Question 1

Many of Canada's top exporters,including Bombardier and Maple Leaf Foods,focus on ___,not ___.

Accepted Answer

Bombardier and Maple Leaf Foods are both examples of B2B (business-to-business) companies that primarily sell to organizational customers rather than individual consumers.

Question 2

Which of the following statements about the North American Industry Classification System (NAICS)is false?

Accepted Answer

In Canada, there are actually 20 sectors under NAICS, not 25.

Question 3

As a market research analyst for Bain & Co.,your Senior Partner asks you to determine the NIACS code for the manufacturing industry.This will be used to help facilitate the measurement of economy activity for the:

Accepted Answer

The North American Industry Classification System (NAICS) is used by NAFTA countries (United States, Canada, and Mexico) to classify businesses and industries for the purpose of collecting and analyzing economic statistics. Therefore, the NIACS code for the manufacturing industry would be relevant to NAFTA.

Question 4

As an organizational buyer,if you worked directly with your suppliers to improve their efficiency and product quality to enhance your business,you would be focused on:

Accepted Answer

Supplier development involves working directly with suppliers to improve their efficiency and product quality to enhance the buyer's business. Upstream development and partner development may also involve working with suppliers, but they do not necessarily focus on improving their efficiency and product quality. Supplier partnerships may involve closer collaboration with suppliers but may not necessarily involve efforts to improve their efficiency and product quality.

Question 5

A disadvantage of the North American Industry Classification System (NAICS)is that:

Accepted Answer

Large firms that engage in many different economic activities may be given only one code by NAICS, which can lead to potential inaccuracies or difficulty in analyzing data related to specific activities within the firm.

Question 6

When the Canadian Broadcasting Corporation buys new computers,monitors,and printers for its various newsrooms,it is operating as a(n):

Accepted Answer

The answer of When the Canadian Broadcasting Corporation buys new...

Question 7

You are the research director of a major marketing research consulting firm.You need to select an NAICS (North American Industry Classification System)code that gives you the most detail about the competitors in a client's industry.Which of the following levels of classification would provide the greatest detail?

Accepted Answer

NAICS code 423531 corresponds to the Wholesale Trade of Medical, Dental, Hospital Equipment and Supplies. This code provides a high level of detail about the competitors in the healthcare industry, including suppliers of medical equipment, dental equipment, and hospital supplies. The other codes listed do not provide as much detail about the competitors in a specific industry.

Question 8

NAICS is an acronym for:

Accepted Answer

NAICS stands for North American Industry Classification System. It is a system used by government agencies and businesses to classify and categorize industries based on their economic activity. It was developed by the United States, Canada, and Mexico, and is used to collect and analyze data on the economy and businesses across North America.

Question 9

Which of the following statements about the North American Industry Classification System (NAICS)is false?

Accepted Answer

The fifth digit of NAICS actually designates industries specific to a particular company or establishment.

Question 10

The system that provides common industry definitions for Canada,Mexico,and the United States to facilitate the measurement of economic activity in the three member countries of the North American Free Trade Agreement (NAFTA)is called:

Accepted Answer

The North American Industry Classification System (NAICS) is a system that provides common industry definitions for Canada, Mexico, and the United States to facilitate the measurement of economic activity in the three member countries of the North American Free Trade Agreement (NAFTA). Therefore, option D is the correct answer. Option A (Strategic International Classification or SIC) and option B (Federated Domestic and International Classification or FDIC) are not related to the North American context, while option C (Federated Trade Codification or FTC) does not exist.

Question 11

The NAICS divides the economy into sectors using a ______ coded system.

Accepted Answer

The NAICS uses a six-digit coded system to divide the economy into sectors. Each digit refers to a progressively narrower industry classification. The first two digits designate the sector, the third digit designates the subsector, the fourth digit designates the industry group, the fifth digit designates the NAICS industry, and the sixth digit designates the national industry.

Question 12

Canadian Crown corporations,such as CBC,VIA Rail,and the Royal Canadian Mint are examples of:

Accepted Answer

Canadian Crown corporations are government entities that operate at arm's length from the government, but are ultimately owned by the government. As such, they fall under the category of government units.

Question 13

Federal,provincial,and local agencies that buy goods and services for the constituents they serve are known as:

Accepted Answer

Federal, provincial, and local agencies are government units that procure goods and services for the public.

Question 14

John Deere employees almost 100 supplier-development engineers that focus on working with suppliers to:

Accepted Answer

The answer of John Deere employees almost 100 supplier-development engineers...

Question 15

Europe's Airbus Industrie,the world's largest aircraft manufacturer,sells its passenger airplanes to Air Canada,which flies Canadian businesspeople to Asia.This is an example of:

Accepted Answer

This scenario involves Airbus Industrie selling passenger airplanes to Air Canada, which is an example of transactions in global organizational markets where companies are involved in international trade and purchases with other businesses.

Question 16

How might a marketing manager for a manufacturer of turboprop engines used in private jet planes use the North American Industry Classification System (NAICS)to help with his marketing planning to find prospective customers?

Accepted Answer

By recording the NAICS numbers for his firm's best customers, the marketing manager can use this information to obtain lists of other companies with the same NAICS numbers. This can help him identify prospective customers who may be interested in purchasing turboprop engines for their private jet planes.

Question 17

Pratt & Whitney sells aircraft engines to Europe's Airbus Industries,which sells passenger airplanes to Japan Airlines,which flies businesspeople around the world.This is an example of:

Accepted Answer

This is an example of global organizational markets, where firms from different countries engage in transactions with each other. Pratt & Whitney, an American company, sells to Airbus Industries, a European company, which in turn sells to Japan Airlines, a Japanese company, demonstrating the interconnectedness of global markets.

Question 18

In terms of organizational buyers,Amazon.com,Lands' End,and J.C.Penney would all be classified as:

Accepted Answer

Organizational buyers can be classified into four categories: manufacturers, resellers, institutions, and government agencies. Since Amazon.com, Lands' End, and J.C. Penney are all companies that sell products to end consumers, they would fall under the reseller category. Resellers purchase products from manufacturers or wholesalers and then sell them to consumers.

Question 19

Concern about terrorists using biological warfare has caused the U.S.government to create stockpiles of specific drugs.The federal government has purchased Cipro,the only drug specifically approved by the FDA to treat inhaled anthrax from Bayer,the German drug and chemical company.The U.S.government has also purchased smallpox vaccine from Acambis,a British drug company.These transactions are examples of:

Accepted Answer

The transactions described involve the federal government purchasing specific drugs from international drug companies, which falls under the category of global organizational markets.

Question 20

Apex Therapeutic buys medical supplies and services for people with hemophilia and other related blood diseases from a multitude of sources.It then sells these products to anyone who needs them.When it sells directly to a person who is a hemophiliac,it would be classified as a(n):

Accepted Answer

A reseller buys products from other sources and sells them directly to customers. In this case, Apex Therapeutic is buying medical supplies and selling them to individuals who need them, making it a reseller.

Quiz 6: Organizational Markets and Buyer Behaviour

Many of Canada's top exporters,including Bombardier and Maple Leaf Foods,focus on _,not _.

Which of the following statements about the North American Industry Classification System (NAICS) is false?

As a market research analyst for Bain & Co.,your Senior Partner asks you to determine the NIACS code for the manufacturing industry.This will be used to help facilitate the measurement of economy activity for the:

As an organizational buyer,if you worked directly with your suppliers to improve their efficiency and product quality to enhance your business,you would be focused on:

A disadvantage of the North American Industry Classification System (NAICS) is that:

When the Canadian Broadcasting Corporation buys new computers,monitors,and printers for its various newsrooms,it is operating as a(n) :