Deck 4: Business, Government, and Institutional Buying

Question 1

Identify the type of purchase that involves routinely reordering a product from the same supplier that it had been purchased from in the past.

A) Modified purchase
B) New task purchase
C) Modified rebuy
D) Straight rebuy

Answer 1

D

Question 2

What is the function of the North American Industry Classification System?

A) It provides consumer panel service for tracking retail purchases and motivations.
B) It collects store tracking data used with consumer panel data to track the influence of advertising on consumers of packaged goods.
C) It provides information about the number of establishments, sales volume, and number of employees in each industry broken down by geographic area.
D) It measures industrial activity in twenty countries, providing insights into thirty-seven marketplaces via interviews.

Answer 2

C

Question 3

Which of the following represents the largest group of organizational buyers?

A) Intermediaries
B) Government agencies
C) Producers
D) Other institutions

Answer 3

C

Question 4

In which of the following situations is an organizational purchase type of straight rebuy recommended?

A) When an organization lacks experience at buying a product
B) When an organization is experimenting with many vendors
C) When an organization has an ongoing need for a product
D) When an organization considers several alternatives while buying a product

Question 5

Macromedia Technologies Inc. makes computer generated vinyl signboards. These signboards are stretched across billboards. It purchases raw materials that include rolls of vinyl sheets from multiple vendors. Among the various categories of organizational buyers, Macromedia Technologies Inc. is an example of a(n) _____.

A) producer
B) intermediary
C) government body
D) institution

Question 6

Which of the following is an example of a marketing intermediary?

A) An agency that operates at a federal level and has a centralized distribution system
B) A not-for-profit body that aims at product distribution through charitable channels
C) A retailing agency that purchases products from manufacturers to resell at a profit
D) An independent business unit that manufactures its products by purchasing raw materials from other agencies

Question 7

Which of the following statements is true of the organizational buyer category of producers?

A) Producers constitute the smallest segment of organizational buyers.
B) The primary function of producers is to purchase products from manufacturers and distribute them to consumers and other organizational buyers.
C) Producers of goods tend to be larger and more geographically concentrated than producers of services.
D) Producers are the only class of buyers who are excluded from the purview of business-to-business marketing.

Question 8

Identify the category of organizational buyers that includes hospitals, museums, universities, nursing homes, and churches.

A) Producers
B) Government agencies
C) Resellers
D) Institutions

Question 9

_____ purchase products from manufacturers and distribute them to consumers and other organizational buyers at a profit.

A) Producers
B) Intermediaries
C) Marketers
D) State governments

Question 10

Which of the following is true of marketing intermediaries as a category of organizational buyers?

A) They purchase products and services to run their own businesses.
B) They constitute the largest segment of organizational buyers.
C) They are characterized by strict purchasing policies and regulations.
D) They manufacture their products by purchasing raw materials from retailers.

Question 11

Patches Inc. is a retail unit that sells office supplies and stationery to both industrial and commercial establishments. It purchases the supplies and stationery at cheaper, subsidized rates from local manufacturers. This implies that Patches is an example of a(n) _____.

A) marketing intermediary
B) organizational producer
C) government subsidy
D) independent buyer

Question 12

Booker & Price is a large retail store that makes bulk purchases of grocery at wholesale rates from several grocery suppliers. It then resells these products to consumers at a marginally higher price to make a profit. Under which of the following categories of organizational buyers does Booker & Price fall?

A) Institutions
B) Producers
C) Government agencies
D) Intermediaries

Question 13

Which of the following types of organizational purchases requires relatively few employees and is executed almost automatically?

A) Buy-side auction
B) Straight rebuy
C) New task purchase
D) Modified rebuy

Question 14

Identify the reason that can be attributed to the fact that straight rebuys are common among organizations that practice just-in-time inventory.

A) Straight rebuys allow these organizations to evaluate several vendors before selecting one that is most suitable.
B) Straight rebuys allow these organizational buyers to get substantially lower prices as just-in-time inventory is characterized by bulk purchases.
C) Straight rebuys allow these organizations to replenish their goods without having to hunt around for potential suppliers and solicit bids.
D) Straight rebuys reduce their dependence on suppliers by independently maintaining reserves.

Question 15

Marketing to producers and intermediaries is called _____.

A) business-to-business marketing
B) affiliate marketing
C) internal marketing
D) test marketing

Question 16

A computer system at the Nebula car manufacturing plant orders pre-inspected parts from its single, regular supplier after specific intervals. The goods are delivered at one of the plant's six receiving docks. From this information, it can be inferred that the Nebula plant relies primarily on _____ for these purchases.

A) modified rebuys
B) new task purchases
C) consolidated purchases
D) straight rebuys

Question 17

The administrative department of Newell Inc. has been routinely purchasing stationery and miscellaneous office supplies from its supplier, Accent services, for eight years. In order to save time, the company has an automated computer system that automatically reorders certain commonly used supplies as and when they are depleted. This organizational buying of Newell Inc. typically exemplifies a _____.

A) straight rebuy
B) modified purchase
C) new task purchase
D) modified rebuy

Question 18

Which of the following statements is true of government agencies as a group of organizational buyers?

A) Governmental agencies operating at state and local levels are not authorized to make any type of purchases except straight rebuys.
B) The federal government of the United States is considered to be the world's biggest consumer as it spends vast amounts on machinery, equipment, facilities, supplies, and services.
C) Marketing to government agencies is relatively simple compared to the other types of organizational buyers as purchasing policies and regulations are relaxed once a supplier becomes familiar.
D) Governmental agencies typically do not go through all the four stages of the organizational buying process.

Question 19

_____ constitute a group of organizational buyers who buy goods and services in order to create other goods and services for sale.

A) Intermediaries
B) Producers
C) Government agencies
D) Other institutions

Question 20

Why do nonprofit organizations purchase products and services?

A) To resell products and services at a profit
B) To maintain their operations and serve their clientele
C) To use them to produce goods and services for sale through retail chains
D) To primarily maintain their market share and widen their customer base

Question 21

Annette owns a bakery where she sells homemade cakes. When she first started out her business, she used to buy flour herself from the nearest grocery store. As the business grew, weekly trips to the grocery were no longer feasible and Annette needed a routine delivery of flour to the bakery in a timely manner. Which of the following types of purchases would be most suitable for Annette?

A) Modified rebuy
B) Buy-side auction
C) New task purchase
D) Straight rebuy

Question 22

In which of the following situations would you expect to find the purchase requiring joint decision making?

A) A German company decides to spend $30 million on a new manufacturing facility in Georgia
B) A owner of a hair salon purchases a replacement chair for the salon
C) The supplies manager for a large law firm reorders stationery for the firm from the firm's fixed supplier
D) A small regional department store upgrades its security system and sends one of its employees to a seminar on "Safety First"

Question 23

Which of the following types of organizational purchases would be time consuming and therefore the most complex?

A) Modified rebuy
B) New task purchase
C) Just-in-time inventory
D) Straight rebuy

Question 24

In which of the following scenarios is new task purchase most likely to be used?

A) For the purchase of a pair of shoes
B) For the purchase of real estate
C) For the purchase of a mattress
D) For the purchase of grocery items

Question 25

An organization faces an unfamiliar buying situation when its regular supplier suddenly hikes the prices of its supplies. It considers a limited number of suppliers and finalizes a long-term contract with one of the suppliers. In this case, the organization is most likely to use a _____.

A) straight rebuy
B) new task purchase
C) modified rebuy
D) just-in-time purchase

Question 26

Tundra Cold Storage Public Warehouse needs to buy a new compressor for one of its refrigeration units. The company has a regular supplier for replacement compressors, but this supplier has hiked the prices recently. So, the purchasing agent decides to switch to a different supplier that is offering the same type of compressor at a cheaper price. In this case, the purchasing agent is involved in a _____.

A) straight rebuy
B) sell-side auction
C) modified rebuy
D) new task purchase

Question 27

An organizational purchase that involves extensive research, large investments, and happens occasionally is typically a _____.

A) modified rebuy
B) new task purchase
C) just-in-time purchase
D) straight rebuy

Question 28

In which of the following situations does an organization use modified rebuy?

A) When some aspects of the buying situation are unfamiliar
B) When purchase involves a high priority product that is rarely bought
C) When the organization practices just-in-time inventory management
D) When purchasing policies, decisions, and procedures are constant

Question 29

Robert, a marketer uses detailed, educational advertisements to draw organizational buyers to try his products as a substitute for old purchasing methods. He uses promotion tactics that include demonstrations at large trade shows to showcase his products. An organization extensively searches for information on various marketers and it involves all its functional areas in the decision making process. Considering the marketer's strategies and the organization's needs, this scenario is more likely to be a _____.

A) new task purchase
B) modified rebuy
C) just in time inventory systems
D) straight rebuy

Question 30

An organization's routine purchase changes when a supplier discontinues a product. In such a situation, which purchasing approach would the organizational buyer be most likely to use?

A) Straight rebuy
B) Modified rebuy
C) New task rebuy
D) Straight task buy

Question 31

Which of the following is true of a new task purchase?

A) It is used in familiar buying situations.
B) It involves a formal decision process.
C) It involves routine reordering of a product.
D) It is a fast process that requires relatively few employees.

Question 32

Signs and Sales Inc. makes neon signs. Its CEO recently attended a trade show where he examined the new Neon Pilot 5.0, a machine that allows you to create three-dimensional computer-generated designs, feed the designs into a machine with neon tubing, and have the neon extruded in almost any shape imaginable. He believes this machine will increase his company's output by at least 30 percent and reduce its wastage by at least 50 percent. The CEO then consults a large number of decision makers within the company to arrive at a decision. If the company was formerly doing most of this work by hand, then the purchase of a Neon Pilot 5.0 would be an example of a _____.

A) modified rebuy
B) routine purchase
C) straight rebuy
D) new task purchase

Question 33

Which of the following statements about the types of organizational purchases is true?

A) There are more suppliers to deal with in a straight rebuy than any other type of purchase.
B) The time frame for a new task purchase is much shorter than that for a straight rebuy.
C) New task purchases are more complex than straight rebuys and modified rebuys.
D) A modified rebuy involves routinely ordering the same products from the same supplier.

Question 34

Which of the following is an accurate difference between straight rebuys and modified rebuys?

A) Straight rebuys are considered when some aspects of a buying situation are unfamiliar, while modified rebuys are considered when organizations are experienced at buying a product.
B) Straight rebuys involve routinely reordering products from same suppliers, while modified rebuys involve considering a limited number of alternatives before selection.
C) Straight rebuys are followed by marketers who seek to win new organizational customers, while modified rebuys are followed by marketers who seek just-in-time inventory.
D) Straight rebuys are used when a routine purchase changes in some way, while modified rebuys are used by organizations that do not have a reserve inventory.

Question 35

Which of the following examples would most likely use a straight rebuy?

A) A company looking to buy suitable premises for its new branch office
B) A physician planning to buy an endoscope at the price of $35,000
C) A manufacturer of lawn mowers ordering spare parts regularly from the same supplier
D) A cold storage warehouse planning to buy a generator costing $100,000 to keep its storage area cold in the event of an electric outage

Question 36

Organizational buyers follow the _____ approach when a routine purchase changes in some way.

A) sole sourcing
B) straight rebuy
C) modified rebuy
D) new task purchase

Question 37

Shanghai is a Chinese restaurant in Manhattan that recently changed its ingredients' supplier. The owner trusted the previous supplier to deliver authentic and fresh ingredients on short notice and completely avoided stocking up ingredients. However, the previous supplier defaulted in terms of quality and provided adulterated ingredients. Shanghai was concerned about losing its customers if the news of the adulterated ingredients spread and changed its supplier after a survey of potential suppliers to retain its credibility. Which of the following statements is true about this scenario?

A) Shanghai did not practice just-in-time inventory to avoid supply shortages.
B) Shanghai followed a new task purchase system with the previous supplier.
C) Shanghai followed a modified rebuy system in moving to its new supplier.
D) Shanghai did not consider any alternative suppliers before moving to its new supplier.

Question 38

A _____ would most likely require joint decision making because of the many kinds of expertise that are required to make the best decision.

A) straight rebuy
B) modified rebuy
C) new task purchase
D) straight task buy

Question 39

Which of the following is the best example of a modified rebuy?

A) A contractor buying concrete roof tiles from the same supplier for the roof of the tenth house he is building
B) The production manager of an oil production plant buying a high-tech separator that will improve the efficiency of the plant's processes by thirty percent
C) A supermarket manager reordering agricultural produce from the usual supplier
D) A company that manufactures computers switching to a new supplier that provides an improved version of microprocessor chips

Question 40

_____ refers to a system of replenishing parts or goods for resale immediately before they are needed.

A) Just-in-time inventory
B) Vendor managed inventory
C) Sole sourcing
D) Inventory credit

Question 41

_____ influences refer to the design of an organizational environment and how they affect the purchasing process.

A) Cultural
B) Purchase-type
C) Behavioral
D) Structural

Question 42

Gary is a purchasing agent at Thought Cloud Inc., an advertising agency. He is formally vested with the responsibility of selecting suppliers of campaign material for a new advertising campaign that is being planned. He identifies a sole-sourcing relationship with Mark, an independent contractor, and negotiates terms of the contract for the supplies. Which of the following purchasing roles is exhibited by Gary?

A) Initiator
B) Gatekeeper
C) Decider
D) Buyer

Question 43

The _____ in an organization's buying center has the formal or informal power to select or approve the supplier that receives the contract in an organization.

A) initiator
B) influencer
C) user
D) decider

Question 44

In terms of organization-specific factors that influence a purchasing process, an organization that is highly centralized is:

A) less likely to have joint decision making processes.
B) exclusively characterized by sole-sourcing contracts.
C) less likely to have an autonomous decision-making body.
D) exclusively characterized by production-oriented personnel.

Question 45

Which of the following is true of the purchasing role of influencers in a buying center?

A) They control the flow of information in the buying center.
B) They have the formal power to select a supplier for contract.
C) They have the informal responsibility to negotiate terms of a contract.
D) They affect a buying decision by helping define requirement specifications.

Question 46

Roy supervises the production line of Waddell Inc., a manufacturing unit that manufactures molded plastic components for a leading toy manufacturer. He prefers to see the company use an injection molding machine that has a faster cycle time. Marcus is a quality control manager in the research and development wing of the company who has just returned from a trade show with information on Logic Device's new range of molding machines. Marcus is vested with the formal authority of taking a call on the implementation of the new logic devices molding machines by his manager, Zhilei. Roy, Marcus, and Zhilei hold a discussion with the company's employees on why the company needs to buy the new machine. Who among the following plays the purchasing role of a "decider" here?

A) Roy
B) Marcus
C) Zhilei
D) Employees

Question 47

The research and development division of Anchor Inc., a manufacturing firm, has a sizeable number of engineers for its employees. The buying decisions related to the equipment to be used in the research and development of new technologies is primarily made by the engineers. Based on these traits, which of the organization-specific factors is most relevant in the division's purchasing process?

A) monopolization
B) segmentation
C) orientation
D) centralization

Question 48

Identify the correct statement about the various types of organizational purchases.

A) Straight rebuys have the longest time frame in terms of the organizational buying process.
B) Modified rebuys have the shortest time frame in terms of the organizational buying process.
C) New task purchases involve evaluating many suppliers before selecting the final supplier.
D) Straight rebuys involve evaluating many alternative options during the buying process.

Question 49

Organizations that are highly _____ are less likely to have joint decision-making.

A) democratic
B) cost-centered
C) centralized
D) profitable

Question 50

Which of the following purchasing roles describes people who affect the buying decision by helping define the specifications for what is needed?

A) Deciders
B) Buyers
C) Influencers
D) Gatekeepers

Question 51

Hannah, a computer engineer at Imagework Inc., observes that a few computers in her office need an upgrade as they seem to have various performance-related issues. After preliminary research, she thinks it is better to have the computers replaced rather than upgrading them as that would be more cost-effective. She begins the purchasing process by issuing a buying tender to her manager. In this scenario, Hannah plays the purchasing role of a(n) _____.

A) initiator
B) decider
C) gatekeeper
D) influencer

Question 52

Harini owns Books Galore, a chain of libraries that she has managed with the help of Zainab, her manager, for over a decade. Zainab is aware that finding qualified librarians who are committed to their job is difficult especially considering the number of branches Books Galore had. She decides to look up how computers could be used to meet their needs and finds an advertisement for an "E-Register." This software consists of indexing and search features that facilitate the lending and locating of books in a library. She decides to propose the idea of installing this software in their libraries. Zainab is a(n) _____ in this scenario.

A) initiator
B) decider
C) gatekeeper
D) user

Question 53

_____ refer to an organizational group formed from different departments which has the responsibility to evaluate and select products for purchase.

A) Buying centers
B) Intermediaries
C) Reference groups
D) Producers

Question 54

An employee was terminated for withholding information related to the purchase of a new software. The employee was aware that it was buggy software but did not disclose this to his employers since the software manufacturer had bribed the employee. Prior to termination, the employee was a _____ in his company's buying center.

A) initiator
B) decider
C) gatekeeper
D) influencer

Question 55

_____ have the formal authority and responsibility to select the supplier and negotiate the terms of the contract.

A) Gatekeepers
B) Users
C) Buyers
D) Influencers

Question 56

Bill works as a purchasing agent in a construction company. His assistant, Linda, screens calls from potential vendors trying to sell their construction equipment to the company. Her job involves allowing suitable vendors who meet the company's strict product standards to contact Bill. Furthermore, she has to ensure that major purchasing deals are kept confidential until contracts are signed. Which of the following best describes Linda's role within the buying center?

A) Gatekeeper
B) Buyer
C) Decider
D) Initiator

Question 57

Martha owns a chocolate factory where each chocolate treat is made by hand. Her assistant, Daniel, feels that the rate of production can be dramatically increased if the factory switched to an automated assembly line to manufacture the chocolates. When he proposes this idea to Martha, she agrees and begins evaluating different vendors who might provide the equipment to the factory. Which of the following roles did Daniel perform in the purchasing process?

A) Decider
B) Initiator
C) Buyer
D) Gatekeeper

Question 58

Three college friends, Ahmed, Thomas, and Diego, have turned their interest in backpacking and wilderness exploration into a profitable business partnership. Based on the season's demand, they conduct exploration camps at regular intervals. Ahmed's girlfriend, Medina, assists Ahmed in the operational activities of the business. Thomas interacts with various vendors to negotiate and procure the supplies needed for the business and Diego looks after the company's logistics. Who would most probably be the buyer in this business?

A) Diego
B) Medina
C) Thomas
D) Ahmed

Question 59

_____ are people who control the flow of information in the buying center.

A) Initiators
B) Gatekeepers
C) Deciders
D) Influencers

Question 60

Western Graphtec Corp. is a large-scale public corporation that makes machines used for agricultural purposes across the country. The company's management consists of professionals from diverse fields that include engineering, marketing, and production, but the company is primarily described as a technology-oriented company. Owing to its diversity, Western Graphtec's organizational structure has low centralization. Considering these factors, Western Graphtec is more likely to:

A) adopt an autonomous posture to decision making.
B) allow only production managers to dominate purchase decisions.
C) practice joint decision making to capitalize on the considerable level of decentralization in the organization.
D) eliminate all instances of straight rebuys and use only modified rebuys and new task purchase systems.

Question 61

Sole sourcing allows organizational buyers to:

A) ensure that competing suppliers are allowed to put forth their price quotations for the goods obtained through sole sourcing.
B) work more closely with suppliers to develop superior products that meet their needs and those of their customers.
C) establish price as the key criterion for selecting and retaining a supplier for the products concerned.
D) convert the skimming policy to a penetration policy based on the current stage of the product life cycle.

Question 62

_____ is an organizational buying trend where all of a particular type of product is purchased from a single supplier.

A) Multi branding
B) Franchise extension
C) Dual branding
D) Sole sourcing

Question 63

In which of the following types of organizations are buyers most likely to be less innovative in order to maintain acceptance and status within the organization?

A) Adaptive
B) Lethargic
C) Supportive
D) Autonomous

Question 64

Future Manufacturing is a private company that makes thermometers for monitoring the temperature of stored meat. Owing to its no-bid contract policy, it does not solicit bids from other suppliers and depends only on the allied services of Pronto Services for its supplies despite Pronto's high rates. This is because of the quality of goods Pronto supplies and its timely delivery policy. This policy is an example of _____.

A) bilateral monopoly
B) mono bidding
C) downsizing
D) sole sourcing

Question 65

Identify a key characteristic of organizational buyers in lethargic firms.

A) They have no interest in prescribing their role activities and hence accept their role as given to them.
B) They often demand that they be kept constantly advised of all new developments to develop and further their own role.
C) They seek to take charge in their role as buyer and have little commitment to company expectations.
D) They are extremely innovative and have a casual stance toward performing the expected role.

Question 66

Rahim, the purchasing agent for a carpet manufacturer, received a memo indicating that an upcoming financial review would determine which employees were most successful at reducing costs within their departments. The review also mentioned the potential termination of employees who do not adopt adequate cost-cutting measures. Rahim is faced with a decision-making situation wherein a salesperson selling a new weave-pattern machine to Rahim claims that the machine would save costs for the company in the long run. Rahim is unable to decide if he should buy the machine since he is faced with the risk of termination in case his decision backfires. In this case, _____ is likely to influence Rahim's organizational buying decision.

A) personal motivation
B) differentiation
C) sole sourcing
D) channels of distribution

Question 67

Eastlake Furniture Company, a maker of Victorian furniture reproductions, uses only Trenton adhesives for its finely crafted products. The adhesive can bond wood just as well as hot-melt adhesives without damaging heat-sensitive areas, so it satisfies the needs of the company's craftspeople. Even though the Trenton adhesive is slightly more expensive than the hot melt glues offered by competitors, Trenton retains its clientele as it guarantees delivery just two days after an order is placed. This scenario illustrates that Eastlake Manufacturing is using _____ for its supply of adhesives.

A) sole sourcing
B) licensing
C) franchising
D) data mining

Question 68

In which of the following kinds of organizations do employees exhibit a moderate level of commitment toward performing their expected roles?

A) Lethargic organization
B) Innovative organization
C) Adaptive organization
D) Supportive organization

Question 69

In its attempts to source the best raw materials, Enfi Computers, a computer manufacturer, has associated with thirty suppliers spread across fourteen nations. Microchips, an integral part of any computer, are procured exclusively from a supplier in a different country. Enfi Computers has obtained an approval for this no-bid contract from its government and protected its supplies from any potential modifications caused by competing suppliers. Enfi Computers has resorted to _____ for its supply of microchips.

A) benchmarking
B) test marketing
C) competitive bidding
D) sole sourcing

Question 70

Which of the following is a benefit of an organizational buyer involved in sole sourcing?

A) It allows the organization to buy products and services from vendors that offer the lowest price.
B) It allows the organization to seek competitive bids for the products obtained by sole sourcing.
C) It allows the organization to turn modified rebuys into simpler straight rebuys.
D) It allows the organization to turn new task purchases into straight rebuys.

Question 71

Carrie is an organizational buyer of a supplier that provides nursery products to Dulko, a large retail store. In a management meeting, she proposes that the company replace their three current suppliers of plastic containers and trays, who have been selling to the company for the past 20 years, with a single supplier who guarantees on-time delivery. Attendees at the meeting are unenthusiastic about Carrie's proposal as they like the traditional suppliers and are unwilling to switch. Carrie, in order to maintain acceptance and keep conflict to a minimum, suggests that they try the plan for three months and revert to the original supplier if it fails to work. What kind of an organizational climate is described in this example?

A) Innovative
B) Liberal
C) Responsive
D) Lethargic

Question 72

In which of the following instances is greater joint decision making more likely to be seen?

A) A small privately owned company producing sterilizers for hospital use
B) A small and privately owned company producing electric heaters
C) A large company engaging in a straight rebuy
D) A large-scale public corporation producing heavy automobiles

Question 73

Rajiv owns a large department store. He identifies that he has to cut costs owing to an organizational crisis. He feels that if all the fluorescent light bulbs in the store were replaced with energy-efficient LED light bulbs, then he could save significantly on the cost of electricity. Identify the stage of the organizational buying process that Steven is currently in.

A) Purchase activity
B) Postpurchase evaluation
C) Organizational need
D) Vendor analysis

Question 74

In the context of role perceptions affecting the purchasing process of an organizational buyer, which of the following is true?

A) The larger the organization, the more likely that the buyer will have a greater perception of his or her own importance as against other members.
B) In a lethargic organization, individuals express a strong commitment to traditionally accepted behavior and behave accordingly.
C) A committed buyer in a lethargic organization would be the least likely to follow the norms of behavior expected by the organization.
D) The role perception of the buyer affecting purchase decisions is an organization-specific factor.

Question 75

Which of the following is an advantage for suppliers involved in sole sourcing?

A) It allows them to forecast a predictable and profitable demand.
B) It allows them to seek competitive bids for the products obtained by sole sourcing.
C) It allows them to slacken quality over time since a contract is established.
D) It allows them to seek more new task purchases than straight rebuys.

Question 76

Organizational buyers are engaging in sole sourcing because they are more concerned with _____ than buying only on the basis of price.

A) exclusive distribution
B) nonstore selling options
C) quality and timely deliveries
D) new task purchases

Question 77

In _____, individuals approach their occupational roles with a weak commitment to expected norms of behavior.

A) lethargic organizations
B) innovative firms
C) autocratic firms
D) adaptive firms

Question 78

Which of the following observations about how behavioral influences affect organizational buying is true?

A) Different buyers will have different degrees of commitment to their buying role in the organization.
B) Organizational buyers are not subject to personal motives in the buying decisions as are other individuals.
C) In a lethargic organization, individuals approach their occupation with a weak commitment to the expected norms of behavior.
D) Organizational buyers are typically unaffected by organizational culture as they are primarily concerned with suppliers.

Question 79

Which of the following is the first stage in the organizational buying process?

A) Organizational need
B) Purchase activity
C) Vendor analysis
D) Postpurchase evaluation

Question 80

An organizational buyer in a(n) _____ organization would have a strong commitment to traditionally accepted behavior and act accordingly.

A) innovative
B) liberal
C) adaptive
D) lethargic