Chapter 13

Question 1

Which of the following best describes the primary role of professional salespeople in society? a) To aggressively persuade customers to buy products they don’t need. b) To solely focus on achieving a company’s revenue goals. c) To achieve a company’s revenue goals while solving customers’ problems. d) To create suspicion and doubt among customers about product offerings.

Answer 1

c) To achieve a company’s revenue goals while solving customers’ problems

Question 2

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In what capacity do sales representatives often act on behalf of their customers? a) By solely focusing on the features and benefits that align with the company’s objectives. b) By always negotiating the lowest possible price, regardless of the company’s profitability. c) By voicing the customer’s needs and requests back to their company. d) By promising unrealistic delivery times and product features to secure a sale.

Answer 2

c) By voicing the customer’s needs and requests back to their company

Question 3

According to one study mentioned in the text, how do salespeople generally compare ethically to professionals in other fields? a) Salespeople are consistently ranked as the least ethical professionals. b) Salespeople are more likely to exaggerate than politicians and preachers. c) Salespeople are less likely to exaggerate to get what they want than politicians, preachers, and professors. d) Salespeople’s ethical behaviour is solely determined by their earnings potential.

Answer 3

c) Salespeople are less likely to exaggerate to get what they want than politicians, preachers, and professors

Question 4

What is one significant way salespeople create value for their customers? a) By always offering the lowest price compared to competitors. b) By strictly adhering to pre-set marketing messages without any adaptation. c) By understanding the needs of their customers and then creating solutions to meet those needs. d) By primarily focusing on making friends with customers to ensure loyalty.

Answer 4

c) By understanding the needs of their customers and then creating solutions to meet those needs

Question 5

Why is the ability to engage in dialogue particularly valuable for salespeople? a) It allows them to deliver pre-prepared scripts more effectively. b) It guarantees that customers will always agree to the salesperson’s recommendations. c) It helps salespeople better understand their customers and their needs and then create valuable solutions for them. d) It primarily serves to build personal friendships that lead to sales.

Answer 5

c) It helps salespeople better understand their customers and their needs and then create valuable solutions for them

Question 6

What does it mean for salespeople to be considered “boundary spanners”? a) They primarily work within the confines of their company’s internal departments. b) They strictly enforce the boundaries between the company and its competitors. c) They operate outside the boundaries of the firm and in the field, interacting with customers and competitors. d) They are limited to gathering financial information about potential clients.

Answer 6

c) They operate outside the boundaries of the firm and in the field, interacting with customers and competitors

Question 7

What is the purpose of salespeople reporting back to headquarters about competitors’ new offerings and strategies? a) To initiate aggressive counter-marketing campaigns. b) To primarily focus on discrediting the competitor’s products. c) To help their firms create new offerings, adjust current offerings, and reformulate their marketing tactics. d) To encourage price wars in the marketplace.

Answer 7

c) To help their firms create new offerings, adjust current offerings, and reformulate their marketing tactics

Question 8

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What is the role of a missionary salesperson? a) A salesperson who calls on people who make decisions about products but don’t actually buy them. b) A salesperson whose main task is to finalise purchase orders with existing customers. c) A salesperson who primarily focuses on selling goods in international markets. d) A salesperson who provides technical support and after-sales service.

Answer 8

a) A salesperson who calls on people who make decisions about products but don’t actually buy them

Question 9

What is the primary function of a trade salesperson? a) To sell directly to end consumers through online platforms. b) To call on retailers and provide them assistance with merchandising and selling products to consumers. c) To identify and secure new business opportunities with previously untapped clients. d) To provide clinical information about products to professionals like doctors.

Answer 9

b) To call on retailers and provide them assistance with merchandising and selling products to consumers

Question 10

What is a key characteristic of an account manager’s role? a) Primarily focusing on high-volume, one-time transactions. b) Avoiding the development of long-term relationships with clients. c) Building and maintaining long-term relationships with key customers. d) Solely focusing on addressing immediate customer service issues.

Answer 10

c) Building and maintaining long-term relationships with key customers

Question 11

What are the three primary roles that salespeople play, as highlighted in the review questions? a) Prospecting, presenting, and persuading. b) Manufacturing, marketing, and merchandising. c) Acting as representatives for their firms, creating value for customers, and gathering information. d) Ordering, shipping, and invoicing.

Answer 11

c) Acting as representatives for their firms, creating value for customers, and gathering information

Question 12

In the context of customer relationships, what characterises a transactional relationship? a) A long-term partnership built on mutual trust and collaboration. b) An ongoing relationship based on habitual purchases as long as needs are met. c) A relationship resembling a close friendship with frequent personal interactions. d) Each sale is a separate exchange, and the two parties have little or no interest in maintaining an ongoing relationship.

Answer 12

. d) Each sale is a separate exchange, and the two parties have little or no interest in maintaining an ongoing relationship

Question 13

What defines a functional relationship between a buyer and a seller? a) Purchases made with little likelihood of any repeat purchase. b) A limited but ongoing relationship that develops when a buyer continues to purchase a product out of habit, as long as needs are met. c) A relationship where both parties actively work together for mutual strategic goals. d) A relationship primarily based on personal liking and social interactions.

Answer 13

b) A limited but ongoing relationship that develops when a buyer continues to purchase a product out of habit, as long as needs are met

Question 14

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Which selling strategy is characterised by asking questions to identify a buyer’s problems and needs and then tailoring a sales pitch to satisfy those needs? a) Script-based selling. b) Consultative selling. c) Strategic-partner selling. d) Needs-satisfaction selling

Answer 14

d) Needs-satisfaction selling.

Question 15

What is the key difference between needs-satisfaction selling and consultative selling? a) Needs-satisfaction selling always involves a higher degree of product customisation. b) Consultative selling focuses solely on price negotiation. c) Consultative selling involves the seller using special expertise to create a somewhat customised solution to a buyer’s problem. d) Needs-satisfaction selling does not involve asking questions to understand customer needs.

Answer 15

c) Consultative selling involves the seller using special expertise to create a somewhat customised solution to a buyer’s problem

Question 16

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What is the purpose of annual account reviews conducted by companies with their largest customers or major vendors? a) Solely to assess past performance and identify areas for blame. b) Primarily to negotiate lower prices for future purchases. c) Not only to obtain feedback but also to learn about the customer’s plans for the future and co-create solutions for reaching those goals. d) To strictly enforce existing contractual agreements without considering future needs.

Answer 16

c) Not only to obtain feedback but also to learn about the customer’s plans for the future and co-create solutions for reaching those goals

Question 17

What does the FEBA acronym stand for in the context of presenting solutions to customers? a) Function, Efficiency, Benefit, Action. b) Feature, Effectiveness, Buyer, Agreement. c) Feature, Evidence, Benefit, and Agreement. d) Financials, Evaluation, Benefit, Approval.

Answer 17

c) Feature, Evidence, Benefit, and Agreement

Question 18

What is the term for concerns or reasons not to continue that are raised by the buyer during the sales process? a) Assumptive closes. b) Trial closes. c) Objections. d) Follow-up inquiries.

Answer 18

c) Objections

Question 19

What is the “close” in the sales process? a) The initial approach to a potential customer. b) The stage where the salesperson identifies the customer’s needs. c) A request for a commitment or decision from the buyer. d) The post-sale implementation and customer service phase.

Answer 19

c) A request for a commitment or decision from the buyer

Question 20

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In the sales cycle, what is the difference between a suspect and a prospect? a) A suspect has made a purchase, while a prospect is still considering. b) A suspect has an interest in an offering, but a prospect is someone with the budget, authority, need, and time frame to purchase. c) A prospect is contacted through cold calling, while a suspect is a referral. d) The terms are interchangeable and refer to any potential customer.

Answer 20

b) A suspect has an interest in an offering, but a prospect is someone with the budget, authority, need, and time frame to purchase

Question 21

What are activity goals for a sales representative? a) The total revenue targets they are expected to achieve. b) The percentage of prospects they are expected to convert into customers. c) The number and type of sales calls a representative is expected to make in a certain period of time. d) The level of customer satisfaction they are expected to maintain.

Answer 21

c) The number and type of sales calls a representative is expected to make in a certain period of time

Question 22

What is the purpose of a win-loss analysis? a) To solely focus on identifying salespeople who are not meeting their quotas. b) To predict future sales trends with absolute certainty. c) To review each sales cycle after it is completed to identify key factors that accounted for the win or the loss of a sale. d) To assign blame for lost sales opportunities.

Answer 22

c) To review each sales cycle after it is completed to identify key factors that accounted for the win or the loss of a sale

Question 23

According to the text, when are commissions more common as a form of sales compensation? a) When sales cycles are very long and involve expensive products. b) When selling strategies are strongly focused on long-term relationship building. c) When sales cycles are short and selling strategies tend to be more transactional. d) When salespeople are primarily paid a fixed salary.

Answer 23

c) When sales cycles are short and selling strategies tend to be more transactional

Question 24

What are common ethical challenges faced by salespeople? a) Accurately reporting sales figures to management. b) Managing their time effectively and prioritising tasks. c) Sharing confidential customer information with competitors and giving extravagant gifts that could be seen as bribes. d) Understanding product features and benefits thoroughly.

Answer 24

c) Sharing confidential customer information with competitors and giving extravagant gifts that could be seen as bribes

Question 25

What is a nondisclosure agreement (NDA) in the context of sales relationships? a) An agreement outlining the sales targets and compensation structure. b) A document detailing the product specifications and warranty information. c) A contract that says a seller can’t share a buyer's private information with anyone. d) A standard purchase order form used for all transactions.

Answer 25

c) A contract that says a seller can’t share a buyer's private information with anyone

Question 26

What is the potential ethical issue with providing a special request or discount to one customer that is not available to others? a) It may violate company policy but is generally acceptable if it leads to a sale. b) It is always ethical if the customer is a large or important client. c) It can be unfair to other customers and may cause legal problems related to pricing discrimination. d) It is a common practice in sales and does not usually raise ethical concerns.

Answer 26

c) It can be unfair to other customers and may cause legal problems related to pricing discrimination.

Question 27

What are some steps that companies take to ensure ethical sales activities? a) Encouraging aggressive sales tactics to maximise revenue. b) Ignoring ethical breaches if sales targets are being met. c) Adopting ethics codes, training salespeople on these policies, and ensuring the policies are followed. d) Placing sole responsibility for ethical behaviour on individual salespeople.

Answer 27

c) Adopting ethics codes, training salespeople on these policies, and ensuring the policies are followed

Question 28

What is manipulation in sales, as defined in the text? a) Skillfully persuading a customer to make a beneficial purchase. b) Highlighting the key features and advantages of a product. c) Unfairly reducing or eliminating a buyer’s ability or opportunity to make a choice, including misrepresentation and withholding information. d) Using persuasive language to influence a buyer's decision while still allowing them to choose.

Answer 28

c) Unfairly reducing or eliminating a buyer’s ability or opportunity to make a choice, including misrepresentation and withholding information

Question 29

What is the role of marketing in supporting the sales function? a) Primarily focusing on advertising campaigns directed at end consumers. b) Operating completely independently from the sales department. c) Providing salespeople with collateral, lead management, and relevant market information. d) Solely focusing on product development and pricing strategies.

Answer 29

c) Providing salespeople with collateral, lead management, and relevant market information

Question 30

What is a closed-loop lead management system? a) A system that limits the number of leads a salesperson can pursue. b) A marketing strategy that does not involve direct interaction with salespeople. c) An information system that tracks sales leads all the way from the point at which the marketer identifies them to when they are closed. d) A sales process where customer feedback is never incorporated back into marketing efforts.

Answer 30

c) An information system that tracks sales leads all the way from the point at which the marketer identifies them to when they are closed

Question 31

What is the benefit of a closed-loop lead management system for marketing managers? a) It eliminates the need for salespeople to follow up on leads. b) It guarantees a high conversion rate for all marketing campaigns. c) They can learn what marketing actions shorten sales cycles and create more sales, leading to better investment decisions. d) It automates the entire sales process without any human intervention.

Answer 31

c) They can learn what marketing actions shorten sales cycles and create more sales, leading to better investment decisions

Question 32

Why do some companies choose to outsource certain sales functions? a) To increase direct control over all sales activities. b) To limit their reach to a smaller, more focused customer base. c) Because it can be more efficient to hire a sales force that represents multiple product lines to a single set of customers. d) To avoid the need for internal sales management and training.

Answer 32

c) Because it can be more efficient to hire a sales force that represents multiple product lines to a single set of customers

Question 33

What is a potential challenge associated with outsourcing the sales function? a) Increased control over sales activities. b) Enhanced communication and collaboration with the sales team. c) A loss of some control over sales activities. d) Guaranteed higher sales performance compared to an in-house team.

Answer 33

c) A loss of some control over sales activities

Question 34

What are "spiffs" in the context of sales? a) Long-term salary increases for high-performing salespeople. b) Mandatory sales training programs for new hires. c) Short-term bonus payments companies use to encourage salespeople to sell certain products. d) Standard commission rates applied to all sales.

Answer 34

c) Short-term bonus payments companies use to encourage salespeople to sell certain products

Question 35

. According to Clint Corley of KaiNexus, what is the role of the sales group in relation to marketing content? a) To solely distribute marketing materials without providing feedback. b) To create all marketing content independently of the marketing department. c) To provide feedback to marketing around topics of discussion, pain points, and problems that customers are trying to solve so relevant content can be generated. d) To primarily focus on technical product specifications rather than customer needs.

Answer 35

c) To provide feedback to marketing around topics of discussion, pain points, and problems that customers are trying to solve so relevant content can be generated