Essentials of Marketing: Chapter 14: Personal Selling and Customer Service: Review Questions

According to this case study, which of the following are activities of Ferguson's inside sales representatives?

-Communicate with customers via social media

-Communicate with customers by phone

-Meet face-to-face with customers

Communicate with customers via social media

Communicate with customers by phone

From one country to another, the techniques used for personal selling and customer service ______.

-vary for personal selling, yet are surprisingly similar for customer service

-vary

-vary for customer service, yet are surprisingly similar for personal selling

are the same

vary

A poor management decision about personal selling expenses can lead to lost sales.

-True

-False

True

Select all the choices that are characteristics of good salespeople.

-They can convince customers to buy products that they may not need.

-They promote products that help the company's bottom line rather than what the customer needs.

-They build lasting relationships.

-They present advantages of their products.

-They try to understand the customers' needs.

-They try to help the customer to buy.

They build lasting relationships.

They present advantages of their products.

They try to understand the customers' needs.

They try to help the customer to buy.

A salesperson typically ______.

-establishes the supply chain for a company

-designs the product into a commercialized form

-coordinates the relationship between firm and customer

-creates the new product development process

coordinates the relationship between firm and customer

The Ferguson case study and story of Pooja Gupta shows which of the following aspects of personal selling and sales management?

-Experienced salespeople don't need training

-New salespeople get extensive training

-Salespeople get orders from new customers

-Recruiting and selection

-Salespeople help solve customer problems

New salespeople get extensive training

Salespeople get orders from new customers

Recruiting and selection

Salespeople help solve customer problems

Personal selling and customer service are important in both domestic and international markets.

-True

-False

True

Which of the following are ways in which the sales force can aid in the marketing information function?

-Recognizing transportation issues with products

-Sharing a competitor's strategy with the firm

-Conveying new uses that customers devise for existing products

-Choosing a new location for the firm's expansion

-Sharing customer ideas for new products with the firm

Sharing a competitor's strategy with the firm

Conveying new uses that customers devise for existing products

Sharing customer ideas for new products with the firm

Personal selling is often ______.

-among a firm's least expensive budget items

-a company's largest single operating expense

-left out of a company's promotion blend

-too difficult for most companies to employ

a company's largest single operating expense

Rita works as a salesperson for a soft drink company. Rita needs to identify which customers in her territory she needs to target, determine which products to discuss with the customer, and sometimes negotiate prices. In essence, Rita is operating as a ______ manager in her territory.

-technical

-production

-human resources

-marketing

marketing

Which of the following is typical of a good salesperson?

-A good salesperson will try to sell customers something that is really good for the company's bottom line, thinking of the company first.

-A good salesperson will try to sell customers something they do not need.

-A good salesperson will push all available add-ons (such as extended warranties and extra battery packs) whether the customer is interested or not.

-A good salesperson will try to help customers by understanding their needs.

A good salesperson will try to help customers by understanding their needs.

Firms can find it difficult to determine the correct number and kinds of salespeople because ______.

-changes in strategy may require a firm to restructure its sales force

-having too few salespeople can lead to important selling tasks being overlooked

-having too many salespeople wastes company money

-delays in shipping cause products to be delivered late

changes in strategy may require a firm to restructure its sales force

having too few salespeople can lead to important selling tasks being overlooked

having too many salespeople wastes company money

When customers are located far from a company, the only link between the customers and the company might be the ______.

-JIT

-arbitrator

-salesperson

-CEO

salesperson

The three basic sales tasks are ______.

-order-referral, order-taking, and supporting

-order-getting, order-taking, and budgeting

-order-getting, order-taking, and supporting

-order-getting, order-shedding, and supporting

order-getting, order-taking, and supporting-

Which of the following are responsibilities of order getters?

-Finding new business opportunities

-Establishing relationships with new customers

-Completing sales transactions

-Informing customers about new goods and promoting them to all channel members

Finding new business opportunities

Establishing relationships with new customers

In which way can the sales force help with the marketing information function?

-Suggesting new production techniques

-Suggesting a modified management structure

-Identifying new competitors

-Identifying potential manufacturing sites

Identifying new competitors

A particular challenge for order getters in service industries is that ______.

-customers cannot physically inspect a service, and must rely on the salesperson to provide evidence of the quality of the service offered

-customers in service industries tend to be extremely loyal, so most of the sales activities are handled by order takers

-customers already have basic knowledge of the available services

-sales in service industries are notoriously slow

customers cannot physically inspect a service, and must rely on the salesperson to provide evidence of the quality of the service offered

If managers do not provide detailed ______ to salespeople, the salespeople may be expected to be marketing managers in their own territories.

-sales reports

-strategy guidelines

-production schedules

-order forms

strategy guidelines

An order getter helps bring products out of the ______ stage of the product life cycle.

-growth

-maturity

-decline

-introduction

introduction

One of the challenges of hiring the correct number and type of salespeople is that every sales job is different.

-True

-False

True

Which of the following are considered basic sales tasks?

-Supporting

-Order-getting

-Order-taking

-Order-bundling

-Financing

Supporting

Order-getting

Order-taking

Which of the following activities are performed by order takers?

-Searching for new sales opportunities

-Selling to established customers

-Completing sales transactions

-Establishing new customer relationships

-Maintaining customer relationships

Selling to established customers

Completing sales transactions

Maintaining customer relationships

Salespeople who work to generate new business opportunities and build relationships with customers are known as ______.

-relationship managers

-supporting salespeople

-order takers

-order getters

order getters

When dealing with top-level customers, particularly other businesses, order getters must sell ______.

-the most affordable goods available

-concepts and ideas that solve a specific problem

-the most mature products in the line

-the most profitable goods available

concepts and ideas that solve a specific problem

Which of the following statements about order takers is true?

-There is no overlap between order-taking and order-getting.

-Order takers work only with new clients and must continually improve sales.

-Order takers maintain and nurture relationships with established customers.

-Order takers have very little interaction with consumers and work primarily with internal management.

Order takers maintain and nurture relationships with established customers.

In what ways can an order getter influence consumer behaviors?

-Ensuring sales transactions are completed even when customers are hesitant to buy

-Convincing customers to try products that they had not considered

-Convincing regular customer to continue their relationship with the firm

-Providing information that helps customers differentiate between similar products

Convincing customers to try products that they had not considered

Providing information that helps customers differentiate between similar products

Order takers for producers usually handle a few items; however, order takers for ______ often sell thousands of items.

-entrepreneurs

-retailers

-cottage industries

-wholesalers

wholesalers

Salespeople who sell to the regular or established customers, complete most sales transactions, and maintain relationships with customers are called ______.

-order getters

-order takers

order takers

Order takers at ______ businesses sometimes work at a customer checkout counter making minimum wage and may be unmotivated. This can lead to poor service to customers.

-retail

-wholesale

-manufacturing

retail

Salespeople who help others secure orders but who do not try to get orders themselves are known as ______.

-sales managers

-supporting salespeople

-order supervisors

-quality control specialists

supporting salespeople

Which of the following are activities that an order taker will perform for a producer?

-Handle complaints and keep customers informed

-Provide ongoing follow-up to make certain customers are satisfied

-Complete routine sales to target customers

-Move products from introduction to market growth

Handle complaints and keep customers informed

Provide ongoing follow-up to make certain customers are satisfied

Complete routine sales to target customers

What are three characteristics of missionary salespeople?

-They help intermediaries train their salespeople.

-They have no direct customer contact.

-They work for producers.

-They typically work at a customer checkout counter.

-They develop goodwill and stimulate demand.

They help intermediaries train their salespeople.

They work for producers.

They develop goodwill and stimulate demand.

Due to the large number of products that they are responsible for selling, wholesalers' order takers should focus on ______.

-maintaining close contact with customers

-discovering new sales opportunities

-confirming that orders have been filled on time

-placing orders

maintaining close contact with customers

confirming that orders have been filled on time

placing orders

Which of the following are characteristics of a technical specialist?

-Stimulates interest in new products

-Understands the various uses a customer may have for a product

-Makes up for a lack of product knowledge with a high level of persuasiveness

-Typically has a science or engineering degree

Understands the various uses a customer may have for a product

Typically has a science or engineering degree

What are three challenges associated with retail order takers?

-Repetitive tasks

-Minimal training

-High labor costs

-High turnover

Repetitive tasks

Minimal training

High turnover

Which of the following activities are performed by supporting salespeople?

-Engaging in "solutions selling"

-Helping order getters and order takers

-Enhancing relationships with existing customers

-Establishing relationships with new customers

Helping order getters and order takers

Enhancing relationships with existing customers

Customer service is important to both business customers and final consumers.

-True

-False

True

Customer service reps usually ______.

-work to remedy something that went wrong with a customer purchase

-spend most of their time designing new products for customers

-work with management on strategy formulation

-establish relationships with prospective customers

work to remedy something that went wrong with a customer purchase

Merchandiser or detailer are alternate terms used to describe ______ salespeople.

-missionary

-order getter

-technical specialist

-order taker

missionary

When a company does not wait for a customer to contact them with a complaint, but instead uses technology and research to identify and contact seemingly unhappy customers, the company is engaging in ______.

-arbitration

-proactive customer service

-order-taking

-technical specialization

proactive customer service

During her sales call to the housing contractor, Kendra was discussing the new home monitoring system her company had introduced. When she wasn't able to answer an electrical question about the system, she called Marietta at the company for the answer. Marietta is acting as a(n) ______.

-technical specialist

-order-getter

-order-taker

-missionary salesperson

technical specialist

Even if customers simply change their mind about a purchase, the customer service rep must figure out a way to make the customers happy.

-True

-False

True

A ______ rep works with customers to resolve problems that arise with a purchase.

-technical specialist

-missionary salesperson

-logistics coordinator

-customer service

customer service

When several employees work together on the same account and each handles a different sales task, they are said to be ______.

-order getting

-team selling

-supporting

-order taking

team selling

Most of a customer service rep's time is spent helping to remedy ______.

-internal disputes among employees

-low sales volumes

-issues with suppliers and vendors

-problems with a purchase

problems with a purchase

Firms often retain an elite sales team to deal with ______.

-large accounts

-troublesome or demanding customers

-first-time customers

-local customers

large accounts

Samsung uses inbound telemarketing to respond to customer questions. In addition, the company has people who search the Internet and access big data from Facebook, Twitter, blogs, and discussion forums to find complaints related to Samsung and to attempt to remedy the complaint. The company is using a(n) ______ customer service policy.

-reactive

-proactive

proactive

Select all the statements that are true about telemarketing.

-Individuals generally like answering telemarketing calls at home.

-B2B telemarketing can provide customers with useful advice.

-Some firms use groups of salespeople who specializing in telemarketing.

-In business markets, telemarketing calls from good salespeople are often appreciated.

B2B telemarketing can provide customers with useful advice.

Some firms use groups of salespeople who specializing in telemarketing.

In business markets, telemarketing calls from good salespeople are often appreciated.

Customer service reps play the role of______.

-customer advocates

-management liaison

-technical specialist

-order getter

customer advocates

Several customers of Mike's Machine Works live beyond the territory of the sales force, so the company relies on a team of employees who call these customers on the phone to tell them about new products. These employees are an example of a(n) ______.

-cottage industry

-missionary salesperson

-inside sales force

-technical specialist

inside sales force

Paula's Projection Screens Inc. is trying to sell its product to a chain of movie theaters. This requires the sales rep, an engineer, and a quality control manager to attend meetings with the movie theater staff to provide answers to their questions. This is an example of ______.

-mass selling

-retail selling

-team selling

-personal selling

team selling

Delegating a firm's sales process to a third party or agency is called sales ______________________.

outsourcing

When a firm places special emphasis on large customers, it may use a(n) ______ to sell to these customers.

-telemarketing team

-order-getting group

-team of missionary salespeople

-major accounts sales force

major accounts sales force

A sales territory can be very large or very small, depending on ______.

-past sales figures

-the number of salespeople in the firm

-the number of competitors in the market

-the market potential

the market potential

When a company does not wait for a customer to contact them with a complaint, but instead uses technology and research to identify and contact seemingly unhappy customers, the company is engaging in ______.

-technical specialization

-arbitration

-order-taking

-proactive customer service

proactive customer service

The biggest advantage to specializing sales people by product line is that it ______.

-decreases travel expenditures

-provides a level of expertise to the customer

-allows the sales rep to travel within a certain distance

-lowers final product cost to the customer

provides a level of expertise to the customer

Selling over the telephone is known as ______.

-missionary sales

-major account sales

-telemarketing

-total marketing

telemarketing

What is one big advantage of using an inside sales force as opposed to an external sales force?

-Longer lead times

-Increases commissions

-Saves time

-Promotes products

Saves time

Which of the following are steps a sales manager can take to determine how many salespeople are needed to have an effective sales force?

-Use work and customer statistics to determine how many people are required to achieve company objectives.

-Estimate how much work can be done by a single salesperson in a given amount of time.

-Specify important sales tasks to be accomplished.

-Check the budget and add more people whenever there is sufficient funding.

Use work and customer statistics to determine how many people are required to achieve company objectives.

Estimate how much work can be done by a single salesperson in a given amount of time.

Specify important sales tasks to be accomplished.

Select all the characteristics of sales outsourcing.

-It can include such activities as generating leads, handling inbound calls, and providing customer service.

-It consists of the use of a firm's own employees.

-It is used to duplicate the sales functions within the firm.

-It may involve all or part of the sales process.

It can include such activities as generating leads, handling inbound calls, and providing customer service.

It may involve all or part of the sales process.

The number of salespeople needed for a given product or brand ______.

-stays the same for the entire product life cycle

-changes as sales tasks change

-changes according to profit margins

-always declines as time passes

changes as sales tasks change

A sales _________________ allows responsibilities to be divided geographically among different salespeople in order to more efficiently service customer accounts.

territory

At the company where Rick works, one sales team is responsible for selling generators, while another team is responsible for selling heating units, and a third team handles air conditioning systems. How does Rick's company divide its sales teams?

-By product line

-By sales predictions

-By geographic region

-By production costs

By product line

Which sales situation would call for an emphasis on personal selling?

-a high need for coordination and cooperation

-a low need for problem solving and support

-the exchange of product information and prices on an irregular basis

-the exchange of standardized orders and invoices on a recurring basis

a high need for coordination and cooperation

The first step that sales managers take in order to decide how many salespeople are needed is ______.

-to determine how big each territory is

-to estimate how much work can be done by one person in a given time period

-to analyze how many product lines the company is offering

-to figure out how many customers need attention

to estimate how much work can be done by one person in a given time period

The types and numbers of salespeople needed should be determined ______.

-during the product design stage

-according to the first year's sales figures

-on an ongoing basis

-by the size of competitors' sales forces

on an ongoing basis

Jake's Convenience Store exchanges standardized information on orders, invoices, delivery status, and prices with its wholesaler, and the items stocked change little from month to month. Since no relationship building is required, the most efficient relationship between Jake's and its supplier would likely be ______.

-mass selling

-customized e-commerce

-nonelectronic data interchange

-personal selling

customized e-commerce

An ATM found at a grocery store is an example of which selling emphasis?

-E-commerce

-Personal selling

-Digital self-service

Digital self-service

Which two factors determine whether a firm should use personal selling, e-commerce, or a combination of the two?

-the level of relationship building required

-the number and types of competitors in the market

-the extent to which the information exchanged is standardized

-the average cost of goods sold

the level of relationship building required

the extent to which the information exchanged is standardized

Which of the following are characteristics of successful intelligent agents for on-demand customer service?

-They can understand and answer verbal questions.

-They provide high-quality customer service, but at a high cost.

-They can answer most standard customer questions and inquiries.

-They answer customer questions quickly and accurately.

They can understand and answer verbal questions.

They can answer most standard customer questions and inquiries.

They answer customer questions quickly and accurately.

Which of these sales reps is showing how technology can provide a competitive advantage for a company?

-Candace told the customer about the toll-free phone number her company had installed because so many other companies used these systems.

-As she travels between customers, Mary is able to pay for the gas for her car with a credit card.

-During the sales call, Rhoda was able to access data on past sales and recommend new products to her customer based on these sales.

-Jeremy checks online to see what movies is playing on Friday night and tells his next customer about a new movie he wants to see.

During the sales call, Rhoda was able to access data on past sales and recommend new products to her customer based on these sales.

When Maria saw the long line at the airport check-in, she decided to use the kiosk and checked herself in for the flight. This kiosk is an example of which selling emphasis?

-Digital self-service

-Personal selling

-E-commerce

Digital self-service

When hiring salespeople, the best practices for progressive companies include ______.

-conducting thorough background checks

-hiring friends and relatives

-avoiding a systematic approach with a lot of structure

-scheduling candidates for multiple interviews

-keeping an updated list of potential job candidates

conducting thorough background checks

scheduling candidates for multiple interviews

keeping an updated list of potential job candidates

In order for a firm to determine the best salespeople, a ______ that includes 10-20 specific tasks or performance requirements should be developed.

-human resource form

-classified ad

-job description

-sales audit

job description

A(n) ______ agent in a sales context can either observe a customer's behavior or ask questions and offer recommendations.

-virtual

-intelligent

-shopping

-big data

intelligent

Sales training should cover company policies and practices, product information, professional selling skills and

-production facility management

-relationship building

-employee benefits

-SWOT analysis

relationship building

Which of the following is not a benefit associated with training salespeople?

-More effective cold calling

-Stronger deal closing skills

-Improved listening and customer service

-Improved product designs

Improved product designs

In order to compete effectively, it is most important for firms to make use of ______.

-self-service

-outsourcing opportunities

-modern technology

-inside sales teams

modern technology

To attract, retain, and motivate effective salespeople, a firm needs an effective ______ plan.

-logistics

-production

-marketing

-compensation

compensation

In order to select good salespeople, a company should ______.

-hire friends or family that they know well

-use a systematic approach based on different inputs

-hire people with e-commerce backgrounds

-only look for people that have a friendly personality

use a systematic approach based on different inputs

In order to make sure a firm can afford to pay competitive salaries to salespeople, managers should ______.

-reduce the salaries of office staff

-pay sales staff as much as top management receives

-compare the estimated value of a salesperson to the salary amount

-increase product prices

compare the estimated value of a salesperson to the salary amount

In what ways does a well-written job description help a firm?

-Creating performance expectations

-Improving customer relationships

-Narrowing down the list of job candidates

-Determining training guidelines

Creating performance expectations

Narrowing down the list of job candidates

Determining training guidelines

What is an advantage of a straight salary for sales compensation?

-simple to administer

-compensation paid only for sales revenue

-may lead to greater burnout and stress

-no benefit to high-performing salespeople

simple to administer

Which of the following are important areas to cover in sales training?

-Company policies and practices

-Product information

-Relationship building

-Professional selling skills

-Best practices in product design

Company policies and practices

Product information

Relationship building

Professional selling skills

Companies often neglect teaching selling techniques as part of a salesperson's ________________ because they assume anyone can do it and that the only qualification is a friendly personality.

training

A firm should only base its compensation plan on incentives when there is a strong correlation between ______.

-sales volume and the size of a sales territory

-production costs and sales revenues

-employee effort and results

-the firm's compensation plan and competitors' plans

employee effort and results

Which of the following are methods a company should employ in encouraging greater sales effort.

-A cash-only salary to avoid taxes

-Sales contests among salespeople

-Competitive salary and commissions

-Personal and public recognition for accomplishments

A cash-only salary to avoid taxes

Sales contests among salespeople

Competitive salary and commissions

Personal and public recognition for accomplishments

Building a competitive sales force requires paying ______.

-some commission

-purchasing power parity

-the going market wage

-gross national product

the going market wage

What is an advantage of a straight commission for sales compensation?

-fewer sales managers needed

-works well for team selling

-can lead to less cooperation among salespeople

-little incentive for salespeople to improve performance

fewer sales managers needed

Sales managers should regularly ______.

-create a competitive analysis

-evaluate the performance of salespersons

-review the production facilities

-research possible transportation options

evaluate the performance of salespersons

In a commission-based compensation arrangement the size of incentives should be linked to ______.

-level of experience

-effort and results

-expectations

-customer expectations

effort and results

Place the following steps in the selling process in order; starting with the earliest step at the top.

1. Set effort priorities

2. Select target customer

3. Preplan sales call

4. Make sales presentation

5. Close the sale

6. Follow up to maintain relationship

Which of the following are required in narrowing down the personal selling effort?

-A detailed analysis of markets

-A one-time analysis of the markets

-A good deal of prospecting

A detailed analysis of markets

A good deal of prospecting

Which two factors should be considered when deciding how much time to spend on potential customers?

-Type of compensation

-Likelihood of a sale

-Sales quota

-Potential sales volume

Likelihood of a sale

Potential sales volume

A memorized presentation that does not change depending on customer needs is called a(n) ______ sales presentation.

-expository

-consultative

-generic

-prepared

prepared

Regular salesperson performance reviews help managers to ensure that ______.

-a salesperson is performing all of the tasks described in his or her job description

-compensation plans are aligned with employees' effort and results

-areas needing attention by salespeople or management are identified

-the rate of sales will be kept within manageable limits

a salesperson is performing all of the tasks described in his or her job description

compensation plans are aligned with employees' effort and results

areas needing attention by salespeople or management are identified

In the personal selling process, which step comes after a salesperson has selected a target customer?

-Preplanning

-Making the sales presentation

-Closing the sale

-Following up

Preplanning

Wendy sells customized software to accountants and bookkeepers. In a series of sales calls, Wendy tries to get a good understanding of the customer's needs. She carefully considers the different software products she has available and customizes an offer for each customer. Wendy appears to be using a ______.

-prepared sales presentation

-selling formula approach

-collaborative sales formula

-consultative selling approach

consultative selling approach

The procedure of locating potential customers for a product or service is known as ______.

-prospecting

-networking

-poaching

-mirroring

prospecting

A salesperson does most of the talking early to make key points before bringing the customer along to answer questions in the ______.

-retention sales method

-selling formula approach

-collaborative sales formula

-consultative selling approach

selling formula approach