Deck 4: Business Buying Behavior

Question 1

_____ occurs when demand for one product increases the demand for another.

Answer 1

Joint demand

Question 2

B2C markets have smaller total dollar amounts due to fewer transactions.

Answer 2

True

Question 3

B2B markets tend to have shorter decision cycles than B2C markets.

Answer 3

False

Question 4

Allen's company supplies photographic film to larger corporations that package and sell them to consumers,along with their own brand of cameras.In recent years,the sale of photographic film to these firms has fallen drastically because more and more people prefer buying digital cameras.Allen's company suffered a loss of business due to the fall in _____.

A)joint demand
B)price demand
C)derived demand
D)induced demand
E)divided demand

Question 5

In _____ markets,there is more reliance on mass marketing via advertising,Web sites,and retailing

Question 6

The business market is characterized as having:

A)many customers,geographically dispersed.
B)longer decision cycles.
C)smaller total dollar amounts due to fewer transactions.
D)more reliance on advertising,Web sites,and retailing.
E)more reliance on mass marketing.

Question 7

B2B markets place more reliance on personal selling than B2C markets.

Question 8

As the demand for MP3 players increased,so did the demand for headphones. This is an example of _____.

A)joint demand
B)assorted demand
C)shifting demand
D)fluctuating demand
E)flailing demand

Question 9

Resellers are companies that sell goods and services that they have transformed.

Question 10

Fluctuating demand occurs when demand changes slightly in response to a big change in consumer demand.

Question 11

The biggest purchaser of goods and services in the world is the U.S.consumer.

Question 12

Explain how business-to-business (B2B)markets differ from business-to-consumer (B2C)markets.

Question 13

When it comes to business-to-business sales,derived demand springs from _____.

Question 14

B2B markets differ from B2C markets because:

A)salespeople personally call on business customers to a far greater extent than they do consumers.
B)many more products are sold in B2C markets than B2B.
C)business products are often much less complex than consumer products.
D)B2C transactions occur prior to B2B transactions.
E)there are fewer B2B transactions resulting in smaller dollar amounts.

Question 15

Wholesalers,brokers,and retailers are examples of resellers.

Question 16

_____ occurs when a small change in demand by consumers has a big effect through the chain of businesses that supply all of the goods and services that produce it.

A)Joint demand
B)Assorted demand
C)Shifting demand
D)Fluctuating demand
E)Flailing demand

Question 17

B2B markets have a large number of customers accounting for most of the company's sales.

Question 18

Fluctuating demand changes sharply in response to a change in _____ demand.

Question 19

The number of products sold in business markets outnumbers those sold in consumer markets.

Question 20

Derived demand occurs when demand is derived from the primary buyer of the product.

Question 21

_____ can be either nonprofit or for-profit businesses.

A)Consumers
B)Buying centers
C)Business buyers
D)Initiators
E)Gatekeepers

Question 22

In B2B markets,_____ include wholesalers,brokers,and retailers.

Question 23

List and describe the four major categories of business buyers.

Question 24

Duties of professional buyers do not include marketing tasks,such as determining the media in which advertisements will be placed.

Question 25

Professional buyers are shrewd and well informed.

Question 26

How do sellers find government buyers?

Question 27

Buyers have a small impact on the expenses,sales,and profits of a company.

Question 28

_____ markets are markets in which local,state,and federal governments buy products.

A)B2B
B)B2C
C)B2G
D)C2C
E)Institutional

Question 29

Institutional markets include state and local governments.

Question 30

_____ are companies that purchase goods and services that they transform into other products.

A)Producers
B)Resellers
C)Government agencies
D)Retailers
E)Institutions

Question 31

Explain the concept of fluctuating demand.How does it affect firms in the B2B market?

Question 32

Which of the following businesses can be considered as a reseller?

A)A hair salon
B)A consumer goods retailer
C)A restaurant
D)An airline
E)An auto repair shop.

Question 33

It is to figure out who makes the purchasing decisions in B2B markets.

Question 34

In business-to-government (B2G)markets,local,state,and federal governments buy products.

Question 35

Professional buyers stay informed of the latest trends so as to anticipate consumer buying patterns.

Question 36

Holding costs down is especially important to _____ because it enables the services to be provided to more people.

A)B2G markets
B)wholesalers
C)retailers
D)institutional markets
E)producers

Question 37

Murphy's is a restaurant that purchases goods,such as fruits,vegetables and meat,from local vendors,and uses them to prepare their dishes.Which of the following best describes Murphy's?

A)It is a wholesaler
B)It is a part of an institutional market
C)It is a retailer
D)It is a producer
E)It is a part of the business to government market

Question 38

As business customers in B2B markets,_____ include both manufacturers and service providers.

Question 39

_____ are nonprofit organizations such as the American Red Cross,churches,hospitals,charitable organizations,private colleges,and civic clubs.

Question 40

The biggest purchaser of goods and services in the world is _____.

Question 41

When asking for an expert opinion prior to buying a car,John is utilizing the knowledge of a(n)_____.

A)influencer
B)gatekeeper
C)professional buyer
D)user
E)seller

Question 42

In a buying center,_____ have the responsibility for implementing what is purchased.

Question 43

_____ are groups of people within organizations who make purchasing decisions.

A)Resellers
B)Buying centers
C)Producers
D)Wholesalers
E)Marketers

Question 44

Dana works as the secretary to Professor Sterling.Part of her job is to screen calls from publishers who want Sterling to include their books in her curriculum.Dana is,therefore,acting as a(n)_____ in the purchasing process.

A)decider
B)influencer
C)user
D)initiator
E)gatekeeper

Question 45

The _____ are the ones that start the buying process,whether they make the final purchasing decision or not.

Question 46

Which of the following is the role of a user in the buying process?

A)They provide expertise that helps to improve the buying process.
B)They control which sellers get access to members of the buying center.
C)They make the final decision on what is bought.
D)They have the responsibility of implementing what is purchased.
E)They are the first people to see the need for a product.

Question 47

_____ are the people within the organization that first see the need for the product.

A)Users
B)Gatekeepers
C)Deciders
D)Initiators
E)Influencers

Question 48

Carol feels that her company needs to start purchasing widgets in order to stay competitive in the market.She contacts the buyers within the company to get the ball rolling.Which of the following best describes Carol's role in the purchasing process?

A)Influencer
B)Gatekeeper
C)Initiator
D)Decider
E)User

Question 49

_____ are people who may or may not use the product but have experience or expertise that can help improve the buying decision.

A)Initiators
B)Deciders
C)Retailers
D)Gatekeepers
E)Influencers

Question 50

Influencers are people who will decide if and when you get access to members of the buying center.

Question 51

Duties of a professional buyer include negotiating prices,delivery dates,and payment terms for goods and services.

Question 52

As a(n)_____,Susie has to track advertisements in newspapers and other media to check competitors' sales activities.

Question 53

_____ are people who will decide if and when the sellers get access to members of the buying center.

A)Influencers
B)Gatekeepers
C)Deciders
D)Users
E)Retailers

Question 54

Purchasing agents for merchandises are known as _____.

A)professional buyers
B)retailers
C)resellers
D)gatekeepers
E)influencers

Question 55

Although Morrison and Sons,Inc.takes into account current market trends when buying products,the CEO of the company has the final say on what gets purchased or not.Therefore,the CEO acts as the _____.

A)initiator
B)influencer
C)user
D)decider
E)gatekeeper

Question 56

Explain the factors that can lead to sub-par purchase decisions.

Question 57

_____ make the final purchasing decision.

Question 58

The head of the art department makes the final decision on which textbooks are included in the curriculum.As an associate art professor,Howard refers to these books while teaching his class.Which of the following roles does Howard play in the purchasing process of the textbooks?

A)Reseller
B)User
C)Influencer
D)Gatekeeper
E)Wholesaler

Question 59

Buying centers are groups of people within organizations who _____.

Question 60

List the duties of a professional buyer.

Question 61

A _____ occurs when a purchaser buys the same product in the same quantities from the same vendor.

Question 62

The initiator is someone who recognizes that the organization has a need that can be solved by purchasing a good or service.

Question 63

In the last stage of the buying process,a _____ is conducted and the feedback provided to the vendor.

Question 64

The first step of the B2B buying process is when the need is described.

Question 65

A _____ occurs when a company wants to buy the same type of product it has in the past,but make some modifications to it.

Question 66

A _____ occurs when a firm purchases a product for the first time.

Question 67

A(n)_____ is an invitation to submit a bid to supply the good or service.

Question 68

A(n)_____ occurs when a purchaser buys the same product in the same quantities from the same vendor.

A)modified rebuy
B)B2B exchange
C)alternative buy
D)B2B auction
E)straight rebuy

Question 69

RFPs are best evaluated if the members agree on the criteria being evaluated and the importance of each.

Question 70

Suppliers are the only ones to blame for poor performance records.

Question 71

Which of the following is the first stage of the buying process?

A)Potential suppliers are searched for
B)The proposals are evaluated
C)An order routine is established
D)A need is recognized
E)A post-purchase evaluation is conducted

Question 72

When presenting a RFP,vendors generally provide the purchaser with a _____ if the good is a physical product.

Question 73

Sellers like straight rebuys because the buyer doesn't consider any other alternative products or search for new suppliers.

Question 74

Which of the following is the last stage of the buying process?

A)A search is conducted to find potential suppliers.
B)The requests for proposals are evaluated.
C)An order routine is established.
D)A need is recognized.
E)A post-purchase evaluation is conductedand feedback is provided to the vendor.

Question 75

RFPs focus on the buyer's problems and how to adapt the vendor's offerings to solve those problems.

Question 76

List and describe the steps in the B2B buying process.

Question 77

Purchasing agents typically play an important role when potential suppliers are being researched.

Question 78

Hot Rods,Inc.is an automobile manufacturing company that obtains its automotive parts from the same supplier.The price,quantity,and other terms of purchase remain the same each time the company buys from the supplier.This situation can be termed as a _____.

A)straight rebuy
B)reverse auction
C)new buy
D)B2B auction
E)modified rebuy

Question 79

Gill's Bakery has been buying flour from the same supplier for years.But due to recent price hikes,Gill's decides to switch to another supplier that is offering the same quantity and quality of flour at a reduced price.Which of the following best describes the buying situation that has occurred?

A)New buy
B)Reverse auction
C)Modified rebuy
D)Straight rebuy
E)Derived demand

Question 80

Organizations select a single supplier because it is less risky than utilizing multiple suppliers.