Question 1

Some industrial products have been processed before reaching the industrial customer,but are processed further by this customer before becoming part of the finished product that you buy.These items are called:

Accepted Answer

The items that have been processed before reaching the industrial customer but need further processing by this customer before becoming part of the finished product are called component materials. The other options do not fit this description as well.

Question 2

Companies can demonstrate market-sensing and customer-linking capabilities by:

Accepted Answer

Sharing product movement information, jointly planning promotional activities with other channel members, and jointly planning product changes with other channel members are all ways in which companies can demonstrate their market-sensing and customer-linking capabilities. By working closely with channel partners and sharing information, companies can better understand the needs and preferences of their customers and respond to changes in the market more quickly and effectively.

Question 3

Mead Paper Company recently purchased a new high-speed paper machine for one of their plants.The new machine is used in manufacturing a special grade of paper at a rate of over 1500 feet per minute.This product would be classified as:

Accepted Answer

The high-speed paper machine is classified as an installation because it is a major capital expense and has a long-term use in the manufacturing process.

Question 4

Which of the following is(are)characteristic of the marketing strategy that would be appropriate for a firm like Otis Elevator,which sells installations in the business market?

Accepted Answer

Personal selling is crucial in the business market as it involves building relationships with customers and addressing their specific needs. Trade advertising and direct mail are effective ways to reinforce personal selling efforts by providing additional information to potential customers. Pricing may still be important, but it is not the central force in marketing strategy for a company like Otis Elevator which primarily operates in a business-to-business market.

Question 5

The factors that distinguish business marketing from consumer marketing include:

Accepted Answer

The intended use of the product and the nature of the customer are the factors that distinguish business marketing from consumer marketing. Promotion may be important for both types of marketing, but it is not a defining factor.

Question 6

Which of the following characteristics of business customers is true?

Accepted Answer

All of the characteristics listed are true. Business customers tend to make larger purchases than individual consumers, demand for industrial products is derived from the ultimate demand for consumer products, and relationships between business marketers tend to be close and enduring.

Question 7

Business marketing strategy must be based on an assessment of the:

Accepted Answer

Business marketing strategy must take into account all three factors: customer, competitor, and company. Understanding the customer's needs and wants, analyzing the competition, and evaluating the company's strengths and weaknesses are all necessary components of developing an effective marketing strategy. Therefore, option D, "all of the above," is the best choice.

Question 8

A business marketer becomes a preferred supplier to major customers by:

Accepted Answer

The answer of A business marketer becomes a preferred supplier...

Question 9

The buying motives for major installations center on:

Accepted Answer

Major installations involve significant investment and long-term commitment. Hence, buying motives for major installations are a blend of both rational factors (such as cost, ROI, performance, etc.) and emotional factors (such as brand reputation, trust, customer service, etc.). Both of these factors are equally important and influence the final decision-making process.

Question 10

Industrial products and services can be broadly classified as:

Accepted Answer

The classification of industrial products and services into entering, foundation, and facilitating goods is widely accepted in marketing literature. Entering goods are raw materials or resources that are used in the production process. Foundation goods are major capital items such as equipment and buildings. Facilitating goods are ancillary goods and services required for production, such as maintenance, repair, and janitorial services.

Question 11

The distinguishing characteristic(s)of foundation goods is(are)that they:

Accepted Answer

The answer of The distinguishing characteristic(s)of foundation goods is(are)that they:
...

Question 12

Which type of goods are treated as an expense item because they do not enter the production process or become part of the finished product?

Accepted Answer

Facilitating goods, such as office supplies, are not used in the production process nor do they become part of the finished product. They are treated as expense items.

Question 13

The skills required to identify,initiate,develop,and maintain profitable customer relationships describes:

Accepted Answer

Customer management relationship capabilities refer to the ability to effectively identify, initiate, develop, and maintain profitable customer relationships. It involves understanding customer needs and preferences, providing excellent customer service, and building long-term relationships to increase customer loyalty and retention.

Question 14

The cost of raw materials such as sheet steel is treated as:

Accepted Answer

The cost of raw materials such as sheet steel is treated as an expense item which is assigned to the manufacturing process. This means that it is directly attributed to the production of goods and is accounted for as a cost of goods sold. It is not a capital item that is depreciated over time, nor is it a fixed cost that remains constant regardless of production levels.

Question 15

When companies want to sell products to consumer and business markets,they have to:

Accepted Answer

The answer of When companies want to sell products to...

Question 16

With little or no additional processing,____ can be installed directly into another product.

Accepted Answer

Component parts are designed to be easily integrated into other products without the need for additional processing, making them the best choice for installing directly into another product. Component materials may require processing or further assembly, and operating equipment and light factory equipment are not typically installed directly into other products.

Question 17

Marketers who want to serve both consumer and business market sectors should:

Accepted Answer

Developing a market oriented organizational plan, becoming proficient in understanding customers, and becoming proficient in satisfying customers are all important strategies for marketers who want to serve both consumer and business market sectors. A market oriented organizational plan helps ensure that the company is focused on meeting the needs and wants of its target markets, regardless of whether those markets are consumer or business-oriented. Proficiency in understanding and satisfying customers is important for both markets, as both consumers and businesses have unique needs and preferences that must be addressed in order to succeed. Choosing option (E) would not provide a comprehensive enough approach for marketers looking to serve both markets.

Question 18

Functional areas other than marketing directly or indirectly affect which of the following?

Accepted Answer

Functional areas such as finance, operations, and human resources can indirectly affect marketing decisions related to product, price, promotion, and distribution. For example, finance may impact pricing decisions by setting budgets or influencing profitability targets, while operations can affect product development and distribution strategies. Human resources can impact promotion decisions by finding ways to attract and retain top talent for marketing and sales roles.

Question 19

Bond Office Products manufactures a diverse array of office supplies and serves the business market.Which of the following characteristics is (are)associated with the marketing strategy for this category of goods?

Accepted Answer

All of the given characteristics are associated with the marketing strategy for office supplies. Personal selling may be less important because of the lower unit value of these items, and a wide variety of middlemen may be required to cover the diverse market. Price is also important because many office supply items are undifferentiated.

Question 20

An implication of relationship marketing is:

Accepted Answer

Relationship marketing emphasizes the building of long-term, one-to-one relationships between the seller and the customer. Rather than viewing a sale as the end result, relationship marketing sees it as the beginning of a mutually beneficial relationship. This requires an intimate knowledge of the customer's operations in order to tailor products or services to their specific needs. Therefore, option A is incorrect. Option D is incorrect because it includes option A, which is not a valid statement.

Quiz 1: A Business Marketing Perspective