Test Bank Business Marketing Management B2B, 11th Edition,
Michael D. Hutt, Thomas W. Speh
IM Part 3: Exam Questions: MC, TF, SA,
Essay Chapter 1—A
... [Show More] Business Marketing Perspective
MULTIPLE CHOICE
1. The business market consists of the following three components:
a. commercial enterprises, resellers, and government.
b. manufacturers, institutions, and defense.
c. manufacturers, service organizations, and government.
d. commercial enterprises, service organizations, and government.
e. commercial enterprises, institutions, and government.
ANS: E PTS: 1
NAT: AACSB Reflective Thinking | CB&E Model Marketing Plan | R&D Knowledge of general
business functions
2. Concerning manufacturing customers, the business market is:
a. concentrated by size.
b. geographically concentrated.
c. experiencing declining growth in many large metropolitan areas.
d. all of the above.
e. (a) and (b) only.
ANS: E PTS: 1
NAT: AACSB Reflective Thinking | CB&E Model Marketing Plan | R&D Knowledge of general
business functions
3. Based on the volume of their purchases, are the most important commercial customers
in the business or industrial market.
a. construction companies
b. manufacturers
c. transportation companies
d. service firms (e.g., hotels)
e. health care facilities
ANS: B PTS: 1
NAT: AACSB Reflective Thinking | CB&E Model Marketing Plan | R&D Knowledge of general
business function
4. Market-driven firms demonstrate:
a. the coordinated use of interfunctional resources (for example, research and
development, manufacturing).
b. a set of values and beliefs among employees that places the customer's interests first.
c. the ability to generate, disseminate, and productively use superior
information about customers and competitors.
d. all of the above.
e. (b) and (c) only.
ANS: D PTS: 1
NAT: AACSB Reflective Thinking | CB&E Model Strategy | R&D Knowledge of general
business functions
5. Market-driven firms spot market changes and react well in advance of their
competitors. This illustrates:
a. the customer-linking capability of market-driven firms.
b. the value proposition of market-driven firms.
c. the market-sensing capability of market-driven firms.
d. the value of using direct channels of distribution in the business market.
e. both (b) and (c).
ANS: C PTS: 1
NAT: AACSB Reflective Thinking | CB&E Model Strategy | R&D Knowledge of general
business functions
6. The particular skills, abilities, and processes that an organization has developed to
manage close customer relationships are referred to as:
a. the customer-linking capability.
b. channel management.
c. derived demand.
d. the market-sensing capability.
e. the extended enterprise.
ANS: A PTS: 1
NAT: AACSB Reflective Thinking | CB&E Model Customer | R&D Managing decisionmaking
processes
7. The ability of an organization to quickly recognize changes in its market and to anticipate
customer responses to marketing programs is referred to as:
a. market research capability.
b. customer-linking capability.
c. competitive intelligence.
d. market-sensing capability.
e. derived demand.
ANS: D PTS: 1
NAT: AACSB Reflective Thinking | CB&E Model Customer | R&D Managing decisionmaking
processes
8. Motorola reduced the price of the electronic engine control that it sells to Ford by 10
percent and experienced a 15 percent increase in quantity demanded. This suggests that
Ford’s price elasticity of demand is:
a. elastic.
b. inelastic.
c. neither elastic nor inelastic.
d. insensitive to price changes.
e. none of the above.
ANS: A PTS: 1
NAT: AACSB Reflective Thinking | CB&E Model Pricing | R&D Knowledge of general
business functions
9. Dayco increased the price of the drive belts that it sells to General Motors by 5 percent and
sales of the item grew by 9 percent. Price elasticity of demand for drive belts appears to be:
a. elastic.
b. inelastic. [Show Less]