Question 1

The first stage in the organizational buying decision process is

Accepted Answer

Problem recognition is the initial stage where the organization identifies a need or problem that requires a purchase decision.

Question 2

At which stage of the organizational buying decision process would purchasing and engineering personnel visit potential suppliers to assess their facilities, production capability, and quality control?

Accepted Answer

During the alternative evaluation stage, organizations assess potential suppliers by visiting their facilities to evaluate their production capabilities and quality control measures.

Question 3

Comparing the stages in a consumer and organizational purchase decision process reveals key differences. In organizations, ________ becomes more important for deadlines and quality control.

Accepted Answer

In organizational purchasing, supplier capability is crucial as it ensures that suppliers can meet deadlines and maintain quality control, which are critical for business operations.

Question 4

The sales department's identification of an improvement made to a competitor's product would occur during which stage of the organizational buying decision process?

Accepted Answer

The identification of an improvement made to a competitor's product would occur during the problem recognition stage, as it highlights a need or opportunity for the organization to address.

Question 5

Once an organization passes through the problem recognition stage of the organizational buying decision process, it reaches the ________ stage.

Accepted Answer

After recognizing a problem, the next stage in the organizational buying decision process is the information search, where the organization seeks out information to address the identified problem.

Question 6

Organizational buying behavior is similar to consumer behavior in some ways and different in others. Common to both is that they

Accepted Answer

Both organizational and consumer buying processes typically follow the same five stages: problem recognition, information search, evaluation of alternatives, purchase decision, and post-purchase behavior.

Question 7

During the next-to-last stage of the organizational buying decision process, the organization

Accepted Answer

The correct answer is D: awards the contract. This is the next-to-last stage of the organizational buying decision process, as the organization has already evaluated supplier facilities and formally rated suppliers that were used.

Question 8

A buying center refers to

Accepted Answer

A buying center is a group of people within an organization who are involved in the buying process and share common goals, risks, and knowledge important to a purchase decision.

Question 9

Marketers need to understand their customers' buying centers. A series of questions can be used to facilitate this process. Which of the following questions would be the least useful when trying to understand the operations of a buying center?

Accepted Answer

Understanding the criteria used to select members of the buying center is less directly useful for marketers compared to understanding who the members are, their influence, buying criteria, and perceptions, which are more directly related to influencing the buying decision.

Question 10

Which of the following possible characteristics of consumer buying is least likely to enter into an organizational buying decision?

Accepted Answer

Organizational buying decisions are typically driven by business needs and objectives rather than personal motives like self-actualization, which are more relevant to individual consumer buying behavior.

Question 11

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

Accepted Answer

The last stage of the organizational buying decision process is postpurchase behavior, where the organization evaluates the purchase decision and its outcomes.

Question 12

General Electric manufactures electric motors for its clothes dryers. The firm uses a formal vendor rating system to evaluate suppliers and notify those whose parts did not meet quality standards. If a supplier fails to correct the problem, GE will drop it as a future supplier. Which stage in the organizational buying decision process would GE make this evaluation?

Accepted Answer

The postpurchase behavior stage involves evaluating the performance of the product or service after purchase, including assessing supplier performance and quality standards.

Question 13

Large multistore chain retailers such as 7-Eleven convenience stores, Safeway, and Target use a highly formalized buying center that is referred to as a

Accepted Answer

Large multistore chain retailers often use a buying committee, which is a formalized group responsible for making purchasing decisions, ensuring consistency and efficiency across all locations.

Question 14

Which of the following is indicative of the purchase decision stage of the organizational buying decision process?

Accepted Answer

The answer of Which of the following is indicative of...

Question 15

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 is referred to as the

Accepted Answer

The buying center is the group of people within an organization who are involved in the buying process and share common goals, risks, and knowledge important to a purchase decision.

Question 16

At which stage of the organizational buying decision process would a firm select a supplier, negotiate terms, and award a contract?

Accepted Answer

The purchase decision stage is where the firm selects a supplier, negotiates terms, and awards a contract.

Question 17

Organizational buying behavior is similar to consumer behavior in some ways and different in others. One key difference is that in the organizational buying process,

Accepted Answer

In organizational buying, the postpurchase evaluation is more formalized due to the need for accountability and documentation in business transactions.

Question 18

Comparing the stages in a consumer and organizational purchase decision process reveals key differences. In organizations, the ________ stage is more formal, often involving a vendor rating system.

Accepted Answer

The answer of Comparing the stages in a consumer and...

Question 19

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

Accepted Answer

Design and production engineers draft specifications during the information search stage of the organizational buying decision process. This is when they gather information about potential suppliers and their products or services.

Question 20

At which stage of the organizational buying decision process would purchasing assess the financial status of potential suppliers?

Accepted Answer

During the alternative evaluation stage, purchasing assesses the financial status of potential suppliers to ensure they are capable of fulfilling the order and maintaining a stable business relationship.

Quiz 6: Understanding Organizations As Customers