Jose Suarez has been promoted to sales manager at a new firm and is trying to come up with a sales -force compensation method. He would like to have selling expenses relate directly to sales resources, a highly aggressive sales force, and minimization of nonselling tasks. What compensation method(s) would best fulfill his requirements? A)Combination B)Straight salary C)Straight salary plus generous fringe benefits D)Straight commission E)Salary plus a bonus

Jose Suarez has been promoted to sales manager at a new firm and is trying to come up with a sales  -force compensation method. He would like to have selling expenses relate directly to sales resources, a highly aggressive sales force, and minimization of nonselling tasks. What compensation method(s) would best fulfill his requirements? A)Combination B)Straight salary C)Straight salary plus generous fringe benefits D)Straight commission E)Salary plus a bonus
by

1 Answer

Answer :

D)Straight commission
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Related questions

As Topnotch Supply's sales force continues to expand, the firm plans to add a fleet of company cars to its sales compensation package. For Topnotch, this would represent a _______ purchase. A)new-task B)modified rebuy C)straight rebuy D)repetitive

Description : As Topnotch Supply's sales force continues to expand, the firm plans to add a fleet of company cars to its sales compensation package. For Topnotch, this would represent a _______ purchase. A)new-task B)modified rebuy C)straight rebuy D)repetitive

Last Answer : A)new-task

Which of the following statements is considered a disadvantage of the straight commission compensation method? A)It necessitates closer supervision of a salesperson's activities. B)It may be difficult to administer. C)Selling costs are less predictable. D)It provides no incentives.

Description : Which of the following statements is considered a disadvantage of the straight commission compensation method? A)It necessitates closer supervision of a salesperson's activities. B)It may be difficult to administer. C)Selling costs are less predictable. D)It provides no incentives.

Last Answer : C)Selling costs are less predictable.

The channel that includes both a manufacturers' agent and an industrial distributor may be appropriate under which of the following circumstances? A)When the firm wants specialised personnel to follow up the work of the sales force B)When the marketer wishes to enter a new geographic market but does not wish to expand the existing sales force C)When only one or two channels of distribution are available for products D)When the sales force is large and the marketer is thinking of cutting it down E)When customers are highly concentrated in one geographic area

Description : The channel that includes both a manufacturers' agent and an industrial distributor may be appropriate under which of the following circumstances? A)When the firm wants specialised personnel to follow ... is thinking of cutting it down E)When customers are highly concentrated in one geographic area

Last Answer : B)When the marketer wishes to enter a new geographic market but does not wish to expand the existing sales force

A common practice in evaluating a salesperson is for sales management to compare the salesperson's performance with the performance of other salespersons operating under similar selling conditions or to compare A)the size of sales territories. B)selling expenses with sales by various members of the sales force. C)the amount of new business generated. D)current performance with past performance.

Description : A common practice in evaluating a salesperson is for sales management to compare the salesperson's performance with the performance of other salespersons operating under similar selling conditions or to ... force. C)the amount of new business generated. D)current performance with past performance.

Last Answer : D)current performance with past performance.

A sales representative from a software company shows an accounting firm that a new software package can perform bookkeeping tasks that the firm's present package cannot. The accounting firm is most likely in which stage of the organisational buying decision process? A)problem recognition B)product specification C)product supplier search D)product selection

Description : A sales representative from a software company shows an accounting firm that a new software package can perform bookkeeping tasks that the firm's present package cannot. The accounting firm ... ? A)problem recognition B)product specification C)product supplier search D)product selection

Last Answer : A)problem recognition

Suppose the inventory manager at Hotpoint intends to lower stockout costs. Which of the following is considered a stockout cost that the manager at Hotpoint might address? A)Price of washing machines B)Sales lost due to short supply of dishwashers C)Order -processing expenses D)Expenses of backordering small appliances

Description : Suppose the inventory manager at Hotpoint intends to lower stockout costs. Which of the following is considered a stockout cost that the manager at Hotpoint might address? A)Price of washing ... to short supply of dishwashers C)Order -processing expenses D)Expenses of backordering small appliances

Last Answer : B)Sales lost due to short supply of dishwashers

If the aim of the promotion to introduce a new consumer product is to achieve high awareness levels, the firm will most likely make heavy use of _______ in the promotional mix. A)advertising. B)sales promotion. C)personal selling. D)publicity. E)public relations.

Description : If the aim of the promotion to introduce a new consumer product is to achieve high awareness levels, the firm will most likely make heavy use of _______ in the promotional mix. A)advertising. B)sales promotion. C)personal selling. D)publicity. E)public relations.

Last Answer : A)advertising.

Which one of the following illustrates why effective project management is beneficial to an organization? a. It utilizes resources as and when required under direction of a project manager. b. It advocates employing a consultancy firm which specializes in managing change. c. It recommends using only highly skilled people in the project team. d. It ensures that the chief executive is accountable for the achievement of the defined benefits.

Description : Which one of the following illustrates why effective project management is beneficial to an organization? a. It utilizes resources as and when required under direction of a project manager. b. ... d. It ensures that the chief executive is accountable for the achievement of the defined benefits.

Last Answer : a. It utilizes resources as and when required under direction of a project manager.

Anna Wren, sales manager for Nordic Lumber, tells the firm's inventory manager that failure to have adequate supplies of pressure -treated lumber on hand has cost the firm £175,000 in lost sales. This figure would be used as a component management figures? A)Carrying costs B)Replenishment costs C)Stockout costs D)Safety stock costs E)Reorder costs

Description : Anna Wren, sales manager for Nordic Lumber, tells the firm's inventory manager that failure to have adequate supplies of pressure -treated lumber on hand has cost the firm £175,000 in lost ... figures? A)Carrying costs B)Replenishment costs C)Stockout costs D)Safety stock costs E)Reorder costs

Last Answer : C)Stockout costs

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Last Answer : B)sales

A primary goal of routing and scheduling decisions is to A)determine the sequence in which customers will be called on. B)use existing transportation facilities. C)minimize nonselling time. D)determine frequency and duration of calls.

Description : A primary goal of routing and scheduling decisions is to A)determine the sequence in which customers will be called on. B)use existing transportation facilities. C)minimize nonselling time. D)determine frequency and duration of calls.

Last Answer : C)minimize nonselling time.

Market requirements describe the A)customer needs or desired benefits. B)size of the market necessary to justify expenditures. C)events and relationships in a company's outside environment. D)key requirements of a market and the particular competencies of competing firms. E)distinctive competencies that a firm has developed.

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Last Answer : A)customer needs or desired benefits.

Kevin tells his wife, Karen, that his last sales call of the day at DuPont was a disaster. He explains that he never really figured out what the purchasing agent was looking for. Karen, a sales trainer for another firm, hands Kevin a book on: A)improving listening skills B)overcoming objections. C)prospect evaluation. D)product demonstrations. E)closing the sales encounter..

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Last Answer : E)closing the sales encounter

4) The channel that includes both a manufacturer's agent and an industrial distributor may be appropriate under which of the following circumstances? A)When a marketer wishes to enter a new geographic market but does not wish to expand the existing sales force B)When the sales force is large and the marketer is thinking of cutting it down C)When customers are highly concentrated in one geographic area

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Last Answer : A)When a marketer wishes to enter a new geographic market but does not wish to expand the existing sales force

In franchising, which of the following is NOT a benefit that the franchiser gains? A)The franchiser can gain rapid product distribution. B)The franchiser can acquire capital more quickly for expanding production and for advertising. C)The franchiser gains a greater amount of control over how the franchisees operate the establishments. D)The franchiser benefits from the fact that franchisees tend to be highly motivated to succeed, which in turn leads to higher sales and higher royalties.

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Last Answer : C)The franchiser gains a greater amount of control over how the franchisees operate the establishments.

A manufacturer -owned middleman that sells products and provides support services for the manufacturer's sales force is called a sales A)branch. B)office. C)manager. D)broker. E)agent.

Description : A manufacturer -owned middleman that sells products and provides support services for the manufacturer's sales force is called a sales A)branch. B)office. C)manager. D)broker. E)agent.

Last Answer : A)branch

As Don Bush prepares a market attractiveness -business position model for his firm, he comes to the point of assessing the business position of the firm's line of jet skis. Which one of the following would be an input with regard to business position? A)Seasonality B)Relative market share C)Industry sales D)Market growth

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Last Answer : B)Relative market share

An example of a marketing cost that is a nontraceable common cost would be A)sales -force salaries. B)rent for production space. C)storage costs. D)salaries of top management. E)selling costs.

Description : An example of a marketing cost that is a nontraceable common cost would be A)sales -force salaries. B)rent for production space. C)storage costs. D)salaries of top management. E)selling costs.

Last Answer : E)selling costs.

Roger McKinney complains to his advertising director that the continuing slump in orders has apparently been perpetuated by the firm's failure to have the necessary advertising expenditures in key media. Based on this information, the firm is MOST likely using the __________ approach to determine its advertising appropriation. A)percent -of-sales B)objective -and -task C)competition -matching D)arbitrary

Description : Roger McKinney complains to his advertising director that the continuing slump in orders has apparently been perpetuated by the firm's failure to have the necessary advertising expenditures in key media. Based on ... . A)percent -of-sales B)objective -and -task C)competition -matching D)arbitrary

Last Answer : A)percent -of-sales

Kinesic communication is an element in which type of promotional method? A)Advertising B)Public relations C)Personal selling D)Packaging E)Sales promotion

Description : Kinesic communication is an element in which type of promotional method? A)Advertising B)Public relations C)Personal selling D)Packaging E)Sales promotion

Last Answer : C)Personal selling

When the purchasing manager for ABBA seat covers buys material and thread, he considers a variety of factors. Which one of the following is LEAST likely to concern the buyer in the purchase decision? A)does the quality of the goods meet company specifications B)does the supplier consistently deliver on time C)does the supplier also sell to my competitors D)does the price meet the company budget requirements

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Last Answer : C)does the supplier also sell to my competitors

Price is a key element in the marketing mix because it relates directly to A)the size of the sales force. B)the speed of an exchange. C)quality controls. D)the generation of total revenue. E)brand image.

Description : Price is a key element in the marketing mix because it relates directly to A)the size of the sales force. B)the speed of an exchange. C)quality controls. D)the generation of total revenue. E)brand image.

Last Answer : D)the generation of total revenue.

Technology assessment is: A)assessing how much technology has been incorporated into an organisation B)trying to foresee the effects of new products and processes on a firm's operation and on society in general C)assessing how much technology one wants to put into a company in the future D)assessing the cost of new technology to determine whether a firm can afford to use it

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Last Answer : B)trying to foresee the effects of new products and processes on a firm's operation and on society in general

The firm is to be staffed by personnel who have attained and maintained the technical standards and professional competence required to enable them to fulfill their responsibilities with due care is the objective of what quality control policy? a. Ethical requirements b. Leadership responsibilities c. Assignment d. Monitoring

Description : The firm is to be staffed by personnel who have attained and maintained the technical standards and professional competence required to enable them to fulfill their responsibilities with due care ... control policy? a. Ethical requirements b. Leadership responsibilities c. Assignment d. Monitoring

Last Answer : b

Order processing A)is the receipt and transmission of sales order information. B)is the second stage in a physical distribution system. C)involves four main tasks. D)is the same as order handling. E)is characterised by electronic processing.

Description : Order processing A)is the receipt and transmission of sales order information. B)is the second stage in a physical distribution system. C)involves four main tasks. D)is the same as order handling. E)is characterised by electronic processing.

Last Answer : A)is the receipt and transmission of sales order information.

n the previous three years, four studies have been conducted on the characteristics of Tyrone Brick's clients. As the firm seeks to put together a report showing trends in this area, it has a hard time locating the information contained in these study reports. This firm seems to need: A)a marketing research manager B)a marketing databank C)survey research D)primary data

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Last Answer : B)a marketing databank

Albert notices a new hospital being built as he is making his sales rounds. He returns to his office to see who will be responsible for this site, as he is allowed to call only on banks in his territory. Apparently the sales force of which Albert is a member is organised by A)function. B)salesperson. C)customer type. D)speciality. E)production.

Description : Albert notices a new hospital being built as he is making his sales rounds. He returns to his office to see who will be responsible for this site, as he is allowed to call only on banks in his ... is a member is organised by A)function. B)salesperson. C)customer type. D)speciality. E)production.

Last Answer : C)customer type.

If a company's customers are concentrated in a small geographic area and the company sells technical products, which promotion method will it most likely use? A)Advertising B)Publicity C)Personal selling D)Sales promotion

Description : If a company's customers are concentrated in a small geographic area and the company sells technical products, which promotion method will it most likely use? A)Advertising B)Publicity C)Personal selling D)Sales promotion

Last Answer : C)Personal selling

The primary advantage of automatic vending as a form of retailing is that: A)it provides continuous service to customers. B)it eliminates the need for sales personnel. C)vending machines require little maintenance. D)it offers a low cost, personal method of selling.

Description : The primary advantage of automatic vending as a form of retailing is that: A)it provides continuous service to customers. B)it eliminates the need for sales personnel. C)vending machines require little maintenance. D)it offers a low cost, personal method of selling.

Last Answer : B)it eliminates the need for sales personnel.

Ken Adams tells the loan officer at Allied Irish Bank that Cork really needs a shop that offers high -quality fishing gear to sports enthusiasts and provides the service and advice that so many people need. No other shop in the area seems to provide this combination. Ken is trying to use ------ to support his request for a loan to start such a retail operation. A)product assortment B)location analysis C)product mix depth D)retail positioning

Description : Ken Adams tells the loan officer at Allied Irish Bank that Cork really needs a shop that offers high -quality fishing gear to sports enthusiasts and provides the service and advice that so ... such a retail operation. A)product assortment B)location analysis C)product mix depth D)retail positioning

Last Answer : D)retail positioning

As part of a class project, Sue Anderson interviews Gordon Jones, Director of Marketing for Kenner Industries. When asked about Kenner's promotional strategy, Gordon responds that like most industrial firms his organisation places the greatest emphasis on: A)advertising. B)publicity. C)personal selling. D)sales promotion. E)public relations.

Description : As part of a class project, Sue Anderson interviews Gordon Jones, Director of Marketing for Kenner Industries. When asked about Kenner's promotional strategy, Gordon responds that like most industrial firms ... : A)advertising. B)publicity. C)personal selling. D)sales promotion. E)public relations.

Last Answer : C)personal selling.

When a company adjusts price levels so that it can increase sales volume to levels that match the organisation's expenses, it is said to employ a ---- pricing objective. A)market share B)cash flow C)return on investment D)survival E)profit

Description : When a company adjusts price levels so that it can increase sales volume to levels that match the organisation's expenses, it is said to employ a ---- pricing objective. A)market share B)cash flow C)return on investment D)survival E)profit

Last Answer : D)survival

As the production manager of an engineering firm, you went out and bought a metal cutting machine. What you have purchased can best be classified as A)raw material. B)a processed component. C)a component part. D)a service. E)an industrial product.

Description : As the production manager of an engineering firm, you went out and bought a metal cutting machine. What you have purchased can best be classified as A)raw material. B)a processed component. C)a component part. D)a service. E)an industrial product.

Last Answer : E)an industrial product.

Ling makes a base salary of $800 per month plus a commission of 15% on sales. How much must Ling sell in order to earn $5 000 per month?

Description : Ling makes a base salary of $800 per month plus a commission of 15% on sales. How much must Ling sell in order to earn $5 000 per month?

Last Answer : $32,533.34To make $5,000 on a 15% commission he needs to sell $33,333.34 (rounding up to the nearest cent since he can't make part of a penny) worth of goods. However, $800 is already taken care of up front, so 33,333.34 - 800 = 32,533.34.

Which of the following is NOT a purpose of a marketing plan? A)it specifies how resources are to be allocated B)it co -ordinates marketing and production activities C)it assigns responsibilities, tasks and timing D)it assists in management

Description : Which of the following is NOT a purpose of a marketing plan? A)it specifies how resources are to be allocated B)it co-ordinates marketing and production activities C)it assigns responsibilities, tasks and timing D)it assists in management

Last Answer : B)it co-ordinates marketing and production activities

Mama Pasta's marketing manager believes that the firm's recent 40% increase in consumer sales is due to changes in costumer perceptions regarding the nutritional value of pasta. Which stage of the marketing research process has been completed? A)data interpretation B)data analysis C)hypothesis development D)problem expansion

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Last Answer : C)hypothesis development

When the right combination of circumstances occurs at the right time to allow an organisation to take action toward a target market, the firm has identified a A)market objective. B)market requirement. C)strategic market plan. D)market opportunity. E)corporate objective.

Description : When the right combination of circumstances occurs at the right time to allow an organisation to take action toward a target market, the firm has identified a A)market objective. B)market requirement. C)strategic market plan. D)market opportunity. E)corporate objective.

Last Answer : D)market opportunity.

The main reason for establishing sales territories to 1. secure optimum market coverage 2. reduce selling expenses 3. facilitate planning and control of selling operations 4. improve sales force performance and morale 5. none of these

Description : The main reason for establishing sales territories to 1. secure optimum market coverage 2. reduce selling expenses 3. facilitate planning and control of selling operations 4. improve sales force performance and morale 5. none of these

Last Answer : secure optimum market coverage

Director of marketing Helen Simms tells her new marketing assistant that like most industrial firms, Juniper Joists relies heavily on personal selling to promote its products. When asked what is next in importance, Helen replies A)trade shows. B)print media. C)broadcast media. D)publicity. E)sales displays.

Description : Director of marketing Helen Simms tells her new marketing assistant that like most industrial firms, Juniper Joists relies heavily on personal selling to promote its products. When asked what is next in importance ... A)trade shows. B)print media. C)broadcast media. D)publicity. E)sales displays.

Last Answer : A)trade shows.

A firm mails brochures and coupons to potential consumers who can then purchase products by mail or by phone. This illustrates which of the following methods of selling retail products? A)Direct -response marketing B)Party plan C)Catalogue marketing D)Speciality retailing E)Direct selling

Description : A firm mails brochures and coupons to potential consumers who can then purchase products by mail or by phone. This illustrates which of the following methods of selling retail products? A)Direct-response marketing B)Party plan C)Catalogue marketing D)Speciality retailing E)Direct selling

Last Answer : A)Direct-response marketing

If you were a marketing manager, under which type of organisational structure would you most likely be working if your firm were a large business with centralised marketing operations? A)Organisation by type of customer B)Functional organisation C)Organisation by regions D)Organisation by products

Description : If you were a marketing manager, under which type of organisational structure would you most likely be working if your firm were a large business with centralised marketing operations? A)Organisation by type of customer B)Functional organisation C)Organisation by regions D)Organisation by products

Last Answer : B)Functional organisation

A brand manager in a multiproduct firm would be considered responsible for: A)the performance of a specific brand. B)all brands within a product line. C)branding the products of the firm. D)all brands made by the firm

Description : A brand manager in a multiproduct firm would be considered responsible for: A)the performance of a specific brand. B)all brands within a product line. C)branding the products of the firm. D)all brands made by the firm

Last Answer : A)the performance of a specific brand.

When the requirements associated with a new-task purchase are changed the second or third time, this is called a: A)modified rebuy purchase B)contractual purchase C)straight rebuy purchase D)negotiated rebuy purchase

Description : When the requirements associated with a new-task purchase are changed the second or third time, this is called a: A)modified rebuy purchase B)contractual purchase C)straight rebuy purchase D)negotiated rebuy purchase

Last Answer : A)modified rebuy purchase

Kane Produce Ltd, a __________ , takes possession of truckloads of tomatoes, arranges for storage, and transports them to auctions to be sold. A)manufacturer's agent B)selling agent C)commission broker D)commission merchant E)selling broker

Description : Kane Produce Ltd, a __________ , takes possession of truckloads of tomatoes, arranges for storage, and transports them to auctions to be sold. A)manufacturer's agent B)selling agent C)commission broker D)commission merchant E)selling broker

Last Answer : D)commission merchant

The channel member that markets all of a manufacturer's output, has complete authority over price, promotion, and distribution, but does not take title to the product is a A)limited -line wholesaler. B)selling agent. C)commission merchant. D)manufacturers' agent. E)broker.

Description : The channel member that markets all of a manufacturer's output, has complete authority over price, promotion, and distribution, but does not take title to the product is a A)limited-line wholesaler. B)selling agent. C)commission merchant. D)manufacturers' agent. E)broker.

Last Answer : B)selling agent.

Personal selling tries to achieve three general goals: finding prospects, convincing prospects to buy, and A)monitoring new products being developed. B)being aware of competitors' sales activities. C)depending on one -sale customers. D)avoiding repeat sales. E)keeping customers satisfied.

Description : Personal selling tries to achieve three general goals: finding prospects, convincing prospects to buy, and A)monitoring new products being developed. B)being aware of competitors' sales activities. C)depending on one -sale customers. D)avoiding repeat sales. E)keeping customers satisfied.

Last Answer : E)keeping customers satisfied.

Alex Knox, a young dentist, finds that he is not bringing in enough revenue to cover his expenses. He would like to schedule more patients, but he finds that in almost every time slot he is seeing an existing patient. Alex's problems with expanding his practice deal with the aspect of service called: A)perishability. B)credence. C)inseparability. D)heterogeneity.

Description : Alex Knox, a young dentist, finds that he is not bringing in enough revenue to cover his expenses. He would like to schedule more patients, but he finds that in almost every time slot ... practice deal with the aspect of service called: A)perishability. B)credence. C)inseparability. D)heterogeneity.

Last Answer : C)inseparability.

During her first call on Becker Industries, Rhonda is told by the senior purchasing agent that this firm, like most industrial buyers, has two major complaints with its suppliers. If Rhonda's firm is to get and keep Becker's business, it must pay particular attention to product quality and: A)low prices. B)stable prices. C)packaging problems. D)sales support. E)on -time delivery.

Description : During her first call on Becker Industries, Rhonda is told by the senior purchasing agent that this firm, like most industrial buyers, has two major complaints with its suppliers. If Rhonda's firm is to ... A)low prices. B)stable prices. C)packaging problems. D)sales support. E)on-time delivery.

Last Answer : E)on-time delivery.

The forecasting method that uses the firm's historical sales data in an attempt to find patterns in the firm's sales volume over time is A)the regression method. B)customer forecasting. C)a market test. D)sales -force forecasting. E)time series analysis.

Description : The forecasting method that uses the firm's historical sales data in an attempt to find patterns in the firm's sales volume over time is A)the regression method. B)customer forecasting. C)a market test. D)sales -force forecasting. E)time series analysis..

Last Answer : E)time series analysis..