Question 1

In the purchasing decision process, the ________ are those who have the power to prevent sellers or information from reaching members of the buying center.

Accepted Answer

Gatekeepers are those who control the flow of information to members of the buying center. They can be receptionists, secretaries, or any other person who can have an impact on the decision-making process by controlling the information that reaches the key decision-makers.

Question 2

Systems selling is a key industrial marketing strategy in bidding to build large-scale industrial projects. Competition for these projects is fierce. What are the main areas of competition for these project engineering firms?

Accepted Answer

The answer of Systems selling is a key industrial marketing...

Question 3

In which of the following is a person performing the role of an influencer?

Accepted Answer

An influencer provides information for evaluating possible alternatives, which is what Liam does as the head of the Tech team. The other options describe a decision-maker (A, B, E) or a gatekeeper (D).

Question 4

If you performed the role of the ________ in a buying center, you would be the person that has the power to prevent sellers or information from reaching other members of the buying center.

Accepted Answer

The role described is that of a gatekeeper, who controls the flow of information to other members of the buying center. This person can prevent outside sellers or information from reaching other decision makers in the group.

Question 5

Which type of buying situation would be preferred if the management wants to minimize decision-making time and effort.

Accepted Answer

The answer of Which type of buying situation would be...

Question 6

Which of the following is true about buying centers?

Accepted Answer

All of the options listed are true. One person may play multiple roles within a buying center, several people can occupy the same role, a buying center typically has five or six members, and it is also possible for a buying center to have dozens of members.

Question 7

If you were a purchasing agent facing a modified rebuy situation, how would you describe that situation?

Accepted Answer

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Question 8

In the purchasing decision process, the major role of ________ is in selecting vendors and negotiating.

Accepted Answer

Buyers play a major role in selecting vendors and negotiating during the purchasing decision process. Gatekeepers control the flow of information, initiators trigger the purchasing decision, approvers give final approval, and deciders make the final decision. While all of these roles may be involved in the process, buyers specifically have the responsibility of vendor selection and negotiation.

Question 9

Illustrate the differences between a straight rebuy, a modified rebuy, and a new-task purchase.

Accepted Answer

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Question 10

Timken achieved record revenue despite a recession by ________.

Accepted Answer

Timken achieved record revenue by shifting their attention into heavy processing, aerospace, and defense industries. This allowed them to diversify their revenue streams and avoid relying solely on one industry, such as the auto industry. Additionally, these industries may have been less impacted by the recession, providing more stable demand for Timken's products. There is no mention of lowering prices on bearings for a specific tractor manufacturer or avoiding sales of high priced bearings for large tractors.

Question 11

A prime contractor provides a turnkey solution, so-called because the buyer only has to turn one key to get the job done.

Accepted Answer

A prime contractor is responsible for providing a complete solution to the buyer, which means that the buyer only has to 'turn one key' to get the job done.

Question 12

________ is composed of all parties who participate in the purchasing decision-making process and share common goals and risks associated with their decisions.

Accepted Answer

The term "buying center" specifically refers to all parties involved in the purchasing decision-making process who share common goals and risks associated with their decisions. Options B, C, D, and E are not accurate descriptions of the buying center.

Question 13

Describe the practices of systems buying and systems contracting.

Accepted Answer

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Question 14

When purchasing disposable surgical gowns, Mercy Hospital's vice president of purchasing analyzes whether the hospital should buy disposable gowns or reusable gowns. If the findings favor disposable gowns, then the operating-room administrator compares various competitors' products and prices and makes a choice. Surgeons influence the decision retroactively by reporting their satisfaction with the particular brand. In this situation, the operating-room administrator performs the role of the ________.

Accepted Answer

The operating-room administrator is the one making the final decision on which type and brand of surgical gown to purchase, making them the decider. They are not simply initiating the decision, using the product, or influencing it, and they are not acting as gatekeepers by controlling access to information or options.

Question 15

Which of the following is true about industrial buying decisions?

Accepted Answer

Industrial buying decisions are made to fulfill both the organization's and individual's needs. It involves a rational process that considers multiple factors such as cost, quality, and reliability while also taking into account the personal preferences and motivations of the individuals involved in the decision-making process. Top executives may also have some level of insecurity when making purchasing decisions due to the potential risks involved. However, the ultimate decision is typically based on a comprehensive analysis of both organizational and individual needs.

Question 16

When purchasing disposable surgical gowns, Mercy Hospital's vice president of purchasing analyzes whether the hospital should buy disposable gowns or reusable gowns. If the findings favor disposable gowns, then the operating-room administrator compares various competitors' products and prices and makes a choice. Surgeons influence the decision retroactively by reporting their satisfaction with the particular brand. In this situation, the surgeons perform the role of the ________.

Accepted Answer

The surgeons are the users of the disposable surgical gowns, as they are the ones who actually wear them during surgeries. The vice president of purchasing is the decider, as they analyze whether to buy disposable or reusable gowns, and the operating-room administrator is the buyer, as they compare products and prices and make the final choice. There is no gatekeeper or initiator in this scenario.

Question 17

In which of the following is a person performing the role of an approver?

Accepted Answer

An approver is someone who has the authority to authorize or approve the actions of others. In this case, Dana has the authority to authorize the actions of the deciders and buyers in LKG, making her the only one performing the role of an approver among the given options.

Question 18

In the purchasing decision process, the ________ are those who request that something be purchased. They may be users or others in the organization.

Accepted Answer

Initiators are those who initiate or request that something be purchased. They may be users or others in the organization. Influencers provide information and opinions to decision-makers, deciders make the final decision, and approvers authorize the purchase.

Question 19

What are the three different types of buying situations faced by a typical business buyer?

Accepted Answer

The answer of What are the three different types of...

Question 20

In systems buying, the US government often solicits bids from prime contractors. What do prime contractors do?

Accepted Answer

The answer of In systems buying, the US government often...

Quiz 7: Analyzing Business Markets