Question 1

In some high tech industries, where customers buy systems made up of components manufactured by several suppliers, many suppliers are forming _________________ to develop and jointly market and sell integrated systems.

Accepted Answer

Co-marketing alliances involve multiple companies working together to market and sell a product, which is the situation described in the question. The other options either do not fit the context or are not relevant to the situation.

Question 2

Telemarketing in business-to-business markets:

Accepted Answer

Telemarketing in business-to-business markets is generally used to increase the productivity of a firm's sales efforts by reaching out to potential customers and generating leads. It is often seen as a cost-effective way to identify qualified prospects and initiate the sales process. However, it is important to use a professional approach in order to avoid being seen as pushy or annoying by customers.

Question 3

Which of the following statements about the use of a separate sales force to handle key accounts is true?

Accepted Answer

The statement that the national sales force typically consists of the company's most experienced and talented salespeople is true. This is because the key accounts often require a more consultative sales approach and the salespeople handling these accounts need a high level of expertise and knowledge. Additionally, specialized training and support are often provided to the national sales force to ensure that they are equipped to handle the complex needs of key accounts.

Question 4

Organization of the sales force by customer type:

Accepted Answer

Organization of the sales force by customer type allows the use of different selling approaches for different types of customers, is a natural extension of the market concept, and should be used when a company wants to implement a market penetration strategy.

Question 5

Some authorities recommend firms have one sales force that specializes in prospecting for new accounts and another sales force to call on existing customers. Which of the following statements about this recommendation is true?

Accepted Answer

This is because new customers might feel uncomfortable or uneasy being passed on to another salesperson who is unfamiliar to them.

Question 6

Why would buyers agree to a logistical alliance?

Accepted Answer

Buyers would agree to a logistical alliance because it is convenient and flexible. This type of partnership allows for a more streamlined and efficient process, and can also lead to cost savings for both parties.

Question 7

Which of the following statements about logistical alliances is true?

Accepted Answer

Logistical alliances streamline the supply chain and distribution process, potentially reducing the need for traditional sales roles by automating and optimizing order fulfillment.

Question 8

_____ selling, a variation of team selling, uses an ad hoc arrangement where individuals at different organizational levels are responsible for maintaining a key relationship with the customer but not as part of an established team.

Accepted Answer

The description is consistent with multilevel selling, which involves a team of salespeople from different levels of the organization working together to maintain a relationship with the key account customer. Option A is incorrect because functional selling refers to assigning different tasks to different functional areas within the selling organization. Option B is incorrect because key account selling relies on a dedicated team of individuals who focus exclusively on managing and serving the key account customer. Option C is incorrect because co-marketing involves two or more companies working together to promote and sell a product or service. Option E is incorrect because logistical alliances are formed between two or more companies to enhance the distribution, delivery, or supply chain processes of their products or services.

Question 9

Organization of the sales force by product:

Accepted Answer

Organizing the sales force by product can result in duplication of sales effort since multiple salespeople may be calling on the same customer with different product lines. This can lead to confusion and frustration for the customer and also waste resources for the company.

Question 10

Team selling:

Accepted Answer

Team selling is appropriate for the largest customers, where the potential purchase represents enough dollars and involves enough functions to justify the high cost. It involves collaboration between different departments of the organization, such as marketing, production, and sales. It can be challenging to coordinate, but it can help to win and maintain large accounts. It can also be used for both new and existing customers. Therefore, option D is the correct choice.

Question 11

One of the benefits of team selling is:

Accepted Answer

Team selling allows for a diverse group of individuals to address customer inquiries quickly by leveraging their collective expertise.

Question 12

The major reason why a firm with many different products based on widely differing technologies would organize its sales force by product is:

Accepted Answer

Organizing the sales force by product allows salespeople to develop specialized knowledge about the products they are selling, which can improve their performance in the field. This is particularly important for a company with many different products based on widely differing technologies, as it can be difficult for a salesperson to be knowledgeable in all areas. Additionally, specialization can lead to more targeted and effective selling efforts, as salespeople can focus on the products they know best.

Question 13

The span of control should be smaller and the number of levels of management should be larger when:

Accepted Answer

The answer of The span of control should be smaller...

Question 14

Why would a small firm most likely assign key accounts to top sales executives rather than set up a separate department for key accounts?

Accepted Answer

Small firms often have limited financial resources and may not be able to afford creating a separate department for key accounts. Assigning key accounts to top sales executives is a more cost-effective approach.

Question 15

From the seller's point of view, a combination of inside and outside sales force offers a way to improve the overall efficiency of sales effort by:

Accepted Answer

Combining inside and outside sales forces allows a company to efficiently reach small customers by using inside sales, which are generally less costly than outside sales.

Question 16

As a developmental salesperson, Allen:

Accepted Answer

A developmental salesperson is a type of salesperson who works for a company that organizes its products around selling functions. This means that the company has products that are designed to serve specific customer needs, and the salesperson is responsible for identifying those needs and selling the appropriate products. This is different from a company that organizes its products around its products (choice A), which may not take customer needs into account as much. Option C is incorrect because there is no mention of the product line being limited, and option D is irrelevant to the question as it discusses lead generation rather than sales organization. Option E is also incorrect because a manufacturers' representative is not necessarily a developmental salesperson.

Question 17

Organizing the sales force along functional lines:

Accepted Answer

Organizing the sales force along functional lines allows salespeople with different talents and abilities to perform different selling tasks. While it may make it easier for the manager to coordinate all sales activities, it does not necessarily eliminate any rivalry that might exist in a company's sales force. Furthermore, it may not be easy to implement, depending on the specific company and situation.

Question 18

A sales manager who develops a team selling approach will:

Accepted Answer

A team selling approach emphasizes collaboration and cooperation among team members to achieve sales goals. Hiring salespeople motivated by personal achievement (A) or organizing the team into silos to encourage competition (B) can undermine the team selling approach. Compensating team members based on their individual performance (C) can also create an environment of competition and conflict. Developing communication links among all team members (D) is essential for a team selling approach to work effectively.

Question 19

The key to successful team selling lies in:

Accepted Answer

The key to successful team selling lies in understanding the needs of the customer. This is because when a team of salespeople collaborate to approach a customer, it is important for them to have a deep understanding of the customer's requirements, preferences, and pain points. This way, the team can combine their individual skill sets and demonstrate how their solution can help the customer achieve their goals.

Question 20

Telemarketing has proven to be useful in performing all of the following activities EXCEPT:

Accepted Answer

Negotiation is not a typical activity performed through telemarketing.

Quiz 4: Organizing the Sales Effort