Question 1

The sales department's identification of an improvement made to a competitor's product would occur during which stage of the organizational buying decision process?

Accepted Answer

A)   information search
B)   supplier search
C)   alternative evaluation
D)   problem recognition
E)   purchase decision

Question 2

During the next-to-last stage of the organizational buying decision process, the organization

Accepted Answer

A)   drafts specifications.
B)   formally rates suppliers that were used.
C)   evaluates supplier facilities.
D)   awards the contract.
E)   recognizes a need for change.

Question 3

Researchers who have studied organizational buying identify three types of buying situations, called ________, which include new buy, modified rebuy, and straight rebuy.

Accepted Answer

A)   purchase criteria
B)   buy classes
C)   buying centers
D)   consideration sets
E)   purchase hierarchies

Question 4

Organizational buyers include manufacturers, wholesalers, retailers, service companies, not-for-profit organizations, and government agencies that

Accepted Answer

A)   purchase exclusively from one supplier.
B)   are exempt from state and local taxes.
C)   sell directly to ultimate consumers.
D)   sell goods and services for their own use.
E)   buy products and services for their own use or for resale.

Question 5

Large multistore chain retailers such as 7-Eleven convenience stores, Safeway, and Target use a highly formalized buying center that is referred to as

Accepted Answer

A)   an ad hoc committee.
B)   a buying committee.
C)   a merchandise procurement center.
D)   a purchasing department.
E)   a purchasing control system.

Question 6

In an effort to make better and more efficient purchase decisions, the Ford Motor Co. includes input from various people, depending on the purchase situation. Individuals may include key personnel from several departments, including research and development, finance, marketing, shipping, and sales. This is a description of Ford's

Accepted Answer

A)   selling committee.
B)   sustainable procurement department.
C)   purchasing unit.
D)   buying center.
E)   buying committee.

Question 7

A business firm buys products and services for one main reason, which is to

Accepted Answer

A)   increase profitability.
B)   beat its competitors.
C)   satisfy the needs of its suppliers.
D)   employ people.
E)   maintain inventory.

Question 8

To be a Walmart supplier, a firm must be able to deliver its products to Walmart's distribution centers within a 16-minute window. If the driver arrives before or after the scheduled window, the supplier will be turned away and fined. Walmart's insistence on choosing a supplier based upon its ability to provide on-time delivery is an example of

Accepted Answer

A)   a supplier value dimension.
B)   a derived demand factor.
C)   an evaluative criterion.
D)   an external performance measure.
E)   an organizational buying criterion.

Question 9

There are seven commonly used organizational buying criteria. One of them is

Accepted Answer

A)   warranty and claim policies.
B)   loyalty.
C)   longevity.
D)   adaptability.
E)   quick and efficient communication.

Question 10

Comparing the stages in a consumer and organizational purchase decision process reveals key differences. In organizations, ________ becomes more important for deadlines and quality control, since a long-term relationship is anticipated.

Accepted Answer

A)   choice variety
B)   supplier audit
C)   purchase decision
D)   supplier capability
E)   performance review

Question 11

At which stage of the organizational buying decision process would a firm select a supplier, negotiate terms, and award a contract?

Accepted Answer

A)   problem recognition
B)   information search
C)   purchase decision
D)   purchase review
E)   alternative evaluation

Question 12

An assistant heard his supervisor in the supply room yell, "Call Crate & Barrel. We need another case of its large coffee mugs for the conference next week." The supervisor was asking the assistant to make a

Accepted Answer

A)   new buy.
B)   straight rebuy.
C)   modified rebuy.
D)   make-buy.
E)   standard reorder.

Question 13

Consider how buy classes affect buying center tendencies in different ways. Describe the buy-class situations, and discuss the implications for the organization of each type of buy class.

Accepted Answer

New buy. Here the organization is a firs...

Question 14

Important characteristics in organizational buying include which of the following?

Accepted Answer

A)   Many of the goods purchased are raw and semifinished.
B)   A heavy emphasis is placed on maintaining standardization to keep costs down.
C)   Coupons and contests are the most frequent forms of promotion.
D)   A fixed, nonnegotiable price is the norm.
E)   Personal relationships are preferred to online buying over the Internet.

Question 15

Buy classes refer to the three types of organizational buying situations:

Accepted Answer

A)   buy, lease, and rent.
B)   new buy, make, and reprocess.
C)   manufacturing contracts, consulting contracts, service contracts.
D)   new buy, straight rebuy, and modified rebuy.
E)   new buy, refurbish, and used buy.

Question 16

An industrial firm

Accepted Answer

A)   is one that is independently owned and takes title to the merchandise it sells.
B)   buys physical goods and resells them again without any reprocessing.
C)   deals exclusively with federal, state, and local governments.
D)   in some way reprocesses a product or service it buys before selling it again to the next buyer.
E)   only produces a product, not a service.

Question 17

Derived demand means the demand for industrial products and services is driven by, or derived from, the

Accepted Answer

A)   NAICS statistical models.
B)   gross national product.
C)   demand for consumer products and services.
D)   demand for industrial products in other categories or markets.
E)   demand for government products and services.

Question 18

Purchasing paper for JCPMedia is one example of

Accepted Answer

A)   organizational buying.
B)   online buying.
C)   on-time delivery.
D)   derived demand.
E)   cooperative selling.

Question 19

The department's administrative assistant orders pens, copy paper, and printer ink cartridges for the department from the Corporate Express catalog nearly every month. This is an example of a

Accepted Answer

A)   new buy.
B)   straight rebuy.
C)   modified rebuy.
D)   make-buy.
E)   standard reorder.

Question 20

All of the following are organizational buyers except which?

Accepted Answer

A)   industrial firms
B)   government units
C)   ultimate consumers
D)   resellers
E)   wholesalers

Exam 5: Understanding Organizations As Customers

The sales department's identification of an improvement made to a competitor's product would occur during which stage of the organizational buying decision process?

Correct Answer
verified

A business firm buys products and services for one main reason, which is to

Correct Answer
verified

An industrial firm

Correct Answer
verified

All of the following are organizational buyers except which?

Correct Answer
verified

Correct Answer
verified

An assistant heard his supervisor in the supply room yell, "Call Crate & Barrel. We need another case of its large coffee mugs for the conference next week." The supervisor was asking the assistant to make a

Correct Answer
verified

There are seven commonly used organizational buying criteria. One of them is

Correct Answer
verified

Correct Answer
verified

Comparing the stages in a consumer and organizational purchase decision process reveals key differences. In organizations, ________ becomes more important for deadlines and quality control, since a long-term relationship is anticipated.

Correct Answer
verified

Consider how buy classes affect buying center tendencies in different ways. Describe the buy-class situations, and discuss the implications for the organization of each type of buy class.

Correct Answer
verified
New buy. Here the organization is a firs...
View Answer

Derived demand means the demand for industrial products and services is driven by, or derived from, the

Correct Answer
verified

Purchasing paper for JCPMedia is one example of

Correct Answer
verified

Large multistore chain retailers such as 7-Eleven convenience stores, Safeway, and Target use a highly formalized buying center that is referred to as

Correct Answer
verified

The department's administrative assistant orders pens, copy paper, and printer ink cartridges for the department from the Corporate Express catalog nearly every month. This is an example of a

Correct Answer
verified

Important characteristics in organizational buying include which of the following?

Correct Answer
verified

During the next-to-last stage of the organizational buying decision process, the organization

Correct Answer
verified

Buy classes refer to the three types of organizational buying situations:

Correct Answer
verified

Organizational buyers include manufacturers, wholesalers, retailers, service companies, not-for-profit organizations, and government agencies that

Correct Answer
verified

At which stage of the organizational buying decision process would a firm select a supplier, negotiate terms, and award a contract?

Correct Answer
verified

Researchers who have studied organizational buying identify three types of buying situations, called ________, which include new buy, modified rebuy, and straight rebuy.

Correct Answer
verified

Exam 5: Understanding Organizations As Customers

The sales department's identification of an improvement made to a competitor's product would occur during which stage of the organizational buying decision process?

Correct AnswerverifiedShow Answer

A business firm buys products and services for one main reason, which is to

Correct AnswerverifiedShow Answer

An industrial firm

Correct AnswerverifiedShow Answer

All of the following are organizational buyers except which?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

An assistant heard his supervisor in the supply room yell, "Call Crate & Barrel. We need another case of its large coffee mugs for the conference next week." The supervisor was asking the assistant to make a

Correct AnswerverifiedShow Answer

There are seven commonly used organizational buying criteria. One of them is

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Comparing the stages in a consumer and organizational purchase decision process reveals key differences. In organizations, ________ becomes more important for deadlines and quality control, since a long-term relationship is anticipated.

Correct AnswerverifiedShow Answer

Consider how buy classes affect buying center tendencies in different ways. Describe the buy-class situations, and discuss the implications for the organization of each type of buy class.

Correct AnswerverifiedNew buy. Here the organization is a firs...View AnswerShow Answer

Derived demand means the demand for industrial products and services is driven by, or derived from, the

Correct AnswerverifiedShow Answer

Purchasing paper for JCPMedia is one example of

Correct AnswerverifiedShow Answer

Large multistore chain retailers such as 7-Eleven convenience stores, Safeway, and Target use a highly formalized buying center that is referred to as

Correct AnswerverifiedShow Answer

The department's administrative assistant orders pens, copy paper, and printer ink cartridges for the department from the Corporate Express catalog nearly every month. This is an example of a

Correct AnswerverifiedShow Answer

Important characteristics in organizational buying include which of the following?

Correct AnswerverifiedShow Answer

During the next-to-last stage of the organizational buying decision process, the organization

Correct AnswerverifiedShow Answer

Buy classes refer to the three types of organizational buying situations:

Correct AnswerverifiedShow Answer

Organizational buyers include manufacturers, wholesalers, retailers, service companies, not-for-profit organizations, and government agencies that

Correct AnswerverifiedShow Answer

At which stage of the organizational buying decision process would a firm select a supplier, negotiate terms, and award a contract?

Correct AnswerverifiedShow Answer

Researchers who have studied organizational buying identify three types of buying situations, called ________, which include new buy, modified rebuy, and straight rebuy.

Correct AnswerverifiedShow Answer

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New buy. Here the organization is a firs...
View Answer

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verified

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