Question 1

Which of the following is a feature of merchandise markets?

Accepted Answer

Merchandise markets involve manufacturers or distributors selling their goods directly to retailers and other resellers. This distinguishes them from markets that involve retailers selling directly to the public (such as flea markets or farmer's markets) or that offer a very limited range of goods (such as Christmas markets). Merchandise markets typically offer a wide variety of products and are often held on a regular basis throughout the year. They may also offer discounts for bulk buying by resellers.

Question 2

Tom has been invited to spend the weekend at Hilton Head by a stock broker called Nathan.His broker asks Tom to bring along a few of his professional friends as well.The stock broker is organizing a:

Accepted Answer

The stock broker is inviting Tom to bring along some professional friends, which indicates that he is looking for referrals. Thus, the event can be classified as a referral event.

Question 3

Which of the following is a way that companies use the Internet to generate leads?

Accepted Answer

All of the above options are ways that companies can use the internet to generate leads. Companies can develop an extranet to provide exclusive information or services to potential leads, place ads on commonly used web pages to reach a larger audience, use social media tactics like live chat to engage with potential customers and answer their questions, and use email messages to send targeted messages directly to potential leads.

Question 4

Wallace represents a manufacturer of hearing aids.Lisa,an audiologist to whom Wallace sold one of his company's new Max-Ear 2001,is so pleased with its performance,that she has written a testimonial and listed some other audiologists who Wallace may approach.This is an example of the _____ method used in prospecting.

Accepted Answer

This is an example of the endless-chain method of prospecting, where a satisfied customer provides referrals to potential new customers.

Question 5

When a large chain of stores such as Home Depot or Kmart buys items centrally from its home office,selling companies often designate these customers as _____ accounts,which means that their needs are handled by their corporate offices,and local salespeople need not attempt to solicit business from any branches of these clients that come within their territory.

Accepted Answer

These customers are designated as "house" accounts, meaning that their needs are managed centrally by the corporate office, and local salespeople do not need to solicit business from individual branches.

Question 6

The primary purpose of webinars is to:

Accepted Answer

The primary purpose of webinars is to generate leads by providing information to prospective customers. Webinars are a powerful marketing tool for businesses to reach their target audience, educate them about their products or services, and nurture leads towards a buying decision. This is done through interactive presentations, Q&A sessions, and other engagement tactics. The ultimate goal of webinars is to convert leads into paying customers.

Question 7

In the case of insight selling,salespeople target those prospects who:

Accepted Answer

In insight selling, the salespeople target prospects who do not have a clear understanding of what they need and are in a state of flux. This is because the salesperson can then provide them with valuable insights and solutions that can help them make an informed decision.

Question 8

Laura,a sales representative,knows that the presentation she gave did not go well.She is anxious that the prospect,a leader in the local Chamber of Commerce,may mention her poor performance to other potential clients,thus leading to _____.

Accepted Answer

Negative referrals occur when a client has a negative experience with a sales representative and shares that experience with others. In this scenario, Laura is concerned that the prospect may mention her poor performance to others, which could potentially lead to negative referrals.

Question 9

Often the primary function of salespeople at trade shows is to:

Accepted Answer

The primary function of salespeople at trade shows is generally to discover and qualify leads for future follow-up. While they may engage in some general presentations of features and benefits, their main goal is to identify potential customers and gather information that can be used for future sales efforts. Cold calling, customized presentations, and online marketing are not typically central to the trade show sales process.

Question 10

Adam told Bonnie that Jacqueline,his sister,might be interested in the sprinkler that she was planning to sell.For Bonnie,Jacqueline becomes a(n)_____.

Accepted Answer

Jacqueline is considered a referred lead because she was referred to Bonnie by Adam.

Question 11

When a salesperson can only sell to prospects located within a certain geographical location,the salesperson is said to be managing sales for a(n)_____.

Accepted Answer

Exclusive sales territory refers to a specific geographical area assigned to a salesperson or sales team where they are responsible for managing sales and developing relationships with customers in that area.

Question 12

Wallace is the Nebraska territory salesperson for a firm selling kitchen appliances to mobile home manufacturers.At a school reunion,an old friend approaches him and says,"What a coincidence! I'm the director of purchasing for Bilt-Tite Mobile Homes in Franklin,Georgia.Why don't you contact me next week and let's see if we can do business?" Unfortunately,Wallace cannot do business with his friend because:

Accepted Answer

Wallace is a territory salesperson and his friend's business is located in Georgia which is outside of Wallace's authorized territory. Therefore, he cannot do business with him.

Question 13

As Sandra concluded her sales interview with Burt,she said,"I'm pleased you see the value of this new software for managing your inventory.Can you suggest some other small business owners who might like to see it?" Sandra is using the _____ method of prospecting.

Accepted Answer

The endless-chain method of prospecting involves asking current customers for referrals to other potential customers. This is exactly what Sandra is doing by asking Burt if he knows of any other small business owners who might be interested in the software.

Question 14

As Sharon concluded her sales interview with Burt,he said,"I was so happy with your products that I spoke with other manufacturers in this area and they would like you to contact them in this regard." For Sharon,Burt is a:

Accepted Answer

The answer of As Sharon concluded her sales interview with...

Question 15

Roger is a sales representative for a farm equipment supplier.Almost twice a month,he visits Frank Copeland's farm.Copeland has not bought a new piece of equipment from Roger in the last 20 years,but he always seems to know who is looking to buy Roger's goods.Copeland likes to gossip and shares his information with Roger freely.Frank Copeland would be a good example of a:

Accepted Answer

Frank Copeland is not a buyer himself, but he has influence over other potential buyers by sharing information with Roger. This makes him a center of influence.

Question 16

To qualify as a prospect,it is imperative that a lead have all of the following characteristics EXCEPT:

Accepted Answer

Charisma may be a desirable trait, but it is not a necessary characteristic for a lead to qualify as a prospect. The other characteristics listed (authority to buy, ability to pay, eligibility to buy, and needs) are all essential for a lead to be considered a prospect.

Question 17

Ruth used her personal connections with the manager at Hampton Industries,a manufacturer of decorative paper items,to become the first salesperson to call on a company that was using recycled paper to make posters.Ruth used her _____ abilities to make this sales call possible.

Accepted Answer

Ruth used her personal connections with the manager at Hampton Industries, which is an example of networking.

Question 18

Which of the following statements about the use of the Internet as an effective lead generator is true?

Accepted Answer

An advantage of using the Internet for lead generation is its ability to attract leads from all over the world. As the Internet is accessible from any part of the world, it can attract a broader audience from different countries, which is not possible through traditional marketing tactics. Thus, statement A is true. B, C, D, and E are incorrect statements.

Question 19

Judy is a local sales representative for an insurance company.The economy is stagnant and very few new residents are moving into her territory.Consequently,Judy decides to assess the potential for additional sales among her existing customers.Judy is planning to use a(n)_____ strategy.

Accepted Answer

Deep selling involves increasing sales to existing customers by offering them additional products or services.

Question 20

When Grant visited his supplier's Web site,he entered a code provided to him and went to a customized site listing his recent purchases,sale items,and complementary products he might need.Grant was most likely visiting a(n)_____.

Accepted Answer

Grant is accessing a customized website that is specific to his business relationship with his supplier, which is characteristic of an extranet. An extranet is a private network that uses internet technology and is accessible only to a specific group of individuals such as customers, suppliers, or partners. Other options such as spam filter, blog, sponsor, and intranet site do not fit the description of Grant's scenario.

Quiz 6: Prospecting