Chapter 11-Sales Management and Sales 2.0
MULTIPLE CHOICE
1. Managing an organization's personnel selling function is called:
a. Management
b. Sales management
c. Organizational strategy
d. Sales strategy
e. Personnel management
2. Karen's responsibilities include planning, implementing and controlling the personal selling function. Karen's job is most likely that of a:
a. Human resource manager
b. Sales manager
c. Marketing product manager
d. Client services representative
e. Customer service agent
3. Which of the following is not one of the four major steps in the sales management process?
a. Directing the sales force
b. Determining sales force effectiveness and performance
c. Defining the strategic role of the selling function
d. Developing the sales force
e. Recruiting and terminating the sales force
4. Which of the following is not one of the major steps in the sales management process?
a. Directing the sales force
b. Determining sales force effectiveness and performance
c. Defining the strategic role of the selling function
d. Developing the sales force
e. All of the above are major steps in the sales management process
5. Bill has four salespeople that report directly to him, and Bill reports their activity to the manager of his region. Bill is most likely a:
a. Regional Sales Manager
b. District Sales Manager (Field Sales Manager)
c. Vice President of Sales
d. Chief Sales Officer
e. None of the above
6. Which of the following is not one of the sales organization "Best Practices" identified in the text?
a. Train and coach the right skill set.
b. Integrate sales with other business functions.
c. Recruit and hire the best sales talent.
d. Keep a focus on profitability.
e. Use information technology effectively to learn about customers.
7. Jamison Co.'s sales force has always had trouble gaining market share despite having superior products at competitive prices. Which of the following "best practices" should the company consider employing?
a. Recruiting and hiring the best sales talent.
b. Moving from a salary to a commission compensation structure.
c. Separating the selling function from the marketing function.
d. Retraining the sales force to focus on profitability and market share growth through price-cutting.
e. Developing a more efficient production system to lower costs.
8. Which of the following is not one of the sales manager "Best Practices" identified in the text?
a. Give salespeople continuous feedback.
b. Build enthusiasm throughout the sales team.
c. Ensure top performers are identified and compensated much better than lower performers.
d. Emphasize continuous job improvement and career development
e. All the above are "Best Practices".
9. Which of the following is most accurate with respect to the relationship between sales strategy and corporate strategic decisions?
a. Strategic decisions made at the corporate level should be consistent with sales strategy decisions.
b. Sales strategy decision making should be consistent with strategic decisions made at the corporate level.
c. Once the front line sales managers develop their sales strategy, the organization can determine its overall operational strategy.
d. Generally, sales managers determine sales strategy without consideration of the corporate level strategies.
e. None of the above is accurate.
10. The classification of accounts (within a target market) into categories for the purpose of developing strategic approaches for selling to each account or account group is known as:?
a. Account targeting strategy
b. Relationship strategy
c. Market segmentation
d. Target marketing
e. None of the above
11. Who is generally responsible for developing sales strategies at the account level?
a. Sales Managers and Salespeople
b. Chief Selling Officer.
c. Regional Sales Managers
d. Customer Service Manager
e. Sales Strategy Manager
12. A firm's sales strategy is important because it:
a. Has a major impact on the firm's sales and profit performance.
b. Sets the stage for higher-level strategic decision making.
c. Influences recruitment, selection, and training of the sales force.
d. Both a and c are correct.
e. Both a and b are correct.
13. Which of the following best reflects an account targeting strategy?
a. A decision to build transaction-based relationships with customers.
b. The categorization of accounts based on volume and purchase frequency.
c. The elimination of a low-profit product from the product line.
d. A decision to target accounts in a particular geographic region.
e. All of the above are examples of account targeting strategies.
14. Which of the following best reflects the relationship between account targeting strategies and relationship strategies?
a. Relationship strategies provide the basis for account targeting strategies.
b. Account targeting strategies provide the basis for relationship strategies.
c. Relationship strategies are independent of account targeting strategies.
d. Both a and b are correct.
e. Both b and c are correct.
15. Natalie is a sales manager and trying to determine the best type of relationship to seek with the different account groups her company serves. Natalie should keep in mind that:
a. Most customers prefer a lower level transaction-based relationship.
b. Most customers prefer a higher level collaborative relationship.
c. Selling costs are increased when serving accounts with higher-level relationships.
d. The relationship desired by the customer takes priority over the cost of serving that customer.
e. Natalie needs to keep each of the above in mind.
16. Jennifer has finished establishing relationship strategies for the account groups her sales team serves. She should now focus on developing:
a. Account targeting strategies.
b. Sales call strategies for each account.
c. Selling strategies for each relationship strategy.
d. A strategic prospecting plan.
e. Her sales team.
17. Strategies which focus on ensuring accounts receive the proper selling effort and coverage (e.g., the use of company sales force or independent representatives) are referred to as:
a. Account targeting strategies
b. Selling strategies
c. Relationship strategies
d. Sales channel strategies
e. None of the above are correct
18. The "consultative" selling strategy is most appropriate when following a ________ relationship strategy.
a. Transaction
b. Collaborative
c. Solutions
d. Partnership
e. Both B and D are correct
19. With respect to selling strategies, which of the following is most accurate?
a. Achieving the desired type of relationship (with a customer) in a productive manner requires using different selling strategies.
b. Customers generally prefer consultative relationships.
c. The cost of establishing and maintaining a relationship isn't an important factor.
d. Selling strategies designed to establish and maintain transaction-based relationships are more profitable than other selling strategies.
e. Selling strategies focusing on maximizing profit in the short-run are more important than those that don't.
20. Independent sales representatives are generally referred to as?
a. Manufacturer representatives
b. The company's sales force
c. Detailers
d. The temporary sales force
e. Any of the above.
21. Bill is employing a mental states selling strategy for one of his account groups. It's most likely Bill is seeking a ___________ relationship with these customers.
a. Collaborative
b. Consultative
c. Transaction-based
d. Partnership
e. Multipoint
22. The number of individuals who report to each sales manager is called the:
a. Span of control.
b. Sales force.
c. Sales force allocation.
d. Sales work force.
e. Sales Management Employee Domain (SMED).
23. Sales forces in which salespeople sell only part of the product line are said to be:
a. Specialized
b. Centralized
c. Generalized
d. Cross-Managed
e. Differentiated
24. Management in organizations in which greater authority and responsibility are placed at higher management levels is said to be:
a. Specialized
b. Centralized
c. Vertically Stacked
d. Cross-Managed
e. Differentiated
25. The most widely used system for dividing responsibility is to organize the sales force on the basis of?
a. Products
b. Markets
c. Customers
d. Geography
e. None of the above
26. Steve is a salesperson who is responsible for selling only two of his company's 15 products. Steve is working in a _____________ sales force.
a. Decentralized
b. Centralized
c. Specialized
d. Geographic
e. None of the above
27. Which of the following is not one of the sales organization alternatives discussed in the text?
a. Geographic
b. Product
c. Market
d. Functional
e. Decentralized
28. An examination of the tasks, duties, and responsibilities of the sales job is referred to as a:
a. Job analysis
b. Job description
c. Job qualification
d. Job survey
e. Job placement test
29. The collection of skills, knowledge, personal traits, aptitude and willingness to accept occupational conditions necessary to perform the job is referred to as the:
a. Job analysis
b. Job description
c. Job qualifications
d. Job survey
e. Job type
30. A written summary of a particular job is referred to as the:
a. Job analysis
b. Job description
c. Job qualifications
d. Job survey
e. Job type
31. After reading the ______________ for an open sales position, Sandy has determined the company recruiting for that position will most likely find her to be an acceptable candidate?
a. Job analysis
b. Job description
c. Job qualifications
d. Job survey
e. Job type
32. Planning for recruitment and selection is the first step of the recruitment and selection process. The second major step is:
a. Making an offer
b. Locating prospective candidates
c. Conducting interviews
d. Conducting a job analysis
e. Listing the job qualifications
33. The third major step of the recruitment and selection process is:
a. Locating prospective candidates
b. Conducting a job analysis
c. Attending career fairs
d. Writing a job description
e. Evaluating and hiring
34. Companies employing multiple types of assessment when evaluating job candidates may benefit from utilizing a/an:
a. Software application
b. Web-based employment assessment protocol
c. Assessment center
d. Video conferencing system
e. Resume screening tool
35. The first step of the sales training process is?
a. Set training objectives
b. Design sales training programs
c. Evaluate training alternatives
d. Assess sales training needs
e. None of the above
36. Anthony, a sales manager, is in the process of determining the extent to which the members of the sales force possess the skills, attitudes, perceptions, and behaviors required to be successful. Anthony is engaged in a/an?
a. Needs assessment
b. Job analysis
c. Job determination assessment
d. Training seminar
e. None of the above
37. With respect to the sales training process, after Brenda is done assessing the sales training needs, she should begin working on:
a. Evaluating training alternatives
b. Performing sales training
c. Setting training objectives
d. Setting the sales training schedule
e. Her computer
38. Once Marcus has completed delivery of the sales training program he needs to follow the final step of the sales training process (described in the text) which is:
a. Set training objectives
b. Perform follow-up training
c. Assess new training needs
d. Conduct follow-up and evaluation
39. The ability to employ activities that influence others to achieve shared goals that advance the organization is referred to as:
a. Sales leadership
b. Sales management
c. Sales supervision
d. Sales control
e. None of the above
40. Managing an organization's personal selling function to include planning, implementing, and controlling the sales management process is called:
a. Sales leadership
b. Sales management
c. Sales supervision
d. Sales control
e. None of the above
41. Intensity, direction, and persistence are generally thought to be the components of:
a. Sales leadership
b. Sales management
c. Sales supervision
d. Sales control
e. Motivation
42. Jim has four salespeople that report directly to him. Jim spends a great deal of time each month working with his salespeople in their respective territories. Jim is a:
a. Regional Sales Manager
b. Field Sales Manager
c. Sales Support Officer
d. Sales Support Technician/Manager
e. Senior Sales Training Specialist
43. Alan is a sales manager who relies heavily on rewards and punishment to lead his salespeople. Alan would probably best be characterized as having a __________ leadership style.
a. transformational
b. traditional
c. non-traditional
d. transactional
e. coercive
44. The leadership style that concentrates on inspiring employees to engage in certain behaviors and to perform at high levels is known as the ____________ leadership style.
a. transformational
b. traditional
c. non-traditional
d. transactional
e. reward-based
45. Which of the following is not one of the sources of power described in the text?
a. The ability to provide rewards
b. The ability to provide punishment
c. Money
d. Organizational structure
e. Expertise
46. Jennifer is a Regional Sales Manager overseeing five districts and 30 salespeople and sales managers. When exercising her power, Jennifer should:
a. be reluctant to use any form of power.
b. be careful not to overuse the power of position or punishment.
c. reward all desired outcomes or behaviors.
d. minimize the power of her subordinates.
e. do all of the above.
47. The function of focusing on continually developing salespeople by providing feedback and serving as a role model is called?
a. Coaching
b. Sales management
c. Transactional leadership
d. Transformational leadership
e. Executive sales management
48. Which of the following is a type of reward/compensation system used to motivate and compensate salespeople?
a. Commission
b. Salary
c. Bonus
d. Salary plus commission
e. All of the above are correct
49. To be an effective coach, sales managers should do all of the following except?
a. Establish a team approach.
b. Document corrective actions expected of salespeople.
c. Serve as a role model.
d. Recognize that salespeople are individuals.
e. Communicate with each subordinate in the same way to ensure fairness.
50. An overall assessment of how well the sales organization achieved its goals and objectives is called?
a. Sales organization effectiveness
b. Salesperson performance
c. Sales goal congruence
d. Holistic goal performance
e. None of the above
51. A comprehensive systematic approach for evaluating sales organization effectiveness, which provides management with diagnostic as well as prescriptive information, is called?
a. Sales organization effectiveness
b. Salesperson performance
c. Sales goal congruence
d. Holistic goal performance
e. Sales organization audit
52. A ________ examines the sales organization's past, current, and future sales performance in comparison to projections, competition, and industry sales.
a. Sales analysis
b. Salesperson audit
c. Sales projection audit
d. Analysis of variance (ANOVA)
e. Cost analysis
53. How well salespeople perform the activities necessary to carry out their sales responsibilities as well as their results and contributions to organizational objectives is known as?
a. Sales organization effectiveness
b. Salesperson performance
c. Sales goal congruence
d. Holistic goal performance
e. None of the above
54. Which of the following is not one of the four key decision associated with conducting a sales analysis?
a. Unit of analysis
b. Production cost analysis
c. Type of sales
d. Method of analysis
e. Organization level of analysis
55. Tim has decided to conduct a sales analysis. He will be examining unit sales by district for each distribution channel. The one key decision regarding the sales analysis Tim still needs to make is _______?
a. Unit of analysis
b. Production cost analysis
c. Type of sales
d. Method of analysis
e. Organization level of analysis
56. Sharon has decided to conduct a sales analysis. She will be examining unit sales by district in the current period to unit sales by district in the previous period. The one key decision regarding the sales analysis Sharon still needs to make is _______?
a. Unit of analysis
b. Production cost analysis
c. Type of sales
d. Method of analysis
e. Organization level of analysis
57. A ________ assesses costs the sales organization incurs in the process of generating sales by comparing incurred costs with the planned costs in sales budgets.
a. Sales analysis
b. Salesperson audit
c. Sales projection audit
d. Analysis of variance (ANOVA)
e. Cost analysis
58. ________ evaluates the results from combining sales and cost data to identify and assess sales organization profitability.
a. Sales analysis
b. Profitability analysis
c. Sales projection audit
d. Opportunity analysis
e. Cost analysis
59. LaTosha is a salesperson in the performance assessment process. She is receiving feedback from her sales manager, sales support personnel, and her customers. This type of assessment is called?
a. Standard Performance Assessment
b. Circle to Center Assessment
c. 360-Degree Feedback
d. G.E. Sales Assessment
e. None of the above
60. Which of the following are the two types/categories of salesperson performance criteria?
a. Behavioral and Non-Behavioral
b. Behavioral and Outcome
c. Outcome and Income
d. Measured and Non-measured
e. Real and Imagined
61. Performance assessments that focus evaluating the actual sales results salespeople achieve are referred to as ______________.
a. Behavioral-based
b. Outcome-based
c. Measured
d. Non-measured
e. Real
62. ________ evaluations assess the activities salespeople perform in the generation of sales and in completing non-selling responsibilities.
a. Behavioral-based
b. Outcome-based
c. Measured
d. Non-measured
e. Real
63. ________ evaluations link outcome-based measures to behavior-based measures.
a. Outcome adjusted behavioral-based
b. Behavior adjusted outcome-based
c. Behaviorally anchored rating scales (BARS)
d. G.E. Sales Assessment
e. Exo-Endo
64. ____________ refers to the use of customer driven processes enabled by the latest web technology to co-create value with customers.
a. Customer Relationship Management (CRM)
b. Sales 2.0
c. Web 2.0
d. E-commerce
e. Social Networking
65. ____________ refers to the ability to create, access, and interact with networks of contacts electronically.
a. Customer Relationship Management (CRM)
b. Sales 2.0
c. Web 2.0
d. E-commerce
e. Social Networking
66. Dana is looking for a software application that will allow her sales organization to collect, manage, and utilize information about its customers in an effort to improve customer relationships and sales productivity. Dana should be looking for a _____________________ application.
a. Sales Force Automation (SFA)
b. Sales Productivity Enhancement (SPE)
c. Customer Relationship Management (CRM)
d. Consumer Relationship Management (CRM)
e. Real-Time Sales Performance Management (RTSPM)
67. Andrew uses a combination of software, content, and communications tools that can be accessed from many different devices to help him achieve his sales objectives. Andrew is taking advantage of __________________.
a. Social networking
b. Cloud computing
c. Sales Productivity Enhancement (SPE)
d. Consumer Relationship Management (CRM)
e. Multi-Tier Technology Tools (MTTT)
TRUE/FALSE
1. The first step of the sales management process is "directing the sales force".
2. Sales managers must have a deep understanding of the personal selling function in order to manage the sales management process.
3. Developing the sales force is concerned with getting the best sales talent and providing them with the knowledge and skills to be successful.
4. Before Jim, a sales manager, can begin thinking about "developing the sales force," he needs to first define the strategic role of the selling function.
5. Determining sales force effectiveness and performance is the first step of the sales management process.
6. Generally speaking, District Managers would report directly to Field Sales Managers.
7. Training and coaching the right skill sets is a sales management "best practice."
8. Giving salespeople continuous feedback in a positive manner is a sales management "best practice."
9. Giving salespeople sporadic feedback in both a positive and negative manner is a sales management "best practice."
10. Successfully executing a specific relationship strategy requires a unique selling strategy.
11. Sales managers should develop one or more relationship strategies before setting the corresponding selling strategies.
12. Sales managers should develop one or more selling strategies before setting the corresponding relationship strategies.
13. Developing an account targeting strategy involves classifying accounts into categories.
14. Susan is classifying her accounts into categories so that she can develop the appropriate relationship strategy for each category. usan is working on her account targeting strategy.
15. Susan is classifying her accounts into categories so that she can develop the appropriate relationship strategy for each category. Susan is working on her selling strategy.
16. The objective of a sales channel strategy is to ensure accounts receive proper selling effort and coverage.
17. Manufacturer representatives are employees of the company that manufactures the products they sell.
18. The "mental states" selling approach is appropriate for implementing a collaborative relationship strategy.
19. Jakeem wants to implement a collaborative relationship strategy. He should employ a "collaborative" selling approach.
20. According to the text, the use of team selling is increasing in many firms.
21. As a manufacturer representative, Susan sells products manufactured by other companies.
22. Independent representative is another name for a manufacturer representative.
23. Span of control refers to the number of individuals who report to each sales manager.
24. Connie sells all of her company's 20 products. Her company's sales structure is highly specialized.
25. When building a sales team that encourages the development of relationships with customers, a decentralized structure facilitates such decision making in the field.
26. The most widely used system for dividing responsibility is to organize the sales force on the basis of geographic territories.
27. The most widely used system for dividing responsibility is to organize the sales force by markets served.
28. One of the advantages of organizing the sales force by product is management control over selling effort allocated to products.
29. One of the advantages of organizing the sales force by function is efficiency in performing selling activities.
30. Management control over selling effort allocated to different markets is one of the advantages of organizing the sales force by product.
31. An examination of the tasks, duties, and responsibilities of the sales job is called a job analysis.
32. Locating prospective candidates is the first step in the recruitment and selection process.
33. Tom has just completed determining the job qualifications for a new position his company has open. His next step is to conduct a job nalysis of that position.
34. Planning for recruitment and selection is the first step in the recruitment and selection process.
35. Generally, a job description is written before a list of the job qualifications.
36. Career fairs are common internal sources of job candidates used to fill open positions.
37. Career fairs are common external sources of job candidates used to fill open positions.
38. Having employees refer sales candidates can be a very effective means of locating quality salespeople.
39. The final step in the recruitment and selection process is evaluating and hiring.
40. Private employment agencies will help located candidates for a fee, typically 15-25 percent of the first year's earnings.
41. Most companies hiring college graduates no longer use job applications, they rely on resumes for the information they need.
42. Bill is applying for a sales position and is asked to complete several different types of assessments. He may be asked to go to an assessment center to complete the assessments.
43. Sandy, a Regional Sales Manager wants to develop and implement a sales training program. Her first step in the sales training process should be to asses sales training needs.
44. Sandy, a Regional Sales Manager wants to develop and implement a sales training program. Her first step in the sales training process should be to set training objectives.
45. A needs assessment involves determining the extent to which the members of the sales force possess the desired skills, attitudes, perceptions, and behaviors.
46. Tim has just completed setting the sales training objectives. He should now focus on evaluating sales training alternatives.
47. Once the sales training alternatives are evaluated, sales training objectives should be set.
48. Sales leadership and sales management are essentially the same thing.
49. In order to have effective sales leadership skills, one must be a sales manager.
50. Field sales managers have multiple lower-level sales managers reporting to them.
51. Motivation is a function of persistence, direction, and intensity.
52. It's possible for a salesperson who is persistent to not have a lot of motivation.
53. The two broad categories of leadership styles are transactional and transformational.
54. Brandi is a sales manager focusing on outcomes. She motivates her salespeople by offering rewards for good performance and threatening punishments for poor performance. Sandy has a transformational leadership style.
55. Brandi is a sales manager focusing on outcomes. She motivates her salespeople by offering rewards for good performance and threatening punishments for poor performance. Sandy has a transactional leadership style.
56. Sales leadership that focuses on the relationship between the sales manager and each individual salesperson within the work unit is referred to as Leader-Member Exchange (LMX).
57. The ability to punish is a source of power.
58. Because they are not managers, salespeople can never possess any real power.
59. Good sales managers should be reluctant to use one or more sources of power.
60. Good sales managers reward all desired job outcomes or behaviors.
61. Sales managers are almost always good at coaching their salespeople.
62. To be an effective coach, sales managers should encourage salespeople to evaluate themselves.
63. Most sales organizations compensate salespeople with a combination of salary and commission.
64. Sales organization effectiveness is an overall assessment of how well the sales organization achieved its goals and objectives.
65. A sales organization audit is a systematic approach for evaluating sales organization effectiveness.
66. Before conducting a sales analysis, a sales manager must specify the organizational level of analysis.
67. The disadvantage of the sales organization audit is that it fails to identify the causes of problems identified through the process.
68. Sales organization audits analyze the sales organization environment.
69. Audits are best conducted by people inside the organization because they know and understand the sales force.
70. A sales analysis is another name for a cost analysis.
71. A sales analysis examines (estimated) future sales performance.
72. A growing trend in evaluating salesperson performance is the use of 360-degree feedback.
73. "Performance management" and "360-degree feedback" are essentially the same.
74. Bill evaluates his salespeople by working with them to review previous goals and setting new ones. This evaluation method is known as "performance management."
75. Behavior-based evaluation methods include measuring the extent to which the salesperson made quota.
76. The primary disadvantage of behaviorally anchored rating scales (BARS) is that they fail to include outcomes.
77. Under an outcome-based evaluation system, Susan (a salesperson) will likely be measured on how her actual sales compare to her sales quota.
78. Validity refers to the evaluation measures stability over time and internal consistency.
79. Reliability refers to the evaluation measures stability over time and internal consistency.
80. When developing a performance evaluation method, Karen (VP of Sales) should make sure the method is flexible enough to be different for each individual salesperson.
81. Developing a method of performance evaluation is time consuming but easy.
82. Sales 2.0 incorporates customer-driven processes.
83. CRM stands for Corporate Relationship Management.
84. Jerome is looking to integrate customer-driven processes into his information system so that he can work with his customers to Co-create value. Jerome should be looking at Sales 2.0 technology.
85. Social networking is great for personal relationships but is generally thought of as unprofessional in when used in a b2b context.
86. One of the goals of cloud computing is to make information available from a variety of communication devices.
COMPLETION
1. Managing an organizations personal selling function to include planning, implementing, and controlling the sales management process is called _____________________.
2. The classification of accounts within the target market into categories for the purpose of developing strategic approaches for selling each account or account group is called ______________.
3. _______________ refers to determination of the type of relationship to be developed with different account groups.
4. ______________ involves the planning of sales messages and interactions with customers (by group, by customer, or specific customer encounters.
5. The use of multiple-person sales teams in dealing with multiple-person customer buying centers is referred to as _________________.
6. Independence sales organizations that sell complementary, but not computing, products and different manufacturers are called _______________________.
7. The number of individuals reported each sales manager is called ________of control.
8. The ____________ focused organizational structure has as its disadvantages high cost, geographic duplication, and customer duplication.
9. Job __________ is an examination of the tasks, duties, and responsibilities of the sales job.
10. The first stage of the recruitment and selection process is __________________ for recruitment and selection.
11. The second stage of the recruitment and selection process is ___________ prospective candidates.
12. The third step of the recruitment and selection process is ___________ and hiring.
13. _____________is a written summary of the job.
14. ____________indicate the attitude, skills, knowledge, personal traits, and willingness to accept occupational conditions to perform the job.
15. The first step in the sales training process is to assess ________________________.
16. Sales ___________refers to activities that influence others to achieve shared goals to advance the organization.
17. Sales ___________refers to planning, implementing, and controlling the sales and sales management process.
18. Sales ____________ refers to sales managers working with subordinates, including salespeople and sales staff, on an ongoing basis.
19. Motivation is comprised of three dimensions: ______________, ______________, and _____________.
20. ___________ style refers to a general orientation applied to leadership activities. Two well-known categories of this are transactional and transformational.
21. Sales managers' ability to focus on continual development of salespeople through provision of feedback and serving as a role model is referred to as ________________.
22. Sales organization _________________ is an overall assessment of how well the sales organization achieved its goals and objectives.
23. A sales organization ______________ is a comprehensive, systematic approach for evaluating sales organization effectiveness, which provides management diagnostic as well as prescriptive information.
24. ________ analysis examines the sales organization's past, current, and future sales performance in comparison to projections, competition, and industry sales.
25. ________analysis assess costs the sales organization incurs in the process of generating sales by comparing incurred costs with planed costs and sales budgets.
26. ________ analysis evaluates the results from combining sales and cost data to identify and assess sales organization profitability.
27. __________________ involves performance assessment of a salesperson for multiple sources having a relationship with the salesperson (i.e., customers, managers, and staff).
28. _________________rating scales is a performance evaluation method with the ability to link salesperson behaviors with specific outcomes and allow managers to indicate the level of behavior a specific salesperson is achieved.
29. ___________ assess is the extent to which a measure is stable over time and exhibits the internal consistency.
30. ___________assess is the extent to which measures provide accurate assessments of the criteria they are intended to measure.
31. The use of customer-driven processes enabled by the latest Web technology to co-create value with customers is referred to as __________________.
32. CRM stands for __________________________________________.
33. ______________ refers to combining applications, communications, and content into one digital "cloud" that can be easily accessed from many different devices.
MULTIPLE CHOICE
1. The process of doing the right things and doing them well is called ____.
a. Setting objectives
b. Self-leadership
c. Setting goals
d. Territory management
e. Sales management
2. High performing salespeople with strong self-leadership skills:
a. Treat time as a valuable and irreplaceable resource
b. Rarely plan out their days because sales requires schedule flexibility
c. Leave at least two hours open in their daily schedules because sales requires schedule flexibility
d. Often have trouble because they try to squeeze to many appointments into each day
e. Are known for working harder not smarter
3. Kim does an excellent job of setting objectives for herself. Unfortunately, she rarely devotes any time to developing and executing plans to achieve those objectives. Kim is:
a. still likely to be successful
b. an ineffective self-leader
c. goal-directed
d. an effective self-leader
e. all of the above
4. Which the following is not one of the sequential stages of self-leadership?
a. Setting goals and objectives
b. Implementation of strategies
c. Taking advantage of technology
d. Assessment and evaluation
e. Motivating others
5. Ethan is a salesperson who likes to set goals and objectives. Within the context of effective self-leadership, Ethan sets goals and objectives because:
a. He is required to do so by his manager
b. Doing so helps him make better planning decisions
c. He wants to impress his manager
d. He wants to challenge himself to work harder
e. Each of the above is correct
6. Which the following is not one of the sequential stages of self-leadership?
a. Setting goals and objectives
b. Implementation of strategies
c. Taking advantage of technology
d. Assessment and evaluation
e. Each of the above is one of the sequential stages of self-leadership
7. The last stage of Self-Leadership is:
a. Tapping Technology
b. Territory Analysis
c. Reviewing goals with manager
d. Assessment and Evaluation
e. None of the above
8. Setting clear goals helps salespeople:
a. Focus on what's important
b. Know where to begin and how to proceed
c. Know when they've accomplished something important/strategic
d. Avoid drifting from task to task making little strategic progress
e. All of the above
9. Which of the following is not one of the characteristics of properly developed goals?
a. Easily obtainable
b. Realistic
c. Specific
d. Quantifiable
e. Time specific
10. Which of the following is not one of the characteristics of properly developed goals?
a. Time specific
b. Realistic
c. Specific
d. Quantifiable
e. All the above are characteristics of properly developed goals
11. Suppose a salesperson tells you that one of his/her goals is to increase sales by the end of the month. Which of the following is probably your best response if the salesperson asked you for feedback related to the goal?
a. That sounds like an effective goal, provided increasing sales is challenging to you.
b. That sounds like an ineffective goal because increasing sales is not realistic.
c. That sounds like an ineffective goal because it is not specific.
d. That sounds like an effective goal given that you've include a time frame.
e. None of the above is accurate.
12. Suppose a salesperson tells you that one of their goals is to increase sales by 5%. Which of the following is probably your best response if the salesperson asked you for feedback related to the goal?
a. That sounds like an ineffective goal because it does not include a time frame.
b. That sounds like an effective goal, provided increasing sales is challenging to you.
c. That sounds like an ineffective goal because increasing sales is not realistic.
d. That sounds like an effective goal because it is specific.
E. None of the above is accurate.
13. Suppose a salesperson tells you that one of their goals is to increase sales 5% by the end of the year. Which of the following is probably your best response if the salesperson asked you for feedback related to the goal?
a. That sounds like an ineffective goal because it does not include a time frame.
b. That sounds like an effective goal, provided such an increase it is realistic and challenging to you.
c. That sounds like an ineffective goal because it's very difficult to increase sales.
d. That sounds like an effective goal because it is objective.
e. None of the above is accurate.
14. Sharon has set her goals and objectives for the year. According to the Five Sequential Stages of Self-Leadership model, Sharon should now:
a. Seek her manager's input
b. Analyze her territory and classify accounts
c. Assess and evaluate her performance
d. Look for ways to automate the sales process
e. Make her first sales call for the new planning year
15. Which of the following is not one of the four levels at which salespeople should establish goals?
a. Company goals
b. Personal goals
c. Sales call goals
d. Account goals
e. Territory goals
16. Suppose a salesperson sets a personal goal to achieve an annual income of $100,000. What is the next goal the salesperson should set?
a. Company goals
b. Personal goals
c. Sales call goals
d. Account goals
e. Territory goals
17. Anthony is a salesperson for ABC Supplies. Based on his annual territory sales goal, he has set his annual account sales goals for his top 30 accounts. Next he needs to:
a. Set sales call goals for each account.
b. Call the accounts and tell them his objective.
c. Begin setting his personal goals.
d. Schedule his first sales call.
e. None of the above.
18. Based on the interdependence of the four types of salesperson goals, what should a salesperson's sales call goals be based on?
a. Company goals
b. Personal goals
c. Sales call goals
d. Account goals
e. Territory goals
19. Which of the following is not a source of information a salesperson can access when engaged in territory analysis and account classification?
a. Individual company web sites
b. Trade directories
c. Professional associations
d. Public libraries
e. All the above are valid sources
20. Placing existing customers and prospects in categories based on their sales potential is called ____.
a. Territory management
b. Prospecting
c. Account classification
d. Customer management
e. Sales management
21. What are the two commonly used methods for classifying accounts?
a. Single-factor analysis and ABC analysis
b. Single-factor analysis and portfolio analysis
c. Sales volume analysis and potential volume analysis
d. Potential sales analysis and Most Likely Sales (MLS) analysis
e. Most Likely Sales (MLS) analysis and Least Likely Sales (LLS) analysis
22. Suppose a salesperson is classifying accounts based on the level of sales potential. Which common method for classifying accounts is the salesperson using?
a. Single-factor analysis
b. Portfolio analysis
c. Sales volume analysis
d. Most Likely Sales (MLS) analysis
e. Least Likely Sales (LLS) analysis
23. Which common method for classifying accounts is popular because of its simplicity?
a. Single-factor analysis
b. Portfolio analysis
c. Sales volume analysis
d. Most Likely Sales (MLS) analysis
e. Least Likely Sales (LLS) analysis
24. Bill is in the process of reviewing his accounts. Bill classified his accounts using the Single-Factor Analysis method and is now developing his sales strategy. Bill should:
a. Spend most of his time attempting to develop B accounts into A accounts.
b. Turn over the A accounts to an account manager and begin looking for more C accounts.
c. Allocate the greatest portion of his time to the A and B accounts.
d. Allocate his time to the accounts designated as weak competitive position but high opportunity.
e. Divide his time equally among the accounts because each is as important as the other.
25. Suppose a salesperson is classifying accounts based on the level of sales potential and strength of relationship (buyer-seller). Which common method for classifying accounts is the salesperson using?
a. Single-factor analysis
b. Portfolio analysis
c. Sales volume analysis
d. Most Likely Sales (MLS) analysis
e. Least Likely Sales (LLS) analysis
26. During the process of account classification, it is not uncommon for salespeople to find ________?
a. 60 percent of their customers generate 30 percent of their sales potential.
b. 20 percent of their customers generate 80 percent of their sale potential.
c. 50 percent of their customers are high volume customers and 50 percent are low volume customers.
d. Most accounts can be classified into one of two categories.
e. Several accounts that generate little sales potential and even fewer that generate high sales potential.
27. Which common method for classifying accounts is growing in popularity because it is flexible and incorporates multiple variables?
a. Single-factor analysis
b. Portfolio analysis
c. Sales volume analysis
d. Most Likely Sales (MLS) analysis
e. Least Likely Sales (LLS) analysis
28. One of the primary objectives of portfolio analysis is __________________________?
a. To help salespeople better understand how to best allocate their resources.
b. To help salespeople eliminate the 10 percent of customers producing the least amount of sales.
c. To help salespeople develop a portfolio of customers.
d. To help salespeople divide their customer base by product type.
e. None of the above
29. Grace is attempting to classify a new account using portfolio analysis. She believes she is in a strong competitive position, but she also believes the account opportunity is low compared to other opportunities. Which of the following best represents what Grace's selling effort strategy should be?
a. Assign the account to a telemarketer until a breakthrough is made.
b. Make a heavy investment in the selling effort in an attempt to strengthen her competitive position.
c. Allocate a small portion of her time to the account until her competitive position improves.
d. Allocate a moderate level of selling effort in order to maintain the current competitive position.
e. Both A and C above are good options
30. Rhonda is attempting to classify a new account. She believes the account could be very profitable, but she also believes she is in a weak competitive position. Which of the following best represents what Rhonda's selling effort strategy should be?
a. Assign the account to a telemarketer until a breakthrough is made.
b. Make a heavy investment in the selling effort in an attempt to strengthen her competitive position.
c. Allocate a small portion of her time to the account until her competitive position improves.
d. Avoid calling on the account until her competitive position improves.
e. Attempt to maintain her competitive position while prospecting for new accounts.
31. The process of scheduling activities that can be used as a map for achieving objectives is referred to as:
a. Self-leadership
b. Territory analysis
c. Sales planning
d. Sales management
e. Portfolio analysis
32. According to the five sequential stages of self-leadership, what should salespeople do once they've completed their territory analysis and account classification?
a. Establish and implement selling task and activity plans
b. Establish territory routing plans
c. Tap into technology and automation
d. Both a and b are correct
e. None of the above
33. To maximize the effectiveness of daily plans, salespeople should adhere to which two guiding principles?
a. Make them clear and say them out loud
b. Make them clear and set them monthly
c. Put them in writing and say them out loud
d. Put them in writing and keep them current and flexible
e. All the above
34. Salespeople should base their daily plans on their what?
a. Annual plans
b. Sales call goals
c. Weekly plans
d. Daily budget
e. Daily sales revenue goals
35. In order to successfully establish territory routing plans, salespeople will need the information gained from ____.
a. Setting sales call goals
b. Setting personal goals
c. Territory analysis and account classification
d. Prospecting
e. A territory routing plan calculator
36. Which of the following common sales call routing plan patterns is best used when accounts are concentrated in different parts of the territory?
a. Straight line plan
b. Cloverleaf plan
c. Circular plan
d. Leapfrog plan
e. Major city plan
37. ___________ is a territory routing plan in which the salesperson, on each trip, works a different part of the territory and travels in a circular loop back to the starting point.
a. Straight line plan
b. Cloverleaf plan
c. Circular plan
d. Leapfrog plan
e. Major city plan
38. Which of the following common sales call routing plan patterns is best used when accounts are located in linear clusters that are some distance from one another?
a. Straight line plan
b. Cloverleaf plan
c. Circular plan
d. Leapfrog plan
e. Major city plan
39. Which of the following is not one of the common sales call routing plan patterns?
a. Straight line plan
b. Cloverleaf plan
c. Circular plan
d. Leapfrog plan
e. Sales volume aggregation plan (SVA Plan)
40. Scott is a salesperson with a very large territory and whose accounts are clustered in the several widely dispersed groups?
a. Straight line plan
b. Cloverleaf plan
c. Circular plan
d. Leapfrog plan
e. Major city plan
41. Which of the following common sales call routing plan patterns is best used when the territory is large and accounts are clustered in the several widely dispersed groups?
a. Straight line plan
b. Cloverleaf plan
c. Circular plan
d. Leapfrog plan
e. Major city plan
42. Which of the following statements about sales technology automation is untrue?
a. Many sales managers believe that the best salespeople are those who stay up with changes in, and developments of technologies with selling applications.
b. Sales force automation tools allow salespeople to expand their available resources for enhanced selling performance and outcomes.
c. For most salespeople, the use of sales technology improves their efficiency and productivity while reducing their creativity and ability to innovate.
d. Selling technology is changing rapidly.
e. All the above are true.
43. Which of the following is not one of the types of software applications a salesperson is likely to use when taking advantage of computer technology?
a. Presentation graphics
b. Word processing
c. Customer Relationship Management
d. Spreadsheets
e. They're likely to take advantage of all the above
44. Steve is looking for a way to analyze customer data from his territory in an effort to identify new opportunities for sales revenue growth. _______________ could help Steve with this task.
a. Conducting a sales audit
b. Cloud computing
c. Sales call auditing software
d. Deal analytics
e. Customer Relationship Management
45. "Smart" sales force automation tools that analyze data on past customer behavior, cross-selling opportunities, and demographics to identify areas of opportunity are referred to collectively as?
a. CRM
b. Cloud computing
c. Sales force automation
d. Deal analytics
e. None of the above
46. What is another name for a company's internal Internet?
a. Mainframe
b. Intranet
c. Local Area Network (LAN)
d. Extranet
e. None of the above
47. What is another name for a company's internal Internet that is securely linked up with its major customers and suppliers?
a. Mainframe
b. Intranet
c. Wide Area Network (WAN)
d. Extranet
e. None of the above
48. What is the last stage of the five stages of self-leadership?
a. Setting goals and objectives
b. Implementation of strategies
c. Taking advantage of technology
d. Assessment and evaluation
e. Motivating others
49. Offices set up at multiple locations where salespeople can access a wide range of selling technologies are called:
a. Web-based offices
b. High-tech sales support offices
c. Sales 2.O clouds
d. Extranet-enabled offices
e. None of the above
50. Successful teamwork usually results in synergy. Which of the following best describes what this means?
a. The output of the individuals is combined or "syn"thesized to increase productivity.
b. Working in teams saves energy.
c. The outcomes and results are greater for all parties than would be possible with multiple individuals acting independent of one another.
d. The outcomes and results are evenly shared among members resulting in greater harmony than would be possible with multiple individuals acting independent of one another.
e. None of the above are correct
51. Which of the following is not a type of internal partnership?
a. Sales partnerships
b. Marketing partnerships
c. Administrative support partnerships
d. Transportation partnerships
e. All of the above are types of internal partnerships
52. Which of the following is not a type of internal partnership?
a. Sales partnerships
b. Marketing partnerships
c. Administrative support partnerships
d. Management partnerships
e. Transportation partnerships
53. Suppose you are salesperson for a company that manufactures and sells industrial equipment. Two or three of your key accounts periodically have special delivery needs that are difficult to accommodate. Which of the following represents the action you should probably take to avoid losing the accounts by ensuring customer satisfaction among them?
a. Form a close partnership with your customer service department and have them alert you when these customers complain because their special delivery needs cannot be met.
b. Work closely with these key accounts and explain to them the difficulty in meeting their special delivery requirements.
c. Form a close partnership with individuals in the marketing department to design special marketing incentives that will offset your company's inability to meet the special delivery requirements of those key accounts.
d. Form a close partnership with individuals involved in order fulfillment (e.g., shipping and transportation) in an effort to make sure they are committed to meeting the special delivery requirements of those key accounts.
e. None of the above is appropriate.
54. Which of the following is not one of the six teamwork skills that salespeople must learn and sincerely apply in the process of building internal partnerships?
a. Understanding the other individuals
b. Attending to the little things
c. Keeping commitments
d. Expecting the best from each member
e. Clarifying expectations
55. Which of the following is not one of the six teamwork skills that salespeople must learn and sincerely apply in the process of building internal partnerships?
a. Understanding the other individuals
b. Attending to the little things
c. Keeping commitments
d. Clarifying expectations
e. Each of the above is one the six teamwork skills
56. It is very likely that you are either working in a group currently, or will before your formal education is complete. Which of the following things should you do to improve your value as a team member?
a. Show personal integrity
b. Apologize sincerely when a mistake is made
c. Keep commitments
d. Clarify expectations
e. You should do all of the above
TRUE/FALSE
1. Setting objectives is a critical component of self-leadership.
2. The first stage of self-leadership is territory analysis.
3. Effective goals need to be challenging and not constrained by time.
4. Effective goals are those that are easy for salespeople to obtain.
5. "Having the top territory in the company" is an example of an effective goal.
6. A salesperson's personal goals should be based on his/her sales call goals.
7. A salesperson's annual territory sales goals should be dependent upon his/her annual account sales goals.
8. A salesperson's desire to sell a certain amount of product within an area or territory in order to achieve personal goals is referred to a territory goal.
9. A goal of selling $30,000 in products to an account over the next 12 months is an example of a sales call goal.
10. A goal of selling $30,000 in products to an account over the next 12 months is an example of an account goal.
11. A salesperson's desire to sell a certain amount of product within an area or territory in order to achieve personal goals is referred to an ccount goal.
12. A salesperson's annual territory sales goals, annual account sales goals, and sales call goals should be interdependent.
13. The process of surveying an area to determine customers and prospects that are most likely to buy is referred to as territory analysis.
14. The process of surveying an area to determine customers and prospects that are most likely to buy is referred to as account classification.
15. Salespeople may use their buyers' public web sites as sources of information when classifying accounts and analyzing their territories.
16. Public libraries will be of little help to salespeople attempting to analyze their territories and classify their customers.
17. The process of placing existing customers and prospects into categories based on their potential as customers is referred to as territory analysis.
18. The process of placing existing customers and prospects into categories based on their potential as customers is referred to as account classification.
19. Single-factor analysis is a common method used for account classification.
20. Relative Purchase Frequency (RPF) is a common method used for account classification.
21. Portfolio analysis is a common method used for account classification because of its simplicity.
22. Portfolio analysis is more complex than single-factor analysis.
23. A salesperson wanting a more insightful classification method should use portfolio analysis rather than single-factor analysis.
24. A salesperson wanting a more insightful classification method should use single-factor analysis rather than portfolio analysis.
25. To plan effectively, salespeople should derive their long-term plans from their short-term plans.
26. An effective plan works like a map showing the way from where you are to where you want to go - your objectives.
27. Written plans are generally more effective than plans not written down.
28. Effective sales plans should be rigid once established.
29. Before salespeople can establish effective territory routing plans, they must know the required call frequency for each account.
30. The straight-line plan is best used when accounts are concentrated in different parts of the territory.
31. The cloverleaf territory routing plan is the best method for creating an effective territory routing plan.
32. Connie's accounts are evenly dispersed throughout her territory. She should probably utilize the circular route pattern when creating her territory routing plan.
33. Selling technology and automation have little to do with a salesperson's success.
34. It is extremely important that students wishing to pursue a career in professional selling be familiar with the various types of selling technology.
35. Deal analytics refers to a new set of "smart" tools in the area of sales force automation.
36. CRM applications are very similar to the spreadsheet applications.
37. Most selling technology is expensive and not really needed by most salespeople.
38. Intranets and Extranets can each be considered an example of a specialized Internet.
39. Extranets are generally accessible to the public.
40. Deal analytics help salespeople by analyzing historical sales data.
41. Some smart phones allow salespeople to access their CRM data without the use of a computer.
42. High-tech sales support offices are no longer needed because of the technology associate with laptop computers.
43. An important part of self-leadership is the ability to perform an effective self-assessment.
44. Salespeople involved in relational selling are becoming increasingly more independent of their organizations.
45. For most salespeople involved in relational selling, their success is dependent upon their ability to create and maintain both external and internal relationships.
46. Although some internal partnerships are important, it is unlikely that salespeople would ever need to form relationships with personnel working in the selling organization's shipping and transportation area.
47. Synergy refers to the value of the whole being greater than the value of the some of the parts.
48. Synergistic teamwork requires a commitment on the part of all parties to look for win/win solutions.
49. In order to maintain high customer satisfaction, it is often important for salespeople to form close internal partnerships with their customer service personnel.
50. Common courtesy is important to successful teamwork.
51. Sam wants to be an effective team leader. To improve his effectiveness, Sam should empower his team members by keeping his expectations ambiguous (allowing the team will be more creative).
52. The most effective teams are the ones in which team members compete against each other to produce the best performance outcome.
53. Once salespeople are fully trained, they rarely need to "team-up" with anyone from inside the company.
54. When working in teams, it's important to focus on the task at hand and not worry so much about "the little things."
55. Personal integrity is important to successful teamwork.
56. When you begin working in a group, one of the first things you should do is to clarify expectations.
57. Keeping commitments is essential for successful teamwork.
58. When a team member makes a mistake, he/she should apologize even if it's insincere.
COMPLETION
1. The process of doing the right things and doing them well is called ______________.
2. The first stage of Self-Leadership is _____________________.
3. The last stage of Self-Leadership is _____________________.
4. Increase sales by 10%, although realistic, is not an effective goal because it is not ____________.
5. Increase sales by the end of the quarter, although realistic, is not an effective goal because it is not ___________.
6. Goals should be realistic, yet ______________.
7. Goals should be __________ and quantifiable.
8. Goals should be quantifiable, realistic, and ______ specific.
9. Julie, a salesperson, has just set as a personal goal to achieve an annual income of $100,000 next year. She now needs to set her ____________ goals.
10. A salesperson's desire to sell a certain amount of product to one customer or account in order to achieve territory and personal goals is called a/an ___________ goal.
11. A salesperson's desire to sell a certain amount of product within an area or territory in order to achieve personal goals is called a/an ____________ goal.
12. ________ goals should be set immediately prior to territory goals.
13. __________ analysis is the process of surveying an area to determine customers and prospects that are most likely to buy.
14. The process of placing existing customers and prospects into categories based on their sales potential is called ____________ classification.
15. Carol classifies her accounts based on sales revenue. Carol is using ___________ analysis to classify her accounts.
16. Dwight classifies his accounts based on sales potential and competitive position. Dwight is using __________ analysis to classify his accounts.
17. It is not uncommon for salespeople to find that 20% of their customers generate __% of their sales potential.
18. The process of scheduling activities that can be used as a map for achieving objectives is called __________ planning.
19. To maximize the effectiveness of daily sales plans, salespeople should remember to "do them, and do them _____________".
20. To maximize the effectiveness of a daily sales plan, salespeople should remember to "keep it current and __________.
21. The _______________ routing plan works best when accounts are located in clusters that are some distance apart.
22. Steve's works his territory by starting at his office and working out in one direction until he reaches the end of his territory. Steve is using a _______________ routing plan.
23. The _______________ routing plan works best when accounts are concentrated in different parts of the territory.
24. The _______________ routing plan works best when the territory is large and accounts are clustered into several widely dispersed groups.
25. When Sam is calling on his accounts, he starts near his office and moves in an expanding pattern of concentric circles that spiral across the territory. Sam is using a ______________ routing plan.
26. A ___________________ is a territory routing plan used when the territory is composed of a major metropolitan area and the territory is split into a series of geometric shapes.
27. CRM stands for _________________________________________.
28. _____________________ are "smart" sales force automation tools that analyze historical sales data in order to identify sales opportunities.
29. ______________ are secured networks within the organization using the Internet or commercial channels to provide direct linkages between company units and individuals.
30. ______________ are a form of intranet that is still restricted but links to specific suppliers and customers to allow them controlled access to the organization's network and databases.
31. Mobile salesperson ______________ solutions are wireless broadband applications that enable users to view, create, and modify customer data on any internet-capable device such as smartphones, netbooks, and laptops.
32. ______________ relationships are relationships salespeople build with customers outside the organization and working environment.
33. _____________ relationships are relationships salespeople have with other individuals in their own company.
34. _____________ skills are skills salespeople must learn to build internal partnerships that translate into increased sales and organizational performance.
35. One of the six teamwork skills salespeople must learn to and sincerely apply in their process of building internal partnerships is the ability "___________ to the little things."
36. One of the six teamwork skills salespeople must learn to and sincerely apply in their process of building internal partnerships is the ability "___________ the other individuals."
37. One of the six teamwork skills salespeople must learn to and sincerely apply in their process of building internal partnerships is the ability to "___________ commitments."
38. One of the six teamwork skills salespeople must learn to and sincerely apply in their process of building internal partnerships is the ability to "___________ expectations."
39. One of the six teamwork skills salespeople must learn to and sincerely apply in their process of building internal partnerships is the ability to "show personal __________."
40. One of the six teamwork skills salespeople must learn to and sincerely apply in their process of building internal partnerships is the ability "___________ sincerely when a mistake is made."Chapter 9-Expanding Customer Relations
MULTIPLE CHOICE
1. Which of the following is not one of the ways salespeople can convert new customers into highly committed lifetime customers?
a. Building goodwill by continually adding value to the product or service through appropriate follow-up.
b. Handling complaints in a timely and thoughtful manner.
c. Processing requests for rush deliveries willingly and assuring the customer that the salesperson will do everything possible to make that request happen.
d. Make sure to discount the price of the product as much as possible without realizing and net loss.
e. All of the above are correct.
2. Adding value refers to the process of:
a. Increasing the price
b. Increasing revenue
c. Improving a product or service for the customer
d. Doing more with less
e. Obtaining competitive information
3. Natalie is a salesperson for an office supply company. Which of the following activities is appropriate for Natalie to engage in if she is interested in converting her customers into highly committed lifetime customers?
a. Handle complaints in a timely manner
b. Add value
c. Process requests for rush deliveries willingly
d. Cut the price as often as possible
e. A, B, and C are correct.
4. Ethan is a salesperson for an industrial equipment manufacturer. Once a prospect becomes a new customer, Ethan looks for ways to improve the products and services his company provides the new customer in order to convert him/her into a loyal customer. In other words, Ethan looks for ways to:
a. Sell more
b. Add value
c. Keep up-to-date
d. Stay competitive
e. Both A and C are correct.
5. Why is it important to assess customer satisfaction?
a. Doing so helps build customer trust
b. Doing so provided competitive information
c. It isn't important as long as the company is profitable
d. Assessing satisfaction is a ploy used to begin the next sales cycle
e. Both A and C are correct.
6. Which of the following is not one of the specific components of effective follow-up?
a. Interact
b. Connect
c. Know
d. Relate
e. Encourage
7. Which of the following components of effective follow-up reflects a salesperson's actions that maximize the number of critical encounters with buyers in order to encourage effective dialogue?
a. Interact
b. Connect
c. Know
d. Relate
e. Encourage
8. Which of the following components of effective follow-up reflects a salesperson's actions that create and maintain contact with influential (related to the purchasing decision) people in the buying organization.
a. Interact
b. Connect
c. Know
d. Relate
e. Encourage
9. Which of the following components of effective follow-up reflects a salesperson's ability to develop insight regarding the buyer's changing situation, needs, and expectations?
a. Interact
b. Connect
c. Know
d. Relate
e. Encourage
10. Which of the following components of effective follow-up reflects a salesperson's ability to apply relevant understanding and insight to create value-added interactions?
a. Interact
b. Connect
c. Know
d. Relate
e. Encourage
11. Kim is a salesperson who is able to use her knowledge of her customers and their industries to create value-added interactions and generate meaningful relationships between her and her customers. Which of the four sequential components of effective follow-up is Kim utilizing?
a. Interact
b. Connect
c. Understand
d. Relate
e. Encourage
12. Scott is a salesperson who works to maximize the number of critical encounters with his customers in order to encourage effective dialogue. Which of the four sequential components of effective follow-up is Scott utilizing?
a. Interact
b. Connect
c. Understand
d. Relate
e. Encourage
13. Grace is a salesperson who strives to build relationships with multiple individuals in her customers' organizations. Which of the four sequential components of effective follow-up is Grace utilizing?
a. Interact
b. Connect
c. Know
d. Relate
e. Encourage
14. Which of the following is accurate regarding the impact of technology on customer relationship management?
a. Buyers can place orders without the salesperson's involvement.
b. Buyers may have continuous real-time access to the selling organization.
c. Salespeople are more readily able to analyze customer information.
d. Salespeople have more timely, and perhaps expanded, access to their companies records and interactions (e.g., customer service, order fulfillment, etc.) concerning their customers.
e. All of the above are accurate.
15. CRM is an acronym for:
a. Customer Relationship Maker
b. Consumer Relationship Maker
c. Customer Relations Manager
d. Customer Relations Management
e. Customer Relationship Management
16. Which of the following is not one of the recommended partnership enhancement activities?
a. Train customer personnel
b. Resolve complaints
c. Follow-up daily
d. Correct billing errors
e. Expedite orders
17. Suppose you're a salesperson for an industrial machine manufacturer. How can you demonstrate to your customers your commitment to building mutually satisfying long-term relationships?
a. When they place an order, be sure to show sincere gratitude and then assure the customer that you'll be back when it's time for them to make another purchase.
b. Avoid calling on the customers unless you have something you think they'd be interested in purchasing.
c. Follow-up with your customers on a regular basis and be especially attentive after they've placed an order.
d. Avoid talking with anybody else in the organization other than the buyer.
e. All the above are correct.
18. Which of the following is not a relationship-enhancement activity?
a. Remembering the customer after the sale
b. Correcting billing errors
c. Encouraging complaints
d. Expediting orders
e. All of the above are relationship-enhancement activities
19. Which of the following is not a relationship-enhancement activity?
a. Remembering the customer after the sale
b. Correcting billing errors
c. Resolving Complaints
d. Expediting orders
e. All of the above are relationship-enhancement activities
20. Which of the following methods of post-sale follow-up is probably most effective?
a. A personal visit
b. Phone call
c. E-mail
d. Handwritten note
e. Both a and b are correct
21. Which of the following are post sale follow-up methods available to salespeople for providing useful information to their customers?
a. A personal visit
b. Phone call
c. E-mail
d. Handwritten note
e. All the above
22. Suppose you are a salesperson for a corporate jet manufacturer. You know from experience that after placing an order most customers will have questions or concerns. Which of the following post sale follow-up methods are appropriate for you to utilize?
a. A personal visit
b. Phone call
c. E-mail
d. Handwritten note
e. Both a and b are correct
23. Even though salespeople rarely are responsible for installation, why might it be helpful for salespeople to be present when their products are being installed?
a. This allows the salesperson the opportunity to sell the customer additional products.
b. Installation teams usually do not possess the same relational skills that salespeople do.
c. The salesperson may have to cover up installation or order processing mistakes.
d. The salesperson can immediately answer questions or concerns the buyer may have as a result of installation.
e. Both b and d are correct.
24. With respect to customer training, salespeople should
a. Leave the training to the training experts.
b. Encourage customers to provide their own training.
c. Always use it as a bargaining tool when trying to get the buyer to make a purchase.
d. Be involved either directly or indirectly in the training process unless otherwise specified by the customer.
e. None of the above are correct.
25. When a post-sale customer complaint arises, the salesperson should:
a. Find out who's responsible for the problem and subsequently inform the buyer.
b. Reassure the customer that their complaints or concerns are minor.
c. Accept responsibility for the problem regardless of who in the selling organization is at fault.
d. Take immediate steps to correct the problem.
e. Both c and d are correct.
26. Suppose you are salesperson for FedEx. Which of the following actions would you take to ensure you are made aware of any concerns your customers may have?
a. Meet with your customers periodically, even after a sale.
b. Encourage your customers to be candid with you.
c. Meet with your customer service department twice a year to check for customer complaints.
d. Make sure you address and resolve all concerns so that customers will feel more confident about airing subsequent concerns.
e. A, B, and D are correct
27. Which of the following is the best method a salesperson can utilize for reducing customer complaints?
a. Manage customer expectations (e.g., don't over promise)
b. Follow up daily or even hourly with the order fulfillment department
c. Offer the customer discount at the first sign of trouble to
d. Avoid contacting the customer until several weeks after the product is delivered
e. Both b and c are correct
28. LaTosha is very good at getting customers to purchase her company's products. However, her customers are usually dissatisfied with the performance of the products even though they perform as well if not better than the competition's products. Which of the following is most likely the problem?
a. LaTosha is setting her customers' expectations too high.
b. LaTosha's customers are hard to satisfy.
c. LaTosha isn't doing a good job of prospecting.
d. LaTosha's company makes inferior products.
e. LaTosha is setting her customers' expectations too low.
29. LaTosha is very good at getting customers to purchase her company's products. However, her customers are usually dissatisfied with the performance of the products even though they perform as well if not better than the competition's products. Which of the following is most likely the problem?
a. LaTosha is setting her customers' expectations too low.
b. LaTosha's customers are easy to satisfy.
c. LaTosha isn't doing a good job of prospecting.
d. LaTosha's company makes inferior products.
e. None of the above are correct.
30. Susan always asks her customers to be candid with her, especially when it comes to their satisfaction. Susan:
a. Is encouraging critical encounters.
b. Is avoiding critical encounters.
c. Is hoping the customers won't complain
d. Doesn't really want their feedback.
e. Is hoping her customers will complain.
31. Which of the following is not one of the steps for handling complaints?
a. Get the whole story
b. Ask the customer to provide a written summary of the problem
c. Ask the customer what he/she would like you to do
d. Gain agreement on a solution
e. Follow through on all promises
32. Which of the following is not one of the steps for handling complaints?
a. Get the whole story
b. Ask the customer what he/she would like you to do
c. Gain agreement on a solution
d. Follow through on all promises
e. All the above are steps for handling complaints
33. Problems that result in the customer severing the relationship with the seller may be avoided by:
a. Always having the lowest price.
b. Always delivering on time.
c. Maintaining open, two-way communication.
d. Involving Upper level management.
e. Avoiding the customer.
34. Suppose you are a salesperson for an office supply company. One of your customers left you a message indicating that they were unhappy about the last order they received. While on your way to visit the customer to discuss the problem, you decide to review your procedure for handling complaints. What is the first thing you need to do to resolve customer's complaint?
a. Ask the customer what he/she would like you do.
b. Ask the customer to explain the problem and then listen carefully to get the whole story.
c. Offer the customer a discount on their next order.
d. Inform the customer that you will not charge them for the order.
e. None of the above are correct.
35. Suppose you're a salesperson for a beer and wine distributor. One of your customers has just finished telling you they are unhappy because their last order contained several broken bottles. What should you do after expressing empathy and taking responsibility for the problem?
a. Offer the customer a discount on avoids next order.
b. Reimburse the customer for the broken bottles.
c. Ask the customer what he/she would like you to do.
d. Allow the customer to the vent.
e. Both a and to b
36. When handling customer complaints it is important to ask of the buyer what he/she would like to have happen in order to resolve the issue. By doing this, the salesperson:
a. Avoids proposing an insufficient solution.
b. Avoids proposing a solution that over-compensates for the problem.
c. Will understand what the buyer wants to correct the problem.
d. Is more likely to gain the customer's agreement to the solution if it is viable.
e. All of the above.
37. What should the salesperson do next if the complaining customer proposes a viable way (some action) to resolve the complaint?
a. Allow the customer to vent
b. Follow through with what the customer suggests
c. Offer the customer an alternative resolution
d. Gain the customer's agreement that the action will resolve the complaint
e. All the above
38. What should the salesperson do next if the complaining customer proposes a nonviable way (some action) to resolve the complaint?
a. Allow the customer to vent
b. Follow through with what the customer suggests anyway
c. Thank the customer for the suggestion and then offer the customer an alternative resolution
d. Gain the customer's agreement that the action will resolve the complaint
e. All the above
39. Tony is a salesperson dealing with a customer complaint. Tony's customer is asking for a resolution Tony knows is nonviable. Tony should:
a. Allow the customer to vent more.
b. Tell the customer no.
c. Thank the customer for the suggestion and then offer an alternative solution.
d. Agree to the resolution even though he knows his company won't be able to follow through on his promise.
e. Tell the customer to think again.
40. Once the salesperson and the customer have agreed upon how to resolve the complaint, the salesperson should do what?
a. Make sure the customer has realistic expectations and then implement the solution.
b. Allow the customer to vent.
c. Implement the solution.
d. Get the agreement in writing.
e. Both c and d
41. When resolving complaints, salespeople often make promises to the customer. Which of the following best reflects what the salesperson should do regarding those promises?
a. The salesperson should strive to over-promise and under-deliver
b. The salesperson should strive to under-promise and over-deliver
c. Follow through on all promises except those that cost the selling organization money
d. Follow through and all promises except those costing more than the profit made from the sale
e. Both b and d are correct
42. Maintaining open, two-way communication with a customer is easier when:
a. The customer believes the salesperson is sincere and responsive
b. The salesperson memorizes the customer's phone number
c. The salesperson engages the buyer in periodic meetings
d. The customer is content and not in need of any contact with the salesperson
e. Both A and C are correct
43. Which of the following is not a method a salesperson might use to expand collaborative involvement between the selling organization and the customer's organization?
a. Hosting a week-long series of seminars for the customer's organization
b. Initiating and enhancing relationships between multiple key individuals in both organizations
c. Refer the customer to customer service when complaints arise so that the customer will get know the customer service agents
d. Host social engagements to allow key individuals from both organizations get to know each other
e. All of the above are ways to expand collaborative involvement
44. Which of the following is not a method a salesperson might use to expand collaborative involvement between the selling organization and the customer's organization?
a. Hosting a week-long series of seminars for the customer's organization
b. Initiating and enhancing relationships between multiple key individuals in both organizations
c. Have key personnel from the selling organization meet with individuals from the buying organization
d. Host social engagements to allow key individuals from both organizations get to know each other
e. All of the above are ways to expand collaborative involvement
45. Susan is a sales representative for an industrial chemical company. Over the course of the next few months Susan is going to try to have people from the R&D department visit her customers to see how they use the products. Which of the following explains why Susan is going to all of this trouble?
a. She wants the people from the R&D department to handle complaints.
b. She's making an effort to expand collaborative involvement between her company and her key accounts.
c. She is trying to impress her customers.
d. She is trying to build good will with her customers
e. Both a and c
46. Which of the following statements regarding customer expectations is appropriate for salespeople to remember?
a. Many relationships fail due to unmet expectations
b. The higher the customer's expectations, the better, provided the seller can meet or exceed those expectations
c. Salespeople must be able to manage their customers' expectations
d. Customer dissatisfaction is often the result of unmet expectations
e. All of the above are correct
47. For many salespeople, the core products that they're selling provide the same features and benefits as those of their competitors. Which of the following statements is true regarding this sort of competitive environment?
a. The best way to build long-term relationships is to offer the lowest price.
b. The best way to build long-term relationships is to offer superior service quality.
c. Competing on price produces customers who are price loyal and, consequently, difficult to keep.
d. This sort of competitive environment is rare.
e. Both b and c are correct.
48. Which of the following is not one of the four benefits of service enthusiasm that allow the sales organization to gain an advantage over its competitors?
a. Service enthusiasm helps the salesperson build a strong reputation
b. Service enthusiasm eliminates customer complaints
c. Service enthusiasm reduces mistakes thereby improving profitability
d. Service enthusiasm helps customers feel more comfortable complaining
e. Service enthusiasm stimulates interest in the selling organization
49. Which of the following is not one of the four benefits of service enthusiasm that allow the sales organization to gain an advantage over its competitors?
a. Service enthusiasm helps the salesperson build a strong reputation
b. Service enthusiasm reduces mistakes thereby improving profitability
c. Service enthusiasm helps customers feel more comfortable complaining
d. Service enthusiasm stimulates interest in the selling organization
e. All the above are correct
50. Anthony is a purchasing agent for a hospital. One day the hospital receives a shipment from of its suppliers with several items missing. Anthony calls the supplier and talks to a customer service representative who is very friendly and helpful. Anthony calls the supplier again the next day but talks to a different customer service representative. This customer service representative is not as friendly and not as helpful. Which of the following describes the problem the supplier has with customer service?
a. Customer service people are hard to train.
b. The quality of the service provided is inconsistent across customer service agents.
c. The first customer service agent set an unrealistic expectation.
d. The second customer service agent needs more training.
e. None of the above.
51. Which of the following is not one of the expectations customers have when dealing with customer service personnel?
a. Assurance
b. Empathy
c. Capitulation
d. Resolution of complaints
e. All the above
52. Mathew has called the customer service department of one of his suppliers to make a complaint. The customer service agent acts indifferent to Mathew's problem but agrees to resolve the issue. The customer service agent should have:
a. Not resolved the issue until they had the whole story.
b. Been more empathetic to Mathew's situation.
c. Asked Mathew more questions.
d. Capitulated to Mathew's demands at the start of the conversation.
e. Done none of the above.
53. Which of the following is not one of the questions a salesperson must ask when developing a service strategy?
a. What is our business?
b. Who are our customers?
c. What do we do best?
d. What can we do better?
e. All of the above are questions a salesperson must ask when developing a service strategy.
54. Ultimately, who is responsible for differentiating a company's products and positioning those products in the minds of its customers?
a. The company's senior management
b. The company's marketing department
c. The company's product managers
d. That company's salespeople
e. None of the above
55. What is the most important customer service dimension?
a. Communication
b. Reliability
c. Resilience
d. Motivation
e. Anticipation
56. Which the following is not one of the customer service dimensions?
a. Communication
b. Reliability
c. Resilience
d. Service motivation
e. All the above are customer service dimensions
57. What is the customer service dimension that refers to a salesperson's ability to maintain a positive attitude regardless of how they are treated by customers?
a. Communication
b. Reliability
c. Resilience
d. Motivation
e. Anticipation
58. What is the customer service dimension that refers to a salesperson's desire to work with and properly service customers on a daily basis?
a. Communication
b. Reliability
c. Resilience
d. Service motivation
e. Anticipation
59. Salespeople looking for ways to take relationships with their customers to higher levels after the sales should:
a. Seek to expand collaborative involvement.
b. Sell more products to those customers.
c. Encourage and seek open communication
d. Lower their prices.
e. Both a and c are correct.
TRUE/FALSE
1. Using exaggeration to get an order is a generally accepted practice in professional selling.
2. Routine follow-up with customers is important to building successful long-term relationships.
3. Building goodwill is important to converting new customers to committed lifetime customers
4. Handling complaints in any manner as long as they are handled is important to building successful long-term relationships.
5. Processing requests for rush deliveries is unimportant to building successful long-term relationships.
6. Unfortunately, many companies do a poor job understanding and satisfying their customers.
7. New customers generally feel special because they have received a lot of attention.
8. Most companies do a good job of understanding and satisfying their customers.
9. Long-term customers may feel neglected because the salesperson has many new customers and cannot be as attentive as he or she was previously.
10. Computer technology can help salespeople assess enhance follow-up activities with their customers.
11. A salesperson should actively seek and manage information gathered through buyer-seller contact and collaboration to develop insight regarding the buyer's changing situation, needs, and expectations.
12. Computer technology is helpful to salespeople, but only in that it can help them track their customers.
13. The salesperson should encourage critical encounters with their customers to encourage effective dialogue.
14. A salesperson should focus only on one individual in the buying organization, concentrating his/her sales resources there.
15. Providing customers with high-quality information is an activity that will help salespeople enhance their relationships with those customers.
16. It's not uncommon for buyers to feel neglected by the salesperson once they've placed an order.
17. Traditional selling and relational selling are pretty much the same with respect to post-sale follow-up activities.
18. With respect to relational selling, it is the salesperson's job to follow-up with the customer after a sale has been made in order to ensure customer satisfaction.
19. Although not to be used alone, a handwritten thank you card to a customer is always a good form of customer follow-up.
20. E-mail is a good way to stay in touch with the customer because it guarantees the customer will get the message.
21. One advantage of computer technology is that salespeople can now track their orders in real time and, subsequently, relate the appropriate information to their customers.
22. Unless the delivery delay is going to be very long, it is unwise to alert the buyer to minor delivery delays.
23. For the relational salesperson, it's safe to say that the real work does not begin until after the order is signed.
24. If customer training is necessary, the salesperson should probably always be present or at least readily available to the customer.
25. A salesperson should take responsibility for problems anyone in the selling organization has caused the buyer.
26. In order to avoid damage to the buyer-seller relationship, the salesperson should blame other members of the selling organization for any problems which lead to a customer complaint.
27. A customer's problems not being taken seriously by the selling organization is a typical customer complaint.
28. Some customers will not complain because they feel that their salespeople should be able to read their signals of dissatisfaction.
29. The first step in the complaint handling process is to ask the customer what he or she would like you to do.
30. One of the first things the salesperson should do when dealing with a complaint is let the customer vent.
31. A salesperson should determine ahead of time what a customer is going to complain about so that the customer does not have to go through the process of explaining it.
32. Salespeople should avoid letting their complaining customers vent because it only makes matters worse.
33. Whenever possible, the salesperson should avoid letting the customer determine the best option for resolving the complaint.
34. Before implementing a solution, the salesperson should seek the buyer's agreement that the solution will resolve the complaint.
35. When resolving complaints, salespeople should focus on what they can do rather than what they can't do for the customer.
36. Salespeople should make sure that their customers have accurate expectations about how the complaint will be resolved.
37. Once the sale has been made and the product delivered, the buyer does not want to hear from the salesperson until it is time to order again.
38. An open communication line is critical if salespeople are to build a long-term relationship with their customers.
39. Salespeople should always encourage their customers to express their complaints.
40. Salespeople involved in relational selling should strive to expand the collaborative involvement between the buyer's and the salesperson's organization.
41. Seminars, training sessions, and social engagements are good ways for a salesperson to expand the collaborative involvement between his/her organization and customers.
42. Holding social engagements with customers is an unethical way to expand collaborative involvement.
43. Salespeople should be careful not to encourage relationships between engineers from the selling organization and individuals in the customer's organization because engineers don't understand how to sell.
44. "Moments of truth" are important, but do not have any long-term impact on the relationship between the buyer and the seller.
45. Superior service quality is becoming an increasingly popular strategy for differentiation among many organizations.
46. Each time a customer interacts with a member of the selling organization it is referred to as a moment of truth.
47. A salesperson should refrain from showing anger toward a customer unless the customer displays anger first.
48. Resilience and shrewdness are important characteristics for salespeople to have when dealing with customer complaints.
49. Resilience and shrewdness are important characteristics for salespeople to have when dealing with customer complaints.
50. Service motivation is an important customer service dimension.
COMPLETION
1. One of the relationship detractors discussed in the text is for the salesperson to focus on the _____-_____ as opposed to the long-term.
2. One of the relationship detractors discussed in the text is for the salesperson to _____-promise and under-deliver.
3. One of the relationship enhancers discussed in the text is for the salesperson to ________ ________ for problems.
4. One of the relationship enhancers discussed in the text is for the salesperson to contact customers on a _____________ basis.
5. ______________refers to the process of converting new customers into lifetime customers by continually adding value to the product.
6. ____________refers to the process of improving a product or service for the customer.
7. The four sequential components of effective follow-up include _____________, _____________, _____________, and Relate.
8. The four sequential components of effective follow-up include Interact, _____________, Know, and Relate.
9. The four sequential components of effective follow-up include __________, Connect, Know, and Relate.
10. The salesperson attempting to maximize the number of critical encounters with buyers in order to encourage effective dialogue is pursuing _______________, one of the four sequential components of effective follow-up?
11. ____________refers to the salesperson's ability to maintain contact with multiple individuals in the buying organization influencing purchase.
12. The fourth component of effective follow-up is ________________. This refers to the salesperson applying relevant understanding and insight to create value-added interactions.
13. CRM is an acronym for _______________ _______________ _______________.
14. An organizations dedicated and proprietary computer network offering password-controlled access to people within and outside the organization is referred to as a/an _______________.
15. ______________refers to proprietary computer networks created by an organization for use by the organization's customers or suppliers and linked to the organization's internal systems, information databases, and intranet.
16. One of the ways to ensure customer satisfaction is to provide ______________information.
17. By providing useful ____________, the salesperson is demonstrating a commitment to the buyer.
18. One of the ways to ensure customer satisfaction is to ______________orders and monitor installation.
19. One of the ways to ensure customer satisfaction is to ___________the customer after the sale.
20. Meetings in which the salesperson encourages the buyer to discuss tough issues, especially in areas where the salespersons organization is trying less than satisfactory performance are called _______________.
21. When handling complaints, the salesperson should listen carefully and get the ______________story.
22. The final step of the complaint handling process is to follow through on _________________.
23. Salespeople must maintain open, _________________communication with customers after the initial sale in order to build a relationship.
24. __________________ is a way to build on buyer-salesperson relationships in which the buyer's organization and salesperson's organization join together to improve an offering.
25. In markets where it's hard to differentiate the core products, more and more companies are turning to _________________as a strategy to acquire and maintain customers.
26. _____________ refers to the extent to which the salesperson and the selling organization meet or exceed customer service expectations.
27. One of the customer expectations of salespeople is that they will expeditiously resolve _____________, mistakes, or defects.
28. _____________________ is a plan in which the salesperson identifies his or her business and customers and what the customers want and what is important to them.
29. ___________refers to the ability of the salesperson to get knocked down several times a day by a customer's verbal assault and get right back up with a smile and ask for more.
30. One of the important questions a salesperson must ask when developing a server strategy is "how do customers rate as in terms of their _______________?"
31. ____________is the desire of a salesperson to service customers each day.