Question 1

Which common method for classifying accounts is popular because of its simplicity?
A) Single-factor analysis
B) Portfolio analysis
C) Sales volume analysis
D) Most Likely Sales (MLS) analysis
E) Least Likely Sales (LLS) analysis

Accepted Answer

Single-factor analysis is a simple method of classifying accounts based on a single criterion such as account size, industry, or geographic location. It is popular because it is easy to use and understand, and can provide a quick overview of a company's customer base. Portfolio analysis, sales volume analysis, and MLS/LLS analysis are more complex methods that may be used in conjunction with single-factor analysis for more detailed insights into account classification.

Question 2

Which of the following common sales call routing plan patterns is best used when accounts are concentrated in different parts of the territory?
A) Straight line plan
B) Cloverleaf plan
C) Circular plan
D) Leapfrog plan
E) Major city plan

Accepted Answer

The Cloverleaf plan is best used when accounts are concentrated in different parts of the territory because it allows the salesperson to focus on one segment or "leaf" of their territory at a time, ensuring thorough coverage and efficient use of time.

Question 3

In order to successfully establish territory routing plans, salespeople will need the information gained from ____.
A) Setting sales call goals
B) Setting personal goals
C) Territory analysis and account classification
D) Prospecting
E) A territory routing plan calculator

Accepted Answer

Territory analysis and account classification are essential for salespeople to establish effective territory routing plans. This allows them to focus their efforts on the most promising accounts and optimize their travel and time management. While setting sales call and personal goals, prospecting, and using a routing plan calculator may be useful, they are not as crucial as having a thorough understanding of the territory and its potential customers.

Question 4

What are the two commonly used methods for classifying accounts?
A) Single-factor analysis and ABC analysis
B) Single-factor analysis and portfolio analysis
C) Sales volume analysis and potential volume analysis
D) Potential sales analysis and Most Likely Sales (MLS) analysis
E) Most Likely Sales (MLS) analysis and Least Likely Sales (LLS) analysis

Accepted Answer

The two commonly used methods for classifying accounts are single-factor analysis and portfolio analysis. Single-factor analysis involves classifying accounts based on a single criterion, such as sales volume or potential volume. Portfolio analysis, on the other hand, considers multiple criteria, such as sales volume, profit margin, and growth potential, to classify accounts into different tiers or categories. Option B correctly identifies the two commonly used methods for classifying accounts.

Question 5

Suppose a salesperson is classifying accounts based on the level of sales potential. Which common method for classifying accounts is the salesperson using?
A) Single-factor analysis
B) Portfolio analysis
C) Sales volume analysis
D) Most Likely Sales (MLS) analysis
E) Least Likely Sales (LLS) analysis

Accepted Answer

The answer of Suppose a salesperson is classifying accounts based...

Question 6

Grace is attempting to classify a new account using portfolio analysis. She believes she is in a strong competitive position, but she also believes the account opportunity is low compared to other opportunities. Which of the following best represents what Grace's selling effort strategy should be?
A) Assign the account to a telemarketer until a breakthrough is made.
B) Make a heavy investment in the selling effort in an attempt to strengthen her competitive position.
C) Allocate a small portion of her time to the account until her competitive position improves.
D) Allocate a moderate level of selling effort in order to maintain the current competitive position.
E) Both A and C above are good options

Accepted Answer

Since Grace believes she is in a strong competitive position, it may not be necessary to make a heavy investment in selling effort. However, she cannot ignore the account completely, so it would be best to allocate a moderate level of selling effort to maintain her competitive position without over-investing in the opportunity.

Question 7

___________ is a territory routing plan in which the salesperson, on each trip, works a different part of the territory and travels in a circular loop back to the starting point.
A) Straight line plan
B) Cloverleaf plan
C) Circular plan
D) Leapfrog plan
E) Major city plan

Accepted Answer

The Cloverleaf plan is a territory routing strategy where the salesperson covers different parts of their territory in a series of loops, ensuring comprehensive coverage over time without retracing their steps too frequently. This method allows for efficient travel in a circular loop back to the starting point.

Question 8

Rhonda is attempting to classify a new account. She believes the account could be very profitable, but she also believes she is in a weak competitive position. Which of the following best represents what Rhonda's selling effort strategy should be?
A) Assign the account to a telemarketer until a breakthrough is made.
B) Make a heavy investment in the selling effort in an attempt to strengthen her competitive position.
C) Allocate a small portion of her time to the account until her competitive position improves.
D) Avoid calling on the account until her competitive position improves.
E) Attempt to maintain her competitive position while prospecting for new accounts.

Accepted Answer

Given that the account could be very profitable, making a heavy investment in the selling effort is a strategic approach to strengthen Rhonda's competitive position, despite initially being weak. This effort could potentially turn the account into a valuable asset.

Question 9

One of the primary objectives of portfolio analysis is __________________________?
A) To help salespeople better understand how to best allocate their resources.
B) To help salespeople eliminate the 10 percent of customers producing the least amount of sales.
C) To help salespeople develop a portfolio of customers.
D) To help salespeople divide their customer base by product type.
E) None of the above

Accepted Answer

The answer of One of the primary objectives of portfolio...

Question 10

The process of scheduling activities that can be used as a map for achieving objectives is referred to as:
A) Self-leadership
B) Territory analysis
C) Sales planning
D) Sales management
E) Portfolio analysis

Accepted Answer

Sales planning involves the process of scheduling activities to achieve objectives, making it the best option among the given choices. Self-leadership refers to an individual's ability to lead themselves, while territory analysis and portfolio analysis are more specific to analyzing territories or products. Sales management is the broader category that encompasses all aspects of managing a sales team, including sales planning.

Question 11

Which of the following is not one of the common sales call routing plan patterns?
A) Straight line plan
B) Cloverleaf plan
C) Circular plan
D) Leapfrog plan
E) Sales volume aggregation plan (SVA Plan)

Accepted Answer

The common sales call routing plan patterns are straight line plan, cloverleaf plan, circular plan, and leapfrog plan. Sales volume aggregation plan (SVA Plan) is not a common sales call routing plan pattern.

Question 12

Scott is a salesperson with a very large territory and whose accounts are clustered in the several widely dispersed groups?
A) Straight line plan
B) Cloverleaf plan
C) Circular plan
D) Leapfrog plan
E) Major city plan

Accepted Answer

The answer of Scott is a salesperson with a very...

Question 13

During the process of account classification, it is not uncommon for salespeople to find ________?
A) 60 percent of their customers generate 30 percent of their sales potential.
B) 20 percent of their customers generate 80 percent of their sale potential.
C) 50 percent of their customers are high volume customers and 50 percent are low volume customers.
D) Most accounts can be classified into one of two categories.
E) Several accounts that generate little sales potential and even fewer that generate high sales potential.

Accepted Answer

The statement describes the Pareto principle, also known as the 80/20 rule, which states that 20 percent of customers generate 80 percent of sales potential.

Question 14

Salespeople should base their daily plans on their what?
A) Annual plans
B) Sales call goals
C) Weekly plans
D) Daily budget
E) Daily sales revenue goals

Accepted Answer

The answer of Salespeople should base their daily plans on...

Question 15

Which of the following common sales call routing plan patterns is best used when accounts are located in linear clusters that are some distance from one another?
A) Straight line plan
B) Cloverleaf plan
C) Circular plan
D) Leapfrog plan
E) Major city plan

Accepted Answer

The answer of Which of the following common sales call...

Question 16

Suppose a salesperson is classifying accounts based on the level of sales potential and strength of relationship (buyer-seller). Which common method for classifying accounts is the salesperson using?
A) Single-factor analysis
B) Portfolio analysis
C) Sales volume analysis
D) Most Likely Sales (MLS) analysis
E) Least Likely Sales (LLS) analysis

Accepted Answer

The salesperson is using portfolio analysis, which involves classifying accounts based on two factors: sales potential and strength of relationship. This method helps the salesperson prioritize their efforts and allocate resources effectively. Single-factor analysis, sales volume analysis, Most Likely Sales (MLS) analysis, and Least Likely Sales (LLS) analysis are all methods for analyzing sales data but do not involve classifying accounts based on multiple factors.

Question 17

Which common method for classifying accounts is growing in popularity because it is flexible and incorporates multiple variables?
A) Single-factor analysis
B) Portfolio analysis
C) Sales volume analysis
D) Most Likely Sales (MLS) analysis
E) Least Likely Sales (LLS) analysis

Accepted Answer

Portfolio analysis is the common method for classifying accounts that is growing in popularity because it is flexible and incorporates multiple variables. It involves grouping accounts based on their profitability and growth potential, rather than just a single factor such as sales volume or likelihood of future sales. This approach allows for a more holistic view of the account and better strategic planning.

Question 18

To maximize the effectiveness of daily plans, salespeople should adhere to which two guiding principles?
A) Make them clear and say them out loud
B) Make them clear and set them monthly
C) Put them in writing and say them out loud
D) Put them in writing and keep them current and flexible
E) All the above

Accepted Answer

The most effective guiding principles for daily plans are putting them in writing and keeping them current and flexible. Writing down the plans helps to solidify them and keep them organized, while remaining flexible allows for adjustments to be made as needed based on changing circumstances. Saying the plans out loud can be helpful for accountability, but it is not as crucial as putting them in writing and keeping them current and flexible. Monthly plans may be helpful for longer-term goals, but for daily plans, it is more important to focus on the immediate tasks at hand. Therefore, option D is the best choice.

Question 19

According to the five sequential stages of self-leadership, what should salespeople do once they've completed their territory analysis and account classification?
A) Establish and implement selling task and activity plans
B) Establish territory routing plans
C) Tap into technology and automation
D) Both a and b are correct
E) None of the above

Accepted Answer

According to the five sequential stages of self-leadership, salespeople should establish and implement selling task and activity plans (a) and establish territory routing plans (b) once they've completed their territory analysis and account classification. Therefore, both choices a and b are correct.

Question 20

Bill is in the process of reviewing his accounts. Bill classified his accounts using the Single-Factor Analysis method and is now developing his sales strategy. Bill should:
A) Spend most of his time attempting to develop B accounts into A accounts.
B) Turn over the A accounts to an account manager and begin looking for more C accounts.
C) Allocate the greatest portion of his time to the A and B accounts.
D) Allocate his time to the accounts designated as weak competitive position but high opportunity.
E) Divide his time equally among the accounts because each is as important as the other.

Accepted Answer

Since Bill classified his accounts using the Single-Factor Analysis method, he should allocate the majority of his time to the A and B accounts. These accounts have the highest potential for sales and revenue, and therefore require the most attention from Bill. However, he should not ignore the C accounts completely, as they still have potential for growth and should be nurtured. Option A is incorrect because developing B accounts into A accounts should be a secondary priority after maintaining and growing the existing A accounts. Option B is not feasible since directly turning over A accounts to an account manager could harm customer relationships and lead to lost opportunities. Option D may be important, but it is not the main focus of sales strategy development as it involves addressing weaknesses rather than capitalizing on strengths. Option E is not a prudent approach as all accounts are not equally important in terms of revenue potential.

Quiz 10: Adding Value: Self-Leadership and Teamwork

Which common method for classifying accounts is popular because of its simplicity?

Which of the following common sales call routing plan patterns is best used when accounts are concentrated in different parts of the territory?

In order to successfully establish territory routing plans, salespeople will need the information gained from ____.

What are the two commonly used methods for classifying accounts?

Suppose a salesperson is classifying accounts based on the level of sales potential. Which common method for classifying accounts is the salesperson using?

Grace is attempting to classify a new account using portfolio analysis. She believes she is in a strong competitive position, but she also believes the account opportunity is low compared to other opportunities. Which of the following best represents what Grace's selling effort strategy should be?

___________ is a territory routing plan in which the salesperson, on each trip, works a different part of the territory and travels in a circular loop back to the starting point.

Rhonda is attempting to classify a new account. She believes the account could be very profitable, but she also believes she is in a weak competitive position. Which of the following best represents what Rhonda's selling effort strategy should be?

One of the primary objectives of portfolio analysis is __________________________?

The process of scheduling activities that can be used as a map for achieving objectives is referred to as:

Which of the following is not one of the common sales call routing plan patterns?

Scott is a salesperson with a very large territory and whose accounts are clustered in the several widely dispersed groups?

During the process of account classification, it is not uncommon for salespeople to find ________?

Salespeople should base their daily plans on their what?

Which of the following common sales call routing plan patterns is best used when accounts are located in linear clusters that are some distance from one another?

Suppose a salesperson is classifying accounts based on the level of sales potential and strength of relationship (buyer-seller) . Which common method for classifying accounts is the salesperson using?

Which common method for classifying accounts is growing in popularity because it is flexible and incorporates multiple variables?

To maximize the effectiveness of daily plans, salespeople should adhere to which two guiding principles?

According to the five sequential stages of self-leadership, what should salespeople do once they've completed their territory analysis and account classification?

Bill is in the process of reviewing his accounts. Bill classified his accounts using the Single-Factor Analysis method and is now developing his sales strategy. Bill should: