Customer Relationship Management Final Test Solutions - 1508 Verified Questions

Page 1


Customer Relationship Management

Final Test Solutions

Course Introduction

Customer Relationship Management (CRM) is a comprehensive course designed to introduce students to the concepts, strategies, and technologies that organizations use to manage and analyze customer interactions and data throughout the customer lifecycle. The course explores the importance of building and maintaining long-term relationships with customers to enhance satisfaction, loyalty, and profitability. Topics include customer data management, CRM software and tools, segmentation, personalized marketing, sales force automation, and customer service strategies. Through case studies and practical applications, students will learn how to develop and implement effective CRM strategies that drive business success in competitive markets.

Recommended Textbook Management of a Sales Force 12th Edition by

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17 Chapters

1508 Verified Questions

1508 Flashcards

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Chapter 1: The Field of Sales Force Management

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93 Verified Questions

93 Flashcards

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Sample Questions

Q1) An element of a company's marketing mix that is not part of its communications mix is:

A)Distribution.

B)Advertising.

C)Sales promotion.

D)Personal selling.

E)Publicity.

Answer: A

Q2) The Internet is used by salespeople for:

A)Prospecting

B)Product development

C)Placing orders

D)Competitive reporting

E)All of these

Answer: E

Q3) The Internet is replacing salespeople.

A)True

B)False

Answer: False

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Page 3

Chapter 2: Strategic Sales Force Management

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79 Verified Questions

79 Flashcards

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Sample Questions

Q1) The forces of competition are generally under the sales manager's control.

A)True

B)False

Answer: False

Q2) Companies are adding new channels of distribution to their existing ones to lower costs.

A)True

B)False

Answer: True

Q3) A tactic is what a manager does to implement a plan.

A)True

B)False

Answer: True

Q4) The sales manager generally has control over the forces of technology.

A)True

B)False

Answer: False

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Page 4

Chapter 3: Personal Selling Process

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Sample Questions

Q1) Which of the following is a valid information source for customer research?

A)Internet.

B)Dow Jones News Retrieval.

C)LexisNexis

D)Dialog.

E)All of these are sources.

Answer: E

Q2) (Taking an example from history)If you reduce the amount of soldering used on those barrels of crude oil,how much would that save you?

A)Is a problem discovery question.

B)Is a situational question.

C)Is a solution value question.

D)Is a problem impact question.

E)Is a confirmatory question.

Answer: C

Q3) Telemarketing is an effective tool to help salespeople identify and qualify customers.

A)True

B)False

Answer: True

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Page 5

Chapter 4: Sales Force Organization

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Sample Questions

Q1) Strategic accounts are differentiated only by their large share of the seller's total business.

A)True

B)False

Q2) The organizational concept of a selling center (team selling)has developed,in part at least,to match the expertise of buying centers.

A)True

B)False

Q3) In today's marketing environment,geographical specialization is not used very much in sales force organizations.

A)True

B)False

Q4) To have an effective span of executive control,not more than five subordinates should report directly to one executive.

A)True

B)False

Q5) Some firms establish a separate sales force to sell to strategic accounts.

A)True

B)False

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Chapter 5: Profiling and Recruiting Salespeople

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Sample Questions

Q1) Which of the following is the most accurate generalization regarding the recruitment and selection of a sales force?

A)The process involves two major steps - recruit a group of applicants and then decide for which sales jobs they're best suited.

B)A good recruiting system operates continuously,and not just when vacancies occur.

C)Recruiting should be limited to one or two good sources.

D)You should not recruit more applicants than there are jobs to fill.

E)Top management should be involved in all stages of the process.

Q2) Sales force recruiting in a company becomes more important as:

A)There is an increase in the number of salespeople needed in that company.

B)The rate of turnover declines in the sales force.

C)The company lowers the prices on its products.

D)There is a decline in the quality level of sales representatives needed.

E)A firm cuts back on the size of its sales force,and uses more wholesaling middlemen.

Q3) Not all companies should use team-building as part of their recruiting criteria.

A)True

B)False

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Page 7

Chapter 6: Selecting and Hiring Applicants

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Sample Questions

Q1) Which of the following statements is not true?

A)It is not necessary to go over the job details at the time of making the offer because the recruit has them well in mind.

B)It is a serious mistake to oversell the person on the job.

C)It is unwise to make any promises to the recruit that might not be kept.

D)Let the recruit talk during the job offer process.

E)It is proper to ask such questions of the recruit as,"Are you interested in working for us?"

Q2) Which of the following is likely to be the most significant social and psychological shock facing a newly-hired sales rep?

A)Moving the family to a new community some distance from their previous home.

B)Finding out how the company sets its sales quotas.

C)Learning that his new office is an inside office with no windows.

D)Being told that the company-furnished car is not as roomy as his present family car.

E)Normally none of these will bother a new rep.

Q3) In general,managers should make selections decisions based on "gut" feelings.

A)True

B)False

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Page 8

Chapter 7: Developing, Delivering, and Reinforcing a Sales Training Program

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Sample Questions

Q1) Approximately thirty percent of businesses do not provide any sales training.

A)True

B)False

Q2) Student participation is the most effective method for teaching salesmanship.

A)True

B)False

Q3) A benefit of a good sales training program is likely to be:

A)Increased efficiency in controlling sales force activities.

B)Improved morale in the sales force.

C)Lowered rate of turnover among sales representatives.

D)All of these.

E)Only two of A-B-C.

Q4) During the training assessment phase of developing a training program,the content of the training program is determined.

A)True

B)False

Q5) The use of line sales executives as trainers should be avoided since sales representatives tend to resent them.

A)True

B)False

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Chapter 8: Motivating a Sales Force

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Sample Questions

Q1) Plateaued salespeople are those who:

A)Achieve the highest market share possible.

B)Have a temporary flattening of their sales.

C)Achieve a level of sales for several years which equals their quotas.

D)Have reached the saturation point in their territories.

E)None of these.

Q2) When salespeople attribute a failure to "task difficulty," they are likely to do one or more of the following except:

A)Seek help.

B)Become frustrated.

C)Change strategy.

D)Avoid the situation.

E)They are likely to do All of these.

Q3) Once a need is satisfied,it may become unfulfilled again.

A)True

B)False

Q4) Quotas are seldom used to increase the chances of sales reps winning a contest.

A)True

B)False

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Chapter 9: Sales Force Compensation

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Sample Questions

Q1) In a sales force compensation plan,an example of indirect financial compensation is:

A)Salary payment.

B)Paid vacation.

C)Field supervision.

D)Christmas cash bonus.

E)Air-conditioned office.

Q2) A regressive rate of sales commission is consistent with the idea that:

A)The first sale is easy to get,but reorders are difficult to sell.

B)Reorders bring in a higher rate of profit than initial orders.

C)A guaranteed drawing account is used.

D)The company has the problem of split commissions.

E)Reorders come frequently and inexpensively,but the initial order is hard to get.

Q3) Which of the following are trends in sales force compensation today?

A)A greater use of the commission only plan.

B)Compensation incentives related to profitable sales.

C)Compensation based on customer satisfaction.

D)A greater use of salary only compensation plans.

E)Both B and C are trends.

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11

Chapter 10: Sales Force Quotas Expenses

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106 Flashcards

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Sample Questions

Q1) A performance goal assigned for a specific period of time to a marketing unit such as a salesperson or a branch office is:

A)An alternative basis for determining the company's sales goals.

B)The foundation for a company's strategic marketing plan.

C)A measure of a company's market share.

D)Not useful for a missionary sales force.

E)A sales quota.

Q2) To offset the hardships of business travel,a sound expense plan should allow sales reps to profit slightly from the plan.

A)True

B)False

Q3) Sales quotas are a useful managerial tool for controlling and directing sales force activities.

A)True

B)False

Q4) The most widely used type of sales quota is one based on sales activities.

A)True

B)False

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Page 12

Chapter 11: Leadership of a Sales Force

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Sample Questions

Q1) Indirect supervisory techniques include all of the following,except:

A)sales meetings.

B)territories.

C)quotas.

D)expense accounts.

E)compensation plans.

Q2) Sales managers in organizations with outcome-based control generally engage in heavy doses of both transactional and transformational leadership.

A)True

B)False

Q3) Which of the following behaviors is a transformational leader behavior?

A)Recognizing.

B)Rewarding.

C)Role modeling.

D)Indirect supervision.

E)None of these.

Q4) Transactional-oriented leaders are typically very charismatic.

A)True

B)False

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Chapter 12: Sales Forecasting and Developing Budgets

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Sample Questions

Q1) Market potential is the maximum market share that an individual firm can expect to achieve.

A)True

B)False

Q2) The sales forecast is independent of the marketing program.

A)True

B)False

Q3) The determination of sales forecasts is an iterative process.

A)True

B)False

Q4) Which of the following is an accurate generalization regarding test marketing as method of sales forecasting?

A)It tells us how many people intend to buy the product rather than who actually buys it.

B)It is not a good method to use for a new product.

C)This method takes a little time or money in comparison with the other methods.

D)If a product succeeds during its test marketing,it will be an automatic success when marketed on a full-scale basis.

E)None of these is correct.

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Chapter 13: Sales Territories

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74 Flashcards

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Sample Questions

Q1) As the sales potential of a given territory increases,sales performance of the sales rep assigned to that territory will generally:

A)decrease.

B)stay the same.

C)increase at the same rate as the increase in sales potential.

D)increase for a time,but then level off.

E)increase for a time,but then decrease significantly.

Q2) ZIP-code areas are too small a geographical area to use as a basic control unit for sales territories.

A)True

B)False

Q3) Research shows that over half of all territories are poorly designed.

A)True B)False

Q4) The buildup method for determining basic territories is particularly suited for manufacturers of consumer products or for companies that want intensive distribution. A)True B)False

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Page 15

Chapter 14: Analysis of Sales Volume

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73 Flashcards

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Sample Questions

Q1) Misdirected marketing effort occurs in many firms because:

A)Sales budgets are not prepared.

B)Management is profit-conscious rather than being volume-conscious.

C)Sales volume analyses cannot be done carefully.

D)Marketing and accounting executives do not sufficiently coordinate their efforts.

E)Management often lacks reliable standards for determining what should be spent on various marketing activities.

Q2) In the management process,as applied to a marketing program,the stage which involves analyzing performance results in relation to program objectives is called:

A)Administration.

B)Evaluation.

C)Communication.

D)Implementation.

E)Delegation.

Q3) A firm's market share may be decreasing while its sales volume is increasing.

A)True

B)False

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Page 16

Chapter 15: Marketing Cost and Profitability Analysis

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70 Verified Questions

70 Flashcards

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Sample Questions

Q1) For a more effective marketing cost analysis,sales executives usually regroup ledger expenses into various:

A)activity classifications

B)administrative groups

C)operating statements

D)accounting groups

E)sales volume categories

Q2) When a marketing cost analysis by territories shows that a given territory is unprofitable,which of the following courses of action should be adopted as a last resort?

A)Adjust territorial boundaries.

B)Use telephone selling instead of personal calls by salespeople in that district.

C)Use middlemen instead of selling direct to users.

D)Adjust the promotional program for that district.

E)Abandon the territory entirely.

Q3) The contribution-margin approach should never be used in a marketing cost analysis by products or territories.

A)True

B)False

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Chapter 16: Evaluating a Salespersons Performance

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69 Flashcards

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Sample Questions

Q1) Marion sells for the Whatisits Company of Whoville.An analysis of the performance of the company's 25 person sales force shows that the average sales rep works 250 days a year,makes four calls a day,obtains an order,averaging $15,000,every ten calls made.Marion worked 200 days last year during which she made a total of 700 calls which resulted in 50 orders totaling $1,500,000 in sales volume.What was Marion's batting average?

A).03.

B).10.

C).15.

D).17.

E)None of these.

Q2) Which of the following is the best example of a quantitative factor used as a basis for evaluating sales force performance?

A)acceptance of responsibility.

B)number of orders generated.

C)ability to manage their time.

D)knowledge of the products sold.

E)relations with their customers.

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18

Chapter 17: Ethical and Legal Responsibilities of Sales Managers

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75 Flashcards

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Sample Questions

Q1) What percentage of sales reps surveyed admit to having been involved in some illegal or unethical activity?

A)10 percent.

B)50 percent.

C)25 percent.

D)75 percent.

E)90 percent.

Q2) State laws (and FTC regulations)of the "cooling off" type have the greatest effect on:

A)Misleading advertising.

B)Deceptive packaging and labeling.

C)Price discrimination.

D)Door-to-door selling.

E)Use of bribes and excessive entertainment.

Q3) It is easy to be ethical when no hardships are involved.

A)True

B)False

Q4) The company's code of ethics should be in writing.

A)True

B)False

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