Deck 12: Personal Selling and Sales Promotion: Creating Value in Relationships

Question 1

In which of the following types of organisation would you NOT expect to find a salesforce?

A)governments
B)museums and art galleries
C)charitable organisations
D)universities and educational institutions
E)All of the above have a salesforce.

Answer 1

E

Question 2

'Personal selling' is the interpersonal component of the promotion mix.

Answer 2

True

Question 3

Today,most salespeople are well-educated,well-trained professionals who are encouraged to work to build and maintain long-term customer relationships by listening to their customers,assessing their needs and organising the company's efforts to solve customer problems.

Answer 3

True

Question 4

Which of the following is NOT an advantage of a territorial salesforce structure?

A)Travel expenses can be minimised.
B)Each salesperson's job is clearly defined.
C)Salespeople have the opportunity and incentive to build strong relationships with customers.
D)Salespeople develop expert in-depth knowledge of all product lines.
E)Accountability is clearly defined for each salesperson.

Question 5

A(n)________ serves as a critical link between a company and its customers by representing the company to customers,and representing the customers to the company.

A)manager
B)executive
C)support person
D)salesperson
E)consultant

Question 6

Whom do members of a salesforce typically represent?

A)They represent the company to customers.
B)They represent the company to investors.
C)They represent the customer to the company.
D)A and C
E)All of the above.

Question 7

When a firm sets out to analyse,plan,implement and control salesforce activities,it is undertaking ________.

A)marketing design
B)salesforce management
C)team selling efforts
D)co-op selling and advertising
E)promotional objectives

Question 8

Most salespeople are well-educated,well-trained professionals who add ________ for customers and maintain ________ customer relationships.

Question 9

A large consumer product company that sells its products to wholesalers and retailers is LEAST likely to do which of the following?

A)work directly with final customers
B)build relationships with wholesalers
C)help retailers effectively sell the company's products
D)communicate regularly with business customers
E)represent their wholesale and retail customers

Question 10

The concept of 'salesperson-owned loyalty' refers to customers' tendencies to become loyal to salespersons as well as to the company.

Question 11

Of the following,which is the LEAST creative sales position?

A)order taker
B)order getter
C)account executive
D)account development rep
E)outside salesperson

Question 12

When considering personal selling,________ are involved in two-way personal communication with customers with whom they build long-term relationships.

Question 13

Of the three typical types of salesforce structures,which one assigns an exclusive geographical area to each salesperson and requires each salesperson to represent the company's full line of products to customers within that area?

A)territorial
B)product
C)customer
D)complex
E)team

Question 14

In any market-oriented firm,members of the salesforce and marketing department tend to have disagreements when things go wrong with a customer.The marketers blame the salespeople for poorly executing their strategies,while the salespeople blame the marketers for being out of touch with the customer.Which of the following steps should upper-level management take to help bring the sales and marketing functions closer together?

A)establish a simpler salesforce structure
B)establish a more complex salesforce structure
C)create an inside salesforce
D)adopt a salesforce automation system
E)employ a high-level marketing executive to oversee both marketing and sales

Question 15

Which of the following promotion tools involves interpersonal interactions with customers and prospects to make sales and maintain customer relationships?

A)personal selling
B)advertising
C)E-commerce
D)publicity
E)public relations

Question 16

A company can unite its marketing and sales functions through all of the following activities EXCEPT ________.

A)assigning a telemarketer the task of visiting a customer
B)arranging joint meetings to clarify all aspects of communication
C)appointing a chief customer officer to oversee both departments
D)having a salesperson preview ads and sales-promotion campaigns
E)sending brand managers on sales calls with a salesperson

Question 17

The sales role involves a variety of activities.Which of the following is NOT a role typically performed by a salesperson?

A)order taker
B)order getter
C)creative seller
D)relationship builder
E)warehouse assistant

Question 18

'Personal selling' plays a major role in most companies.

Question 19

________ ________ is one of the oldest professions in the world.

Question 20

________ involves two-way personal communication between salespeople and individual customers-whether face-to-face,by telephone,through video or web conferences,or by other means.

A)Advertising
B)Public relations
C)Personal selling
D)Mass marketing
E)Direct marketing

Question 21

After a company has determined its salesforce structure,it is ready to determine what ________ it needs.

A)team structure
B)salesforce size
C)marketing-sales liaison
D)salesforce supervision
E)compensation package

Question 22

To reduce time demands on their outside salesforces,many companies have increased the size of their inside salesforces,which include technical support people,sales assistants and ________.

A)retail supervisors
B)sales managers
C)telemarketers and online sellers
D)human resource professionals
E)public relations professionals

Question 23

Which of the following is NOT a disadvantage of a product salesforce structure?

A)extra selling costs involved with multiple sales visits from separate divisions
B)overlapping use of resources with big customers
C)salespeople spending time to see the same customer's purchasing agents
D)increased customer delivery time
E)B and C

Question 24

Companies that use a customer salesforce structure organise their salespeople by ________.

A)product or brand
B)territory or region
C)customer or industry
D)demand
E)specialty knowledge

Question 25

An IBM sales representative is giving a product demonstration to a major account IT Manager.Assisting with the demonstration are an engineer,a financial analyst and an information systems specialist.If IBM wins the account,then all four IBM representatives will service the new major account.This is an example of ________.

A)team selling
B)territorial selling
C)inside selling
D)prospecting
E)sales promoting

Question 26

The salesforce at a high-tech firm recently began telemarketing and selling online.How will this MOST likely benefit the firm?

A)The inside salesforce will receive better compensation than the outside salesforce.
B)Sales reps will need to spend less face-to-face time with large,high-value customers.
C)Sales reps will be able to service hard-to-reach customers more effectively.
D)Sales reps will be able to work from home offices more regularly.
E)The outside salesforce will be freed up to work more with the marketing department.

Question 27

A firm maintains a salesforce for its small appliance customers and a separate salesforce for its automotive customers.It utilises a ________ structure.

A)product salesforce
B)customer salesforce
C)territorial salesforce
D)complex salesforce
E)simple salesforce

Question 28

Which of the following is NOT a pitfall or disadvantage of team selling?

A)Selling teams can confuse or overwhelm consumers.
B)Individual salespeople may have trouble learning to work with and trust others.
C)Only a few major buying organisations use a team structure to make purchasing decisions.
D)Difficulties in evaluating individual contributions to the team selling effort can create some sticky compensation issues.
E)Salespeople have been trained to excel in individual performance.

Question 29

A company has 1000 Type-A customer accounts,each requiring 28 calls per year,and 2200 Type-B customer accounts,each requiring 15 calls per year.What is the salesforce's workload?

A)40 000 calls
B)41 000 calls
C)50 000 calls
D)61 000 calls
E)71 000 calls

Question 30

A company has decided to switch to a customer salesforce structure.Which of the following advantages is the company now LEAST likely to enjoy?

A)The company can become more customer-focused.
B)The company can build closer relationships with important customers.
C)The company can better serve different industries.
D)The company can better serve current customers and find new customers.
E)The company can expect salespeople to develop in-depth knowledge of numerous and complex product lines.

Question 31

Most companies use some form of the workload approach to ________.

A)set the size of the salesforce
B)determine product availability
C)identify desirable characteristics of the salesforce
D)establish sales quotas
E)analyse profit margins

Question 32

Members of a company's ________ conduct business from their offices through the telephone,the internet or visits from customers.

A)outside salesforce
B)inside salesforce
C)complex salesforce
D)customer salesforce
E)product salesforce

Question 33

Which of the following is the collective term for the individuals in a company who travel to call on customers in the field?

A)outside salesforce
B)inside salesforce
C)complex salesforce
D)customer salesforce
E)product salesforce

Question 34

A company has 1000 Type-A accounts,each requiring 28 calls per year,and 2200 Type-B accounts,each requiring 15 calls per year.If each salesperson at the company makes 1500 sales calls per year on average,approximately how many salespeople will be needed?

A)31
B)35
C)41
D)45
E)48

Question 35

You are responsible for hiring inside salespeople for your firm.Which of the following jobs would you be LEAST likely to expect these people to perform?

A)free outside salespeople to spend time with major accounts
B)use the phone to find new leads
C)act as liaisons between outside salespeople and customers
D)service accounts
E)travel to call on customers

Question 36

A used car dealer splits the market into 10 sales regions.Within each of those regions,the company maintains two sales teams-one for servicing existing customers and one for prospects.What type of salesforce structure is it using?

A)territorial
B)product
C)customer
D)complex
E)workload

Question 37

Which of the following best explains why many companies are adopting the team selling approach to service large,complex accounts?

A)Products have become too complicated for one salesperson to support.
B)Customers prefer dealing with many salespeople rather than one salesperson.
C)Salespeople prefer working in groups because of the opportunity for flexible hours and job sharing.
D)A group of salespeople assigned to one account is cost effective for corporations.
E)Fewer skilled salespeople are working in the high-tech industry.

Question 38

Which of the following is the growing trend of using a group of people from sales,marketing,engineering,finance,technical support and even upper management to service large,complex accounts?

A)department selling
B)inside selling
C)team selling
D)continuous selling
E)simultaneous selling

Question 39

Which activity is NOT typical for a sales assistant?

A)call ahead and confirm appointments
B)determine price points
C)complete administrative tasks
D)follow up on deliveries
E)answer customers' questions

Question 40

A major national communications company has increased its inside salesforce.This will help its outside salesforce in all EXCEPT which of the following ways?

A)It will allow them more time to sell to major accounts.
B)It will allow them more time to find major new prospects.
C)It will allow them more time to provide after-the-sale customer service.
D)It will ensure that their customers' questions can be correctly answered in a timely way.
E)It will improve their use of sales automation technology.

Question 41

Three common tools sales managers use to motivate the salesforce include the organisational climate,sales quotas and positive ________.

A)incentives
B)thinking
C)meetings
D)vocabularies and mannerisms
E)teamwork

Question 42

A salesperson's compensation plan is typically made up of several elements-a fixed amount,________,expenses and fringe benefits.

A)a base salary
B)a pension plan
C)a variable amount
D)non-monetary rewards
E)recognition

Question 43

Why are many companies using e-learning to conduct sales training programs?

A)Customers appreciate the flexibility of e-learning.
B)The company's objectives are more easily conveyed through e-learning.
C)E-learning allows for more customer feedback.
D)E-learning reduces training costs.
E)E-learning is the best way to simulate sales calls.

Question 44

A salesperson for a company that installs local area networks (LANs)spends about 25 per cent of her time actually selling the product,and about 75 per cent of her time installing the computer systems,training customer employees in their use and troubleshooting.Which sort of compensation is most likely to keep Emma satisfied with her job?

A)a commission and quarterly bonuses
B)expense allowance and salary
C)benefit package and a commission
D)a salary
E)profit sharing,annual bonuses and a commission

Question 45

Companies are always looking for ways to increase active selling time.All of the following are ways to save time to accomplish this goal EXCEPT which one?

A)Use phones,email or teleconferencing instead of travelling.
B)Simplify administrative duties.
C)Improve sales call and routing plans.
D)Reduce the number of customers each sales rep must visit.
E)Supply more and better customer information.

Question 46

Which of the following is an advantage created by the use of a salesforce automation system?

A)lower costs for training sales personnel
B)increased motivation to acquire new customers
C)decreased need for an inside salesforce
D)stronger organisational climate developed by the sales team
E)salesforce can work more effectively anytime,anywhere

Question 47

Which sales management tool shows a salesperson which customers and prospects to see during the next 12 months and in which months,as well as which activities to carry out?

A)time-and-duty analysis
B)salesforce automation system
C)annual call plan
D)sales quota plan
E)positive incentives plan

Question 48

The purpose of a training program for salespeople is to teach them about all of the following EXCEPT ________.

A)customers' buying habits
B)customers' buying motives
C)the company's main competitors
D)the company's retirement benefits
E)the company's organisational structure

Question 49

At a manufacturer of outdoor furniture and accessories,the marketing and salesforce objectives are to grow relationships with existing customers,while at the same time acquiring new business.Which of the following salesforce compensation plans is most likely to encourage the salesforce to pursue both of these objectives?

A)straight salary
B)straight commission
C)salary plus bonus for customer satisfaction
D)commission plus bonus for new accounts
E)salary plus commission plus bonus for new accounts

Question 50

According to the textbook,salespeople spend most of their time engaged in which activity?

A)active selling
B)prospecting
C)problem-solving
D)travel time
E)administration

Question 51

Which of the following is NOT a part of salesforce automation systems frequently used by salespeople?

A)customer-contact and relationship management software
B)time-and-duty analysis software
C)smart phones
D)laptop computers
E)webcams for videoconferencing

Question 52

You want to collect information to evaluate your salesforce in the eastern states.Which of the following would you be LEAST likely to consider in doing so?

A)sales reports
B)call reports
C)expense reports
D)profit performance in the territory
E)personality trait assessments

Question 53

According to the textbook,typical salespeople spend around ________ per cent of their time engaged in active face-to-face selling.

A)10
B)20
C)25
D)30
E)80

Question 54

According to research conducted by Gallup Management Consulting Group,which of the following is one of the four key talents a successful salesperson should possess?

A)easy-going nature
B)disciplined work style
C)creativity
D)technological know-how
E)understanding of many cultures

Question 55

Helping the salesforce 'work smart' is the goal of ________.

A)sales supervision
B)sales motivation
C)sales compensation
D)the organisational climate
E)return on sales investment

Question 56

Which of the following is NOT one of the four basic types of compensation plans?

A)straight commission
B)straight salary
C)salary and commission
D)commission plus bonus
E)salary plus bonus

Question 57

All of the following are problems associated with the poor selection of salespeople EXCEPT which one?

A)lower sales volumes
B)costly turnover of sales staff
C)lower salesforce productivity
D)less office support
E)disrupted customer relationships

Question 58

Perhaps the fastest-growing salesforce technology tool is ________.

A)the mobile phone
B)the laptop computer
C)the video game
D)electronic network tools and technologies
E)the mail

Question 59

Sales applicants are LEAST likely to be tested for ________.

A)sales aptitude
B)organisational skills
C)accounting skills
D)analytical skills
E)personality traits

Question 60

The goal of sales motivation is to encourage salespeople to ________ and energetically towards salesforce goals.

A)'work smart'
B)'work hard'
C)'work cooperatively'
D)'work creatively'
E)'work quickly'

Question 61

The growth of product management has contributed to the increasing adoption of customer salesforce structures.

Question 62

As a result of the Federal Government's Do Not Call Registry,telemarketing is now rarely used.

Question 63

Of all the ways to structure a salesforce,the product salesforce structure is most effective in helping the company to become more customer focused and build closer relationships with important customers.

Question 64

Team selling is ideal when customer problems become more complex,and customers become larger and more demanding.Sales teams have the advantages of uncovering problems that an individual would not,and they are better able to develop new opportunities.

Question 65

The 'workload approach' to estimate salesforce size is outdated.

Question 66

To discourage a salesperson from ruining a customer relationship by pushing too hard to close a deal and earn a commission,companies are designing compensation plans that reward salespeople for building customer relationships and growing the long-run value of each customer.

Question 67

A salesperson's ________ is often related to how well he or she meets a set quota.

A)time-and-duty analysis
B)compensation
C)call report
D)organisational climate
E)expense report

Question 68

Few companies provide sales training beyond a few weeks or months for new members of the salesforce.

Question 69

Salespersons require extensive lists of prospects to generate just a few sales.The best source of information for finding sales leads is ________.

A)referrals
B)web sources
C)social networks
D)directories
E)None of the above.

Question 70

Though web-based technologies are useful selling tools,it is often more advantageous for a salesperson to have a face-to-face meeting with a customer when it comes time to close a deal.

Question 71

Which of the following is NOT a source of information used by salespeople to generate leads?

A)referrals
B)web sources
C)social networks
D)directories
E)All of the above are useful sources.

Question 72

Sales ________ encourage a salesforce to make a selling effort that is above and beyond the normal expectation.

A)contests
B)quotas
C)teams
D)reports
E)plans

Question 73

Using e-learning to train salespeople offers few advantages and is limited in application.

Question 74

A salesman for a frozen foods company is responsible for all customers in the state of Tasmania.The firm uses a territorial salesforce structure.

Question 75

A(n)________ is a salesperson's write-up of his or her completed sales activity.

A)expense report
B)call report
C)sales report
D)sales quota
E)time-and-duty analysis

Question 76

A company wants its outside salespeople to spend more time with its existing customers.One way for it to accomplish this goal would be to hire additional technical support people and sales assistants.

Question 77

Complex salesforce structures include those specialised by customer and territory,by product and territory,by product and customer,and by territory,product and customer.

Question 78

Salesforce automation systems have been developed for improving how salespeople feel about their opportunities and value.

Question 79

A company that treats its salespeople as valuable contributors with unlimited income opportunities has developed a(n)________ that will have lower staff turnover and higher salesforce performance.

A)salesforce system
B)organisational climate
C)compensation package
D)sales structure
E)workload

Question 80

Management sets standards that state the amount each salesperson should sell and how sales should be divided among the company's products with ________.

A)sales prospecting
B)company quotas
C)sales quotas
D)sales incentives
E)sales contests