CHAPTER 5 T OR F

Question 1

 In managing its intermediaries the firm must decide how much effort to devote to push vs pull strategy.

Answer 1

TRUE

Question 2

Push strategy involves the manufacturer using advertising and promotion to induce customers to ask intermediaries for the product

Answer 2

FALSE (PULL STRATEGY)

Question 3

pull strategy is appropriate where there is brand loyalty, people choose the brand before they go to the store ex: Two wheeler, car

Answer 3

TRUE

Question 4

Inside order-takers are retail sales assistants (like sales assistants in Vishal Megamart) customer has full freedom to choose products without the presence of a salesperson.

Answer 4

TRUE

Question 5

Channel of distribution decisions play a vital role to all types of firms

Answer 5

TRUE

Question 6

Pull strategy is appropriate where there is low brand loyalty, brand choice is made in the store.

Answer 6

FALSE (PUSH STRATEGY)

Question 7

FACTORS AFFECTING CHANNEL CHOICE ARE MARKET FACTOR, PRODUCT FACTOR AND MANUFACTURER FACTOR

Answer 7

TRUE

Question 8

Pull strategy is appropriate where there is low brand loyalty, brand choice is made in the store.

Answer 8

FALSE (PUSH STRATEGY)

Question 9

Missionary salespeople they are required to acquire new businesses for the company and negotiate with new prospects

Answer 9

FALSE (ORDER-GETTERS/FRONT-LINE SALESPEOPLE

Question 10

 In big markets the firm might sell directly to retailers, distributors

Answer 10

FALSE (SMALL MARKETS)

Question 11

Order-Creators help in increasing goodwill of the company and educate customers about the product. They do not call the ultimate buyers but approach to those who make advices to the buyer about the product

Answer 11

TRUE

Question 12

Service Salespeople interacts with customers after sale is complete.

Answer 12

TRUE

Question 13

Order takers should be accurate and should provide accurate information to the company and customer about booking of orders and date of delivery

Answer 13

TRUE

Question 14

 A old firm typically starts as a local intermediaries (agents, retailers, whole - sales,)

Answer 14

FALSE (NEW FIRM)

Question 15

push strategy involves the manufacturers using its sales force, promotion money to induce intermediaries to carry, promote and sell the product to end users.

Answer 15

TRUE

Question 16

The Delivery salespeople’s task is primarily concerned with delivering the product.

Answer 16

TRUE

Question 17

Technical support salespeople is type of salesperson provide sales support to front-line salespeople

Answer 17

TRUE

Question 18

Merchandisers are responsible for product appearance and supply in various stores throughout their designated geographic area

Answer 18

TRUE

Question 19

Outside order-takers are salespeople visit customers, but their primary function is to respond to customer requests rather than persuading the customer.

Answer 19

TRUE

Question 20

Missionary salespeople are best order creators and they do take purchase orders

Answer 20

FALSE (DO NOT TAKE PURCHASE ORDERS)

Question 21

Order-creators do not have the responsibility to persuade customers to buy products and increase the sales.

Answer 21

FALSE (ORDER TAKERS)

Question 22

Trade Salespeople spend much time helping customers, especially in retail stores, restock the shelves, set up displays.

Answer 22

TRUE

Question 23

functions performed by wholesaler, retailers, dealers and called intermediaries who connect producers to end users

Answer 23

TRUE

Question 24

Order creators are the salespeople who help in pushing the customer towards product

Answer 24

FALSE (pulling the customers)

Question 25

there are 5 factors affecting channel choice

Answer 25

FALSE (3)