Question 1

When organizational buyers have well developed choice criteria to apply to the purchase decision,they are operating in a stage of problem solving known as:

Accepted Answer

Routine response behavior occurs when organizational buyers have well developed choice criteria to apply to the purchase decision. This means that they have established a set of standard buying procedures and criteria based on their past experiences with certain products or suppliers. This allows them to quickly and efficiently make purchasing decisions without having to go through an extensive problem-solving process each time.

Question 2

As a result of poor delivery performance by a supplier of high quality metal components,Jim Houser,purchasing agent at Milton Toy Company,plans to consider a possible change in suppliers.This provides an illustration of:

Accepted Answer

A modified rebuy occurs when a company is satisfied with its current supplier but considers other options due to changes in the environment, such as poor delivery performance. Jim Houser's consideration of a possible change in suppliers due to the poor delivery performance of the current supplier fits this definition. The other answer choices, such as routinized problem solving or selective perception, do not accurately describe the situation.

Question 3

Strategies that would be appropriate for an "out" supplier to follow in dealing with a well-satisfied customer in a straight rebuy situation include:

Accepted Answer

D

Question 4

The organizational buying process,which ultimately may lead to the purchase of a new computer,could be set into action by:

Accepted Answer

The answer of The organizational buying process,which ultimately may lead...

Question 5

Those buying decisions that involve a narrow set of choice alternatives,encompass a moderate amount of both information search and analysis,and concentrate on the long-term relationship potential of suppliers are called:

Accepted Answer

The answer of Those buying decisions that involve a narrow...

Question 6

Because of the technical complexity of the product,the difficulty of evaluating alternatives,or the unpredictable aspects of dealing with a new supplier,this type of buying decision involves the greatest level of uncertainty.

Accepted Answer

A judgmental new task decision involves a high level of uncertainty because it is a completely new buying situation where the buyer has no previous experience or knowledge of the product or supplier. This means that there is a high degree of unpredictability and risk involved in the decision-making process, making it difficult to evaluate alternatives and make a choice.

Question 7

Concerning the eight-stage model of the organizational buying process,research suggests that:

Accepted Answer

All of the statements are true concerning the eight-stage model of the organizational buying process. The process is not necessarily linear or sequential and can be reoriented, discontinued, or completed concurrently depending on various factors such as changes in external environment or problem definition. Moreover, the procurement process involves many small or incremental decisions that ultimately lead to the final selection of a supplier.

Question 8

In choosing a new piece of manufacturing equipment,the buying organization is uncertain of the model or brand to choose,the suitable level of quality,and the appropriate price to pay.This represents which type of buying situation?

Accepted Answer

The situation described represents a judgmental new task decision, where the buying organization is faced with a new and complex purchase decision and is uncertain about the appropriate product specifications, suppliers, and prices. The organization may need to gather comprehensive information and use judgments to evaluate options and select the best alternative. The other options (complex modified rebuy decision, strategic modified rebuy decision, strategic new task decision, and lost-for-good decision) do not fit the description of this specific buying situation.

Question 9

The problem solving approach followed by an organizational buyer in a modified rebuy situation is:

Accepted Answer

The answer of The problem solving approach followed by an...

Question 10

The purchase of an expensive piece of material handling equipment would be classified as:

Accepted Answer

The answer of The purchase of an expensive piece of...

Question 11

Strategies that would be appropriate for an "out" supplier to follow when confronting a modified rebuy situation include:

Accepted Answer

Offering performance guarantees, encouraging the organization to sample the firm's offering, and defining and responding to the organization's problem with the existing supplier are all appropriate strategies for an "out" supplier to follow when confronting a modified rebuy situation. By offering performance guarantees, the supplier can assure the organization that their product will meet their needs. Encouraging the organization to sample the firm's offering allows the organization to see the value of the supplier's product firsthand. Defining and responding to the organization's problem with the existing supplier shows that the supplier is attentive to the organization's needs and is willing to address any issues. All of these strategies can help an "out" supplier to win the business in a modified rebuy situation.

Question 12

Upon meeting with a General Electric buyer,a salesperson learned that the G.E.purchasing function is unhappy with the supplier's performance and is openly considering new options.This provides an illustration of:

Accepted Answer

The fact that the purchasing function is considering new options indicates that this is not a straight rebuy, where the buying decision is automatic and routine. It is also not a new task buying situation or extended problem solving since the product or service is already being purchased. This leaves us with a modified rebuy, where the buyer is dissatisfied with the current supplier's performance and is considering alternatives. Value analysis is a technique used in purchasing decisions but it is not the best option in this scenario, as the issue is with the supplier's performance rather than the product itself.

Question 13

The environmental forces that influence organizational buying behavior include:

Accepted Answer

The environmental forces that influence organizational buying behavior include economic factors such as changes in demand, inflation, and interest rates, political and legal factors such as regulations and laws affecting the industry, and technological factors such as advancements and innovations that can impact the buying decision. Therefore, option D - all of the above - is the correct choice.

Question 14

Those buying decisions that are of extreme importance to the firm strategically and financially are referred to as:

Accepted Answer

Strategic new task buying decisions are typically the most important and require a significant amount of time and resources to make. These decisions involve purchasing products or services that are new to the organization and have the potential to significantly impact the firm's strategies and finances.

Question 15

The problem solving approach followed by an organizational buyer in a new task buying situation is:

Accepted Answer

In a new task buying situation, where the buyer is acquiring a new product or service for the first time, the buyer follows an extensive problem-solving approach. The buyer will gather information, evaluate alternatives, and carefully consider the benefits and risks of each option before making a decision. This process is more extensive than the routine decision-making process that occurs in familiar buying situations. Therefore, option B) extensive is the best choice.

Question 16

The simple modified rebuy:

Accepted Answer

The answer of The simple modified rebuy:
...

Question 17

When organizational buyers have well-defined criteria to apply to the purchase decision,but are uncertain about which suppliers can best fit their needs,they are operating in a stage of _____ problem solving.

Accepted Answer

The answer of When organizational buyers have well-defined criteria to...

Question 18

When buying influentials and decision makers lack well-defined criteria for comparing alternative products and suppliers and they also lack strong predispositions toward a particular solution,they are operating in a stage of _____ problem solving.

Accepted Answer

The scenario described indicates that the buyers lack well-defined criteria and strong predispositions, suggesting that they need to conduct extensive problem-solving to identify the best solution. Extensive problem-solving occurs when the consumer lacks information, experience or knowledge about a particular product or service category and must therefore spend a lot of time and effort to search for information, evaluate different options and make a decision.

Question 19

Jim Parker,Purchasing Manager for the Boston Motor Works,is involved in many organizational buying decisions each year.The forces that influence Jim's organizational buying decisions might be broadly classified as:

Accepted Answer

The answer of Jim Parker,Purchasing Manager for the Boston Motor...

Question 20

Mary Bronson,purchasing manager for the Los Angeles Tool Company,placed her quarterly order for supplies from the Gibson Paper Company.Mary has been dealing with Gibson for many years.What type of problem solving would Mary employ in this purchase decision?

Accepted Answer

Mary has been dealing with Gibson for many years, indicating that she has established a routine and familiarity with the company. Therefore, this purchase decision would require routine problem solving.

Quiz 2: Organizational Buying Behavior