Chapter 2 Business-to-BUsiness Environment: Customers, organizations, and Markets

Question 0

organizations act as middlemen providing economic utilities of form, time, place, and possession to the manufacturers of products they distribute and segments of customers of those manufacturers that they serve

Answer 0

Industrial Distributors

Question 1

What are the types of organizational customers?

Answer 1

Commercial enterprises: Industrial distributors and dealers, resellers, original equipment manufacturers, and users or end users

Government Units

Nonprofit and Not-for-profit Organizations

Producer Types: Raw materials producers, component parts and manufacturers materials producers, capital goods manufacturers

Question 2

These organizations provide an offering with a unique enhancement to manufacturers’ products

Answer 2

Value Added reseller

Question 3

What is it called when a VAR integrates offerings from many sources

Answer 3

Value network

Question 4

These organizations purchase goods to incorporate them into good they produce and sell to their customers

Answer 4

Original Equipment manufacturers

Question 5

Which firms are usually the largest volume users of goods and services

Answer 5

OEMs

Question 6

Manufacturers that purchase goods and services for consumption either as supplies, capital goods, or materials for incorporation into their products such that the identity of the purchased product is lost

Answer 6

Users or end users

Question 7

The largest consuming group in the United States

Answer 7

Government Units

Question 8

The specialized role government plays in society leads to what?

Answer 8

nonstandard products

Question 9

This business customer group includes churches, colleges, and nursing homes

Answer 9

Nonprofit or not-for-profit

Question 10

Possess buying habit similar to government units

Answer 10

Nonprofits and not-for-profits

Question 11

The goods they produce may also serve to classify business-to-business organizations

Answer 11

Producer Types

Question 12

Producers of materials may find markets more sensitive to price: T or F

Answer 12

T

Question 13

These suppliers’ products lose their identity when ombined in their customers’ products

Answer 13

raw materials

Question 14

These usually retain their identity even when fully incorporated into a customer’s product

Answer 14

Component parts and manufactured materials

Question 15

These are more easily differentiated from their direct competition. producers of these goods have added value to the materials and components they have purchased to create value for their customers

Answer 15

Component parts and manufactured materials

Question 16

These good are used to produce output

Answer 16

Capital Goods

Question 17

Customers of these types of goods expect an offering that includes installation, equipment, accessories, employee training, and financing

Answer 17

Capital Goods

Question 18

Parameters that describe the functionality, interface, and design practices in an industry. These standards can be developed by industry committees, professional groups within an industry, or established by government. It results from many players in an industry embracing a particular way of doing things,which may not be formally agreed upon.

Answer 18

Industry Standards

Question 19

Used to level the playing field among all potential suppliers

Answer 19

Customer Specifications

Question 20

reduces opportunities for differentiation between competing suppliers

Answer 20

Customer specifications

Question 21

What are the publics that have an interest in a business-to-business marketers operations?

Answer 21

Financial publics
Independent press
Public interest groups
Internal Publics

Question 22

includes banks and other lending institutions, investors, investment banks, venture capital firms and investors, stock exchanges, brokerage houses, and financial analysts, and investment houses

Answer 22

Financial Publics

Question 23

Attempt to impact corporate action through their ability to influence how the company is perceived by the financial community

Answer 23

Financial Publics

Question 24

These may be an indicator of a shift in the mainstream market

Answer 24

Public interest groups

Question 25

This group of publics includes employees

Answer 25

internal publics

Question 26

What are the seven macro-environmental factors ?

Answer 26

demographic, economic, sociocultural, natural, technological, competitive, and legal and political environments

Question 27

Vital statistics that describe a population?

Answer 27

Demographics

Question 28

What are the demographic characteristics that businesses can have?

Answer 28

Type and size of industries that exist, the size and location of companies, the ages of businesses, and the size of the functional areas within the companies

Question 29

Sum total of all economic activity in the are and certain economic characteristics of note

Answer 29

Macroeconomy of the a region or jurisdiction

Question 30

Name the macroeconomic characteristics

Answer 30

How fast the economy is growing or declining in size, the level of employment, the rate of unemployment, interest rates and exchange rates of currency between different economies

Question 31

Symbols and themes that reflect a society's norms and values

Answer 31

Culture

Question 32

What environment includes natural resources, raw materials, the ecology, the weather, and, on occasion, geologic activity

Answer 32

The natural environment

Question 33

technology can open new markets and create new ways to satisfy customer needs: T or F

Answer 33

T

Question 34

Technology can cause a business marketer's product to become obsolete if it does not keep up to date with developments and innovations: T or F

Answer 34

T

Question 35

Should product technology play a major role in your customer's decision to buy your product?

Answer 35

No, because the technological advantage is fleeting

Question 36

Traditionally dominated the industrial competitive arena

Answer 36

Oligopolies

Question 37

Which competitive environment does the 80/20 rule apply to?

Answer 37

Oligopolies

Question 38

Three major players and a host of niche players seem a likely state of competition in which competitive environment?

Answer 38

Oligopoly

Question 39

What is the key in monopolistic competition and pure competition markets?

Answer 39

Differentiation and the creation of value compared to the competitor's products

Question 40

What are the four competitive forms in the business-to-business market?

Answer 40

Pure competition Monopolistic competition Oligopolistic Competition Pure Monopoly

Question 41

Helps marketers frame the issues, threats, and opportunities they face

Answer 41

Classification

Question 42

Includes relationships that create enhanced value from raw materials to final customers

Answer 42

Value chain

Question 43

A patent holder is part of the ...

Answer 43

Value network

Question 44

Firms can be both part of the value chain and supply chain: T or F

Answer 44

T

Question 45

An integrated network of suppliers that provide inputs into the creation of an offering marketed to some segment of targeted customers

Answer 45

Supply Chain

Question 46

usually integrates the supply chain and manages the relationships between suppliers in the chain

Answer 46

Lead collaborator

Question 47

Lead collaborators are often very ____ customers for the supply chain

Answer 47

large

Question 48

a market with on dominant buyer

Answer 48

monopsony

Question 49

___ evolve as competitors, channels, customers, and technologies change

Answer 49

Markets

Question 50

______ emerge after the market has gone through a period of monopolistic competition

Answer 50

Ologopolies

Question 51

_____ usually start out as a temporary monopoly generated due to the emergence of radically new technology or business ideas

Answer 51

Ologopolies

Question 52

Understanding the ___ will enable marketers to anticipate the general behavior of consumers and the general nature of competition within a product category

Answer 52

Product life cycle

Question 53

The PLC has an assumption that there is an inability to predict when the shape of the sales curve will change: T or F

Answer 53

T

Question 54

The inability to derive specific strategies from the PLC is an assumptionof the PLC: T or F

Answer 54

T

Question 55

describes how breakthrough innovation becomes adopted in the market

Answer 55

Technology adoption life cycle

Question 56

What are the five groupings of the TALC?

Answer 56

``` Technophiles Visionaries Pragmatists Conservatives Skeptics ```

Question 57

a break in the sales growth curve for a new technology

Answer 57

chasm

Question 58

produces the emergence of a dominant supplier

Answer 58

tornado

Question 59

When does the chasm occur?

Answer 59

Between the visionaries and pragmatists

Question 60

The chasm is also known as the ______

Answer 60

market development gap

Question 61

Which reaches its apex first, the PLC or TALC?

Answer 61

TALC