.They also bake the buns used by McDonalds in several states.They purchase flour, yeast, sesame seeds, manufacture the buns, and then distribute them to the McDonald's stores.Mile High Frozen Foods is operating in a(n) __________ market.

Correct AnswerverifiedShow Answer

At which stage in the buying decision process would design and production engineers draft specifications?

Correct AnswerverifiedShow Answer

What is the important limitation of NAICS codes that limit their usefulness?

Correct AnswerverifiedThe NAICS has an important limitation.Fi...View AnswerShow Answer

Supply partnership refers to

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A supply partnership exists when a buyer and its supplier adopt mutually beneficial objectives, policies, and procedures for the purpose of

Correct AnswerverifiedShow Answer

E-marketplace can take two different formats

Correct AnswerverifiedShow Answer

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The five stages of the organizational bu...
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The NAICS has an important limitation.Fi...
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