Question 1

Relationship marketing is characterised by which of the following?
A)Trust between parties
B)Long term commitment to the relationship
C)That there is mutually rewarding connection between the parties involved
D)All of the above

Accepted Answer

All of the options listed (trust between parties, long term commitment, and mutually rewarding connection) are key characteristics of relationship marketing.

Question 2

Learning through the use of rewards to generate reinforcement of rewards is called which of the following?
A)Classical Conditioning
B)Cognitive Learning
C)Affective Learning
D)Operant Conditioning

Accepted Answer

The use of rewards to reinforce learning is referred to as operant conditioning. This type of learning occurs when a behavior is modified by its consequences, such as receiving a reward for performing a particular action. Classical conditioning, on the other hand, is when a response is elicited by a previously neutral stimulus that has been paired with a natural stimulus. Cognitive learning involves acquiring knowledge and understanding through mental processes, while affective learning involves acquiring attitudes, values, and emotional characteristics.

Question 3

Where several operating units within an organization have common requirements and where there is an opportunity to strengthen a negotiating position by bulk buying, _______ purchasing is an attractive option.
A)standardized
B)decentralized
C)centralized
D)globalized

Accepted Answer

Centralized purchasing allows multiple operating units to leverage their collective buying power, resulting in bulk purchasing and better negotiating positions. Standardized purchasing may also be a factor, but it is not the defining characteristic of centralized purchasing. Decentralized and globalized purchasing would not necessarily result in the same benefits as centralized purchasing.

Question 4

The five roles in the decision making process are; the Buyer, the User, the Identifier, the Decider and the Initiator.

Accepted Answer

The five roles in the decision-making process are; the Initiator, the Influencer, the Decider, the Buyer, and the User. There is no role specifically called the "Identifier" in the commonly referenced model.

Question 5

A "buying centre" is also known as which of the following?
A)The buyer
B)The purchasing department
C)Decision making unit
D)Procurement specialists

Accepted Answer

A buying centre refers to the group of individuals involved in the decision-making process for a purchase within an organization. This group could include members from various departments and levels within the organization, such as purchasing, finance, operations, and top management. Therefore, while options A, B, and D are all related to the purchasing process, none of them fully encompass the range of individuals involved in the decision-making process, making option C the best choice.

Question 6

In a B2B context, leasing is common. Which of the following are advantages of leasing for the customer?
A)Avoids the need to pay the cash price
B)Is a hedge against fast product obsolescence
C)Has tax advantages
D)All of the above

Accepted Answer

Leasing can have multiple advantages for the customer. Firstly, it avoids the need to pay the cash price upfront, which can be helpful for businesses with limited cash flow. Secondly, leasing can be a hedge against fast product obsolescence, as the customer can upgrade to a newer model at the end of the lease term. Finally, leasing can have tax advantages, such as the ability to deduct lease payments as an expense. Therefore, all of the choices (A, B, and C) are advantages of leasing for the customer.

Question 7

Attitude is an overall favourable or unfavourable evaluation of a product or service.

Accepted Answer

Attitude refers to the overall evaluation, whether positive or negative, that a person holds towards a product or service.

Question 8

Which of the following in buying situations requires the most extensive decision-making and is usually the most time consuming?
A)New Task
B)Straight Rebuy
C)Modified Rebuy
D)Situational Rebuy

Accepted Answer

A New Task buying situation requires the most extensive decision-making as it involves purchasing a new product for the first time or buying a complex product or service that requires a lot of research, evaluation, and analysis. This process is usually time-consuming and involves a high level of risk and uncertainty.

Question 9

Organizational buying is characterised by which of the following?
A)By the nature and size of the organization, the level of buying and demand, derived demand, and the use of relationship marketing
B)By the nature and size of customers, complexity of buying, derived demand, negotiation and reciprocal buying
C)By the type and scale of industry, the importance of purchase, the level of risk associated, derived demand, and relationship marketing
D)All of the above

Accepted Answer

The answer of Organizational buying is characterised by which of...

Question 10

Organizational products can be classified according to four types: materials, _______, plant and equipment and maintenance, repair and operation (MRO).
A)components
B)construction
C)criteria
D)tasks

Accepted Answer

Organizational products are classified into materials, components, plant and equipment, and maintenance, repair and operation (MRO) items. Components are parts or elements that are used in the manufacture of end products.

Question 11

The process of creating, maintaining and enhancing strong relationships with customers and other stakeholders is termed as which of the following?
A)Reverse Marketing
B)Reciprocal Buying
C)Relationship Marketing
D)Stakeholder Management

Accepted Answer

Relationship marketing is a strategy focused on building and maintaining long-term relationships with customers and other stakeholders, such as suppliers and distributors. This approach involves creating value for customers beyond the actual product or service, with a focus on trust, communication, and personalized interactions. Reverse marketing refers to situations where customers actively seek out and approach a company, rather than the other way around. Reciprocal buying involves a mutual exchange of goods or services between two parties. Stakeholder management involves identifying and prioritizing the needs of different stakeholders, such as employees, investors, and customers, and balancing these interests to ensure the long-term success of the business. While all of these concepts are important in business, relationship marketing specifically refers to the process of building strong, ongoing relationships with customers and other stakeholders.

Question 12

Providing highly detailed information about the consequences of buying the brand to encourage trial is more important in a low involvement buying situation.

Accepted Answer

In low involvement buying situations, consumers are less likely to engage in detailed information processing, so simpler messages and cues are more effective than highly detailed information.

Question 13

Which of the following is a typical example of a gatekeeper?
A)A company secretary
B)A company engineer
C)Purchasing manager
D)Operations manager

Accepted Answer

The answer of Which of the following is a typical...

Question 14

Which of the following is not a characteristic of organizational buying behaviour?
A)Purchase decisions are complex and risky
B)Customers are small and order large sizes
C)Negotiations occur between buyer and seller
D)All of the above are characteristics of organizational buying behaviour

Accepted Answer

The answer of Which of the following is not a...

Question 15

Culture refers to the traditions, taboos, values and basic attitudes of the whole society within which an individual lives.

Accepted Answer

Culture encompasses the beliefs, customs, behaviors, and artifacts that characterize a group or society. It includes everything from language, religion, cuisine, social habits, music, and arts to the worldviews and values that shape individual and collective perspectives. Culture is passed down from generation to generation, and it influences how people interpret the world, interact with others, and solve problems. Therefore, culture is a fundamental aspect of human identity and social cohesion.

Question 16

Organizational buying is characterised by the type and scale of industry, the importance of purchase, the level of risk associated, derived demand, and relationship marketing.

Accepted Answer

The answer of Organizational buying is characterised by the type...

Question 17

The individual with the power and/or financial authority to make the ultimate choice regarding which product to buy is known as the decider.

Accepted Answer

This statement is true. The decider is the person who makes the final decision on which product to purchase.

Question 18

An internal search involves a review of relevant information from memory.

Accepted Answer

An internal search involves a review of relevant information from memory.

Question 19

Relationship marketing refers to which of the following?
A)Concerns the renewed focus on the acquisition of new customers and the subsequent management of relationships with the new customers
B)Concerns the shifting from activities of attracting customers to activities concerned with current customers and how to retain them
C)Concerns the management of relationships with all the external facilitators (e.g. suppliers, partners etc.) that help delivery of the product/ service to the final consumer
D)Concerns initiatives to improve the relations between internal departments of an organization, in order to make the whole organization more customer focused

Accepted Answer

Relationship marketing refers to activities concerned with retaining current customers and building long-term relationships with them, instead of just focusing on acquiring new customers.

Question 20

A buying situation where a company has little or no knowledge of the product they wish to purchase is:
A)Modified rebuy
B)New task
C)Straight rebuy
D)None of the above

Accepted Answer

A new task buying situation is when a company is purchasing a product for the first time and has little or no knowledge about it. They must conduct thorough research and evaluation before making a purchase decision. Modified rebuy occurs when a company is familiar with the product but wants to make some modifications in their current supplier or specifications. Straight rebuy is when companies are regularly buying the same product without any changes. None of the above options suit the scenario.

Quiz 3: Understanding Customer Behaviour

Relationship marketing is characterised by which of the following?

Learning through the use of rewards to generate reinforcement of rewards is called which of the following?

Where several operating units within an organization have common requirements and where there is an opportunity to strengthen a negotiating position by bulk buying, _______ purchasing is an attractive option.

The five roles in the decision making process are; the Buyer, the User, the Identifier, the Decider and the Initiator.

A "buying centre" is also known as which of the following?

In a B2B context, leasing is common. Which of the following are advantages of leasing for the customer?

Attitude is an overall favourable or unfavourable evaluation of a product or service.

Which of the following in buying situations requires the most extensive decision-making and is usually the most time consuming?

Organizational buying is characterised by which of the following?

Organizational products can be classified according to four types: materials, _______, plant and equipment and maintenance, repair and operation (MRO) .

The process of creating, maintaining and enhancing strong relationships with customers and other stakeholders is termed as which of the following?

Providing highly detailed information about the consequences of buying the brand to encourage trial is more important in a low involvement buying situation.

Which of the following is a typical example of a gatekeeper?

Which of the following is not a characteristic of organizational buying behaviour?

Culture refers to the traditions, taboos, values and basic attitudes of the whole society within which an individual lives.

Organizational buying is characterised by the type and scale of industry, the importance of purchase, the level of risk associated, derived demand, and relationship marketing.

The individual with the power and/or financial authority to make the ultimate choice regarding which product to buy is known as the decider.

An internal search involves a review of relevant information from memory.

Relationship marketing refers to which of the following?

A buying situation where a company has little or no knowledge of the product they wish to purchase is: