Deck 20: Personal Selling and Sales Management

Question 1

Selling often serves as a stepping-stone to top management. In fact, approximately __________ percent of the chief executive officers (CEOs) in the largest U.S. corporations have significant sales and marketing experience in their work history.

A)5
B)10
C)15
D)20
E)25

Answer 1

D

Question 2

According to Lindsey Smith of GE Healthcare, all of the following are necessary skills to be successful in serving her customers except

A)having an MBA degree.
B)strategic thinking.
C)product knowledge.
D)communication skills.
E)analytical thinking.

Answer 2

A

Question 3

Lindsey Smith's task in Molecular Imaging Products at GE Healthcare is to

A)simplify sales presentations for technical products.
B)increase the importance of the advertising element of the company's promotion mix.
C)develop a team of professionals in selling to and servicing key customers.
D)create value in customer relationships by emphasizing the company's product innovations, solutions, and service.
E)establish brand recognition for Molecular Imaging Products as distinct from GE Healthcare.

Answer 3

D

Question 4

Which of the following statements regarding the role of salespeople is most accurate?

A)Salespeople have little say in a company's account management policies.
B)Salespeople truly know their customers and therefore are the best resource for segmenting and selecting target markets.
C)Salespeople are the most highly trained of all a firm's employees and therefore have the greatest job security.
D)Salespeople create customer value by providing follow-through after the sale.
E)Salespeople are traditionally given greater authority than other company employees and therefore can offer customers the best financial terms for their purchases.

Question 5

Planning the selling program and implementing and evaluating the personal selling effort of the firm is referred to as

A)relationship marketing.
B)team selling.
C)personal selling.
D)sales engineering.
E)sales management.

Question 6

The practice of building ties to customers based on a salesperson's attention and commitment to customer needs over time is referred to as

A)order processing.
B)order taking.
C)customer value creation.
D)relationship selling.
E)partnership selling.

Question 7

The tasks involved in managing personal selling include the following: (1) setting objectives; (2) organizing the salesforce; (3) recruiting, selecting, training, and compensating salespeople; and (4) __________.

A)identifying potential target markets.
B)evaluating the performance of individual salespeople.
C)using salesforce input to make product modifications.
D)maintaining open communications between sales representatives and all other stakeholders.
E)designing new promotional campaigns for the purpose of generating new sales.

Question 8

Personal selling serves three major roles in a firm's overall marketing effort. Salespeople: (1) are the critical link between a firm and its customers, (2) are the company in consumers' eyes, and (3) __________.

A)play a key role in research and development
B)are the ultimate channel of distribution
C)provide the most valuable resource for segmenting and selecting target markets
D)are one of many people in a firm that contacts potential customers
E)may play a dominant role in a firm's marketing program

Question 9

The tasks involved in managing personal selling include all of the following except

A)selecting salespeople.
B)evaluating the performance of individual salespeople.
C)setting sales objectives.
D)organizing the salesforce.
E)designing new direct sales promotions to generate new sales.

Question 10

Relationship selling refers to

A)the assignment of a single salesperson to a single customer throughout the entire sales process.
B)when suppliers and sellers combine their expertise and resources to create customized solutions; commit to joint planning; and share customer, competitive, and company information for their mutual benefit, and ultimately the customer.
C)the practice of building ties to customers based on a salesperson's attention and commitment to customer needs over time.
D)the practice of using an entire team of professionals in selling to and servicing key customers.
E)the practice of maintaining contact with a customer on a regularly scheduled basis following the initial sale of a product or service.

Question 11

Personal selling serves three major roles in a firm's overall marketing effort. Salespeople: (1) are the critical link between a firm and its customers, (2) __________, and (3) may play a dominant role in a firm's marketing program.

A)play a key role in research and development
B)are the company in a consumer's eyes
C)play a dominant role in implementing an organization's pull strategy
D)provide the most valuable resource for segmenting and selecting target markets
E)are one of many people in a firm that contacts potential customers

Question 12

According to Lindsey Smith of GE Healthcare, all of the following are necessary for a successful sales career except

A)motivation.
B)compensation.
C)team orientation.
D)integrity.
E)trust.

Question 13

Personal selling requires the __________ flow of communication between a buyer and a seller, often in a face-to-face encounter, designed to influence a person's or a group's purchase decision.

A)direct
B)indirect
C)one-way
D)two-way
E)recursive

Question 14

Which of the following statements regarding the role of salespeople is most accurate?

A)Salespeople can identify creative solutions to customer problems.
B)Salespeople have little say in a company's account management policies.
C)Salespeople truly know their customers and therefore are the best resource for segmenting and selecting target markets.
D)Salespeople are the most highly trained of all a firm's employees and therefore have the greatest job security.
E)Salespeople are traditionally given greater authority than other company employees and therefore can offer customers the best financial terms for their purchases.

Question 15

Personal selling includes all of the following modes of communication except

A)video teleconferencing.
B)Internet-enabled links between buyers and sellers.
C)a face-to-face encounter.
D)telephone conversations.
E)social networks such as Facebook.

Question 16

The two-way flow of communication between a buyer and seller, often in a face-to-face encounter, designed to influence a person's or group's purchase decision is referred to as

A)sales management.
B)personal selling.
C)sales promotion.
D)direct selling.
E)marketing management.

Question 17

Sales management refers to

A)the planning of the selling program and the implementing and evaluating of the personal selling effort of the firm.
B)the process of allocating funds for direct selling.
C)only the recruiting, hiring, and training of a company's salesforce.
D)the segmentation and selection of target markets to be addressed by a company's salesforce.
E)the two-way flow of communication between a buyer and seller, often in a face-to-face encounter, designed to influence a person's or group's purchase decision.

Question 18

Lindsey Smith's selling success is due in large part to her

A)developing relationships with CEOs and CFOs.
B)using a team of sales personnel, technical specialists, and health care professionals in selling to and servicing key customers.
C)continually reinforcing GE Healthcare's competitive advantage.
D)simplifying sales presentations for technical products.
E)staying on top of marketing trends for business-to-business selling.

Question 19

"Everyone lives by selling something" was an observation made by

A)Steve Jobs.
B)Ralph Waldo Emerson.
C)Donald Trump.
D)Robert Louis Stevenson.
E)Lindsey Smith.

Question 20

The tasks involved in managing personal selling include: (1) organizing the salesforce; (2) __________; (3) recruiting, selecting, training, and compensating salespeople; and (4) evaluating the performance of individual salespeople.

A)identifying potential target markets
B)using customer input to make product modifications
C)designing new promotional campaigns for the purpose of generating new sales
D)setting objectives
E)maintaining open communications between sales representatives and all other stakeholders

Question 21

Partnership selling is sometimes referred to as

A)enterprise selling.
B)transactional selling.
C)strategic selling.
D)creative selling.
E)synergistic selling.

Question 22

Broadly speaking, there are three types of personal selling: _________, order getting, and customer sales support.

A)consumer getting
B)order processing
C)online telemarketing
D)order taking
E)suggestive selling

Question 23

IBM has 30 information technology hardware and software specialists, business consultants, and engineers working at Charles Schwab, a large brokerage firm, all under the direction of a senior IBM sales executive. They are creating and managing a complex financial planning system that helps Schwab clients with their retirement planning. This is an example of

A)transactional selling.
B)partnership selling.
C)strategic alliance selling.
D)creative selling.
E)synergistic selling.

Question 24

Salespeople called outside order takers

A)arrange point-of-purchase displays.
B)sell products tailored to the needs.
C)help design the product displays.
D)train the personnel management.
E)solve most of the technical problems.

Question 25

Personal selling assumes many forms based on the __________ and the __________ to perform the sales task.

A)size of the salesforce; financial outlay
B)complexity of the product; amount of sales training
C)amount of selling done; amount of creativity required
D)amount of creativity; amount of sales training
E)complexity of the product; financial outlay

Question 26

Recent research indicates that a salesperson's __________ can influence his or her ability to create customer value.

A)VALS profile
B)country of origin
C)genetic predisposition
D)education
E)social class

Question 27

A salesperson who processes routine orders or reorders for products that were already sold by the company is referred to as

A)an order getter.
B)a missionary salesperson.
C)an order taker.
D)a sales engineer.
E)an order processor.

Question 28

A salesperson who is guided by the idea, "I try to align customers who have problems with products that will help them solve their problems," has which type of orientation?

A)sales
B)cognitive
C)emotional
D)customer
E)compensatory

Question 29

The three types of personal selling are order taking, order getting, and

A)customer sales support.
B)order fulfillment.
C)order management.
D)order processing.
E)order shipment.

Question 30

A salesperson who is guided by the notion, "I try to sell customers all I can to convince them to buy, even if I think it is more than a wise customer would buy," has which type of orientation?

A)sales
B)cognitive
C)emotional
D)customer
E)compensatory

Question 31

An order taker is a

A)salesperson who specializes in identifying, analyzing, and solving customer problems, but who does not actually sell products and services.
B)salesperson who processes routine orders or reorders for products that were already sold by the company.
C)salesperson who identifies prospective customers, provides them with information, persuades them to buy, closes sales, and follows up on their use of a product or service.
D)person on the selling team who is responsible for obtaining qualified leads.
E)member of the sales support team who does not directly solicit orders but rather concentrates on performing promotional activities and introducing new products.

Question 32

Two types of order takers exist. __________ visit customers and replenish inventory stocks of resellers, whereas __________ typically answer simple questions, take orders, and complete transactions with customers.

A)Inside order takers; outside order takers
B)Inside order takers; outside order clerks
C)Outside order takers; inside order takers
D)Salesclerks; inbound telemarketers
E)Inside order clerks; outside order takers

Question 33

The primary responsibility of order takers is to

A)"preach" the benefits of a new product or service to a customer rather than close the sale.
B)build market share in a sales territory.
C)convince a customer from a competitor to switch to the firm's product or brand.
D)preserve ongoing relationships with existing customers and maintain sales.
E)create a sense of goodwill not only to the brand but also to the entire product mix of the firm.

Question 34

There are __________ genetic markers correlated with a salesperson's predisposition or willingness to interact with customers and learn about their problems in order to meet their needs.

A)six
B)two
C)three
D)four
E)five

Question 35

John Whitaker works for American Greetings. His job description includes the following responsibilities: (1) stock and arrange point-of-purchase displays of present customers-60 percent of his workweek and (2) receive orders from customers and complete the transactions-40 percent of his workweek. Whitaker is primarily engaged in which type of selling?

A)outside order taking
B)relationship selling
C)inside order taking
D)outside order getting
E)missionary sales

Question 36

Salespeople called outside order takers visit customers and

A)solve most of the technical problems.
B)sell products tailored to their needs.
C)help design the product displays.
D)train the personnel management.
E)replenish inventory stocks of resellers.

Question 37

Partnership selling refers to

A)the creation of cross-functional selling teams designed to provide the ultimate consumer with the best possible product and service.
B)the practice of using an entire team of professionals in selling to and servicing major customers.
C)an illegal practice whereby buyers and sellers combine their expertise and resources to share customer, competitive, and company information for their personal benefit.
D)a legal but unethical practice whereby buyers and sellers combine their expertise and resources to share customer, competitive, and company information for their personal benefit.
E)the practice whereby buyers and sellers combine their expertise and resources to create customized solutions; commit to joint planning; and share customer, competitive, and company information for their mutual benefit, and ultimately the benefit of the customer.

Question 38

The practice whereby buyers and sellers combine their expertise and resources to create customized solutions; commit to joint planning; and share customer, competitive, and company information for their mutual benefit, and ultimately the benefit of the customer, is referred to as

A)multichannel selling.
B)cross-functional selling.
C)partnership selling.
D)relationship selling.
E)customized ordering.

Question 39

The primary way in which relationship selling creates customer value is by

A)assigning a single sales representative to a single customer.
B)maintaining a long-term relationship of trust and respect.
C)guaranteeing fair and equitable prices for each client regardless of the size of the purchase.
D)providing cumulative discounts based on customer loyalty and the length of the customer relationship.
E)guaranteeing fair and equitable sales practices for each customer regardless of the frequency of the purchase.

Question 40

Salespeople called __________ visit customers and replenish inventory stocks of resellers, such as retailers or wholesalers.

A)inside order takers
B)outside order takers
C)inbound telemarketers
D)outbound telemarketers
E)management order takers

Question 41

On a recent shopping excursion at a local Target store, Jim Krause went from aisle to aisle selecting the products he needed. He bought a variety of products, including shampoo, toothpaste, and several pairs of socks. Interestingly, the only salesperson Krause encountered was the person at the checkout counter. The checkout person at Target is an example of

A)an inside order getter.
B)an outside order getter.
C)a sales associate.
D)an inside order taker.
E)an outside order taker.

Question 42

When Jason called the toll-free number to order two children's books from the Chinaberry catalog, the firm was using

A)social networking.
B)interactive marketing.
C)multichannel selling.
D)inbound telemarketing.
E)outbound telemarketing.

Question 43

Salespeople called __________ typically answer simple questions, take orders, and complete transactions with customers.

A)managers
B)inside order takers
C)directors
D)outside order takers
E)go-getters

Question 44

Which form of personal selling has the lowest requirement for problem solving?

A)order taker
B)order getter
C)sales engineer
D)missionary salesperson
E)team selling

Question 45

When Margot called the toll-free number to order one dozen water lilies from Van Ness Water Gardens, the firm was using

A)interactive marketing.
B)multichannel selling.
C)inbound telemarketing.
D)outbound telemarketing.
E)social networking.

Question 46

Which of the following statements regarding order getters is most accurate?

A)Order getters often replenish a retailer's inventories.
B)Order getters are most often used in new-buy or modified rebuy situations.
C)Order getters handle orders obtained on inbound telemarketing.
D)Order getters typically process reorders for products already sold by the company.
E)Order getter sales calls traditionally require the lowest financial investment from the firm.

Question 47

Which of the following statements regarding outside order getters is most accurate?

A)Order getters often replenish a retailer's inventories.
B)Order getters handle orders obtained on inbound telemarketing.
C)Order getters typically process reorders for products already sold by the company.
D)Order getter sales calls traditionally require the lowest financial investment from the firm.
E)Order getter sales calls traditionally require the greatest financial investment from the firm.

Question 48

Inside order takers are also referred to as

A)managers.
B)directors.
C)missionaries.
D)salesclerks.
E)go-getters.

Question 49

What percentage of a sales representative's time is spent selling?

A)32 percent
B)41 percent
C)48 percent
D)53 percent
E)55 percent

Question 50

Marilyn called the Butterball toll-free hotline to learn how to prepare her Thanksgiving turkey and dressing. This telephone number is an example of

A)interactive marketing.
B)multichannel selling.
C)outbound telemarketing.
D)social networking.
E)inbound telemarketing.

Question 51

The use of toll-free telephone numbers that customers call to obtain information about products and make purchases is referred to as

A)inbound telemarketing.
B)outbound telemarketing.
C)outbound videoconferencing.
D)interactive marketing.
E)multichannel selling.

Question 52

It is estimated that the average cost of a single field sales call on a business customer is about __________, factoring in salespeople compensation, benefits, and travel-and-entertainment expenses.

A)$150
B)$250
C)$300
D)$500
E)$400

Question 53

Which of the following statements regarding order getters is most accurate?

A)Order getters often replenish a retailer's inventories.
B)Order getters handle orders obtained on inbound telemarketing.
C)Order getters require considerable product knowledge.
D)Order getters typically process reorders for products already sold by the company.
E)Order getter sales calls traditionally require the lowest financial investment from the firm.

Question 54

When a Frito-Lay salesperson takes an inventory of Doritos chips to ensure that the snacks are in adequate supply on retailers' shelves, what form of buying decision does the store manager engage in?

A)new buy
B)modified rebuy
C)straight rebuy
D)team rebuy
E)need rebuy

Question 55

Which of the following statements regarding order getters is most accurate?

A)Order getting involves a high degree of creativity.
B)Order getters often replenish a retailer's inventories.
C)Order getters handle orders obtained on inbound telemarketing.
D)Order getters typically process reorders for products already sold by the company.
E)Order getter sales calls traditionally require the lowest financial investment from the firm.

Question 56

Which type of salesperson would routinely be involved in an industrial straight rebuy situation?

A)an outside order taker
B)an order getter
C)a missionary salesperson
D)a sales engineer
E)an inside order taker

Question 57

Industry research shows that outside order getters, or field service representatives, spend 41 percent of their time selling, and another __________ percent is devoted to customer service calls.

A)5
B)10
C)16
D)21
E)28

Question 58

A Frito-Lay salesperson who is taking inventory of available Doritos and Tostitos products at a supermarket is an

A)inside order taker.
B)interactive order taker.
C)outside order taker.
D)inventory clerk.
E)outside order getter.

Question 59

Industry research shows that outside order getters, or field service representatives, often work over __________ hours per week.

A)48
B)50
C)55
D)60
E)65

Question 60

An order getter is

A)a salesperson who specializes in identifying, analyzing, and solving customer problems, but who does not actually sell products and services.
B)a salesperson who processes routine orders or reorders for products that are presold by the outbound telemarketers.
C)a salesperson who sells in a conventional sense and identifies prospective customers, provides customers with information, persuades customers to buy, closes sales, and follows up on customers' use of a product or service.
D)a person on the selling team who is responsible for obtaining qualified leads.
E)a member of the sales support team who does not directly solicit orders but rather concentrates on performing promotional activities and introducing new products.

Question 61

Team selling refers to the practice of

A)using an entire group of professionals in selling to and servicing major customers.
B)sending an entire group of a firm's sales representatives into the field.
C)combining the expertise and resources of buyers and sellers to create customized solutions, commit to joint planning, and share customer, competitive, and company information for their mutual benefit, and ultimately the customer.
D)sending a group of sales representatives to concentrate on performing promotional activities and introducing new products.
E)assigning a group of sales representatives, each with his or her own unique product, to the same geographic sales territory to ensure that the company can meet the needs of these customers.

Question 62

Many firms such as Xerox use a cross-functional sales practice known as

A)collaborative selling.
B)team selling.
C)cooperative selling.
D)account selling.
E)formula selling.

Question 63

Today, __________ percent of companies employ cross-functional teams of professionals to work with customers to improve relationships, find better ways of doing things, and, of course, create and sustain value for their customers.

A)15
B)20
C)45
D)75
E)90

Question 64

A method of selling in which a salesperson and other company resource people meet with buyers to discuss problems and opportunities is referred to as

A)conference selling.
B)team selling.
C)seminar selling.
D)outbound telemarketing.
E)formula selling.

Question 65

Team selling would most likely be used by a company that sells

A)file cabinets.
B)washing machines.
C)dining room tables.
D)four-wheel drive sports utility vehicle (SUVs).
E)numerically controlled milling machines.

Question 66

A sales engineer is a

A)salesperson who specializes in identifying, analyzing, and solving customer problems and brings know-how and technical expertise to the selling situation, but often does not actually sell products and services.
B)salesperson who processes routine orders or reorders for products that are presold by the company.
C)salesperson who identifies prospective customers, provides customers with information, persuades customers to buy, closes sales, and follows up on a customer's use of a product or service.
D)person on the selling team who is responsible for supervising his or her company's R&D expenditures.
E)member of the sales support team who does not directly solicit orders but rather concentrates on performing promotional activities and introducing new products.

Question 67

Missionary salespeople are

A)salespeople who specialize in identifying, analyzing, and solving customer problems, but who do not actually sell products and services.
B)salespeople who process routine orders for products that are presold by the company.
C)salespeople who identify prospective customers, provide customers with information, persuade customers to buy, close sales, and follow up on a customer's use of the product or service.
D)people on the selling team who are responsible for obtaining qualified leads.
E)sales support personnel who do not directly solicit orders but rather concentrate on performing promotional activities and introducing new products.

Question 68

A salesperson who specializes in identifying, analyzing, and solving customer problems and brings know-how and technical expertise to the selling situation, but often does not actually sell products and services is referred to as a

A)specialized order taker.
B)designated order getter.
C)missionary salesperson.
D)sales engineer.
E)sales technician.

Question 69

Sales support personnel who do not directly solicit orders but rather concentrate on performing promotional activities and introducing new products are referred to as

A)inside order takers.
B)missionary salespeople.
C)outside order getters.
D)sales engineers.
E)outbound telemarketers.

Question 70

DuPont assigned chemists, sales and marketing executives, and regulatory specialists to create an herbicide for corn growers that recorded sales of $57 million in its first year. This type of sales approach is referred to as

A)partnership selling.
B)missionary selling.
C)team selling.
D)order taking.
E)formula selling.

Question 71

In conference selling,

A)buyers and sellers meet through a technology-based forum (telephone or videoconference call such as WebEx, etc.) because person-to-person meetings are too expensive due to the cost of air travel.
B)the sale has already been finalized but the buyer and seller meet to discuss delivery details.
C)a salesperson and other company resource people meet with buyers to discuss problems and opportunities.
D)a company team conducts an educational program for a customer's technical staff, describing state-of-the-art developments.
E)a form of mass selling occurs via electronic marketplaces such as eBay, Facebook, or Salesforce.com.

Question 72

FloNetwork, Inc., is a company that has developed automation solutions for electronic marketing. Its software is able to handle all aspects of permission marketing-based campaigns from list generation and e-mail deployment to real-time tracking and in-depth analysis. To sell its system, the company conducts educational programs targeted to the technical staff in a prospective customer's information technology (IT) department to discuss recent technological developments with the product. In this situation, FloNetwork uses

A)partnership selling.
B)seminar selling.
C)conference selling.
D)sales engineers.
E)formula selling.

Question 73

TransWave International is a company that markets patented electronic sensors as an early warning device for locating potential problems with buried pipelines. TransWave sends an environmental expert, a safety engineer, a legal representative to explain new regulations enacted by the U.S. Office of Pipeline Safety, and an experienced pipeline expert when it meets with a prospect. This is an example of how TransWave uses

A)partnership selling.
B)order getting.
C)functional selling.
D)sales engineering.
E)team selling.

Question 74

The two basic forms of team selling are

A)augmented selling and integrated selling.
B)enterprise selling and strategic alliance selling.
C)cross-functional teams and cross-tier teams.
D)conference selling and seminar selling.
E)network selling and matrix selling.

Question 75

The practice of using a group of professionals in selling to and servicing major customers is referred to as

A)cooperative selling.
B)missionary sales.
C)sales engineering.
D)team selling.
E)partnership selling.

Question 76

The practice of using the telephone rather than personal visits to contact customers is referred to as

A)missionary selling.
B)outbound telemarketing.
C)cold canvassing.
D)inbound telemarketing.
E)team selling.

Question 77

Which type of sales personnel concentrates on performing promotional activities but generally does not solicit actual sales orders?

A)missionary salespeople
B)sales engineers
C)outside order getters
D)inside order getters
E)outbound telemarketers

Question 78

Norma Adler works for Tyco Healthcare. Her job is to visit hospitals and meet with staff to explain the equipment that Tyco manufactures for use in operating rooms. Although Adler is part of her company's salesforce, she does not directly solicit orders. Adler is what type of salesperson?

A)an inside order taker
B)an outside order getter
C)a missionary salesperson
D)a sales engineer
E)a sales team coordinator

Question 79

Seminar selling is a method of personal selling in which

A)the company provides a free audit of the buyers' purchase behaviors to identify any weaknesses and then provides formal training on more effective buying behaviors.
B)a group of the organization's R&D personnel conducts a product demonstration and training seminar for all major customers.
C)salespeople and other company resource people meet with buyers to discuss problems and opportunities.
D)a company sales team conducts an educational program for a customer's technical staff to describe state-of-the-art developments.
E)a company selling services tries to overcome the problems associated with the intangibility of service.

Question 80

It is estimated that the average cost of an outbound telemarketing sales call on a business customer is about __________, versus $500 for a single field sales call.

A)$10 to $15
B)$15 to $20
C)$20 to $25
D)$30 to $40
E)$40 to $50