Salespeople need to understand that purchases made by their customers' customers are based on:
A) derived demand.
B) the competitive advantage offered by other sellers.
C) economies of scale in production.
D) just-in-time (JIT)inventory control.
E) direct demand.

Question

Quizplus · Accepted Answer

Purchases made by customers' customers are based on derived demand, which means that their demand is derived from the demand of their own customers. Therefore, salespeople need to understand the needs and demands of their customers' customers in order to sell effectively.

Salespeople Need to Understand That Purchases Made by Their Customers