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					Multiple Choice Single Answer
Question
The demand for industrial goods is :-
Correct Answer
Derived demand
Your Answer
Need of the customer


Select The Blank
Question
In customer market a ________ price increase will shrink demand.
Correct Answer
Higher
Your Answer
Small


Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization’s purpose, values and
distinctive competencies is called :-
Correct Answer
Mission
Your Answer
Mission


Multiple Choice Single Answer
Question
Large industrial companies realize substantial cost savings is by having:-
Correct Answer
Centralized purchasing
Your Answer
Decentralized purchasing


Select The Blank
Question
The manufacturer of individual product can take customers away from competitor's by
________ efforts.
Correct Answer
Promotional
Your Answer
Promotional
Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for companies doing
business in :-
Correct Answer
Computers , Software , Office equipment
Your Answer
Computers , Software , Office equipment


Multiple Choice Single Answer
Question
Prospecting is essential to ensure future sources of :-
Correct Answer
Sales revenue
Your Answer
Sales revenue


Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in
the end product price
Your Answer
Increase his share of the market , Enlarge the total market , Can substantially decrease end
product price


Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer
An internal environment analysis
Your Answer
An internal environment analysis


Multiple Choice Multiple Answer
Question
Service rating is judged by following factors :-
Correct Answer
Self interest , Promptness , Speed
Your Answer
Promptness , Speed , Delegation


Multiple Choice Single Answer
Question
Manufacturer & customer in industrial marketing are affected by :-
Correct Answer
Change in technology
Your Answer
Policies of Govt.


True/False
Question
Outsiders like technical consultants can play a key role in the purchase process of a large
buying organization.
Correct Answer
True
Your Answer
True


Select The Blank
Question
The sales of standard industrial products are generally carried out through ________.
Correct Answer
Direct channel and middlemen
Your Answer
Direct channel and middlemen


Multiple Choice Single Answer
Question
A competitor while selling, may not be aware of his :-
Correct Answer
Overhead costs
Your Answer
Direct costs


Select The Blank
Question
An industrial product manufacturer would prefer to deal with ________ suppliers of
component parts.
Correct Answer
Fewer
Your Answer
Domestic


Multiple Choice Multiple Answer
Question
Internal public includes :-
Correct Answer
Top management , Factory workers , Senior Managers
Your Answer
Top management , Factory workers , Senior Managers


Select The Blank
Question
A first approximation of ________ benefit analysis is necessary before a detailed
segmentation analysis.
Correct Answer
Cost
Your Answer
Price


Match The Following
Question
Correct Answer
Your Answer
Compressors
Manufacturer
Manufacturer
Electric lift maintenance
Service firm
Service firm
Steel hardware
Whole seller/retailer
Distributor
Air-conditioners
Distributor
Manufacturers’ representatives


Multiple Choice Multiple Answer
Question
During discussions, sales people handle issues such as :-
Correct Answer
Delivery schedule , Pricing , After Sales Service
Your Answer
Delivery schedule , Pricing , After Sales Service


Multiple Choice Single Answer
Question
The generic need which the company will seek to satisfy, stated by top management is
called:-
Correct Answer
Mission
Your Answer
Mission


Select The Blank
Question
Competitor, who enter late in the market, must apply part of their cash inflow to the
amortization of their own ________ cost.
Correct Answer
Development
Your Answer
Promotion


Select The Blank
Question
When purchase of industrial equipment is involved, the stage between manufacture and
dispatch of goods is called ________.
Correct Answer
Inspection
Your Answer
Inspection


Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for
industrial products on account of :-
Correct Answer
Cost competitiveness
Your Answer
Cost competitiveness
Select The Blank
Question
Supply chain management is one of the tools used by modern companies to achieve
________.
Correct Answer
High productivity improvement and efficiency
Your Answer
High productivity improvement and efficiency


Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior


Multiple Choice Single Answer
Question
The first step in the process of selling is :-
Correct Answer
Identifying prospects
Your Answer
Identifying prospects


Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer
Engine , Gear box , Clutch
Your Answer
Engine , Gear box , Clutch


True/False
Question
Demand for many industrial product is elastic.
Correct Answer
False
Your Answer
True
Match The Following
Question
Correct Answer
Your Answer
Sales department
To reduce cost of sales by 5% within one year
Increase profits for FY in Q3 and Q4
Industrial marketing department
Increase profits for FY in Q3 and Q4
Recruit new employees
Industrial marketing research department
Conduct survey for customer feedback on new product
Conduct survey for customer feedback on new product
Industrial marketing services department
Obtain service revenue from post-sales services in one market segment
Obtain service revenue from post-sales services in one market segment


True/False
Question
Sales forecast is the estimate of a Co's expected sales in a given time period.
Correct Answer
True
Your Answer
True


Select The Blank
Question
Industrial force should be ________ to market conditions.
Correct Answer
Responsive
Your Answer
Responsive


Multiple Choice Multiple Answer
Question
The legal framework is related to existing :-
Correct Answer
Business laws , Civil rights , Labour laws
Your Answer
Business laws , Civil rights , Labour laws
True/False
Question
A repeat purchase decision will generally involve changes in product specifications from
earlier supplies.
Correct Answer
False
Your Answer
False


True/False
Question
Tariffs & quotas are used by the Govt. to protect indigenous business from foreign
competition.
Correct Answer
True
Your Answer
True


True/False
Question
Personal selling is a powerful tool in industrial product selling.
Correct Answer
True
Your Answer
True


True/False
Question
A lower price will stimulate demand for industrial products.
Correct Answer
False
Your Answer
True


Multiple Choice Multiple Answer
Question
Assured consistency of the quality can have important benefits for the buyer-user like :-
Correct Answer
Inspection at incoming end , Save inventory cost , Stocking time
Your Answer
Inspection at incoming end , Less headache
Multiple Choice Single Answer
Question
A sales presentation is made to provide prospective customers with sufficient information on
the firm's :-
Correct Answer
Product
Your Answer
Product


Select The Blank
Question
The effectiveness of the advertising program is reflected by the ________ in the state of
awareness.
Correct Answer
Differences
Your Answer
Differences


Select The Blank
Question
Many food processing firms prefer to take on ________ the processing plants for their use
during the peak season.
Correct Answer
Lease
Your Answer
Hire


Multiple Choice Single Answer
Question
The type of demand that characterizes industrial products is called :-
Correct Answer
Derived demand
Your Answer
Derived demand


True/False
Question
Hydraulic equipments are handled by general line industries.
Correct Answer
False
Your Answer
False


Multiple Choice Multiple Answer
Question
Industrial marketers have a choice of structural arrangement like :-
Correct Answer
Direct to users , Indirect to users , Mixed structure
Your Answer
Direct to users , Indirect to users , Mixed structure


True/False
Question
Bill to vendor' & 'Absorbed by buyer' are the two possibilities under rework.
Correct Answer
True
Your Answer
True


True/False
Question
To get market feedback in industrial marketing marketing research is conducted frequently.
Correct Answer
False
Your Answer
True


Multiple Choice Single Answer
Question
Fundamental skill requirement for closing a sale is :-
Correct Answer
Application of psychology
Your Answer
Application of psychology


Multiple Choice Multiple Answer
Question
For industrial marketing, type of channel members needed would depend on :-
Correct Answer
Market coverage , Marketing cost , Marketing control
Your Answer
Market coverage , Marketing cost , Marketing control

at 5:43 AM 0 comments Links to this post

Labels: Industrial Marketing

Industrial Marketing - 2

LIST OF ATTEMPTED QUESTIONS AND ANSWERS


True/False
Question
An organization that is structured to serve the customer is the most optimally designed
organizational structure.
Correct Answer
True
Your Answer
True


Multiple Choice Multiple Answer
Question
Profitability of any potential segment is measured by following criteria:-
Correct Answer
Market share , Market growth , Image
Your Answer
Market growth , Image , Market share


Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization’s purpose, values and
distinctive competencies is called :-
Correct Answer
Mission
Your Answer
Mission


Match The Following
Question
Correct Answer
Your Answer
Mission statement
Corporate culture
Corporate culture
Target market
Right product
Right product
Cost reduction program
Price adjustment
Price adjustment
Promotion mix
Trade shows
Trade shows


True/False
Question
Public interest groups limit the freedom of suppliers & buyers.
Correct Answer
True
Your Answer
True


Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer
B2B marketing
Your Answer
B2B marketing


Multiple Choice Multiple Answer
Question
Services of trained experts is required for :-
Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic recording
equipment
Your Answer
Special accounting machines , Statistical analysis equipment , Electronic recording
equipment


Select The Blank
Question
Computer systems help in the ________ of the findings of the research project.
Correct Answer
Presentation
Your Answer
Presentation


Multiple Choice Single Answer
Question
One example of operating supplies is:
Correct Answer
Paints and varnishes
Your Answer
Personal computers


True/False
Question
Most of public institutions prefer buying as per legal constraints.
Correct Answer
True
Your Answer
True


Multiple Choice Single Answer
Question
Direct costs are also referred to as :-
Correct Answer
Operating costs
Your Answer
Operating costs


Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer
An internal environment analysis
Your Answer
An internal environment analysis


Select The Blank
Question
________ is the alternate name given to marketing research.
Correct Answer
Marketing intelligence
Your Answer
Marketing intelligence


Select The Blank
Question
Marketing research is used for making ________ projections.
Correct Answer
Sales
Your Answer
Sales


True/False
Question
The IT and BPO service industries in India are showing lower rates of growth compared to
other industry sectors.
Correct Answer
False
Your Answer
False


True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer
True
Your Answer
True


Multiple Choice Multiple Answer
Question
The common service requirements of Industrial buyers are :-
Correct Answer
Technical , Replacement parts , Delivery
Your Answer
Technical , Replacement parts , Delivery


Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer
Identifying the needs of customers
Your Answer
Identifying the needs of customers


Select The Blank
Question
A relative ________ product life span is a favourable condition for charging high price.
Correct Answer
Short
Your Answer
Short


Multiple Choice Single Answer
Question
Making an assessment of the competitors’ strengths and weakness is called :-
Correct Answer
Competitive position analysis
Your Answer
Competitive position analysis


Select The Blank
Question
The fundamental aspect of industrial marketing is that it addresses the needs and wants of
________.
Correct Answer
Business organizations
Your Answer
Business organizations


Multiple Choice Single Answer
Question
Factors affecting industrial pricing are :-
Correct Answer
Type of competition
Your Answer
Type of competition


True/False
Question
Use of IT tools like enterprise resource planning is helping industrial firms to improve
productivity and efficiency.
Correct Answer
True
Your Answer
True


Multiple Choice Single Answer
Question
Funds spent on R & D to bring a new product into the market are :-
Correct Answer
Sunk Costs
Your Answer
Sunk Costs


Multiple Choice Single Answer
Question
Periodic analysis of an industrial buyer’s operations and purchase systems is necessary to :-
Correct Answer
Understand the changes in buy practices
Your Answer
Understand the changes in buy practices


Match The Following
Question
Correct Answer
Your Answer
Freight Equalization
Base Point
Base Point
Consumer Goods
Advertising & sales promotion
Advertising & sales promotion
High Price Strategy
Patents
Recovery of Investment
Short Life Span
Recovery of Investment
Large Profit


Multiple Choice Single Answer
Question
The uncontrollable environment is known as :-
Correct Answer
Macro Environment
Your Answer
Macro Environment


Multiple Choice Single Answer
Question
The demand for industrial products is :-
Correct Answer
Derived
Your Answer
Derived


Select The Blank
Question
The drop in price of individual product has effect of ________ demand.
Correct Answer
Shrinking
Your Answer
Increasing


Multiple Choice Single Answer
Question
Data for initial screening can be obtained from:-
Correct Answer
Secondary sources
Your Answer
Secondary sources


Select The Blank
Question
When purchase of industrial equipment is involved, the stage between manufacture and
dispatch of goods is called ________.
Correct Answer
Inspection
Your Answer
Inspection


Multiple Choice Multiple Answer
Question
Questions asked in unstructured surveys bring about :-
Correct Answer
Priorities , Problems , Motives
Your Answer
Motives , Priorities , Problems


Multiple Choice Multiple Answer
Question
Stock carrying branches are useful for :-
Correct Answer
Bulk sales , Lowering fright charges , Speed of delivery
Your Answer
Bulk sales , Lowering fright charges , Speed of delivery


Multiple Choice Multiple Answer
Question
To push the company's products, advertising literature should point out advantages to the
middlemen, such as :-
Correct Answer
Wide margins , Large sales potential , Rapid turnover
Your Answer
Wide margins , Large sales potential , Rapid turnover


Multiple Choice Single Answer
Question
The industrial buyers buy only when there are :-
Correct Answer
Strong economic benefits
Your Answer
Strong economic benefits


Select The Blank
Question
Senior marketing personnel from a supplier firm are usually involved in a ________
situation:
Correct Answer
New task buy
Your Answer
New task buy


Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer
Uniform
Your Answer
Uniform


Multiple Choice Single Answer
Question
Large industrial companies realize substantial cost savings is by having:-
Correct Answer
Centralized purchasing
Your Answer
Centralized purchasing


Multiple Choice Multiple Answer
Question
Industries involved in production of chemical & pesticides have to :-
Correct Answer
Make natural resources pollution free , Devise safety measures to protect environment ,
Properly dispose off waste material
Your Answer
Make natural resources pollution free , Devise safety measures to protect environment ,
Properly dispose off waste material


Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer
Continuity
Your Answer
Continuity


Select The Blank
Question
Continuous efforts by sales person, result in developing friendship ________ & cooperation
over a period of time between buyer & seller.
Correct Answer
Trust
Your Answer
Trust
True/False
Question
Sample size in industrial marketing research can be as large as in consumer marketing.
Correct Answer
False
Your Answer
False


Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior


Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for
industrial products on account of :-
Correct Answer
Cost competitiveness
Your Answer
Cost competitiveness


Multiple Choice Single Answer
Question
In an organisation, purchase division is made by:-
Correct Answer
People
Your Answer
Purchase committee


Multiple Choice Multiple Answer
Question
In a tender a vendor has to supply data on :-
Correct Answer
Sales to net worth , Working capital , Turnover Ratio
Your Answer
Sales to net worth , Working capital , Turnover Ratio
at 5:41 AM 0 comments Links to this post

Labels: Industrial Marketing

Industrial Marketing - 1

LIST OF ATTEMPTED QUESTIONS AND ANSWERS




Multiple Choice Single Answer
Question
The first level of industrial marketing environment is called the :-
Correct Answer
Interface level
Your Answer
Interface level


Multiple Choice Multiple Answer
Question
When a firm introduces new product, a considerable amount is sunk into :-
Correct Answer
Research , Planning , Testing
Your Answer
Research , Planning , Testing


Select The Blank
Question
Non stock carrying branch offices are used as ________ sales head quarter.
Correct Answer
Regional
Your Answer
Local


Multiple Choice Single Answer
Question
The advertiser can formulate sales appeals that address prospective customer's problems
and :-
Correct Answer
Responsibilities
Your Answer
Responsibilities


Multiple Choice Single Answer
Question
For the industrial manufacturer gross profit may be low on :-
Correct Answer
Bought out parts
Your Answer
Bought out parts


True/False
Question
When a manufacturer wishes to diversify his product line, he will need a channel that is
flexible.
Correct Answer
True
Your Answer
True


Multiple Choice Multiple Answer
Question
Sales personnel should :-
Correct Answer
Be sensitive to the need of the customers , Have deep technical knowledge , Have good
communication skills
Your Answer
Have deep technical knowledge , Have good communication skills


Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer
Engine , Gear box , Clutch
Your Answer
Engine , Gear box , Clutch


Multiple Choice Multiple Answer
Question
Substantial cash outlay needs to be allocated for :-
Correct Answer
Training Salesmen , Building stock of raw materials , Providing information to customers
Your Answer
Training Salesmen , Building stock of raw materials , Setting up infrastructure


Multiple Choice Single Answer
Question
The facilitator of the process of interactions between a buyer and a banker are :-
Correct Answer
Bankers
Your Answer
Creditors


True/False
Question
Buyers, who are risk averse are good prospects for new product and concepts.
Correct Answer
False
Your Answer
False


Multiple Choice Single Answer
Question
The demand of consumer products can be increased by :-
Correct Answer
Advertising
Your Answer
Price cuts


Select The Blank
Question
A relative ________ product life span is a favourable condition for charging high price.
Correct Answer
Short
Your Answer
Long


True/False
Question
Car manufacturers make all the components of the car themselves.
Correct Answer
False
Your Answer
False


Select The Blank
Question
One of the current trends in Indian industrial companies is the aspect of ________ export
growth.
Correct Answer
Higher
Your Answer
Higher


True/False
Question
Trade directories, government reports, company files are some of the sources of primary
data.
Correct Answer
False
Your Answer
False


Multiple Choice Multiple Answer
Question
Industrial sales person must understand the :-
Correct Answer
Manufacturing process of the company , Motivating factors of individuals , Procedures of the
company
Your Answer
Manufacturing process of the company , Motivating factors of individuals , Procedures of the
company


Multiple Choice Multiple Answer
Question
In a tender a vendor has to supply data on :-
Correct Answer
Sales to net worth , Working capital , Turnover Ratio
Your Answer
Sales to net worth , Working capital , Turnover Ratio


Multiple Choice Multiple Answer
Question
What is a sales appeal?
Correct Answer
An argument , A fact , An idea
Your Answer
An argument , A fact , An idea


Select The Blank
Question
An industrial product manufacturer would prefer to deal with ________ suppliers of
component parts.
Correct Answer
Fewer
Your Answer
Fewer


Match The Following
Question
Correct Answer
Your Answer
Foreign market
Attractive returns
Attractive returns
Independent strategies
Resources
Restrictive
Cooperative strategies
Understanding
Understanding
Manipulative strategies
Restrictive
Resources


Multiple Choice Multiple Answer
Question
The following items fall under the category of manufactured items:-
Correct Answer
Stainless steel , Aluminium foil , Digital cameras
Your Answer
Stainless steel , Aluminium foil , Digital cameras


True/False
Question
Advertising and promotion expenses, as a percentage of total sales, are usually more for
industrial products than for consumer products.
Correct Answer
False
Your Answer
False


Select The Blank
Question
The ultimate goal of business is to serve ________.
Correct Answer
Society
Your Answer
Shareholders


Select The Blank
Question
Decisions concerning pricing decisions are taken on ________ occasions.
Correct Answer
Three
Your Answer
Three


Multiple Choice Single Answer
Question
The marketer of standardized industrial goods gain objectives more effectively than non-
standardized items because of the use of :-
Correct Answer
Price Strategy
Your Answer
Product differentiation


Select The Blank
Question
When a firm sells through a limited number of outlets, it is known as ________ distribution.
Correct Answer
Selective
Your Answer
Selective


Multiple Choice Single Answer
Question
A high price strategy can generate among customers, a substantial amount of :-
Correct Answer
Ill will
Your Answer
Dissatisfaction


True/False
Question
Most of public institutions prefer buying as per legal constraints.
Correct Answer
True
Your Answer
True


Match The Following
Question
Correct Answer
Your Answer
To expand product range to cover all types of computer peripherals
Plan
Mission
To become the No. 1 supplier in computer peripherals
Mission
Goal
To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Milestone
To reduce employee turnover from 30% to 25% in 1 yr
Goal
Plan


Multiple Choice Multiple Answer
Question
A company has to revise its pricing strategy when :-
Correct Answer
Competitor changes his price , New rival enters the market , It is advantageous for the
company to change price
Your Answer
Competitor changes his price , New rival enters the market , It is advantageous for the
company to change price
Multiple Choice Single Answer
Question
Rapport building requires special skills e.g. :-
Correct Answer
Human relations
Your Answer
Communication skills


True/False
Question
Some purchase decisions also depend on buyer's response to the seller's marketing stimuli.
Correct Answer
True
Your Answer
True


True/False
Question
The objective of the high price strategy is only to recover firm's investment speedily.
Correct Answer
False
Your Answer
True


Multiple Choice Single Answer
Question
The approach to selling by the sales force should be :-
Correct Answer
Professional
Your Answer
Professional


Multiple Choice Single Answer
Question
Research objectives are statements that :-
Correct Answer
Outline the aims of problem definition
Your Answer
Outline the aims of problem definition
Multiple Choice Single Answer
Question
Industrial Market Research is a systematic process of collecting data to :-
Correct Answer
Prepare actionable research report
Your Answer
Prepare actionable research report


True/False
Question
To get market feedback in industrial marketing marketing research is conducted frequently.
Correct Answer
False
Your Answer
False


Select The Blank
Question
Industrial marketer deals with ________ buyers than consumer marketer.
Correct Answer
Fewer
Your Answer
Fewer


Multiple Choice Multiple Answer
Question
A high price strategy is favoured under following conditions :-
Correct Answer
Product represent genuine information , Presence of elite market , Inelastic demand
situation
Your Answer
Product represent genuine information , Presence of elite market , Inelastic demand
situation


Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in
the end product price
Your Answer
Increase his share of the market , Enlarge the total market , Not make a major change in
the end product price


Multiple Choice Multiple Answer
Question
When the price of a product goes down, the industrial buyer :-
Correct Answer
Changes his about prices , Waits for price to go down further , Enters the market & buys
Your Answer
Waits for price to go down further , Enters the market & buys


Select The Blank
Question
To overcome bad image, the companies have to go for ________ public relations program.
Correct Answer
Long term
Your Answer
Long term


Select The Blank
Question
The best advertising should be best in creativity, simplicity and ________.
Correct Answer
Uniqueness
Your Answer
Uniqueness


Select The Blank
Question
A first approximation of ________ benefit analysis is necessary before a detailed
segmentation analysis.
Correct Answer
Cost
Your Answer
Cost


True/False
Question
Legal and economic risks may occur because of fraudulent advertising.
Correct Answer
True
Your Answer
True


Multiple Choice Single Answer
Question
Advertising objectives need to assist
Correct Answer
Marketing objectives
Your Answer
Marketing objectives

at 5:39 AM 0 comments

Select The Blank
Question
Trade ________ form a part of regulatory environment.
Correct Answer Barriers
Your Answer Barriers



Multiple Choice Multiple Answer
Question
Sales personnel should :-
Correct Answer Be sensitive to the need of the customers , Have
deep technical knowledge , Have good communication skills
Your Answer Have deep technical knowledge , Have good communication
skills , Be sensitive to the need of the customers



Match The Following
Question
Correct Answer
Your Answer

Freight Equalization - Base Point - Base Point

Consumer Goods - Advertising & sales promotion - Advertising & sales
promotion

High Price Strategy - Patents - Patents
Short Life Span - Recovery of Investment - Recovery of Investment



Select The Blank
Question
Analytical techniques are ________ to a large extent.
Correct Answer Mathematical
Your Answer Non predictable



Multiple Choice Single Answer
Question
The approach to selling by the sales force should be :-
Correct Answer Professional
Your Answer Professional



Multiple Choice Multiple Answer
Question
Following capabilities of the organisation also form a basis for
segmentation:-
Correct Answer Operating , Technical , Financial
Your Answer Operating , Technical , Financial



Multiple Choice Multiple Answer
Question
Product development can discourage competition if it is :-
Correct Answer Technologically intensive , Capital intensive ,
Require state-of-art technology
Your Answer Technologically intensive , Capital intensive , Require
state-of-art technology



Multiple Choice Multiple Answer
Question
When the product is complex & requires service by skilled specialist, the
manufacturer has to :-
Correct Answer Supply large number of spare parts , Change a
premium price , Train the technician of buyer
Your Answer Maintain service station , Supply large number of spare
parts , Train the technician of buyer



Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer Continuity
Your Answer Continuity



Multiple Choice Single Answer
Question
Direct costs are also referred to as :-
Correct Answer Operating costs
Your Answer Operating costs



Multiple Choice Multiple Answer
Question
Substantial cash outlay needs to be allocated for :-
Correct Answer Building stock of raw materials , Providing
information to customers , Training Salesmen
Your Answer Training Salesmen , Building stock of raw materials ,
Setting up infrastructure



Multiple Choice Multiple Answer
Question
Industrial markets can be positioned on product merits e.g.:-
Correct Answer Quality conscious , Reliability , Dependability
Your Answer Quality conscious , Reliability , Dependability



Multiple Choice Single Answer
Question
The generic need which the company will seek to satisfy, stated by top
management is called:-
Correct Answer Mission
Your Answer Mission
True/False
Question
In industrial product marketing, the cost of maintenance is not important in
making comparisons with competitors' products.
Correct Answer False
Your Answer False



Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing
operations for industrial products on account of :-
Correct Answer Cost competitiveness
Your Answer Cost competitiveness



Multiple Choice Multiple Answer
Question
Manufacturers handle the inventory requirement problem by :-
Correct Answer Maintaining stock at convenient locations , Make
arrangement for return of slow moving goods , Levy service charge on return
of goods
Your Answer Maintaining stock at convenient locations , Make arrangement
for return of slow moving goods , Supplying against specific orders



Select The Blank
Question
Industrial force should be ________ to market conditions.
Correct Answer Responsive
Your Answer Responsive



True/False
Question
Materials that go into the production of food / drug end product have very
narrow quality tolerance.
Correct Answer True
Your Answer True
Select The Blank
Question
Exploratory research involves the gathering of ________ data from secondary
sources.
Correct Answer Preliminary
Your Answer Preliminary



Multiple Choice Multiple Answer
Question
Technical service means details about :-
Correct Answer Ingredient material , How product works , Type of
make of key equipments in the product
Your Answer Ingredient material , How product works , Type of make of
key equipments in the product



Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization's purpose,
values and distinctive competencies is called :-
Correct Answer Mission
Your Answer Mission



Select The Blank
Question
Supply chain management is one of the tools used by modern companies to
achieve ________.
Correct Answer High productivity improvement and efficiency
Your Answer High productivity improvement and efficiency



Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer B2B marketing
Your Answer B2B marketing



Multiple Choice Single Answer
Question
Making an assessment of the competitors' strengths and weakness is called :-
Correct Answer Competitive position analysis
Your Answer Competitive position analysis



Multiple Choice Single Answer
Question
Open-ended questions in unstructured questionnaire are often called as :-
Correct Answer Non-disguised questions
Your Answer Non-disguised questions



Match The Following
Question
Correct Answer
Your Answer

Accuracy of data - Sampling error - Sampling error

Frequency of use - Periodical use of information - Periodical use of
information

Urgency of response - Fast decision making - Fast decision making

Timeliness - Current information - Current information



Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer Identifying the needs of customers
Your Answer Identifying the needs of customers



True/False
Question
Effective use of sales force lead to achieving maximum sales at low costs.
Correct Answer True
Your Answer True
Multiple Choice Single Answer
Question
The most important of the operating plans are :-
Correct Answer Policies
Your Answer Policies



Select The Blank
Question
When purchase of industrial equipment is involved, the stage between
manufacture and dispatch of goods is called ________.
Correct Answer Inspection
Your Answer Inspection



True/False
Question
Outsiders like technical consultants can play a key role in the purchase
process of a large buying organization.
Correct Answer True
Your Answer True



Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer Awareness & knowledge , Attitudes & opinions , Buyer
behavior
Your Answer Awareness & knowledge , Attitudes & opinions , Buyer
behavior



Multiple Choice Single Answer
Question
Distributors contact potential buyers and negotiate :-
Correct Answer Orders
Your Answer Orders



Multiple Choice Single Answer
Question
Large organisations opt for :-
Correct Answer Volume purchasing
Your Answer Volume purchasing



True/False
Question
The level of customer experience influences the marketing strategy.
Correct Answer True
Your Answer True



Select The Blank
Question
Non stock carrying branch offices are used as ________ sales head quarter.
Correct Answer Regional
Your Answer Regional



Multiple Choice Single Answer
Question
Value analysis comprises following actions :-
Correct Answer Review of existing product
Your Answer Review of existing product



Select The Blank
Question
The industrial selling environment consists of a process of ________ between
buyer & seller.
Correct Answer Exchange
Your Answer Exchange



True/False
Question
In order to enjoy cost advantage relative to the innovative firm, competitor
must reach a break-through in product design.
Correct Answer True
Your Answer True
Multiple Choice Multiple Answer
Question
Public interest groups support :-
Correct Answer Environmental causes , Women's rights , Minority
welfare
Your Answer Environmental causes , Women's rights , Minority welfare



True/False
Question
Sometimes when the price of a material drops below a certain level, buyers
start thinking of new applications.
Correct Answer True
Your Answer True


True/False
Question
The objective of the high price strategy is only to recover firm's
investment speedily.
Correct Answer False
Your Answer False



True/False
Question
Personal selling is a powerful tool in industrial product selling.
Correct Answer True
Your Answer True



Multiple Choice Multiple Answer
Question
Administration of sales force management is concerned with :-
Correct Answer Motivating , Compensating , Directing
Your Answer Motivating , Compensating , Directing



Multiple Choice Single Answer
Question
Rapport building requires special skills e.g. :-
Correct Answer Human relations
Your Answer Human relations



Multiple Choice Single Answer
Question
Financial capability refers to :-
Correct Answer Cash flow position
Your Answer Cash flow position



Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer An internal environment analysis
Your Answer An internal environment analysis

at 9:17 PM 0 comments Links to this post

Labels: Industrial Marketing(Set-II)


Tuesday, May 6, 2008
Industrial Marketing - 5

LIST OF ATTEMPTED QUESTIONS AND ANSWERS


Multiple Choice Multiple Answer
Question
Information sources for unstructured surveys are :-
Correct Answer
Sales personnel , Dealers , Customers
Your Answer
Public at large , Dealers , Customers


Multiple Choice Single Answer
Question
Market Segmentation is the process of dividing a large market into :-
Correct Answer
Sub-markets
Your Answer
Sub-markets
Multiple Choice Single Answer
Question
The unit price of a capital equipment item is usually:
Correct Answer
High
Your Answer
High


Multiple Choice Multiple Answer
Question
The legal framework is related to existing :-
Correct Answer
Business laws , Civil rights , Labour laws
Your Answer
Business laws , Civil rights , Labour laws


True/False
Question
A repeat purchase decision will generally involve changes in product specifications from
earlier supplies.
Correct Answer
False
Your Answer
False


True/False
Question
Advertisement agencies provide much needed experience in advertising.
Correct Answer
True
Your Answer
True


True/False
Question
It is easier to negotiate the purchase of power generators for a large power station than the
purchase of PCs.
Correct Answer
False
Your Answer
False


True/False
Question
A small reduction in price of original material can lead to a large reduction in the price of
end product.
Correct Answer
False
Your Answer
False


Multiple Choice Single Answer
Question
The purchase order placement of a furnace for a large steel plant can take:-
Correct Answer
A few months
Your Answer
A few months


Select The Blank
Question
Sluggishness of price response lies in the nature of ________ demand.
Correct Answer
Derived
Your Answer
Derived


Multiple Choice Single Answer
Question
One example of operating supplies is:
Correct Answer
Paints and varnishes
Your Answer
Generators


Multiple Choice Single Answer
Question
Chain of distribution from the supplier to customer are known as :-
Correct Answer
Intermediaries
Your Answer
Intermediaries


Match The Following
Question
Correct Answer
Your Answer
Joint venture
Control over operation
Agreement
Direct exporting
Higher risk
Higher risk
Foreign production
Direct investment
Intermediaries
Comparative analysis
Similarities
Similarities


Match The Following
Question
Correct Answer
Your Answer
Indirect Cost
Interest
Wages
Product life cycle
Different phases
Different phases
Price Leadership
Initiate price change
Pricing decision
Direct Cost
Wages
Initiate price change


Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for companies doing
business in :-
Correct Answer
Computers , Software , Office equipment
Your Answer
Computers , Software , Office equipment


Multiple Choice Multiple Answer
Question
According to you, marketing of industrial services and marketing of industrial products :-
Correct Answer
Are similar from the seller’s point of view , Require similar resources , Require different
types of resources
Your Answer
Are similar from the seller’s point of view , Require similar resources , Require different
types of resources


Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer
Identifying the needs of customers
Your Answer
Identifying the needs of customers


Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for
industrial products on account of :-
Correct Answer
Cost competitiveness
Your Answer
High labor cost


Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer
B2B marketing
Your Answer
B2C marketing


Multiple Choice Multiple Answer
Question
Negotiations between buyer and seller will be involved and of long duration for the following
items:-
Correct Answer
Air-conditioning plant for an airport terminal , Telecom equipment for large MNC , Diesel
locomotives for public sector company
Your Answer
Air-conditioning plant for an airport terminal , Telecom equipment for large MNC , Diesel
locomotives for public sector company


Multiple Choice Single Answer
Question
An external environment analysis is necessary to understand :-
Correct Answer
The needs of the customers
Your Answer
The capabilities of competitors


Multiple Choice Single Answer
Question
Periodic analysis of an industrial buyer’s operations and purchase systems is necessary to :-
Correct Answer
Understand the changes in buy practices
Your Answer
Understand the changes in buy practices


Multiple Choice Single Answer
Question
The industrial marketing research department helps the company to :-
Correct Answer
Take informed decisions regarding marketing strategies
Your Answer
Take informed decisions regarding marketing strategies


Multiple Choice Multiple Answer
Question
A high price strategy is favoured under following conditions :-
Correct Answer
Product represent genuine information , Presence of elite market , Inelastic demand
situation
Your Answer
Product represent genuine information , Presence of elite market , Inelastic demand
situation


Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in
the end product price
Your Answer
Increase his share of the market , Enlarge the total market , Not make a major change in
the end product price


Multiple Choice Single Answer
Question
The middleman, who customize a product & handle specific situation are called :-
Correct Answer
Value added resellers
Your Answer
Value added resellers


Multiple Choice Multiple Answer
Question
The supplier’s marketing person needs to identify the following role players in the buying
organization:-
Correct Answer
Senior purchase officer , Actual users , Deciding officers
Your Answer
Senior purchase officer , Actual users , Deciding officers


Select The Blank
Question
The buying needs and practices of organisations differ according to wether they are
innovate, product leaders or ________.
Correct Answer
Followers
Your Answer
Followers


True/False
Question
Cash flow produced by marketing a joint product must be equal in value to its separable
cost.
Correct Answer
True
Your Answer
True


True/False
Question
Branch offices are located in commercial centres.
Correct Answer
False
Your Answer
False


Select The Blank
Question
Industrial advertising must provide reader with information regarding ________ benefits, in
simple words.
Correct Answer
Intangible
Your Answer
Tangible


Select The Blank
Question
Computer systems help in the ________ of the findings of the research project.
Correct Answer
Presentation
Your Answer
Presentation


Multiple Choice Single Answer
Question
Rapport building requires special skills e.g. :-
Correct Answer
Human relations
Your Answer
Communication skills


Select The Blank
Question
________ are an important link in indirect to user channel strategy.
Correct Answer
Agents
Your Answer
Agents


Multiple Choice Single Answer
Question
The approach to selling by the sales force should be :-
Correct Answer
Professional
Your Answer
Professional


Multiple Choice Multiple Answer
Question
For successful positioning the firm should know its :-
Correct Answer
Current positioning in the market , Competitors , Resources
Your Answer
Current positioning in the market , Competitors , Financial position


Select The Blank
Question
When a firm sells through a limited number of outlets, it is known as ________ distribution.
Correct Answer
Selective
Your Answer
Selective


Select The Blank
Question
Marketing research is used for making ________ projections.
Correct Answer
Sales
Your Answer
Sales


Multiple Choice Multiple Answer
Question
To push the company's products, advertising literature should point out advantages to the
middlemen, such as :-
Correct Answer
Wide margins , Large sales potential , Rapid turnover
Your Answer
Wide margins , Large sales potential , Off-the-shelf inventory


Multiple Choice Multiple Answer
Question
Industrial marketers have a choice of structural arrangement like :-
Correct Answer
Direct to users , Indirect to users , Mixed structure
Your Answer
Direct to users , Indirect to users , Mixed structure


True/False
Question
Buyers are always cold, rational & dispassionate.
Correct Answer
False
Your Answer
False


Multiple Choice Single Answer
Question
How fast a firm can recover its cash outlay depends on its :-
Correct Answer
Financial strength
Your Answer
Sales force


Multiple Choice Single Answer
Question
A small lathe is a type of :-
Correct Answer
Accessory equipment
Your Answer
Major equipment


Select The Blank
Question
The sales of standard industrial products are generally carried out through ________.
Correct Answer
Direct channel and middlemen
Your Answer
Direct channel and middlemen


Select The Blank
Question
Indigenous vehicle manufacturers face ________ from foreign manufacturers setting up
facilities in India.
Correct Answer
A threat
Your Answer
A threat


True/False
Question
A major change in the price of an industrial component causes a significant change in the
end product price.
Correct Answer
False
Your Answer
True


Multiple Choice Single Answer
Question
Industrial Market Research is very important :-
Correct Answer
From strategic and implementation point of view
Your Answer
From strategic and implementation point of view

at 5:59 AM 0 comments Links to this post

Labels: Industrial Marketing(Set-II)

Industrial Marketing - 4

LIST OF ATTEMPTED QUESTIONS AND ANSWERS Ind- Marktng


Multiple Choice Single Answer
Question
The middleman, who customize a product & handle specific situation are called :-
Correct Answer
Value added resellers
Your Answer
Value added resellers


Select The Blank
Question
IBM, Microsoft and Google are just three MNCs that have ________.
Correct Answer
Set up software development centers in India
Your Answer
Set up software development centers in India


Multiple Choice Multiple Answer
Question
Analysis of the strengths and weakness of competitors is done in the areas of :-
Correct Answer
Manufacturing , Finance , Technical service
Your Answer
Manufacturing , Finance , Technical service


Multiple Choice Single Answer
Question
The purpose of any modern industrial firm is to :-
Correct Answer
Fulfill customers’ needs
Your Answer
Fulfill customers’ needs


Multiple Choice Multiple Answer
Question
Technical service means details about :-
Correct Answer
Ingredient material , How product works , Type of make of key equipments in the product
Your Answer
Ingredient material , How product works , Type of make of key equipments in the product


True/False
Question
Buyers, who are risk averse are good prospects for new product and concepts.
Correct Answer
False
Your Answer
True


Multiple Choice Single Answer
Question
For financially weak but reliable customers, supplier may be required to:-
Correct Answer
Give high discounts
Your Answer
Insist on cash on delivery


Multiple Choice Multiple Answer
Question
Ashok Leyland is an Indian company whose competitors would include :-
Correct Answer
Tata Motors , Volvo Motors
Your Answer
Tata Motors , Volvo Motors


Multiple Choice Multiple Answer
Question
Questions asked in unstructured surveys bring about :-
Correct Answer
Motives , Priorities , Problems
Your Answer
Motives , Priorities , Problems


True/False
Question
Delivery rating factor is prepared based on adherence to delivery schedule.
Correct Answer
True
Your Answer
True


Multiple Choice Single Answer
Question
The industrial marketing research department helps the company to :-
Correct Answer
Take informed decisions regarding marketing strategies
Your Answer
Take informed decisions regarding marketing strategies


Match The Following
Question
Correct Answer
Your Answer
To expand product range to cover all types of computer peripherals
Plan
Mission
To become the No. 1 supplier in computer peripherals
Mission
Goal
To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Milestone
To reduce employee turnover from 30% to 25% in 1 yr
Goal
Plan


Multiple Choice Single Answer
Question
Non Banking Financial Corporations receive negative publicity from :-
Correct Answer
Down grading by rating agencies
Your Answer
Down grading by rating agencies


Multiple Choice Multiple Answer
Question
In a tender a vendor has to supply data on :-
Correct Answer
Sales to net worth , Working capital , Turnover Ratio
Your Answer
Sales to net worth , Turnover Ratio , Profit to Loss Ratio


Multiple Choice Multiple Answer
Question
Supply by an industrial firm to an OEM will:
Correct Answer
Enhance its reputation , Help in obtaining regular orders , Help in spreading awareness
among other possible buyers
Your Answer
Enhance its reputation , Help in obtaining regular orders , Help in spreading awareness
among other possible buyers


Multiple Choice Single Answer
Question
Financial capability refers to :-
Correct Answer
Cash flow position
Your Answer
Cash flow position


Select The Blank
Question
The buying needs and practices of organisations differ according to wether they are
innovate, product leaders or ________.
Correct Answer
Followers
Your Answer
Nichers


Multiple Choice Single Answer
Question
In an organisation, purchase division is made by:-
Correct Answer
People
Your Answer
Management


Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer
Uniform
Your Answer
Even


Select The Blank
Question
Direct marketing is expensive when probable volume of sales in a market area is ________.
Correct Answer
Small
Your Answer
Small


Multiple Choice Single Answer
Question
General public will work towards a cause if it is :-
Correct Answer
Motivated
Your Answer
Motivated


Multiple Choice Single Answer
Question
A situation analysis consists of :-
Correct Answer
A combination of internal environment analysis, external environment analysis and
competitive analysis
Your Answer
A combination of internal environment analysis, external environment analysis and
competitive analysis


Multiple Choice Single Answer
Question
Institutional investors are concerned with organisation's :-
Correct Answer
Operational efficiency
Your Answer
Operational efficiency


Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer
Continuity
Your Answer
Time


Select The Blank
Question
The fundamental aspect of industrial marketing is that it addresses the needs and wants of
________.
Correct Answer
Business organizations
Your Answer
Groups of consumers


True/False
Question
Advertisement and public relation campaign project a positive image of the Co.
Correct Answer
True
Your Answer
True


True/False
Question
Market coverage means demographic areas to be covered.
Correct Answer
True
Your Answer
False


Match The Following
Question
Correct Answer
Your Answer
Advertising effectiveness
Evaluation of performance
Evaluation of performance
Web design
Domain name
Domain name
Choice of media
Reaching the right audience
Reaching the right audience
Basis of Budgeting support
Percentage of past sales
Percentage of past sales


Multiple Choice Single Answer
Question
Making an assessment of the competitors’ strengths and weakness is called :-
Correct Answer
Competitive position analysis
Your Answer
Competitive position analysis


Select The Blank
Question
Business should act in a ________ manner to keep Govt. out of business environment.
Correct Answer
United
Your Answer
Creative


True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer
True
Your Answer
True


True/False
Question
Materials that go into the production of food / drug end product have very narrow quality
tolerance.
Correct Answer
True
Your Answer
False


Multiple Choice Multiple Answer
Question
According to you, marketing of industrial services and marketing of industrial products :-
Correct Answer
Are similar from the seller’s point of view , Require similar resources , Require different
types of resources
Your Answer
Require different types of resources , Are different.
Multiple Choice Single Answer
Question
Primary task to be performed for the execution of the sales efforts is :-
Correct Answer
Making sales presentation
Your Answer
Identifying needs of customers


True/False
Question
Countries with political stability have a grater chance of attracting investment from MNCs.
Correct Answer
True
Your Answer
True


True/False
Question
The IT and BPO service industries in India are showing lower rates of growth compared to
other industry sectors.
Correct Answer
False
Your Answer
False


Multiple Choice Multiple Answer
Question
Product development can discourage competition if it is :-
Correct Answer
Technologically intensive , Capital intensive , Require state-of-art technology
Your Answer
Technologically intensive , Capital intensive , Requires extensive sales promotion


Multiple Choice Single Answer
Question
The best channel of distribution for capital items is :-
Correct Answer
Direct selling
Your Answer
Direct selling
Multiple Choice Multiple Answer
Question
For developing a positioning strategy, following variables are used:-
Correct Answer
Product features , Product reliability , Ability to provide solutions to customer problem
Your Answer
Product features , Product reliability , Ability to provide solutions to customer problem


Select The Blank
Question
The Finance Officer can also play a passive part in the purchase process and his role in the
DMU would be as a ________.
Correct Answer
Gatekeeper
Your Answer
Influencer


Multiple Choice Single Answer
Question
An external environment analysis is necessary to understand :-
Correct Answer
The needs of the customers
Your Answer
The needs of the customers


Multiple Choice Multiple Answer
Question
A company has to revise its pricing strategy when :-
Correct Answer
Competitor changes his price , New rival enters the market , It is advantageous for the
company to change price
Your Answer
Competitor changes his price , New rival enters the market


Select The Blank
Question
Exploratory research involves the gathering of ________ data from secondary sources.
Correct Answer
Preliminary
Your Answer
Critical
Multiple Choice Multiple Answer
Question
Services of trained experts is required for :-
Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic recording
equipment
Your Answer
Special accounting machines , Electronic recording equipment , Supply of iron ore


True/False
Question
In order to enjoy cost advantage relative to the innovative firm, competitor must reach a
break-through in product design.
Correct Answer
True
Your Answer
True


True/False
Question
The objective of the high price strategy is only to recover firm's investment speedily.
Correct Answer
False
Your Answer
True


Multiple Choice Multiple Answer
Question
Industrial markets can be positioned on product merits e.g.:-
Correct Answer
Quality conscious , Reliability , Dependability
Your Answer
Quality conscious , Dependability , Affordability

at 5:57 AM 0 comments Links to this post

Labels: Industrial Marketing(Set-II)

Multiple Choice Single Answer
Question
Funds spent on R & D to bring a new product into the market are :-
Correct Answer Sunk Costs
Your Answer Sunk Costs



True/False
Question
Hydraulic equipments are handled by general line industries.
Correct Answer False
Your Answer False



Select The Blank
Question
Market conditions may result in demand for a product, which is relatively
________ to change in price.
Correct Answer Unresponsive
Your Answer Responsive



Multiple Choice Single Answer
Question
Industrial product advertising is an effective means to stimulate :-
Correct Answer Primary demand
Your Answer Primary demand



Multiple Choice Single Answer
Question
Value analysis may suggest :-
Correct Answer Product modifications
Your Answer Product modifications



Select The Blank
Question
The buying needs and practices of organisations differ according to whether
they are innovate, product leaders or ________.
Correct Answer Followers
Your Answer Followers
Select The Blank
Question
Competitor, who enter late in the market, must apply part of their cash
inflow to the amortization of their own ________ cost.
Correct Answer Development
Your Answer Development



Select The Blank
Question
The ________ distributors focus on narrow range of related products.
Correct Answer Specialised
Your Answer Specialised



True/False
Question
A survey analyst is not part of the industrial marketing research team.
Correct Answer False
Your Answer False



Multiple Choice Multiple Answer
Question
Tata Motors is a company involved in the manufacture of :-
Correct Answer Passenger cars , Light commercial vehicles , Heavy
commercial vehicles
Your Answer Passenger cars , Light commercial vehicles , Heavy
commercial vehicles



Multiple Choice Single Answer
Question
Non Banking Financial Corporations receive negative publicity from :-
Correct Answer Down grading by rating agencies
Your Answer Write up in news papers



Select The Blank
Question
Sales personnel should study customers as ________.
Correct Answer Individuals
Your Answer Professionals



True/False
Question
Car manufacturers make all the components of the car themselves.
Correct Answer False
Your Answer False



Multiple Choice Single Answer
Question
For financially weak but reliable customers, supplier may be required to:-
Correct Answer Give high discounts
Your Answer Provide finance



True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer True
Your Answer True



Select The Blank
Question
Composite rating is prepared by adding ________ rating.
Correct Answer Individual
Your Answer Individual



Multiple Choice Multiple Answer
Question
For successful positioning the firm should know its :-
Correct Answer Current positioning in the market , Competitors ,
Resources
Your Answer Current positioning in the market , Competitors , Resources
Multiple Choice Multiple Answer
Question
For industrial marketing, type of channel members needed would depend on :-
Correct Answer Market coverage , Marketing cost , Marketing control

Your Answer Market coverage , Marketing cost , Marketing control



Multiple Choice Multiple Answer
Question
Information sources for unstructured surveys are :-
Correct Answer Sales personnel , Dealers , Customers
Your Answer Sales personnel , Dealers , Customers



Multiple Choice Single Answer
Question
How industrial advertising helps the salesperson?
Correct Answer It conveys the message to the network of decision
makers, he cannot reach.
Your Answer It conveys the message to the network of decision makers, he
cannot reach.



Select The Blank
Question
The best advertising should be best in creativity, simplicity and ________.
Correct Answer Uniqueness
Your Answer Uniqueness



True/False
Question
In industrial marketing buying is a collective decision making process.
Correct Answer True
Your Answer True



True/False
Question
Market coverage means demographic areas to be covered.
Correct Answer True
Your Answer False



Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for
companies doing business in :-
Correct Answer Computers , Software , Office equipment
Your Answer Computers , Software , Office equipment



Multiple Choice Multiple Answer
Question
Starting point for the negotiation process is :-
Correct Answer Needs , Plans , Goals
Your Answer Plans , Goals , Needs



Select The Blank
Question
Industrial advertising must provide reader with information regarding
________ benefits, in simple words.
Correct Answer Intangible
Your Answer Intangible



Multiple Choice Multiple Answer
Question
When a firm introduces new product, a considerable amount is sunk into :-
Correct Answer Research , Planning , Testing
Your Answer Research , Planning , Testing



Multiple Choice Single Answer
Question
Marketing Intelligence System is useful :-
Correct Answer For decision making by industrial marketing managers
Your Answer For decision making by industrial marketing managers
Select The Blank
Question
The situation where the buyer requires an industrial product to a revised
set of specifications from a previous supplier is called ________.
Correct Answer Modified rebuy
Your Answer Straight rebuy



Multiple Choice Single Answer
Question
Data for initial screening can be obtained from:-
Correct Answer Secondary sources
Your Answer Secondary sources



Match The Following
Question
Correct Answer
Your Answer

Niche marketing - Customised products - Customised products

Purchasing policy - Bidding - Bidding

Product innovation - New products - New products

Competitive analysis - Strength &weakness - Strength &weakness




Multiple Choice Multiple Answer
Question
Media selection is done on the basis of :-
Correct Answer Reaching the right audience , Reaching audience with
right quantity of impact , Running the complain for a considerable period of
time
Your Answer Reaching the right audience , Reaching audience with right
quantity of impact , Running the complain for a considerable period of time



True/False
Question
An important characteristic of the mission statement is that it indicates
the direction the company wishes to take.
Correct Answer True
Your Answer True



Multiple Choice Single Answer
Question
A situation analysis consists of :-
Correct Answer A combination of internal environment analysis,
external environment analysis and competitive analysis
Your Answer A combination of internal environment analysis, external
environment analysis and competitive analysis



Multiple Choice Multiple Answer
Question
Service rating is judged by following factors :-
Correct Answer Promptness , Speed , Self interest
Your Answer Promptness , Speed , Self interest



True/False
Question
Some purchase decisions also depend on buyer's response to the seller's
marketing stimuli.
Correct Answer True
Your Answer True



Multiple Choice Single Answer
Question
Vendor rating system measures variables e.g. :-
Correct Answer Price
Your Answer Price



Multiple Choice Multiple Answer
Question
Industrial marketers have a choice of structural arrangement like :-
Correct Answer Direct to users , Indirect to users , Mixed
structure
Your Answer Direct to users , Indirect to users , Mixed structure



Select The Blank
Question
Decisions concerning pricing decisions are taken on ________ occasions.
Correct Answer Three
Your Answer Three



Multiple Choice Single Answer
Question
The purchase decision-makers in an industrial company constitute the:-
Correct Answer DMU
Your Answer DMU



Multiple Choice Single Answer
Question
Industrial buyer tries to justify his purchases on the basis of :-
Correct Answer Measurable performance
Your Answer Stock position



Multiple Choice Multiple Answer
Question
Industrial sales person must understand the :-
Correct Answer Manufacturing process of the company , Motivating
factors of individuals , Procedures of the company
Your Answer Manufacturing process of the company , Motivating factors of
individuals , Procedures of the company



True/False
Question
Sales forecast is the estimate of a Co's expected sales in a given time
period.
Correct Answer True
Your Answer True
True/False
Question
Most industrial suppliers make use of their own sales force in their
marketing system.
Correct Answer False
Your Answer True



Multiple Choice Multiple Answer
Question
A high price strategy is favoured under following conditions :-
Correct Answer Product represent genuine information , Presence of
elite market , Inelastic demand situation
Your Answer Product represent genuine information , Presence of elite
market , Inelastic demand situation



Multiple Choice Multiple Answer
Question
Growth of an automobile manufacturing firm can come from :-
Correct Answer Increase in domestic sales , Increase in export
sales , Decrease in manufacturing costs
Your Answer Increase in domestic sales , Increase in export sales ,
Decrease in manufacturing costs

at 9:19 PM 1 comments Links to this post

Labels: Industrial Marketing(Set-III)

Industrial Marketing - 7

LIST OF ATTEMPTED QUESTIONS AND ANSWERS


Multiple Choice Single Answer
Question
In pricing industrial goods, the most important factor is :-
Correct Answer Cost
Your Answer Cost



Select The Blank
Question
Methods to measure market ________ can classified into Qualitative and
Quantitative methods.
Correct Answer Potential
Your Answer Potential



Select The Blank
Question
Computer systems help in the ________ of the findings of the research
project.
Correct Answer Presentation
Your Answer Presentation



Select The Blank
Question
Senior marketing personnel from a supplier firm are usually involved in a
________ situation:
Correct Answer New task buy
Your Answer New task buy



Select The Blank
Question
IBM, Microsoft and Google are just three MNCs that have ________.
Correct Answer Set up software development centers in India
Your Answer Set up software development centers in India



Select The Blank
Question
By pricing the product at a very ________ level, management can have
substantial gross margin.
Correct Answer High
Your Answer High



Multiple Choice Multiple Answer
Question
For an industrial company, the following topics would fall under the
category of information on economic scenario :-
Correct Answer GDP growth figures , Inflation rates
Your Answer GDP growth figures , Inflation rates , Initial public
offerings by new companies



Multiple Choice Single Answer
Question
Primary task to be performed for the execution of the sales efforts is :-
Correct Answer Making sales presentation
Your Answer Making sales presentation



True/False
Question
Advertising and promotion expenses, as a percentage of total sales, are
usually more for industrial products than for consumer products.
Correct Answer False
Your Answer False



Multiple Choice Single Answer
Question
Fundamental skill requirement for closing a sale is :-
Correct Answer Application of psychology
Your Answer Application of psychology



Multiple Choice Single Answer
Question
Research objectives are statements that :-
Correct Answer Outline the aims of problem definition
Your Answer Outline the aims of problem definition



True/False
Question
Buyers always buy on the basis of the merit of the product.
Correct Answer False
Your Answer False
Multiple Choice Single Answer
Question
A small company which accepts high volume, low margin business & expands to
meet its production requirement will :-
Correct Answer Become dependant on such business
Your Answer Become dependant on such business



Select The Blank
Question
________ skills represent the essence of industrial marketing.
Correct Answer Negotiations
Your Answer Negotiations



Multiple Choice Single Answer
Question
The purpose of any modern industrial firm is to :-
Correct Answer Fulfill customers' needs
Your Answer Fulfill customers' needs



Multiple Choice Multiple Answer
Question
The maker of industrial product can increase total sales by :-
Correct Answer Research , Developing new uses , Developing new
users
Your Answer Research , Developing new uses , Developing new users



True/False
Question
Branch offices are located in commercial centres.
Correct Answer False
Your Answer False



Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer Uniform
Your Answer Uniform



True/False
Question
Advertisement and public relation campaign project a positive image of the
Co.
Correct Answer True
Your Answer True



Multiple Choice Single Answer
Question
The industrial marketing research department helps the company to :-
Correct Answer Take informed decisions regarding marketing
strategies
Your Answer Take informed decisions regarding marketing strategies



True/False
Question
Tariffs & quotas are used by the Govt. to protect indigenous business from
foreign competition.
Correct Answer True
Your Answer True



Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer Engine , Gear box , Clutch
Your Answer Engine , Gear box , Clutch



Multiple Choice Multiple Answer
Question
The message of well-designed advertisement for an industrial product should
generally consist of :-
Correct Answer A short headline , An explanation of the headline ,
Distinctive features of the product
Your Answer A short headline , An explanation of the headline ,
Distinctive features of the product



Multiple Choice Multiple Answer
Question
Profitability of any potential segment is measured by following criteria:-
Correct Answer Market share , Market growth , Image
Your Answer Market share , Market growth , Image



True/False
Question
It is easier to negotiate the purchase of power generators for a large power
station than the purchase of PCs.
Correct Answer False
Your Answer True



Multiple Choice Multiple Answer
Question
Ashok Leyland is an Indian company whose competitors would include :-
Correct Answer Tata Motors , Volvo Motors
Your Answer Tata Motors , Volvo Motors , Baja Auto



True/False
Question
Bill to vendor' & 'Absorbed by buyer' are the two possibilities under
rework.
Correct Answer True
Your Answer True



Multiple Choice Multiple Answer
Question
The following departments in a large engineering company would come under
the responsibility of VP (Operations) :-
Correct Answer Assembly plant , Machine shop , Machinery repair and
maintenance Section
Your Answer Assembly plant , Machine shop , Machinery repair and
maintenance Section



Multiple Choice Single Answer
Question
Industrial markets can be segmented in two steps:-
Correct Answer Micro and macro
Your Answer Micro and macro



Select The Blank
Question
A relative ________ product life span is a favourable condition for charging
high price.
Correct Answer Short
Your Answer Short



Match The Following
Question
Correct Answer
Your Answer

Intensive distribution - All markets - All markets

Direct distribution - Closer contact - Closer contact

Manufactured parts - High profit - High cost

Volatile - Price adjustments - Price adjustments



True/False
Question
An organization that is structured to serve the customer is the most
optimally designed organizational structure.
Correct Answer True
Your Answer True



Multiple Choice Single Answer
Question
Industrial Market Research is undertaken :-
Correct Answer To obtain valuable inputs on variables
Your Answer To obtain valuable inputs on variables



Match The Following
Question
Correct Answer
Your Answer

Personality - Individual influencer - Individual influencer

Level of demand - Environmental influencer - Environmental influencer

Purchase procedures - Organizational influencer - Organizational influencer

Empathy - Interpersonal influencer - Interpersonal influencer



Multiple Choice Multiple Answer
Question
Industries involved in production of chemical & pesticides have to :-
Correct Answer Make natural resources pollution free , Devise
safety measures to protect environment , Properly dispose off waste material

Your Answer Make natural resources pollution free , Devise safety
measures to protect environment , Properly dispose off waste material



Multiple Choice Multiple Answer
Question
The following items fall under the category of manufactured items:-
Correct Answer Stainless steel , Aluminium foil , Digital cameras
Your Answer Stainless steel , Aluminium foil , Digital cameras



Multiple Choice Single Answer
Question
DGS&D refers to an authority that purchases goods for:-
Correct Answer Central Government
Your Answer Central Government
Multiple Choice Single Answer
Question
In industrial marketing, spare parts are sold through :-
Correct Answer Branch office
Your Answer Branch office



True/False
Question
Advertisement agencies provide much needed experience in advertising.
Correct Answer True
Your Answer True



Multiple Choice Multiple Answer
Question
A company has to revise its pricing strategy when :-
Correct Answer Competitor changes his price , New rival enters the
market , It is advantageous for the company to change price
Your Answer Competitor changes his price , New rival enters the market ,
It is advantageous for the company to change price



Select The Blank
Question
To overcome bad image, the companies have to go for ________ public
relations program.
Correct Answer Long term
Your Answer Long term



Multiple Choice Single Answer
Question
The best channel of distribution for capital items is :-
Correct Answer Direct selling
Your Answer Direct selling



Multiple Choice Single Answer
Question
An external environment analysis is necessary to understand :-
Correct Answer The needs of the customers
Your Answer The needs of the customers



True/False
Question
A repeat purchase decision will generally involve changes in product
specifications from earlier supplies.
Correct Answer False
Your Answer False



Multiple Choice Single Answer
Question
Allocating time for prospecting activities helps in :-
Correct Answer Servicing old accounts
Your Answer Servicing old accounts



Multiple Choice Single Answer
Question
An imbalance between cost & price requires :-
Correct Answer Managerial Action
Your Answer Managerial Action



Select The Blank
Question
A senior manager such as General Manager (Purchase) of an industrial
marketing company will get more involved in the purchase of ________.
Correct Answer High value items
Your Answer High value items

at 9:18 PM 0 comments Links to this post

Labels: Industrial Marketing(Set-III)

Information sources for unstructured surveys are :-
Correct Answer
Sales personnel , Dealers , Customers
Your Answer
Public at large , Dealers , Customers

Multiple Choice Single Answer
Question
Market Segmentation is the process of dividing a large market into :-
Correct Answer
Sub-markets
Your Answer
Sub-markets

Multiple Choice Single Answer
Question
The unit price of a capital equipment item is usually:
Correct Answer
High
Your Answer
High



An organization that is structured to serve the customer is the most optimally designed organizational
structure.
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
Profitability of any potential segment is measured by following criteria:-
Correct Answer
Market share , Market growth , Image
Your Answer
Market growth , Image , Market share

Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization’s purpose, values and distinctive
competencies is called :-
Correct Answer
Mission
Your Answer
Mission

Match The Following
Question
Correct Answer
Your Answer
Mission statement
Corporate culture
Corporate culture
Target market
Right product
Right product
Cost reduction program
Price adjustment
Price adjustment
Promotion mix
Trade shows
Trade shows

True/False
Question
Public interest groups limit the freedom of suppliers & buyers.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer
B2B marketing
Your Answer
B2B marketing

Multiple Choice Multiple Answer
Question
Services of trained experts is required for :-
Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment
Your Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment

Select The Blank
Question
Computer systems help in the ________ of the findings of the research project.
Correct Answer
Presentation
Your Answer
Presentation

Multiple Choice Single Answer
Question
One example of operating supplies is:
Correct Answer
Paints and varnishes
Your Answer
Personal computers

True/False
Question
Most of public institutions prefer buying as per legal constraints.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
Direct costs are also referred to as :-
Correct Answer
Operating costs
Your Answer
Operating costs

Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer
An internal environment analysis
Your Answer
An internal environment analysis

Select The Blank
Question
________ is the alternate name given to marketing research.
Correct Answer
Marketing intelligence
Your Answer
Marketing intelligence

Select The Blank
Question
Marketing research is used for making ________ projections.
Correct Answer
Sales
Your Answer
Sales

True/False
Question
The IT and BPO service industries in India are showing lower rates of growth compared to other
industry sectors.
Correct Answer
False
Your Answer
False

True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
The common service requirements of Industrial buyers are :-
Correct Answer
Technical , Replacement parts , Delivery
Your Answer
Technical , Replacement parts , Delivery

Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer
Identifying the needs of customers
Your Answer
Identifying the needs of customers

Select The Blank
Question
A relative ________ product life span is a favourable condition for charging high price.
Correct Answer
Short
Your Answer
Short

Multiple Choice Single Answer
Question
Making an assessment of the competitors’ strengths and weakness is called :-
Correct Answer
Competitive position analysis
Your Answer
Competitive position analysis

Select The Blank
Question
The fundamental aspect of industrial marketing is that it addresses the needs and wants of ________.
Correct Answer
Business organizations
Your Answer
Business organizations

Multiple Choice Single Answer
Question
Factors affecting industrial pricing are :-
Correct Answer
Type of competition
Your Answer
Type of competition

True/False
Question
Use of IT tools like enterprise resource planning is helping industrial firms to improve productivity and
efficiency.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
Funds spent on R & D to bring a new product into the market are :-
Correct Answer
Sunk Costs
Your Answer
Sunk Costs

Multiple Choice Single Answer
Question
Periodic analysis of an industrial buyer’s operations and purchase systems is necessary to :-
Correct Answer
Understand the changes in buy practices
Your Answer
Understand the changes in buy practices

Match The Following
Question
Correct Answer
Your Answer
Freight Equalization
Base Point
Base Point
Consumer Goods
Advertising & sales promotion
Advertising & sales promotion
High Price Strategy
Patents
Recovery of Investment
Short Life Span
Recovery of Investment
Large Profit

Multiple Choice Single Answer
Question
The uncontrollable environment is known as :-
Correct Answer
Macro Environment
Your Answer
Macro Environment

Multiple Choice Single Answer
Question
The demand for industrial products is :-
Correct Answer
Derived
Your Answer
Derived

Select The Blank
Question
The drop in price of individual product has effect of ________ demand.
Correct Answer
Shrinking
Your Answer
Increasing

Multiple Choice Single Answer
Question
Data for initial screening can be obtained from:-
Correct Answer
Secondary sources
Your Answer
Secondary sources

Select The Blank
Question
When purchase of industrial equipment is involved, the stage between manufacture and dispatch of
goods is called ________.
Correct Answer
Inspection
Your Answer
Inspection
Multiple Choice Multiple Answer
Question
Questions asked in unstructured surveys bring about :-
Correct Answer
Priorities , Problems , Motives
Your Answer
Motives , Priorities , Problems

Multiple Choice Multiple Answer
Question
Stock carrying branches are useful for :-
Correct Answer
Bulk sales , Lowering fright charges , Speed of delivery
Your Answer
Bulk sales , Lowering fright charges , Speed of delivery

Multiple Choice Multiple Answer
Question
To push the company's products, advertising literature should point out advantages to the middlemen,
such as :-
Correct Answer
Wide margins , Large sales potential , Rapid turnover
Your Answer
Wide margins , Large sales potential , Rapid turnover

Multiple Choice Single Answer
Question
The industrial buyers buy only when there are :-
Correct Answer
Strong economic benefits
Your Answer
Strong economic benefits

Select The Blank
Question
Senior marketing personnel from a supplier firm are usually involved in a ________ situation:
Correct Answer
New task buy
Your Answer
New task buy

Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer
Uniform
Your Answer
Uniform

Multiple Choice Single Answer
Question
Large industrial companies realize substantial cost savings is by having:-
Correct Answer
Centralized purchasing
Your Answer
Centralized purchasing

Multiple Choice Multiple Answer
Question
Industries involved in production of chemical & pesticides have to :-
Correct Answer
Make natural resources pollution free , Devise safety measures to protect environment , Properly
dispose off waste material
Your Answer
Make natural resources pollution free , Devise safety measures to protect environment , Properly
dispose off waste material

Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer
Continuity
Your Answer
Continuity

Select The Blank
Question
Continuous efforts by sales person, result in developing friendship ________ & cooperation over a
period of time between buyer & seller.
Correct Answer
Trust
Your Answer
Trust

True/False
Question
Sample size in industrial marketing research can be as large as in consumer marketing.
Correct Answer
False
Your Answer
False

Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior

Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for industrial
products on account of :-
Correct Answer
Cost competitiveness
Your Answer
Cost competitiveness

Multiple Choice Single Answer
Question
In an organisation, purchase division is made by:-
Correct Answer
People
Your Answer
Purchase committee




Multiple Choice Single Answer
Question
The demand for industrial goods is :-
Correct Answer
Derived demand
Your Answer
Need of the customer

Select The Blank
Question
In customer market a ________ price increase will shrink demand.
Correct Answer
Higher
Your Answer
Small

Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization’s purpose, values and distinctive
competencies is called :-
Correct Answer
Mission
Your Answer
Mission
Multiple Choice Single Answer
Question
Large industrial companies realize substantial cost savings is by having:-
Correct Answer
Centralized purchasing
Your Answer
Decentralized purchasing

Select The Blank
Question
The manufacturer of individual product can take customers away from competitor's by ________
efforts.
Correct Answer
Promotional
Your Answer
Promotional

Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for companies doing business in :-
Correct Answer
Computers , Software , Office equipment
Your Answer
Computers , Software , Office equipment

Multiple Choice Single Answer
Question
Prospecting is essential to ensure future sources of :-
Correct Answer
Sales revenue
Your Answer
Sales revenue

Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the end
product price
Your Answer
Increase his share of the market , Enlarge the total market , Can substantially decrease end product
price

Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer
An internal environment analysis
Your Answer
An internal environment analysis

Multiple Choice Multiple Answer
Question
Service rating is judged by following factors :-
Correct Answer
Self interest , Promptness , Speed
Your Answer
Promptness , Speed , Delegation

Multiple Choice Single Answer
Question
Manufacturer & customer in industrial marketing are affected by :-
Correct Answer
Change in technology
Your Answer
Policies of Govt.

True/False
Question
Outsiders like technical consultants can play a key role in the purchase process of a large buying
organization.
Correct Answer
True
Your Answer
True

Select The Blank
Question
The sales of standard industrial products are generally carried out through ________.
Correct Answer
Direct channel and middlemen
Your Answer
Direct channel and middlemen

Multiple Choice Single Answer
Question
A competitor while selling, may not be aware of his :-
Correct Answer
Overhead costs
Your Answer
Direct costs

Select The Blank
Question
An industrial product manufacturer would prefer to deal with ________ suppliers of component parts.
Correct Answer
Fewer
Your Answer
Domestic

Multiple Choice Multiple Answer
Question
Internal public includes :-
Correct Answer
Top management , Factory workers , Senior Managers
Your Answer
Top management , Factory workers , Senior Managers

Select The Blank
Question
A first approximation of ________ benefit analysis is necessary before a detailed segmentation analysis.
Correct Answer
Cost
Your Answer
Price

Match The Following
Question
Correct Answer
Your Answer
Compressors
Manufacturer
Manufacturer
Electric lift maintenance
Service firm
Service firm
Steel hardware
Whole seller/retailer
Distributor
Air-conditioners
Distributor
Manufacturers’ representatives

Multiple Choice Multiple Answer
Question
During discussions, sales people handle issues such as :-
Correct Answer
Delivery schedule , Pricing , After Sales Service
Your Answer
Delivery schedule , Pricing , After Sales Service

Multiple Choice Single Answer
Question
The generic need which the company will seek to satisfy, stated by top management is called:-
Correct Answer
Mission
Your Answer
Mission

Select The Blank
Question
Competitor, who enter late in the market, must apply part of their cash inflow to the amortization of
their own ________ cost.
Correct Answer
Development
Your Answer
Promotion

Select The Blank
Question
When purchase of industrial equipment is involved, the stage between manufacture and dispatch of
goods is called ________.
Correct Answer
Inspection
Your Answer
Inspection

Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for industrial
products on account of :-
Correct Answer
Cost competitiveness
Your Answer
Cost competitiveness

Select The Blank
Question
Supply chain management is one of the tools used by modern companies to achieve ________.
Correct Answer
High productivity improvement and efficiency
Your Answer
High productivity improvement and efficiency

Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Multiple Choice Single Answer
Question
The first step in the process of selling is :-
Correct Answer
Identifying prospects
Your Answer
Identifying prospects

Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer
Engine , Gear box , Clutch
Your Answer
Engine , Gear box , Clutch




The first level of industrial marketing environment is called the :-
Correct Answer
Interface level
Your Answer
Interface level
Multiple Choice Multiple Answer
Question
When a firm introduces new product, a considerable amount is sunk into :-
Correct Answer
Research , Planning , Testing
Your Answer
Research , Planning , Testing
Select The Blank
Question
Non stock carrying branch offices are used as ________ sales head quarter.
Correct Answer
Regional
Your Answer
Local
Multiple Choice Single Answer
Question
The advertiser can formulate sales appeals that address prospective customer’s problems and :-
Correct Answer
Responsibilities
Your Answer
Responsibilities
Multiple Choice Single Answer
Question
For the industrial manufacturer gross profit may be low on :-
Correct Answer
Bought out parts
Your Answer
Bought out parts
True/False
Question
When a manufacturer wishes to diversify his product line, he will need a channel that is flexible.
Correct Answer
True
Your Answer
True
Multiple Choice Multiple Answer
Question
Sales personnel should :-
Correct Answer
Be sensitive to the need of the customers , Have deep technical knowledge , Have good
communication skills
Your Answer
Have deep technical knowledge , Have good communication skills
Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer
Engine , Gear box , Clutch
Your Answer
Engine , Gear box , Clutch
Multiple Choice Multiple Answer
Question
Substantial cash outlay needs to be allocated for :-
Correct Answer
Training Salesmen , Building stock of raw materials , Providing information to customers
Your Answer
Training Salesmen , Building stock of raw materials , Setting up infrastructure
Multiple Choice Single Answer
Question
The facilitator of the process of interactions between a buyer and a banker are :-
Correct Answer
Bankers
Your Answer
Creditors
True/False
Question
Buyers, who are risk averse are good prospects for new product and concepts.
Correct Answer
False
Your Answer
False
Multiple Choice Single Answer
Question
The demand of consumer products can be increased by :-
Correct Answer
Advertising
Your Answer
Price cuts
Select The Blank
Question
A relative ________ product life span is a favourable condition for charging high price.
Correct Answer
Short
Your Answer
Long
True/False
Question
Car manufacturers make all the components of the car themselves.
Correct Answer
False
Your Answer
False
Select The Blank
Question
One of the current trends in Indian industrial companies is the aspect of ________ export growth.
Correct Answer
Higher
Your Answer
Higher
True/False
Question
Trade directories, government reports, company files are some of the sources of primary data.
Correct Answer
False
Your Answer
False
Multiple Choice Multiple Answer
Question
Industrial sales person must understand the :-
Correct Answer
Manufacturing process of the company , Motivating factors of individuals , Procedures of the
company
Your Answer
Manufacturing process of the company , Motivating factors of individuals , Procedures of the
company
Multiple Choice Multiple Answer
Question
In a tender a vendor has to supply data on :-
Correct Answer
Sales to net worth , Working capital , Turnover Ratio
Your Answer
Sales to net worth , Working capital , Turnover Ratio
Multiple Choice Multiple Answer
Question
What is a sales appeal?
Correct Answer
An argument , A fact , An idea
Your Answer
An argument , A fact , An idea
Select The Blank
Question
An industrial product manufacturer would prefer to deal with ________ suppliers of component parts.
Correct Answer
Fewer
Your Answer
Fewer
Match The Following
Question
Correct Answer
Your Answer
Foreign market
Attractive returns
Attractive returns
Independent strategies
Resources
Restrictive
Cooperative strategies
Understanding
Understanding
Manipulative strategies
Restrictive
Resources
Multiple Choice Multiple Answer
Question
The following items fall under the category of manufactured items:-
Correct Answer
Stainless steel , Aluminium foil , Digital cameras
Your Answer
Stainless steel , Aluminium foil , Digital cameras
True/False
Question
Advertising and promotion expenses, as a percentage of total sales, are usually more for industrial
products than for consumer products.
Correct Answer
False
Your Answer
False
Select The Blank
Question
The ultimate goal of business is to serve ________.
Correct Answer
Society
Your Answer
Shareholders
Select The Blank
Question
Decisions concerning pricing decisions are taken on ________ occasions.
Correct Answer
Three
Your Answer
Three
Multiple Choice Single Answer
Question
The marketer of standardized industrial goods gain objectives more effectively than non-
standardized items because of the use of :-
Correct Answer
Price Strategy
Your Answer
Product differentiation
Select The Blank
Question
When a firm sells through a limited number of outlets, it is known as ________ distribution.
Correct Answer
Selective
Your Answer
Selective
Multiple Choice Single Answer
Question
A high price strategy can generate among customers, a substantial amount of :-
Correct Answer
Ill will
Your Answer
Dissatisfaction
True/False
Question
Most of public institutions prefer buying as per legal constraints.
Correct Answer
True
Your Answer
True
Match The Following
Question
Correct Answer
Your Answer
To expand product range to cover all types of computer peripherals
Plan
Mission
To become the No. 1 supplier in computer peripherals
Mission
Goal
To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Milestone
To reduce employee turnover from 30% to 25% in 1 yr
Goal
Plan
Multiple Choice Multiple Answer
Question
A company has to revise its pricing strategy when :-
Correct Answer
Competitor changes his price , New rival enters the market , It is advantageous for the company to
change price
Your Answer
Competitor changes his price , New rival enters the market , It is advantageous for the company to
change price
Multiple Choice Single Answer
Question
Rapport building requires special skills e.g. :-
Correct Answer
Human relations
Your Answer
Communication skills
True/False
Question
Some purchase decisions also depend on buyer’s response to the seller’s marketing stimuli.
Correct Answer
True
Your Answer
True
True/False
Question
The objective of the high price strategy is only to recover firm’s investment speedily.
Correct Answer
False
Your Answer
True
Multiple Choice Single Answer
Question
The approach to selling by the sales force should be :-
Correct Answer
Professional
Your Answer
Professional
Multiple Choice Single Answer
Question
Research objectives are statements that :-
Correct Answer
Outline the aims of problem definition
Your Answer
Outline the aims of problem definition
Multiple Choice Single Answer
Question
Industrial Market Research is a systematic process of collecting data to :-
Correct Answer
Prepare actionable research report
Your Answer
Prepare actionable research report
True/False
Question
To get market feedback in industrial marketing marketing research is conducted frequently.
Correct Answer
False
Your Answer
False
Select The Blank
Question
Industrial marketer deals with ________ buyers than consumer marketer.
Correct Answer
Fewer
Your Answer
Fewer
Multiple Choice Multiple Answer
Question
A high price strategy is favoured under following conditions :-
Correct Answer
Product represent genuine information , Presence of elite market , Inelastic demand situation
Your Answer
Product represent genuine information , Presence of elite market , Inelastic demand situation
Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the end
product price
Your Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the end
product price
Multiple Choice Multiple Answer
Question
When the price of a product goes down, the industrial buyer :-
Correct Answer
Changes his about prices , Waits for price to go down further , Enters the market & buys
Your Answer
Waits for price to go down further , Enters the market & buys
Select The Blank
Question
To overcome bad image, the companies have to go for ________ public relations program.
Correct Answer
Long term
Your Answer
Long term
Select The Blank
Question
The best advertising should be best in creativity, simplicity and ________.
Correct Answer
Uniqueness
Your Answer
Uniqueness
Select The Blank
Question
A first approximation of ________ benefit analysis is necessary before a detailed segmentation
analysis.
Correct Answer
Cost
Your Answer
Cost
True/False
Question
Legal and economic risks may occur because of fraudulent advertising.
Correct Answer
True
Your Answer
True
Multiple Choice Single Answer
Question
Advertising objectives need to assist
Correct Answer
Marketing objectives
Your Answer
Marketing objectives


True/False
Question
An organization that is structured to serve the customer is the most optimally designed
organizational structure.
Correct Answer
True
Your Answer
True
Multiple Choice Multiple Answer
Question
Profitability of any potential segment is measured by following criteria:-
Correct Answer
Market share , Market growth , Image
Your Answer
Market growth , Image , Market share
Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization’s purpose, values and distinctive
competencies is called :-
Correct Answer
Mission
Your Answer
Mission
Match The Following
Question
Correct Answer
Your Answer
Mission statement
Corporate culture
Corporate culture
Target market
Right product
Right product
Cost reduction program
Price adjustment
Price adjustment
Promotion mix
Trade shows
Trade shows
True/False
Question
Public interest groups limit the freedom of suppliers & buyers.
Correct Answer
True
Your Answer
True
Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer
B2B marketing
Your Answer
B2B marketing
Multiple Choice Multiple Answer
Question
Services of trained experts is required for :-
Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment
Your Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment
Select The Blank
Question
Computer systems help in the ________ of the findings of the research project.
Correct Answer
Presentation
Your Answer
Presentation
Multiple Choice Single Answer
Question
One example of operating supplies is:
Correct Answer
Paints and varnishes
Your Answer
Personal computers
True/False
Question
Most of public institutions prefer buying as per legal constraints.
Correct Answer
True
Your Answer
True
Multiple Choice Single Answer
Question
Direct costs are also referred to as :-
Correct Answer
Operating costs
Your Answer
Operating costs
Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer
An internal environment analysis
Your Answer
An internal environment analysis
Select The Blank
Question
________ is the alternate name given to marketing research.
Correct Answer
Marketing intelligence
Your Answer
Marketing intelligence
Select The Blank
Question
Marketing research is used for making ________ projections.
Correct Answer
Sales
Your Answer
Sales
True/False
Question
The IT and BPO service industries in India are showing lower rates of growth compared to other
industry sectors.
Correct Answer
False
Your Answer
False
True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer
True
Your Answer
True
Multiple Choice Multiple Answer
Question
The common service requirements of Industrial buyers are :-
Correct Answer
Technical , Replacement parts , Delivery
Your Answer
Technical , Replacement parts , Delivery
Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer
Identifying the needs of customers
Your Answer
Identifying the needs of customers
Select The Blank
Question
A relative ________ product life span is a favourable condition for charging high price.
Correct Answer
Short
Your Answer
Short
Multiple Choice Single Answer
Question
Making an assessment of the competitors’ strengths and weakness is called :-
Correct Answer
Competitive position analysis
Your Answer
Competitive position analysis
Select The Blank
Question
The fundamental aspect of industrial marketing is that it addresses the needs and wants of
________.
Correct Answer
Business organizations
Your Answer
Business organizations
Multiple Choice Single Answer
Question
Factors affecting industrial pricing are :-
Correct Answer
Type of competition
Your Answer
Type of competition
True/False
Question
Use of IT tools like enterprise resource planning is helping industrial firms to improve productivity
and efficiency.
Correct Answer
True
Your Answer
True
Multiple Choice Single Answer
Question
Funds spent on R & D to bring a new product into the market are :-
Correct Answer
Sunk Costs
Your Answer
Sunk Costs
Multiple Choice Single Answer
Question
Periodic analysis of an industrial buyer’s operations and purchase systems is necessary to :-
Correct Answer
Understand the changes in buy practices
Your Answer
Understand the changes in buy practices
Match The Following
Question
Correct Answer
Your Answer
Freight Equalization
Base Point
Base Point
Consumer Goods
Advertising & sales promotion
Advertising & sales promotion
High Price Strategy
Patents
Recovery of Investment
Short Life Span
Recovery of Investment
Large Profit
Multiple Choice Single Answer
Question
The uncontrollable environment is known as :-
Correct Answer
Macro Environment
Your Answer
Macro Environment
Multiple Choice Single Answer
Question
The demand for industrial products is :-
Correct Answer
Derived
Your Answer
Derived
Select The Blank
Question
The drop in price of individual product has effect of ________ demand.
Correct Answer
Shrinking
Your Answer
Increasing
Multiple Choice Single Answer
Question
Data for initial screening can be obtained from:-
Correct Answer
Secondary sources
Your Answer
Secondary sources
Select The Blank
Question
When purchase of industrial equipment is involved, the stage between manufacture and dispatch of
goods is called ________.
Correct Answer
Inspection
Your Answer
Inspection
Multiple Choice Multiple Answer
Question
Questions asked in unstructured surveys bring about :-
Correct Answer
Priorities , Problems , Motives
Your Answer
Motives , Priorities , Problems
Multiple Choice Multiple Answer
Question
Stock carrying branches are useful for :-
Correct Answer
Bulk sales , Lowering fright charges , Speed of delivery
Your Answer
Bulk sales , Lowering fright charges , Speed of delivery
Multiple Choice Multiple Answer
Question
To push the company’s products, advertising literature should point out advantages to the
middlemen, such as :-
Correct Answer
Wide margins , Large sales potential , Rapid turnover
Your Answer
Wide margins , Large sales potential , Rapid turnover
Multiple Choice Single Answer
Question
The industrial buyers buy only when there are :-
Correct Answer
Strong economic benefits
Your Answer
Strong economic benefits
Select The Blank
Question
Senior marketing personnel from a supplier firm are usually involved in a ________ situation:
Correct Answer
New task buy
Your Answer
New task buy
Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer
Uniform
Your Answer
Uniform
Multiple Choice Single Answer
Question
Large industrial companies realize substantial cost savings is by having:-
Correct Answer
Centralized purchasing
Your Answer
Centralized purchasing
Multiple Choice Multiple Answer
Question
Industries involved in production of chemical & pesticides have to :-
Correct Answer
Make natural resources pollution free , Devise safety measures to protect environment , Properly
dispose off waste material
Your Answer
Make natural resources pollution free , Devise safety measures to protect environment , Properly
dispose off waste material
Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer
Continuity
Your Answer
Continuity
Select The Blank
Question
Continuous efforts by sales person, result in developing friendship ________ & cooperation over a
period of time between buyer & seller.
Correct Answer
Trust
Your Answer
Trust
True/False
Question
Sample size in industrial marketing research can be as large as in consumer marketing.
Correct Answer
False
Your Answer
False
Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for
industrial products on account of :-
Correct Answer
Cost competitiveness
Your Answer
Cost competitiveness
Multiple Choice Single Answer
Question
In an organisation, purchase division is made by:-
Correct Answer
People
Your Answer
Purchase committee
Multiple Choice Multiple Answer
Question
In a tender a vendor has to supply data on :-
Correct Answer
Sales to net worth , Working capital , Turnover Ratio
Your Answer
Sales to net worth , Working capital , Turnover Ratio


The demand for industrial goods is :-
Correct Answer
Derived demand
Your Answer
Need of the customer
Select The Blank
Question
In customer market a ________ price increase will shrink demand.
Correct Answer
Higher
Your Answer
Small
Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization’s purpose, values and distinctive
competencies is called :-
Correct Answer
Mission
Your Answer
Mission
Multiple Choice Single Answer
Question
Large industrial companies realize substantial cost savings is by having:-
Correct Answer
Centralized purchasing
Your Answer
Decentralized purchasing
Select The Blank
Question
The manufacturer of individual product can take customers away from competitor’s by ________
efforts.
Correct Answer
Promotional
Your Answer
Promotional
Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for companies doing business in :-
Correct Answer
Computers , Software , Office equipment
Your Answer
Computers , Software , Office equipment
Multiple Choice Single Answer
Question
Prospecting is essential to ensure future sources of :-
Correct Answer
Sales revenue
Your Answer
Sales revenue
Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the end
product price
Your Answer
Increase his share of the market , Enlarge the total market , Can substantially decrease end product
price
Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer
An internal environment analysis
Your Answer
An internal environment analysis
Multiple Choice Multiple Answer
Question
Service rating is judged by following factors :-
Correct Answer
Self interest , Promptness , Speed
Your Answer
Promptness , Speed , Delegation
Multiple Choice Single Answer
Question
Manufacturer & customer in industrial marketing are affected by :-
Correct Answer
Change in technology
Your Answer
Policies of Govt.
True/False
Question
Outsiders like technical consultants can play a key role in the purchase process of a large buying
organization.
Correct Answer
True
Your Answer
True
Select The Blank
Question
The sales of standard industrial products are generally carried out through ________.
Correct Answer
Direct channel and middlemen
Your Answer
Direct channel and middlemen
Multiple Choice Single Answer
Question
A competitor while selling, may not be aware of his :-
Correct Answer
Overhead costs
Your Answer
Direct costs
Select The Blank
Question
An industrial product manufacturer would prefer to deal with ________ suppliers of component parts.
Correct Answer
Fewer
Your Answer
Domestic
Multiple Choice Multiple Answer
Question
Internal public includes :-
Correct Answer
Top management , Factory workers , Senior Managers
Your Answer
Top management , Factory workers , Senior Managers
Select The Blank
Question
A first approximation of ________ benefit analysis is necessary before a detailed segmentation
analysis.
Correct Answer
Cost
Your Answer
Price
Match The Following
Question
Correct Answer
Your Answer
Compressors
Manufacturer
Manufacturer
Electric lift maintenance
Service firm
Service firm
Steel hardware
Whole seller/retailer
Distributor
Air-conditioners
Distributor
Manufacturers’ representatives
Multiple Choice Multiple Answer
Question
During discussions, sales people handle issues such as :-
Correct Answer
Delivery schedule , Pricing , After Sales Service
Your Answer
Delivery schedule , Pricing , After Sales Service
Multiple Choice Single Answer
Question
The generic need which the company will seek to satisfy, stated by top management is called:-
Correct Answer
Mission
Your Answer
Mission
Select The Blank
Question
Competitor, who enter late in the market, must apply part of their cash inflow to the amortization of
their own ________ cost.
Correct Answer
Development
Your Answer
Promotion
Select The Blank
Question
When purchase of industrial equipment is involved, the stage between manufacture and dispatch of
goods is called ________.
Correct Answer
Inspection
Your Answer
Inspection
Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for
industrial products on account of :-
Correct Answer
Cost competitiveness
Your Answer
Cost competitiveness
Select The Blank
Question
Supply chain management is one of the tools used by modern companies to achieve ________.
Correct Answer
High productivity improvement and efficiency
Your Answer
High productivity improvement and efficiency
Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Multiple Choice Single Answer
Question
The first step in the process of selling is :-
Correct Answer
Identifying prospects
Your Answer
Identifying prospects
Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer
Engine , Gear box , Clutch
Your Answer
Engine , Gear box , Clutch
True/False
Question
Demand for many industrial product is elastic.
Correct Answer
False
Your Answer
True
Match The Following
Question
Correct Answer
Your Answer
Sales department
To reduce cost of sales by 5% within one year
Increase profits for FY in Q3 and Q4
Industrial marketing department
Increase profits for FY in Q3 and Q4
Recruit new employees
Industrial marketing research department
Conduct survey for customer feedback on new product
Conduct survey for customer feedback on new product
Industrial marketing services department
Obtain service revenue from post-sales services in one market segment
Obtain service revenue from post-sales services in one market segment
True/False
Question
Sales forecast is the estimate of a Co’s expected sales in a given time period.
Correct Answer
True
Your Answer
True
Select The Blank
Question
Industrial force should be ________ to market conditions.
Correct Answer
Responsive
Your Answer
Responsive
Multiple Choice Multiple Answer
Question
The legal framework is related to existing :-
Correct Answer
Business laws , Civil rights , Labour laws
Your Answer
Business laws , Civil rights , Labour laws
True/False
Question
A repeat purchase decision will generally involve changes in product specifications from earlier
supplies.
Correct Answer
False
Your Answer
False
True/False
Question
Tariffs & quotas are used by the Govt. to protect indigenous business from foreign competition.
Correct Answer
True
Your Answer
True
True/False
Question
Personal selling is a powerful tool in industrial product selling.
Correct Answer
True
Your Answer
True
True/False
Question
A lower price will stimulate demand for industrial products.
Correct Answer
False
Your Answer
True
Multiple Choice Multiple Answer
Question
Assured consistency of the quality can have important benefits for the buyer-user like :-
Correct Answer
Inspection at incoming end , Save inventory cost , Stocking time
Your Answer
Inspection at incoming end , Less headache
Multiple Choice Single Answer
Question
A sales presentation is made to provide prospective customers with sufficient information on the
firm’s :-
Correct Answer
Product
Your Answer
Product
Select The Blank
Question
The effectiveness of the advertising program is reflected by the ________ in the state of awareness.
Correct Answer
Differences
Your Answer
Differences
Select The Blank
Question
Many food processing firms prefer to take on ________ the processing plants for their use during the
peak season.
Correct Answer
Lease
Your Answer
Hire
Multiple Choice Single Answer
Question
The type of demand that characterizes industrial products is called :-
Correct Answer
Derived demand
Your Answer
Derived demand
True/False
Question
Hydraulic equipments are handled by general line industries.
Correct Answer
False
Your Answer
False
Multiple Choice Multiple Answer
Question
Industrial marketers have a choice of structural arrangement like :-
Correct Answer
Direct to users , Indirect to users , Mixed structure
Your Answer
Direct to users , Indirect to users , Mixed structure
True/False
Question
Bill to vendor’ & ‘Absorbed by buyer’ are the two possibilities under rework.
Correct Answer
True
Your Answer
True
True/False
Question
To get market feedback in industrial marketing marketing research is conducted frequently.
Correct Answer
False
Your Answer
True
Multiple Choice Single Answer
Question
Fundamental skill requirement for closing a sale is :-
Correct Answer
Application of psychology
Your Answer
Application of psychology
Multiple Choice Multiple Answer
Question
For industrial marketing, type of channel members needed would depend on :-
Correct Answer
Market coverage , Marketing cost , Marketing control
Your Answer
Market coverage , Marketing cost , Marketing control




The middleman, who customize a product & handle specific situation are called :-
Correct Answer
Value added resellers
Your Answer
Value added resellers
Select The Blank
Question
IBM, Microsoft and Google are just three MNCs that have ________.
Correct Answer
Set up software development centers in India
Your Answer
Set up software development centers in India
Multiple Choice Multiple Answer
Question
Analysis of the strengths and weakness of competitors is done in the areas of :-
Correct Answer
Manufacturing , Finance , Technical service
Your Answer
Manufacturing , Finance , Technical service
Multiple Choice Single Answer
Question
The purpose of any modern industrial firm is to :-
Correct Answer
Fulfill customers’ needs
Your Answer
Fulfill customers’ needs
Multiple Choice Multiple Answer
Question
Technical service means details about :-
Correct Answer
Ingredient material , How product works , Type of make of key equipments in the product
Your Answer
Ingredient material , How product works , Type of make of key equipments in the product
True/False
Question
Buyers, who are risk averse are good prospects for new product and concepts.
Correct Answer
False
Your Answer
True
Multiple Choice Single Answer
Question
For financially weak but reliable customers, supplier may be required to:-
Correct Answer
Give high discounts
Your Answer
Insist on cash on delivery
Multiple Choice Multiple Answer
Question
Ashok Leyland is an Indian company whose competitors would include :-
Correct Answer
Tata Motors , Volvo Motors
Your Answer
Tata Motors , Volvo Motors
Multiple Choice Multiple Answer
Question
Questions asked in unstructured surveys bring about :-
Correct Answer
Motives , Priorities , Problems
Your Answer
Motives , Priorities , Problems
True/False
Question
Delivery rating factor is prepared based on adherence to delivery schedule.
Correct Answer
True
Your Answer
True
Multiple Choice Single Answer
Question
The industrial marketing research department helps the company to :-
Correct Answer
Take informed decisions regarding marketing strategies
Your Answer
Take informed decisions regarding marketing strategies
Match The Following
Question
Correct Answer
Your Answer
To expand product range to cover all types of computer peripherals
Plan
Mission
To become the No. 1 supplier in computer peripherals
Mission
Goal
To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Milestone
To reduce employee turnover from 30% to 25% in 1 yr
Goal
Plan
Multiple Choice Single Answer
Question
Non Banking Financial Corporations receive negative publicity from :-
Correct Answer
Down grading by rating agencies
Your Answer
Down grading by rating agencies
Multiple Choice Multiple Answer
Question
In a tender a vendor has to supply data on :-
Correct Answer
Sales to net worth , Working capital , Turnover Ratio
Your Answer
Sales to net worth , Turnover Ratio , Profit to Loss Ratio
Multiple Choice Multiple Answer
Question
Supply by an industrial firm to an OEM will:
Correct Answer
Enhance its reputation , Help in obtaining regular orders , Help in spreading awareness among other
possible buyers
Your Answer
Enhance its reputation , Help in obtaining regular orders , Help in spreading awareness among other
possible buyers
Multiple Choice Single Answer
Question
Financial capability refers to :-
Correct Answer
Cash flow position
Your Answer
Cash flow position
Select The Blank
Question
The buying needs and practices of organisations differ according to wether they are innovate,
product leaders or ________.
Correct Answer
Followers
Your Answer
Nichers
Multiple Choice Single Answer
Question
In an organisation, purchase division is made by:-
Correct Answer
People
Your Answer
Management
Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer
Uniform
Your Answer
Even
Select The Blank
Question
Direct marketing is expensive when probable volume of sales in a market area is ________.
Correct Answer
Small
Your Answer
Small
Multiple Choice Single Answer
Question
General public will work towards a cause if it is :-
Correct Answer
Motivated
Your Answer
Motivated
Multiple Choice Single Answer
Question
A situation analysis consists of :-
Correct Answer
A combination of internal environment analysis, external environment analysis and competitive
analysis
Your Answer
A combination of internal environment analysis, external environment analysis and competitive
analysis
Multiple Choice Single Answer
Question
Institutional investors are concerned with organisation’s :-
Correct Answer
Operational efficiency
Your Answer
Operational efficiency
Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer
Continuity
Your Answer
Time
Select The Blank
Question
The fundamental aspect of industrial marketing is that it addresses the needs and wants of
________.
Correct Answer
Business organizations
Your Answer
Groups of consumers
True/False
Question
Advertisement and public relation campaign project a positive image of the Co.
Correct Answer
True
Your Answer
True
True/False
Question
Market coverage means demographic areas to be covered.
Correct Answer
True
Your Answer
False
Match The Following
Question
Correct Answer
Your Answer
Advertising effectiveness
Evaluation of performance
Evaluation of performance
Web design
Domain name
Domain name
Choice of media
Reaching the right audience
Reaching the right audience
Basis of Budgeting support
Percentage of past sales
Percentage of past sales
Multiple Choice Single Answer
Question
Making an assessment of the competitors’ strengths and weakness is called :-
Correct Answer
Competitive position analysis
Your Answer
Competitive position analysis
Select The Blank
Question
Business should act in a ________ manner to keep Govt. out of business environment.
Correct Answer
United
Your Answer
Creative
True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer
True
Your Answer
True
True/False
Question
Materials that go into the production of food / drug end product have very narrow quality tolerance.
Correct Answer
True
Your Answer
False
Multiple Choice Multiple Answer
Question
According to you, marketing of industrial services and marketing of industrial products :-
Correct Answer
Are similar from the seller’s point of view , Require similar resources , Require different types of
resources
Your Answer
Require different types of resources , Are different.
Multiple Choice Single Answer
Question
Primary task to be performed for the execution of the sales efforts is :-
Correct Answer
Making sales presentation
Your Answer
Identifying needs of customers
True/False
Question
Countries with political stability have a grater chance of attracting investment from MNCs.
Correct Answer
True
Your Answer
True
True/False
Question
The IT and BPO service industries in India are showing lower rates of growth compared to other
industry sectors.
Correct Answer
False
Your Answer
False
Multiple Choice Multiple Answer
Question
Product development can discourage competition if it is :-
Correct Answer
Technologically intensive , Capital intensive , Require state-of-art technology
Your Answer
Technologically intensive , Capital intensive , Requires extensive sales promotion
Multiple Choice Single Answer
Question
The best channel of distribution for capital items is :-
Correct Answer
Direct selling
Your Answer
Direct selling
Multiple Choice Multiple Answer
Question
For developing a positioning strategy, following variables are used:-
Correct Answer
Product features , Product reliability , Ability to provide solutions to customer problem
Your Answer
Product features , Product reliability , Ability to provide solutions to customer problem
Select The Blank
Question
The Finance Officer can also play a passive part in the purchase process and his role in the DMU
would be as a ________.
Correct Answer
Gatekeeper
Your Answer
Influencer
Multiple Choice Single Answer
Question
An external environment analysis is necessary to understand :-
Correct Answer
The needs of the customers
Your Answer
The needs of the customers
Multiple Choice Multiple Answer
Question
A company has to revise its pricing strategy when :-
Correct Answer
Competitor changes his price , New rival enters the market , It is advantageous for the company to
change price
Your Answer
Competitor changes his price , New rival enters the market
Select The Blank
Question
Exploratory research involves the gathering of ________ data from secondary sources.
Correct Answer
Preliminary
Your Answer
Critical
Multiple Choice Multiple Answer
Question
Services of trained experts is required for :-
Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment
Your Answer
Special accounting machines , Electronic recording equipment , Supply of iron ore
True/False
Question
In order to enjoy cost advantage relative to the innovative firm, competitor must reach a break-
through in product design.
Correct Answer
True
Your Answer
True
True/False
Question
The objective of the high price strategy is only to recover firm’s investment speedily.
Correct Answer
False
Your Answer
True
Multiple Choice Multiple Answer
Question
Industrial markets can be positioned on product merits e.g.:-
Correct Answer
Quality conscious , Reliability , Dependability
Your Answer
Quality conscious , Dependability , Affordability




Information sources for unstructured surveys are :-
Correct Answer
Sales personnel , Dealers , Customers
Your Answer
Public at large , Dealers , Customers
Multiple Choice Single Answer
Question
Market Segmentation is the process of dividing a large market into :-
Correct Answer
Sub-markets
Your Answer
Sub-markets
Multiple Choice Single Answer
Question
The unit price of a capital equipment item is usually:
Correct Answer
High
Your Answer
High
Multiple Choice Multiple Answer
Question
The legal framework is related to existing :-
Correct Answer
Business laws , Civil rights , Labour laws
Your Answer
Business laws , Civil rights , Labour laws
True/False
Question
A repeat purchase decision will generally involve changes in product specifications from earlier
supplies.
Correct Answer
False
Your Answer
False
True/False
Question
Advertisement agencies provide much needed experience in advertising.
Correct Answer
True
Your Answer
True
True/False
Question
It is easier to negotiate the purchase of power generators for a large power station than the
purchase of PCs.
Correct Answer
False
Your Answer
False
True/False
Question
A small reduction in price of original material can lead to a large reduction in the price of end
product.
Correct Answer
False
Your Answer
False
Multiple Choice Single Answer
Question
The purchase order placement of a furnace for a large steel plant can take:-
Correct Answer
A few months
Your Answer
A few months
Select The Blank
Question
Sluggishness of price response lies in the nature of ________ demand.
Correct Answer
Derived
Your Answer
Derived
Multiple Choice Single Answer
Question
One example of operating supplies is:
Correct Answer
Paints and varnishes
Your Answer
Generators
Multiple Choice Single Answer
Question
Chain of distribution from the supplier to customer are known as :-
Correct Answer
Intermediaries
Your Answer
Intermediaries
Match The Following
Question
Correct Answer
Your Answer
Joint venture
Control over operation
Agreement
Direct exporting
Higher risk
Higher risk
Foreign production
Direct investment
Intermediaries
Comparative analysis
Similarities
Similarities
Match The Following
Question
Correct Answer
Your Answer
Indirect Cost
Interest
Wages
Product life cycle
Different phases
Different phases
Price Leadership
Initiate price change
Pricing decision
Direct Cost
Wages
Initiate price change
Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for companies doing business in :-
Correct Answer
Computers , Software , Office equipment
Your Answer
Computers , Software , Office equipment
Multiple Choice Multiple Answer
Question
According to you, marketing of industrial services and marketing of industrial products :-
Correct Answer
Are similar from the seller’s point of view , Require similar resources , Require different types of
resources
Your Answer
Are similar from the seller’s point of view , Require similar resources , Require different types of
resources
Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer
Identifying the needs of customers
Your Answer
Identifying the needs of customers
Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for
industrial products on account of :-
Correct Answer
Cost competitiveness
Your Answer
High labor cost
Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer
B2B marketing
Your Answer
B2C marketing
Multiple Choice Multiple Answer
Question
Negotiations between buyer and seller will be involved and of long duration for the following items:-
Correct Answer
Air-conditioning plant for an airport terminal , Telecom equipment for large MNC , Diesel locomotives
for public sector company
Your Answer
Air-conditioning plant for an airport terminal , Telecom equipment for large MNC , Diesel locomotives
for public sector company
Multiple Choice Single Answer
Question
An external environment analysis is necessary to understand :-
Correct Answer
The needs of the customers
Your Answer
The capabilities of competitors
Multiple Choice Single Answer
Question
Periodic analysis of an industrial buyer’s operations and purchase systems is necessary to :-
Correct Answer
Understand the changes in buy practices
Your Answer
Understand the changes in buy practices
Multiple Choice Single Answer
Question
The industrial marketing research department helps the company to :-
Correct Answer
Take informed decisions regarding marketing strategies
Your Answer
Take informed decisions regarding marketing strategies
Multiple Choice Multiple Answer
Question
A high price strategy is favoured under following conditions :-
Correct Answer
Product represent genuine information , Presence of elite market , Inelastic demand situation
Your Answer
Product represent genuine information , Presence of elite market , Inelastic demand situation
Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the end
product price
Your Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the end
product price
Multiple Choice Single Answer
Question
The middleman, who customize a product & handle specific situation are called :-
Correct Answer
Value added resellers
Your Answer
Value added resellers
Multiple Choice Multiple Answer
Question
The supplier’s marketing person needs to identify the following role players in the buying
organization:-
Correct Answer
Senior purchase officer , Actual users , Deciding officers
Your Answer
Senior purchase officer , Actual users , Deciding officers
Select The Blank
Question
The buying needs and practices of organisations differ according to wether they are innovate,
product leaders or ________.
Correct Answer
Followers
Your Answer
Followers
True/False
Question
Cash flow produced by marketing a joint product must be equal in value to its separable cost.
Correct Answer
True
Your Answer
True
True/False
Question
Branch offices are located in commercial centres.
Correct Answer
False
Your Answer
False
Select The Blank
Question
Industrial advertising must provide reader with information regarding ________ benefits, in simple
words.
Correct Answer
Intangible
Your Answer
Tangible
Select The Blank
Question
Computer systems help in the ________ of the findings of the research project.
Correct Answer
Presentation
Your Answer
Presentation
Multiple Choice Single Answer
Question
Rapport building requires special skills e.g. :-
Correct Answer
Human relations
Your Answer
Communication skills
Select The Blank
Question
________ are an important link in indirect to user channel strategy.
Correct Answer
Agents
Your Answer
Agents
Multiple Choice Single Answer
Question
The approach to selling by the sales force should be :-
Correct Answer
Professional
Your Answer
Professional
Multiple Choice Multiple Answer
Question
For successful positioning the firm should know its :-
Correct Answer
Current positioning in the market , Competitors , Resources
Your Answer
Current positioning in the market , Competitors , Financial position
Select The Blank
Question
When a firm sells through a limited number of outlets, it is known as ________ distribution.
Correct Answer
Selective
Your Answer
Selective
Select The Blank
Question
Marketing research is used for making ________ projections.
Correct Answer
Sales
Your Answer
Sales
Multiple Choice Multiple Answer
Question
To push the company’s products, advertising literature should point out advantages to the
middlemen, such as :-
Correct Answer
Wide margins , Large sales potential , Rapid turnover
Your Answer
Wide margins , Large sales potential , Off-the-shelf inventory
Multiple Choice Multiple Answer
Question
Industrial marketers have a choice of structural arrangement like :-
Correct Answer
Direct to users , Indirect to users , Mixed structure
Your Answer
Direct to users , Indirect to users , Mixed structure
True/False
Question
Buyers are always cold, rational & dispassionate.
Correct Answer
False
Your Answer
False
Multiple Choice Single Answer
Question
How fast a firm can recover its cash outlay depends on its :-
Correct Answer
Financial strength
Your Answer
Sales force
Multiple Choice Single Answer
Question
A small lathe is a type of :-
Correct Answer
Accessory equipment
Your Answer
Major equipment
Select The Blank
Question
The sales of standard industrial products are generally carried out through ________.
Correct Answer
Direct channel and middlemen
Your Answer
Direct channel and middlemen
Select The Blank
Question
Indigenous vehicle manufacturers face ________ from foreign manufacturers setting up facilities in
India.
Correct Answer
A threat
Your Answer
A threat
True/False
Question
A major change in the price of an industrial component causes a significant change in the end
product price.
Correct Answer
False
Your Answer
True
Multiple Choice Single Answer
Question
Industrial Market Research is very important :-
Correct Answer
From strategic and implementation point of view
Your Answer
From strategic and implementation point of view




Trade ________ form a part of regulatory environment.
Correct Answer Barriers
Your Answer Barriers
Multiple Choice Multiple Answer
Question
Sales personnel should :-
Correct Answer Be sensitive to the need of the customers , Have
deep technical knowledge , Have good communication skills
Your Answer Have deep technical knowledge , Have good communication
skills , Be sensitive to the need of the customers
Match The Following
Question
Correct Answer
Your Answer
Freight Equalization – Base Point – Base Point
Consumer Goods – Advertising & sales promotion – Advertising & sales
promotion
High Price Strategy – Patents – Patents
Short Life Span – Recovery of Investment – Recovery of Investment
Select The Blank
Question
Analytical techniques are ________ to a large extent.
Correct Answer Mathematical
Your Answer Non predictable
Multiple Choice Single Answer
Question
The approach to selling by the sales force should be :-
Correct Answer Professional
Your Answer Professional
Multiple Choice Multiple Answer
Question
Following capabilities of the organisation also form a basis for
segmentation:-
Correct Answer Operating , Technical , Financial
Your Answer Operating , Technical , Financial
Multiple Choice Multiple Answer
Question
Product development can discourage competition if it is :-
Correct Answer Technologically intensive , Capital intensive ,
Require state-of-art technology
Your Answer Technologically intensive , Capital intensive , Require
state-of-art technology
Multiple Choice Multiple Answer
Question
When the product is complex & requires service by skilled specialist, the
manufacturer has to :-
Correct Answer Supply large number of spare parts , Change a
premium price , Train the technician of buyer
Your Answer Maintain service station , Supply large number of spare
parts , Train the technician of buyer
Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer Continuity
Your Answer Continuity
Multiple Choice Single Answer
Question
Direct costs are also referred to as :-
Correct Answer Operating costs
Your Answer Operating costs
Multiple Choice Multiple Answer
Question
Substantial cash outlay needs to be allocated for :-
Correct Answer Building stock of raw materials , Providing
information to customers , Training Salesmen
Your Answer Training Salesmen , Building stock of raw materials ,
Setting up infrastructure
Multiple Choice Multiple Answer
Question
Industrial markets can be positioned on product merits e.g.:-
Correct Answer Quality conscious , Reliability , Dependability
Your Answer Quality conscious , Reliability , Dependability
Multiple Choice Single Answer
Question
The generic need which the company will seek to satisfy, stated by top
management is called:-
Correct Answer Mission
Your Answer Mission
True/False
Question
In industrial product marketing, the cost of maintenance is not important in
making comparisons with competitors’ products.
Correct Answer False
Your Answer False
Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing
operations for industrial products on account of :-
Correct Answer Cost competitiveness
Your Answer Cost competitiveness
Multiple Choice Multiple Answer
Question
Manufacturers handle the inventory requirement problem by :-
Correct Answer Maintaining stock at convenient locations , Make
arrangement for return of slow moving goods , Levy service charge on return
of goods
Your Answer Maintaining stock at convenient locations , Make arrangement
for return of slow moving goods , Supplying against specific orders
Select The Blank
Question
Industrial force should be ________ to market conditions.
Correct Answer Responsive
Your Answer Responsive
True/False
Question
Materials that go into the production of food / drug end product have very
narrow quality tolerance.
Correct Answer True
Your Answer True
Select The Blank
Question
Exploratory research involves the gathering of ________ data from secondary
sources.
Correct Answer Preliminary
Your Answer Preliminary
Multiple Choice Multiple Answer
Question
Technical service means details about :-
Correct Answer Ingredient material , How product works , Type of
make of key equipments in the product
Your Answer Ingredient material , How product works , Type of make of
key equipments in the product
Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization’s purpose,
values and distinctive competencies is called :-
Correct Answer Mission
Your Answer Mission
Select The Blank
Question
Supply chain management is one of the tools used by modern companies to
achieve ________.
Correct Answer High productivity improvement and efficiency
Your Answer High productivity improvement and efficiency
Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer B2B marketing
Your Answer B2B marketing
Multiple Choice Single Answer
Question
Making an assessment of the competitors’ strengths and weakness is called :-
Correct Answer Competitive position analysis
Your Answer Competitive position analysis
Multiple Choice Single Answer
Question
Open-ended questions in unstructured questionnaire are often called as :-
Correct Answer Non-disguised questions
Your Answer Non-disguised questions
Match The Following
Question
Correct Answer
Your Answer
Accuracy of data – Sampling error – Sampling error
Frequency of use – Periodical use of information – Periodical use of
information
Urgency of response – Fast decision making – Fast decision making
Timeliness – Current information – Current information
Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer Identifying the needs of customers
Your Answer Identifying the needs of customers
True/False
Question
Effective use of sales force lead to achieving maximum sales at low costs.
Correct Answer True
Your Answer True
Multiple Choice Single Answer
Question
The most important of the operating plans are :-
Correct Answer Policies
Your Answer Policies
Select The Blank
Question
When purchase of industrial equipment is involved, the stage between
manufacture and dispatch of goods is called ________.
Correct Answer Inspection
Your Answer Inspection
True/False
Question
Outsiders like technical consultants can play a key role in the purchase
process of a large buying organization.
Correct Answer True
Your Answer True
Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer Awareness & knowledge , Attitudes & opinions , Buyer
behavior
Your Answer Awareness & knowledge , Attitudes & opinions , Buyer
behavior
Multiple Choice Single Answer
Question
Distributors contact potential buyers and negotiate :-
Correct Answer Orders
Your Answer Orders
Multiple Choice Single Answer
Question
Large organisations opt for :-
Correct Answer Volume purchasing
Your Answer Volume purchasing
True/False
Question
The level of customer experience influences the marketing strategy.
Correct Answer True
Your Answer True
Select The Blank
Question
Non stock carrying branch offices are used as ________ sales head quarter.
Correct Answer Regional
Your Answer Regional
Multiple Choice Single Answer
Question
Value analysis comprises following actions :-
Correct Answer Review of existing product
Your Answer Review of existing product
Select The Blank
Question
The industrial selling environment consists of a process of ________ between
buyer & seller.
Correct Answer Exchange
Your Answer Exchange
True/False
Question
In order to enjoy cost advantage relative to the innovative firm, competitor
must reach a break-through in product design.
Correct Answer True
Your Answer True
Multiple Choice Multiple Answer
Question
Public interest groups support :-
Correct Answer Environmental causes , Women’s rights , Minority
welfare
Your Answer Environmental causes , Women’s rights , Minority welfare
True/False
Question
Sometimes when the price of a material drops below a certain level, buyers
start thinking of new applications.
Correct Answer True
Your Answer True
True/False
Question
The objective of the high price strategy is only to recover firm’s
investment speedily.
Correct Answer False
Your Answer False
True/False
Question
Personal selling is a powerful tool in industrial product selling.
Correct Answer True
Your Answer True
Multiple Choice Multiple Answer
Question
Administration of sales force management is concerned with :-
Correct Answer Motivating , Compensating , Directing
Your Answer Motivating , Compensating , Directing
Multiple Choice Single Answer
Question
Rapport building requires special skills e.g. :-
Correct Answer Human relations
Your Answer Human relations
Multiple Choice Single Answer
Question
Financial capability refers to :-
Correct Answer Cash flow position
Your Answer Cash flow position
Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer An internal environment analysis
Your Answer An internal environment analysis




In pricing industrial goods, the most important factor is :-
Correct Answer Cost
Your Answer Cost
Select The Blank
Question
Methods to measure market ________ can classified into Qualitative and
Quantitative methods.
Correct Answer Potential
Your Answer Potential
Select The Blank
Question
Computer systems help in the ________ of the findings of the research
project.
Correct Answer Presentation
Your Answer Presentation
Select The Blank
Question
Senior marketing personnel from a supplier firm are usually involved in a
________ situation:
Correct Answer New task buy
Your Answer New task buy
Select The Blank
Question
IBM, Microsoft and Google are just three MNCs that have ________.
Correct Answer Set up software development centers in India
Your Answer Set up software development centers in India
Select The Blank
Question
By pricing the product at a very ________ level, management can have
substantial gross margin.
Correct Answer High
Your Answer High
Multiple Choice Multiple Answer
Question
For an industrial company, the following topics would fall under the
category of information on economic scenario :-
Correct Answer GDP growth figures , Inflation rates
Your Answer GDP growth figures , Inflation rates , Initial public
offerings by new companies
Multiple Choice Single Answer
Question
Primary task to be performed for the execution of the sales efforts is :-
Correct Answer Making sales presentation
Your Answer Making sales presentation
True/False
Question
Advertising and promotion expenses, as a percentage of total sales, are
usually more for industrial products than for consumer products.
Correct Answer False
Your Answer False
Multiple Choice Single Answer
Question
Fundamental skill requirement for closing a sale is :-
Correct Answer Application of psychology
Your Answer Application of psychology
Multiple Choice Single Answer
Question
Research objectives are statements that :-
Correct Answer Outline the aims of problem definition
Your Answer Outline the aims of problem definition
True/False
Question
Buyers always buy on the basis of the merit of the product.
Correct Answer False
Your Answer False
Multiple Choice Single Answer
Question
A small company which accepts high volume, low margin business & expands to
meet its production requirement will :-
Correct Answer Become dependant on such business
Your Answer Become dependant on such business
Select The Blank
Question
________ skills represent the essence of industrial marketing.
Correct Answer Negotiations
Your Answer Negotiations
Multiple Choice Single Answer
Question
The purpose of any modern industrial firm is to :-
Correct Answer Fulfill customers’ needs
Your Answer Fulfill customers’ needs
Multiple Choice Multiple Answer
Question
The maker of industrial product can increase total sales by :-
Correct Answer Research , Developing new uses , Developing new
users
Your Answer Research , Developing new uses , Developing new users
True/False
Question
Branch offices are located in commercial centres.
Correct Answer False
Your Answer False
Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer Uniform
Your Answer Uniform
True/False
Question
Advertisement and public relation campaign project a positive image of the
Co.
Correct Answer True
Your Answer True
Multiple Choice Single Answer
Question
The industrial marketing research department helps the company to :-
Correct Answer Take informed decisions regarding marketing
strategies
Your Answer Take informed decisions regarding marketing strategies
True/False
Question
Tariffs & quotas are used by the Govt. to protect indigenous business from
foreign competition.
Correct Answer True
Your Answer True
Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer Engine , Gear box , Clutch
Your Answer Engine , Gear box , Clutch
Multiple Choice Multiple Answer
Question
The message of well-designed advertisement for an industrial product should
generally consist of :-
Correct Answer A short headline , An explanation of the headline ,
Distinctive features of the product
Your Answer A short headline , An explanation of the headline ,
Distinctive features of the product
Multiple Choice Multiple Answer
Question
Profitability of any potential segment is measured by following criteria:-
Correct Answer Market share , Market growth , Image
Your Answer Market share , Market growth , Image
True/False
Question
It is easier to negotiate the purchase of power generators for a large power
station than the purchase of PCs.
Correct Answer False
Your Answer True
Multiple Choice Multiple Answer
Question
Ashok Leyland is an Indian company whose competitors would include :-
Correct Answer Tata Motors , Volvo Motors
Your Answer Tata Motors , Volvo Motors , Baja Auto
True/False
Question
Bill to vendor’ & ‘Absorbed by buyer’ are the two possibilities under
rework.
Correct Answer True
Your Answer True
Multiple Choice Multiple Answer
Question
The following departments in a large engineering company would come under
the responsibility of VP (Operations) :-
Correct Answer Assembly plant , Machine shop , Machinery repair and
maintenance Section
Your Answer Assembly plant , Machine shop , Machinery repair and
maintenance Section
Multiple Choice Single Answer
Question
Industrial markets can be segmented in two steps:-
Correct Answer Micro and macro
Your Answer Micro and macro
Select The Blank
Question
A relative ________ product life span is a favourable condition for charging
high price.
Correct Answer Short
Your Answer Short
Match The Following
Question
Correct Answer
Your Answer
Intensive distribution – All markets – All markets
Direct distribution – Closer contact – Closer contact
Manufactured parts – High profit – High cost
Volatile – Price adjustments – Price adjustments
True/False
Question
An organization that is structured to serve the customer is the most
optimally designed organizational structure.
Correct Answer True
Your Answer True
Multiple Choice Single Answer
Question
Industrial Market Research is undertaken :-
Correct Answer To obtain valuable inputs on variables
Your Answer To obtain valuable inputs on variables
Match The Following
Question
Correct Answer
Your Answer
Personality – Individual influencer – Individual influencer
Level of demand – Environmental influencer – Environmental influencer
Purchase procedures – Organizational influencer – Organizational influencer
Empathy – Interpersonal influencer – Interpersonal influencer
Multiple Choice Multiple Answer
Question
Industries involved in production of chemical & pesticides have to :-
Correct Answer Make natural resources pollution free , Devise
safety measures to protect environment , Properly dispose off waste material
Your Answer Make natural resources pollution free , Devise safety
measures to protect environment , Properly dispose off waste material
Multiple Choice Multiple Answer
Question
The following items fall under the category of manufactured items:-
Correct Answer Stainless steel , Aluminium foil , Digital cameras
Your Answer Stainless steel , Aluminium foil , Digital cameras
Multiple Choice Single Answer
Question
DGS&D refers to an authority that purchases goods for:-
Correct Answer Central Government
Your Answer Central Government
Multiple Choice Single Answer
Question
In industrial marketing, spare parts are sold through :-
Correct Answer Branch office
Your Answer Branch office
True/False
Question
Advertisement agencies provide much needed experience in advertising.
Correct Answer True
Your Answer True
Multiple Choice Multiple Answer
Question
A company has to revise its pricing strategy when :-
Correct Answer Competitor changes his price , New rival enters the
market , It is advantageous for the company to change price
Your Answer Competitor changes his price , New rival enters the market ,
It is advantageous for the company to change price
Select The Blank
Question
To overcome bad image, the companies have to go for ________ public
relations program.
Correct Answer Long term
Your Answer Long term
Multiple Choice Single Answer
Question
The best channel of distribution for capital items is :-
Correct Answer Direct selling
Your Answer Direct selling
Multiple Choice Single Answer
Question
An external environment analysis is necessary to understand :-
Correct Answer The needs of the customers
Your Answer The needs of the customers
True/False
Question
A repeat purchase decision will generally involve changes in product
specifications from earlier supplies.
Correct Answer False
Your Answer False
Multiple Choice Single Answer
Question
Allocating time for prospecting activities helps in :-
Correct Answer Servicing old accounts
Your Answer Servicing old accounts
Multiple Choice Single Answer
Question
An imbalance between cost & price requires :-
Correct Answer Managerial Action
Your Answer Managerial Action
Select The Blank
Question
A senior manager such as General Manager (Purchase) of an industrial
marketing company will get more involved in the purchase of ________.
Correct Answer High value items
Your Answer High value items


Funds spent on R & D to bring a new product into the market are :-
Correct Answer Sunk Costs
Your Answer Sunk Costs
True/False
Question
Hydraulic equipments are handled by general line industries.
Correct Answer False
Your Answer False
Select The Blank
Question
Market conditions may result in demand for a product, which is relatively
________ to change in price.
Correct Answer Unresponsive
Your Answer Responsive
Multiple Choice Single Answer
Question
Industrial product advertising is an effective means to stimulate :-
Correct Answer Primary demand
Your Answer Primary demand
Multiple Choice Single Answer
Question
Value analysis may suggest :-
Correct Answer Product modifications
Your Answer Product modifications
Select The Blank
Question
The buying needs and practices of organisations differ according to whether
they are innovate, product leaders or ________.
Correct Answer Followers
Your Answer Followers
Select The Blank
Question
Competitor, who enter late in the market, must apply part of their cash
inflow to the amortization of their own ________ cost.
Correct Answer Development
Your Answer Development
Select The Blank
Question
The ________ distributors focus on narrow range of related products.
Correct Answer Specialised
Your Answer Specialised
True/False
Question
A survey analyst is not part of the industrial marketing research team.
Correct Answer False
Your Answer False
Multiple Choice Multiple Answer
Question
Tata Motors is a company involved in the manufacture of :-
Correct Answer Passenger cars , Light commercial vehicles , Heavy
commercial vehicles
Your Answer Passenger cars , Light commercial vehicles , Heavy
commercial vehicles
Multiple Choice Single Answer
Question
Non Banking Financial Corporations receive negative publicity from :-
Correct Answer Down grading by rating agencies
Your Answer Write up in news papers
Select The Blank
Question
Sales personnel should study customers as ________.
Correct Answer Individuals
Your Answer Professionals
True/False
Question
Car manufacturers make all the components of the car themselves.
Correct Answer False
Your Answer False
Multiple Choice Single Answer
Question
For financially weak but reliable customers, supplier may be required to:-
Correct Answer Give high discounts
Your Answer Provide finance
True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer True
Your Answer True
Select The Blank
Question
Composite rating is prepared by adding ________ rating.
Correct Answer Individual
Your Answer Individual
Multiple Choice Multiple Answer
Question
For successful positioning the firm should know its :-
Correct Answer Current positioning in the market , Competitors ,
Resources
Your Answer Current positioning in the market , Competitors , Resources
Multiple Choice Multiple Answer
Question
For industrial marketing, type of channel members needed would depend on :-
Correct Answer Market coverage , Marketing cost , Marketing control
Your Answer Market coverage , Marketing cost , Marketing control
Multiple Choice Multiple Answer
Question
Information sources for unstructured surveys are :-
Correct Answer Sales personnel , Dealers , Customers
Your Answer Sales personnel , Dealers , Customers
Multiple Choice Single Answer
Question
How industrial advertising helps the salesperson?
Correct Answer It conveys the message to the network of decision
makers, he cannot reach.
Your Answer It conveys the message to the network of decision makers, he
cannot reach.
Select The Blank
Question
The best advertising should be best in creativity, simplicity and ________.
Correct Answer Uniqueness
Your Answer Uniqueness
True/False
Question
In industrial marketing buying is a collective decision making process.
Correct Answer True
Your Answer True
True/False
Question
Market coverage means demographic areas to be covered.
Correct Answer True
Your Answer False
Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for
companies doing business in :-
Correct Answer Computers , Software , Office equipment
Your Answer Computers , Software , Office equipment
Multiple Choice Multiple Answer
Question
Starting point for the negotiation process is :-
Correct Answer Needs , Plans , Goals
Your Answer Plans , Goals , Needs
Select The Blank
Question
Industrial advertising must provide reader with information regarding
________ benefits, in simple words.
Correct Answer Intangible
Your Answer Intangible
Multiple Choice Multiple Answer
Question
When a firm introduces new product, a considerable amount is sunk into :-
Correct Answer Research , Planning , Testing
Your Answer Research , Planning , Testing
Multiple Choice Single Answer
Question
Marketing Intelligence System is useful :-
Correct Answer For decision making by industrial marketing managers
Your Answer For decision making by industrial marketing managers
Select The Blank
Question
The situation where the buyer requires an industrial product to a revised
set of specifications from a previous supplier is called ________.
Correct Answer Modified rebuy
Your Answer Straight rebuy
Multiple Choice Single Answer
Question
Data for initial screening can be obtained from:-
Correct Answer Secondary sources
Your Answer Secondary sources
Match The Following
Question
Correct Answer
Your Answer
Niche marketing – Customised products – Customised products
Purchasing policy – Bidding – Bidding
Product innovation – New products – New products
Competitive analysis – Strength &weakness – Strength &weakness
Multiple Choice Multiple Answer
Question
Media selection is done on the basis of :-
Correct Answer Reaching the right audience , Reaching audience with
right quantity of impact , Running the complain for a considerable period of
time
Your Answer Reaching the right audience , Reaching audience with right
quantity of impact , Running the complain for a considerable period of time
True/False
Question
An important characteristic of the mission statement is that it indicates
the direction the company wishes to take.
Correct Answer True
Your Answer True
Multiple Choice Single Answer
Question
A situation analysis consists of :-
Correct Answer A combination of internal environment analysis,
external environment analysis and competitive analysis
Your Answer A combination of internal environment analysis, external
environment analysis and competitive analysis
Multiple Choice Multiple Answer
Question
Service rating is judged by following factors :-
Correct Answer Promptness , Speed , Self interest
Your Answer Promptness , Speed , Self interest
True/False
Question
Some purchase decisions also depend on buyer’s response to the seller’s
marketing stimuli.
Correct Answer True
Your Answer True
Multiple Choice Single Answer
Question
Vendor rating system measures variables e.g. :-
Correct Answer Price
Your Answer Price
Multiple Choice Multiple Answer
Question
Industrial marketers have a choice of structural arrangement like :-
Correct Answer Direct to users , Indirect to users , Mixed
structure
Your Answer Direct to users , Indirect to users , Mixed structure
Select The Blank
Question
Decisions concerning pricing decisions are taken on ________ occasions.
Correct Answer Three
Your Answer Three
Multiple Choice Single Answer
Question
The purchase decision-makers in an industrial company constitute the:-
Correct Answer DMU
Your Answer DMU
Multiple Choice Single Answer
Question
Industrial buyer tries to justify his purchases on the basis of :-
Correct Answer Measurable performance
Your Answer Stock position
Multiple Choice Multiple Answer
Question
Industrial sales person must understand the :-
Correct Answer Manufacturing process of the company , Motivating
factors of individuals , Procedures of the company
Your Answer Manufacturing process of the company , Motivating factors of
individuals , Procedures of the company
True/False
Question
Sales forecast is the estimate of a Co’s expected sales in a given time
period.
Correct Answer True
Your Answer True
True/False
Question
Most industrial suppliers make use of their own sales force in their
marketing system.
Correct Answer False
Your Answer True
Multiple Choice Multiple Answer
Question
A high price strategy is favoured under following conditions :-
Correct Answer Product represent genuine information , Presence of
elite market , Inelastic demand situation
Your Answer Product represent genuine information , Presence of elite
market , Inelastic demand situation
Multiple Choice Multiple Answer
Question
Growth of an automobile manufacturing firm can come from :-
Correct Answer Increase in domestic sales , Increase in export
sales , Decrease in manufacturing costs
Your Answer Increase in domestic sales , Increase in export sales ,
Decrease in manufacturing costs




Multiple Choice Single Answer
Question
The demand for industrial goods is :-
Correct Answer
Derived demand
Your Answer
Need of the customer

Select The Blank
Question
In customer market a ________ price increase will shrink demand.
Correct Answer
Higher
Your Answer
Small

Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization’s purpose, values and distinctive
competencies is called :-
Correct Answer
Mission
Your Answer
Mission

Multiple Choice Single Answer
Question
Large industrial companies realize substantial cost savings is by having:-
Correct Answer
Centralized purchasing
Your Answer
Decentralized purchasing

Select The Blank
Question
The manufacturer of individual product can take customers away from competitor's by
________ efforts.
Correct Answer
Promotional
Your Answer
Promotional

Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for companies doing business
in :-
Correct Answer
Computers , Software , Office equipment
Your Answer
Computers , Software , Office equipment

Multiple Choice Single Answer
Question
Prospecting is essential to ensure future sources of :-
Correct Answer
Sales revenue
Your Answer
Sales revenue

Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the
end product price
Your Answer
Increase his share of the market , Enlarge the total market , Can substantially decrease end
product price

Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer
An internal environment analysis
Your Answer
An internal environment analysis

Multiple Choice Multiple Answer
Question
Service rating is judged by following factors :-
Correct Answer
Self interest , Promptness , Speed
Your Answer
Promptness , Speed , Delegation

Multiple Choice Single Answer
Question
Manufacturer & customer in industrial marketing are affected by :-
Correct Answer
Change in technology
Your Answer
Policies of Govt.

True/False
Question
Outsiders like technical consultants can play a key role in the purchase process of a large
buying organization.
Correct Answer
True
Your Answer
True

Select The Blank
Question
The sales of standard industrial products are generally carried out through ________.
Correct Answer
Direct channel and middlemen
Your Answer
Direct channel and middlemen

Multiple Choice Single Answer
Question
A competitor while selling, may not be aware of his :-
Correct Answer
Overhead costs
Your Answer
Direct costs

Select The Blank
Question
An industrial product manufacturer would prefer to deal with ________ suppliers of component
parts.
Correct Answer
Fewer
Your Answer
Domestic

Multiple Choice Multiple Answer
Question
Internal public includes :-
Correct Answer
Top management , Factory workers , Senior Managers
Your Answer
Top management , Factory workers , Senior Managers

Select The Blank
Question
A first approximation of ________ benefit analysis is necessary before a detailed segmentation
analysis.
Correct Answer
Cost
Your Answer
Price

Match The Following
Question
Correct Answer
Your Answer
Compressors
Manufacturer
Manufacturer
Electric lift maintenance
Service firm
Service firm
Steel hardware
Whole seller/retailer
Distributor
Air-conditioners
Distributor
Manufacturers’ representatives

Multiple Choice Multiple Answer
Question
During discussions, sales people handle issues such as :-
Correct Answer
Delivery schedule , Pricing , After Sales Service
Your Answer
Delivery schedule , Pricing , After Sales Service

Multiple Choice Single Answer
Question
The generic need which the company will seek to satisfy, stated by top management is called:-
Correct Answer
Mission
Your Answer
Mission

Select The Blank
Question
Competitor, who enter late in the market, must apply part of their cash inflow to the amortization
of their own ________ cost.
Correct Answer
Development
Your Answer
Promotion

Select The Blank
Question
When purchase of industrial equipment is involved, the stage between manufacture and
dispatch of goods is called ________.
Correct Answer
Inspection
Your Answer
Inspection
Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for
industrial products on account of :-
Correct Answer
Cost competitiveness
Your Answer
Cost competitiveness

Select The Blank
Question
Supply chain management is one of the tools used by modern companies to achieve ________.
Correct Answer
High productivity improvement and efficiency
Your Answer
High productivity improvement and efficiency

Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior

Multiple Choice Single Answer
Question
The first step in the process of selling is :-
Correct Answer
Identifying prospects
Your Answer
Identifying prospects

Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer
Engine , Gear box , Clutch
Your Answer
Engine , Gear box , Clutch

True/False
Question
Demand for many industrial product is elastic.
Correct Answer
False
Your Answer
True

Match The Following
Question
Correct Answer
Your Answer
Sales department
To reduce cost of sales by 5% within one year
Increase profits for FY in Q3 and Q4
Industrial marketing department
Increase profits for FY in Q3 and Q4
Recruit new employees
Industrial marketing research department
Conduct survey for customer feedback on new product
Conduct survey for customer feedback on new product
Industrial marketing services department
Obtain service revenue from post-sales services in one market segment
Obtain service revenue from post-sales services in one market segment

True/False
Question
Sales forecast is the estimate of a Co's expected sales in a given time period.
Correct Answer
True
Your Answer
True

Select The Blank
Question
Industrial force should be ________ to market conditions.
Correct Answer
Responsive
Your Answer
Responsive

Multiple Choice Multiple Answer
Question
The legal framework is related to existing :-
Correct Answer
Business laws , Civil rights , Labour laws
Your Answer
Business laws , Civil rights , Labour laws

True/False
Question
A repeat purchase decision will generally involve changes in product specifications from earlier
supplies.
Correct Answer
False
Your Answer
False

True/False
Question
Tariffs & quotas are used by the Govt. to protect indigenous business from foreign competition.
Correct Answer
True
Your Answer
True

True/False
Question
Personal selling is a powerful tool in industrial product selling.
Correct Answer
True
Your Answer
True

True/False
Question
A lower price will stimulate demand for industrial products.
Correct Answer
False
Your Answer
True

Multiple Choice Multiple Answer
Question
Assured consistency of the quality can have important benefits for the buyer-user like :-
Correct Answer
Inspection at incoming end , Save inventory cost , Stocking time
Your Answer
Inspection at incoming end , Less headache

Multiple Choice Single Answer
Question
A sales presentation is made to provide prospective customers with sufficient information on the
firm's :-
Correct Answer
Product
Your Answer
Product

Select The Blank
Question
The effectiveness of the advertising program is reflected by the ________ in the state of
awareness.
Correct Answer
Differences
Your Answer
Differences

Select The Blank
Question
Many food processing firms prefer to take on ________ the processing plants for their use
during the peak season.
Correct Answer
Lease
Your Answer
Hire

Multiple Choice Single Answer
Question
The type of demand that characterizes industrial products is called :-
Correct Answer
Derived demand
Your Answer
Derived demand

True/False
Question
Hydraulic equipments are handled by general line industries.
Correct Answer
False
Your Answer
False

Multiple Choice Multiple Answer
Question
Industrial marketers have a choice of structural arrangement like :-
Correct Answer
Direct to users , Indirect to users , Mixed structure
Your Answer
Direct to users , Indirect to users , Mixed structure

True/False
Question
Bill to vendor' & 'Absorbed by buyer' are the two possibilities under rework.
Correct Answer
True
Your Answer
True

True/False
Question
To get market feedback in industrial marketing marketing research is conducted frequently.
Correct Answer
False
Your Answer
True

Multiple Choice Single Answer
Question
Fundamental skill requirement for closing a sale is :-
Correct Answer
Application of psychology
Your Answer
Application of psychology

Multiple Choice Multiple Answer
Question
For industrial marketing, type of channel members needed would depend on :-
Correct Answer
Market coverage , Marketing cost , Marketing control
Your Answer

Market coverage , Marketing cost , Marketing control



LIST OF ATTEMPTED QUESTIONS AND ANSWERS

True/False
Question
An organization that is structured to serve the customer is the most optimally designed
organizational structure.
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
Profitability of any potential segment is measured by following criteria:-
Correct Answer
Market share , Market growth , Image
Your Answer
Market growth , Image , Market share

Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization’s purpose, values and distinctive
competencies is called :-
Correct Answer
Mission
Your Answer
Mission

Match The Following
Question
Correct Answer
Your Answer
Mission statement
Corporate culture
Corporate culture
Target market
Right product
Right product
Cost reduction program
Price adjustment
Price adjustment
Promotion mix
Trade shows
Trade shows

True/False
Question
Public interest groups limit the freedom of suppliers & buyers.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer
B2B marketing
Your Answer
B2B marketing

Multiple Choice Multiple Answer
Question
Services of trained experts is required for :-
Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment
Your Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment

Select The Blank
Question
Computer systems help in the ________ of the findings of the research project.
Correct Answer
Presentation
Your Answer
Presentation

Multiple Choice Single Answer
Question
One example of operating supplies is:
Correct Answer
Paints and varnishes
Your Answer
Personal computers

True/False
Question
Most of public institutions prefer buying as per legal constraints.
Correct Answer
True
Your Answer
True
Multiple Choice Single Answer
Question
Direct costs are also referred to as :-
Correct Answer
Operating costs
Your Answer
Operating costs

Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer
An internal environment analysis
Your Answer
An internal environment analysis

Select The Blank
Question
________ is the alternate name given to marketing research.
Correct Answer
Marketing intelligence
Your Answer
Marketing intelligence

Select The Blank
Question
Marketing research is used for making ________ projections.
Correct Answer
Sales
Your Answer
Sales

True/False
Question
The IT and BPO service industries in India are showing lower rates of growth compared to other
industry sectors.
Correct Answer
False
Your Answer
False

True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
The common service requirements of Industrial buyers are :-
Correct Answer
Technical , Replacement parts , Delivery
Your Answer
Technical , Replacement parts , Delivery

Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer
Identifying the needs of customers
Your Answer
Identifying the needs of customers

Select The Blank
Question
A relative ________ product life span is a favourable condition for charging high price.
Correct Answer
Short
Your Answer
Short

Multiple Choice Single Answer
Question
Making an assessment of the competitors’ strengths and weakness is called :-
Correct Answer
Competitive position analysis
Your Answer
Competitive position analysis

Select The Blank
Question
The fundamental aspect of industrial marketing is that it addresses the needs and wants of
________.
Correct Answer
Business organizations
Your Answer
Business organizations

Multiple Choice Single Answer
Question
Factors affecting industrial pricing are :-
Correct Answer
Type of competition
Your Answer
Type of competition

True/False
Question
Use of IT tools like enterprise resource planning is helping industrial firms to improve
productivity and efficiency.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
Funds spent on R & D to bring a new product into the market are :-
Correct Answer
Sunk Costs
Your Answer
Sunk Costs

Multiple Choice Single Answer
Question
Periodic analysis of an industrial buyer’s operations and purchase systems is necessary to :-
Correct Answer
Understand the changes in buy practices
Your Answer
Understand the changes in buy practices

Match The Following
Question
Correct Answer
Your Answer
Freight Equalization
Base Point
Base Point
Consumer Goods
Advertising & sales promotion
Advertising & sales promotion
High Price Strategy
Patents
Recovery of Investment
Short Life Span
Recovery of Investment
Large Profit

Multiple Choice Single Answer
Question
The uncontrollable environment is known as :-
Correct Answer
Macro Environment
Your Answer
Macro Environment

Multiple Choice Single Answer
Question
The demand for industrial products is :-
Correct Answer
Derived
Your Answer
Derived

Select The Blank
Question
The drop in price of individual product has effect of ________ demand.
Correct Answer
Shrinking
Your Answer
Increasing

Multiple Choice Single Answer
Question
Data for initial screening can be obtained from:-
Correct Answer
Secondary sources
Your Answer
Secondary sources

Select The Blank
Question
When purchase of industrial equipment is involved, the stage between manufacture and
dispatch of goods is called ________.
Correct Answer
Inspection
Your Answer
Inspection

Multiple Choice Multiple Answer
Question
Questions asked in unstructured surveys bring about :-
Correct Answer
Priorities , Problems , Motives
Your Answer
Motives , Priorities , Problems

Multiple Choice Multiple Answer
Question
Stock carrying branches are useful for :-
Correct Answer
Bulk sales , Lowering fright charges , Speed of delivery
Your Answer
Bulk sales , Lowering fright charges , Speed of delivery

Multiple Choice Multiple Answer
Question
To push the company's products, advertising literature should point out advantages to the
middlemen, such as :-
Correct Answer
Wide margins , Large sales potential , Rapid turnover
Your Answer
Wide margins , Large sales potential , Rapid turnover

Multiple Choice Single Answer
Question
The industrial buyers buy only when there are :-
Correct Answer
Strong economic benefits
Your Answer
Strong economic benefits

Select The Blank
Question
Senior marketing personnel from a supplier firm are usually involved in a ________ situation:
Correct Answer
New task buy
Your Answer
New task buy

Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer
Uniform
Your Answer
Uniform

Multiple Choice Single Answer
Question
Large industrial companies realize substantial cost savings is by having:-
Correct Answer
Centralized purchasing
Your Answer
Centralized purchasing

Multiple Choice Multiple Answer
Question
Industries involved in production of chemical & pesticides have to :-
Correct Answer
Make natural resources pollution free , Devise safety measures to protect environment ,
Properly dispose off waste material
Your Answer
Make natural resources pollution free , Devise safety measures to protect environment ,
Properly dispose off waste material

Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer
Continuity
Your Answer
Continuity

Select The Blank
Question
Continuous efforts by sales person, result in developing friendship ________ & cooperation
over a period of time between buyer & seller.
Correct Answer
Trust
Your Answer
Trust

True/False
Question
Sample size in industrial marketing research can be as large as in consumer marketing.
Correct Answer
False
Your Answer
False

Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior

Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for
industrial products on account of :-
Correct Answer
Cost competitiveness
Your Answer
Cost competitiveness

Multiple Choice Single Answer
Question
In an organisation, purchase division is made by:-
Correct Answer
People
Your Answer
Purchase committee

Multiple Choice Multiple Answer
Question
In a tender a vendor has to supply data on :-
Correct Answer
Sales to net worth , Working capital , Turnover Ratio
Your Answer
Sales to net worth , Working capital , Turnover Ratio
Multiple Choice Single Answer
Question
The first level of industrial marketing environment is called the :-
Correct Answer
Interface level
Your Answer
Interface level

Multiple Choice Multiple Answer
Question
When a firm introduces new product, a considerable amount is sunk into :-
Correct Answer
Research , Planning , Testing
Your Answer
Research , Planning , Testing

Select The Blank
Question
Non stock carrying branch offices are used as ________ sales head quarter.
Correct Answer
Regional
Your Answer
Local

Multiple Choice Single Answer
Question
The advertiser can formulate sales appeals that address prospective customer's problems and
:-
Correct Answer
Responsibilities
Your Answer
Responsibilities

Multiple Choice Single Answer
Question
For the industrial manufacturer gross profit may be low on :-
Correct Answer
Bought out parts
Your Answer
Bought out parts

True/False
Question
When a manufacturer wishes to diversify his product line, he will need a channel that is flexible.
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
Sales personnel should :-
Correct Answer
Be sensitive to the need of the customers , Have deep technical knowledge , Have good
communication skills
Your Answer
Have deep technical knowledge , Have good communication skills

Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer
Engine , Gear box , Clutch
Your Answer
Engine , Gear box , Clutch

Multiple Choice Multiple Answer
Question
Substantial cash outlay needs to be allocated for :-
Correct Answer
Training Salesmen , Building stock of raw materials , Providing information to customers
Your Answer
Training Salesmen , Building stock of raw materials , Setting up infrastructure

Multiple Choice Single Answer
Question
The facilitator of the process of interactions between a buyer and a banker are :-
Correct Answer
Bankers
Your Answer
Creditors

True/False
Question
Buyers, who are risk averse are good prospects for new product and concepts.
Correct Answer
False
Your Answer
False

Multiple Choice Single Answer
Question
The demand of consumer products can be increased by :-
Correct Answer
Advertising
Your Answer
Price cuts

Select The Blank
Question
A relative ________ product life span is a favourable condition for charging high price.
Correct Answer
Short
Your Answer
Long

True/False
Question
Car manufacturers make all the components of the car themselves.
Correct Answer
False
Your Answer
False

Select The Blank
Question
One of the current trends in Indian industrial companies is the aspect of ________ export
growth.
Correct Answer
Higher
Your Answer
Higher

True/False
Question
Trade directories, government reports, company files are some of the sources of primary data.
Correct Answer
False
Your Answer
False

Multiple Choice Multiple Answer
Question
Industrial sales person must understand the :-
Correct Answer
Manufacturing process of the company , Motivating factors of individuals , Procedures of the
company
Your Answer
Manufacturing process of the company , Motivating factors of individuals , Procedures of the
company

Multiple Choice Multiple Answer
Question
In a tender a vendor has to supply data on :-
Correct Answer
Sales to net worth , Working capital , Turnover Ratio
Your Answer
Sales to net worth , Working capital , Turnover Ratio

Multiple Choice Multiple Answer
Question
What is a sales appeal?
Correct Answer
An argument , A fact , An idea
Your Answer
An argument , A fact , An idea

Select The Blank
Question
An industrial product manufacturer would prefer to deal with ________ suppliers of component
parts.
Correct Answer
Fewer
Your Answer
Fewer

Match The Following
Question
Correct Answer
Your Answer
Foreign market
Attractive returns
Attractive returns
Independent strategies
Resources
Restrictive
Cooperative strategies
Understanding
Understanding
Manipulative strategies
Restrictive
Resources

Multiple Choice Multiple Answer
Question
The following items fall under the category of manufactured items:-
Correct Answer
Stainless steel , Aluminium foil , Digital cameras
Your Answer
Stainless steel , Aluminium foil , Digital cameras

True/False
Question
Advertising and promotion expenses, as a percentage of total sales, are usually more for
industrial products than for consumer products.
Correct Answer
False
Your Answer
False

Select The Blank
Question
The ultimate goal of business is to serve ________.
Correct Answer
Society
Your Answer
Shareholders

Select The Blank
Question
Decisions concerning pricing decisions are taken on ________ occasions.
Correct Answer
Three
Your Answer
Three

Multiple Choice Single Answer
Question
The marketer of standardized industrial goods gain objectives more effectively than non-
standardized items because of the use of :-
Correct Answer
Price Strategy
Your Answer
Product differentiation

Select The Blank
Question
When a firm sells through a limited number of outlets, it is known as ________ distribution.
Correct Answer
Selective
Your Answer
Selective

Multiple Choice Single Answer
Question
A high price strategy can generate among customers, a substantial amount of :-
Correct Answer
Ill will
Your Answer
Dissatisfaction

True/False
Question
Most of public institutions prefer buying as per legal constraints.
Correct Answer
True
Your Answer
True

Match The Following
Question
Correct Answer
Your Answer
To expand product range to cover all types of computer peripherals
Plan
Mission
To become the No. 1 supplier in computer peripherals
Mission
Goal
To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Milestone
To reduce employee turnover from 30% to 25% in 1 yr
Goal
Plan

Multiple Choice Multiple Answer
Question
A company has to revise its pricing strategy when :-
Correct Answer
Competitor changes his price , New rival enters the market , It is advantageous for the company
to change price
Your Answer
Competitor changes his price , New rival enters the market , It is advantageous for the company
to change price

Multiple Choice Single Answer
Question
Rapport building requires special skills e.g. :-
Correct Answer
Human relations
Your Answer
Communication skills

True/False
Question
Some purchase decisions also depend on buyer's response to the seller's marketing stimuli.
Correct Answer
True
Your Answer
True

True/False
Question
The objective of the high price strategy is only to recover firm's investment speedily.
Correct Answer
False
Your Answer
True

Multiple Choice Single Answer
Question
The approach to selling by the sales force should be :-
Correct Answer
Professional
Your Answer
Professional
Multiple Choice Single Answer
Question
Research objectives are statements that :-
Correct Answer
Outline the aims of problem definition
Your Answer
Outline the aims of problem definition

Multiple Choice Single Answer
Question
Industrial Market Research is a systematic process of collecting data to :-
Correct Answer
Prepare actionable research report
Your Answer
Prepare actionable research report

True/False
Question
To get market feedback in industrial marketing marketing research is conducted frequently.
Correct Answer
False
Your Answer
False

Select The Blank
Question
Industrial marketer deals with ________ buyers than consumer marketer.
Correct Answer
Fewer
Your Answer
Fewer

Multiple Choice Multiple Answer
Question
A high price strategy is favoured under following conditions :-
Correct Answer
Product represent genuine information , Presence of elite market , Inelastic demand situation
Your Answer
Product represent genuine information , Presence of elite market , Inelastic demand situation

Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the
end product price
Your Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the
end product price

Multiple Choice Multiple Answer
Question
When the price of a product goes down, the industrial buyer :-
Correct Answer
Changes his about prices , Waits for price to go down further , Enters the market & buys
Your Answer
Waits for price to go down further , Enters the market & buys

Select The Blank
Question
To overcome bad image, the companies have to go for ________ public relations program.
Correct Answer
Long term
Your Answer
Long term

Select The Blank
Question
The best advertising should be best in creativity, simplicity and ________.
Correct Answer
Uniqueness
Your Answer
Uniqueness

Select The Blank
Question
A first approximation of ________ benefit analysis is necessary before a detailed segmentation
analysis.
Correct Answer
Cost
Your Answer
Cost

True/False
Question
Legal and economic risks may occur because of fraudulent advertising.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
Advertising objectives need to assist
Correct Answer
Marketing objectives
Your Answer
Marketing objectives



Select The Blank
Question
Trade ________ form a part of regulatory environment.
Correct Answer Barriers
Your Answer Barriers


Multiple Choice Multiple Answer
Question
Sales personnel should :-
Correct Answer Be sensitive to the need of the customers , Have
deep technical knowledge , Have good communication skills
Your Answer Have deep technical knowledge , Have good communication
skills , Be sensitive to the need of the customers


Match The Following
Question
Correct Answer
Your Answer

Freight Equalization - Base Point - Base Point

Consumer Goods - Advertising & sales promotion - Advertising & sales
promotion

High Price Strategy - Patents - Patents

Short Life Span - Recovery of Investment - Recovery of Investment


Select The Blank
Question
Analytical techniques are ________ to a large extent.
Correct Answer Mathematical
Your Answer Non predictable


Multiple Choice Single Answer
Question
The approach to selling by the sales force should be :-
Correct Answer Professional
Your Answer Professional


Multiple Choice Multiple Answer
Question
Following capabilities of the organisation also form a basis for
segmentation:-
Correct Answer Operating , Technical , Financial
Your Answer Operating , Technical , Financial


Multiple Choice Multiple Answer
Question
Product development can discourage competition if it is :-
Correct Answer Technologically intensive , Capital intensive ,
Require state-of-art technology
Your Answer Technologically intensive , Capital intensive , Require
state-of-art technology


Multiple Choice Multiple Answer
Question
When the product is complex & requires service by skilled specialist, the
manufacturer has to :-
Correct Answer Supply large number of spare parts , Change a
premium price , Train the technician of buyer
Your Answer Maintain service station , Supply large number of spare
parts , Train the technician of buyer


Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer Continuity
Your Answer Continuity
Multiple Choice Single Answer
Question
Direct costs are also referred to as :-
Correct Answer Operating costs
Your Answer Operating costs


Multiple Choice Multiple Answer
Question
Substantial cash outlay needs to be allocated for :-
Correct Answer Building stock of raw materials , Providing
information to customers , Training Salesmen
Your Answer Training Salesmen , Building stock of raw materials ,
Setting up infrastructure


Multiple Choice Multiple Answer
Question
Industrial markets can be positioned on product merits e.g.:-
Correct Answer Quality conscious , Reliability , Dependability
Your Answer Quality conscious , Reliability , Dependability


Multiple Choice Single Answer
Question
The generic need which the company will seek to satisfy, stated by top
management is called:-
Correct Answer Mission
Your Answer Mission


True/False
Question
In industrial product marketing, the cost of maintenance is not important in
making comparisons with competitors' products.
Correct Answer False
Your Answer False


Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing
operations for industrial products on account of :-
Correct Answer Cost competitiveness
Your Answer Cost competitiveness
Multiple Choice Multiple Answer
Question
Manufacturers handle the inventory requirement problem by :-
Correct Answer Maintaining stock at convenient locations , Make
arrangement for return of slow moving goods , Levy service charge on return
of goods
Your Answer Maintaining stock at convenient locations , Make arrangement
for return of slow moving goods , Supplying against specific orders


Select The Blank
Question
Industrial force should be ________ to market conditions.
Correct Answer Responsive
Your Answer Responsive


True/False
Question
Materials that go into the production of food / drug end product have very
narrow quality tolerance.
Correct Answer True
Your Answer True


Select The Blank
Question
Exploratory research involves the gathering of ________ data from secondary
sources.
Correct Answer Preliminary
Your Answer Preliminary


Multiple Choice Multiple Answer
Question
Technical service means details about :-
Correct Answer Ingredient material , How product works , Type of
make of key equipments in the product
Your Answer Ingredient material , How product works , Type of make of
key equipments in the product


Multiple Choice Single Answer
Question
A broad and definitive statement that covers an organization's purpose,
values and distinctive competencies is called :-
Correct Answer Mission
Your Answer Mission


Select The Blank
Question
Supply chain management is one of the tools used by modern companies to
achieve ________.
Correct Answer High productivity improvement and efficiency
Your Answer High productivity improvement and efficiency


Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer B2B marketing
Your Answer B2B marketing


Multiple Choice Single Answer
Question
Making an assessment of the competitors' strengths and weakness is called :-
Correct Answer Competitive position analysis
Your Answer Competitive position analysis


Multiple Choice Single Answer
Question
Open-ended questions in unstructured questionnaire are often called as :-
Correct Answer Non-disguised questions
Your Answer Non-disguised questions


Match The Following
Question
Correct Answer
Your Answer

Accuracy of data - Sampling error - Sampling error

Frequency of use - Periodical use of information - Periodical use of
information

Urgency of response - Fast decision making - Fast decision making
Timeliness - Current information - Current information


Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer Identifying the needs of customers
Your Answer Identifying the needs of customers


True/False
Question
Effective use of sales force lead to achieving maximum sales at low costs.
Correct Answer True
Your Answer True


Multiple Choice Single Answer
Question
The most important of the operating plans are :-
Correct Answer Policies
Your Answer Policies


Select The Blank
Question
When purchase of industrial equipment is involved, the stage between
manufacture and dispatch of goods is called ________.
Correct Answer Inspection
Your Answer Inspection


True/False
Question
Outsiders like technical consultants can play a key role in the purchase
process of a large buying organization.
Correct Answer True
Your Answer True


Multiple Choice Multiple Answer
Question
Structured surveys are used to measure :-
Correct Answer Awareness & knowledge , Attitudes & opinions , Buyer
behavior
Your Answer Awareness & knowledge , Attitudes & opinions , Buyer
behavior


Multiple Choice Single Answer
Question
Distributors contact potential buyers and negotiate :-
Correct Answer Orders
Your Answer Orders


Multiple Choice Single Answer
Question
Large organisations opt for :-
Correct Answer Volume purchasing
Your Answer Volume purchasing


True/False
Question
The level of customer experience influences the marketing strategy.
Correct Answer True
Your Answer True


Select The Blank
Question
Non stock carrying branch offices are used as ________ sales head quarter.
Correct Answer Regional
Your Answer Regional


Multiple Choice Single Answer
Question
Value analysis comprises following actions :-
Correct Answer Review of existing product
Your Answer Review of existing product


Select The Blank
Question
The industrial selling environment consists of a process of ________ between
buyer & seller.
Correct Answer Exchange
Your Answer Exchange
True/False
Question
In order to enjoy cost advantage relative to the innovative firm, competitor
must reach a break-through in product design.
Correct Answer True
Your Answer True


Multiple Choice Multiple Answer
Question
Public interest groups support :-
Correct Answer Environmental causes , Women's rights , Minority
welfare
Your Answer Environmental causes , Women's rights , Minority welfare


True/False
Question
Sometimes when the price of a material drops below a certain level, buyers
start thinking of new applications.
Correct Answer True
Your Answer True

True/False
Question
The objective of the high price strategy is only to recover firm's
investment speedily.
Correct Answer False
Your Answer False


True/False
Question
Personal selling is a powerful tool in industrial product selling.
Correct Answer True
Your Answer True


Multiple Choice Multiple Answer
Question
Administration of sales force management is concerned with :-
Correct Answer Motivating , Compensating , Directing
Your Answer Motivating , Compensating , Directing


Multiple Choice Single Answer
Question
Rapport building requires special skills e.g. :-
Correct Answer Human relations
Your Answer Human relations


Multiple Choice Single Answer
Question
Financial capability refers to :-
Correct Answer Cash flow position
Your Answer Cash flow position


Multiple Choice Single Answer
Question
Strengths and weaknesses of a firm can be derived through :-
Correct Answer An internal environment analysis
Your Answer An internal environment analysis



Multiple Choice Multiple Answer
Question
Information sources for unstructured surveys are :-
Correct Answer
Sales personnel , Dealers , Customers
Your Answer
Public at large , Dealers , Customers

Multiple Choice Single Answer
Question
Market Segmentation is the process of dividing a large market into :-
Correct Answer
Sub-markets
Your Answer
Sub-markets

Multiple Choice Single Answer
Question
The unit price of a capital equipment item is usually:
Correct Answer
High
Your Answer
High
Multiple Choice Multiple Answer
Question
The legal framework is related to existing :-
Correct Answer
Business laws , Civil rights , Labour laws
Your Answer
Business laws , Civil rights , Labour laws

True/False
Question
A repeat purchase decision will generally involve changes in product specifications from earlier
supplies.
Correct Answer
False
Your Answer
False

True/False
Question
Advertisement agencies provide much needed experience in advertising.
Correct Answer
True
Your Answer
True

True/False
Question
It is easier to negotiate the purchase of power generators for a large power station than the
purchase of PCs.
Correct Answer
False
Your Answer
False

True/False
Question
A small reduction in price of original material can lead to a large reduction in the price of end
product.
Correct Answer
False
Your Answer
False

Multiple Choice Single Answer
Question
The purchase order placement of a furnace for a large steel plant can take:-
Correct Answer
A few months
Your Answer
A few months

Select The Blank
Question
Sluggishness of price response lies in the nature of ________ demand.
Correct Answer
Derived
Your Answer
Derived

Multiple Choice Single Answer
Question
One example of operating supplies is:
Correct Answer
Paints and varnishes
Your Answer
Generators

Multiple Choice Single Answer
Question
Chain of distribution from the supplier to customer are known as :-
Correct Answer
Intermediaries
Your Answer
Intermediaries

Match The Following
Question
Correct Answer
Your Answer
Joint venture
Control over operation
Agreement
Direct exporting
Higher risk
Higher risk
Foreign production
Direct investment
Intermediaries
Comparative analysis
Similarities
Similarities

Match The Following
Question
Correct Answer
Your Answer
Indirect Cost
Interest
Wages
Product life cycle
Different phases
Different phases
Price Leadership
Initiate price change
Pricing decision
Direct Cost
Wages
Initiate price change

Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for companies doing business
in :-
Correct Answer
Computers , Software , Office equipment
Your Answer
Computers , Software , Office equipment

Multiple Choice Multiple Answer
Question
According to you, marketing of industrial services and marketing of industrial products :-
Correct Answer
Are similar from the seller’s point of view , Require similar resources , Require different types of
resources
Your Answer
Are similar from the seller’s point of view , Require similar resources , Require different types of
resources

Multiple Choice Single Answer
Question
The first step in managing the industrial product marketing system is :-
Correct Answer
Identifying the needs of customers
Your Answer
Identifying the needs of customers

Multiple Choice Single Answer
Question
Many overseas companies are attracted to India for setting up manufacturing operations for
industrial products on account of :-
Correct Answer
Cost competitiveness
Your Answer
High labor cost

Multiple Choice Single Answer
Question
An alternative term used for industrial marketing is :-
Correct Answer
B2B marketing
Your Answer
B2C marketing

Multiple Choice Multiple Answer
Question
Negotiations between buyer and seller will be involved and of long duration for the following
items:-
Correct Answer
Air-conditioning plant for an airport terminal , Telecom equipment for large MNC , Diesel
locomotives for public sector company
Your Answer
Air-conditioning plant for an airport terminal , Telecom equipment for large MNC , Diesel
locomotives for public sector company

Multiple Choice Single Answer
Question
An external environment analysis is necessary to understand :-
Correct Answer
The needs of the customers
Your Answer
The capabilities of competitors

Multiple Choice Single Answer
Question
Periodic analysis of an industrial buyer’s operations and purchase systems is necessary to :-
Correct Answer
Understand the changes in buy practices
Your Answer
Understand the changes in buy practices

Multiple Choice Single Answer
Question
The industrial marketing research department helps the company to :-
Correct Answer
Take informed decisions regarding marketing strategies
Your Answer
Take informed decisions regarding marketing strategies

Multiple Choice Multiple Answer
Question
A high price strategy is favoured under following conditions :-
Correct Answer
Product represent genuine information , Presence of elite market , Inelastic demand situation
Your Answer
Product represent genuine information , Presence of elite market , Inelastic demand situation

Multiple Choice Multiple Answer
Question
By reducing price, industrial marketers can :-
Correct Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the
end product price
Your Answer
Increase his share of the market , Enlarge the total market , Not make a major change in the
end product price

Multiple Choice Single Answer
Question
The middleman, who customize a product & handle specific situation are called :-
Correct Answer
Value added resellers
Your Answer
Value added resellers

Multiple Choice Multiple Answer
Question
The supplier’s marketing person needs to identify the following role players in the buying
organization:-
Correct Answer
Senior purchase officer , Actual users , Deciding officers
Your Answer
Senior purchase officer , Actual users , Deciding officers

Select The Blank
Question
The buying needs and practices of organisations differ according to wether they are innovate,
product leaders or ________.
Correct Answer
Followers
Your Answer
Followers

True/False
Question
Cash flow produced by marketing a joint product must be equal in value to its separable cost.
Correct Answer
True
Your Answer
True

True/False
Question
Branch offices are located in commercial centres.
Correct Answer
False
Your Answer
False

Select The Blank
Question
Industrial advertising must provide reader with information regarding ________ benefits, in
simple words.
Correct Answer
Intangible
Your Answer
Tangible

Select The Blank
Question
Computer systems help in the ________ of the findings of the research project.
Correct Answer
Presentation
Your Answer
Presentation
Multiple Choice Single Answer
Question
Rapport building requires special skills e.g. :-
Correct Answer
Human relations
Your Answer
Communication skills

Select The Blank
Question
________ are an important link in indirect to user channel strategy.
Correct Answer
Agents
Your Answer
Agents

Multiple Choice Single Answer
Question
The approach to selling by the sales force should be :-
Correct Answer
Professional
Your Answer
Professional

Multiple Choice Multiple Answer
Question
For successful positioning the firm should know its :-
Correct Answer
Current positioning in the market , Competitors , Resources
Your Answer
Current positioning in the market , Competitors , Financial position

Select The Blank
Question
When a firm sells through a limited number of outlets, it is known as ________ distribution.
Correct Answer
Selective
Your Answer
Selective

Select The Blank
Question
Marketing research is used for making ________ projections.
Correct Answer
Sales
Your Answer
Sales

Multiple Choice Multiple Answer
Question
To push the company's products, advertising literature should point out advantages to the
middlemen, such as :-
Correct Answer
Wide margins , Large sales potential , Rapid turnover
Your Answer
Wide margins , Large sales potential , Off-the-shelf inventory

Multiple Choice Multiple Answer
Question
Industrial marketers have a choice of structural arrangement like :-
Correct Answer
Direct to users , Indirect to users , Mixed structure
Your Answer
Direct to users , Indirect to users , Mixed structure

True/False
Question
Buyers are always cold, rational & dispassionate.
Correct Answer
False
Your Answer
False

Multiple Choice Single Answer
Question
How fast a firm can recover its cash outlay depends on its :-
Correct Answer
Financial strength
Your Answer
Sales force

Multiple Choice Single Answer
Question
A small lathe is a type of :-
Correct Answer
Accessory equipment
Your Answer
Major equipment

Select The Blank
Question
The sales of standard industrial products are generally carried out through ________.
Correct Answer
Direct channel and middlemen
Your Answer
Direct channel and middlemen

Select The Blank
Question
Indigenous vehicle manufacturers face ________ from foreign manufacturers setting up
facilities in India.
Correct Answer
A threat
Your Answer
A threat

True/False
Question
A major change in the price of an industrial component causes a significant change in the end
product price.
Correct Answer
False
Your Answer
True

Multiple Choice Single Answer
Question
Industrial Market Research is very important :-
Correct Answer
From strategic and implementation point of view
Your Answer
From strategic and implementation point of view



Multiple Choice Single Answer
Question
The middleman, who customize a product & handle specific situation are called :-
Correct Answer
Value added resellers
Your Answer
Value added resellers
Select The Blank
Question
IBM, Microsoft and Google are just three MNCs that have ________.
Correct Answer
Set up software development centers in India
Your Answer
Set up software development centers in India

Multiple Choice Multiple Answer
Question
Analysis of the strengths and weakness of competitors is done in the areas of :-
Correct Answer
Manufacturing , Finance , Technical service
Your Answer
Manufacturing , Finance , Technical service

Multiple Choice Single Answer
Question
The purpose of any modern industrial firm is to :-
Correct Answer
Fulfill customers’ needs
Your Answer
Fulfill customers’ needs

Multiple Choice Multiple Answer
Question
Technical service means details about :-
Correct Answer
Ingredient material , How product works , Type of make of key equipments in the product
Your Answer
Ingredient material , How product works , Type of make of key equipments in the product

True/False
Question
Buyers, who are risk averse are good prospects for new product and concepts.
Correct Answer
False
Your Answer
True

Multiple Choice Single Answer
Question
For financially weak but reliable customers, supplier may be required to:-
Correct Answer
Give high discounts
Your Answer
Insist on cash on delivery

Multiple Choice Multiple Answer
Question
Ashok Leyland is an Indian company whose competitors would include :-
Correct Answer
Tata Motors , Volvo Motors
Your Answer
Tata Motors , Volvo Motors

Multiple Choice Multiple Answer
Question
Questions asked in unstructured surveys bring about :-
Correct Answer
Motives , Priorities , Problems
Your Answer
Motives , Priorities , Problems

True/False
Question
Delivery rating factor is prepared based on adherence to delivery schedule.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
The industrial marketing research department helps the company to :-
Correct Answer
Take informed decisions regarding marketing strategies
Your Answer
Take informed decisions regarding marketing strategies

Match The Following
Question
Correct Answer
Your Answer
To expand product range to cover all types of computer peripherals
Plan
Mission
To become the No. 1 supplier in computer peripherals
Mission
Goal
To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Milestone
To reduce employee turnover from 30% to 25% in 1 yr
Goal
Plan

Multiple Choice Single Answer
Question
Non Banking Financial Corporations receive negative publicity from :-
Correct Answer
Down grading by rating agencies
Your Answer
Down grading by rating agencies

Multiple Choice Multiple Answer
Question
In a tender a vendor has to supply data on :-
Correct Answer
Sales to net worth , Working capital , Turnover Ratio
Your Answer
Sales to net worth , Turnover Ratio , Profit to Loss Ratio

Multiple Choice Multiple Answer
Question
Supply by an industrial firm to an OEM will:
Correct Answer
Enhance its reputation , Help in obtaining regular orders , Help in spreading awareness among
other possible buyers
Your Answer
Enhance its reputation , Help in obtaining regular orders , Help in spreading awareness among
other possible buyers

Multiple Choice Single Answer
Question
Financial capability refers to :-
Correct Answer
Cash flow position
Your Answer
Cash flow position
Select The Blank
Question
The buying needs and practices of organisations differ according to wether they are innovate,
product leaders or ________.
Correct Answer
Followers
Your Answer
Nichers

Multiple Choice Single Answer
Question
In an organisation, purchase division is made by:-
Correct Answer
People
Your Answer
Management

Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer
Uniform
Your Answer
Even

Select The Blank
Question
Direct marketing is expensive when probable volume of sales in a market area is ________.
Correct Answer
Small
Your Answer
Small

Multiple Choice Single Answer
Question
General public will work towards a cause if it is :-
Correct Answer
Motivated
Your Answer
Motivated

Multiple Choice Single Answer
Question
A situation analysis consists of :-
Correct Answer
A combination of internal environment analysis, external environment analysis and competitive
analysis
Your Answer
A combination of internal environment analysis, external environment analysis and competitive
analysis

Multiple Choice Single Answer
Question
Institutional investors are concerned with organisation's :-
Correct Answer
Operational efficiency
Your Answer
Operational efficiency

Select The Blank
Question
________ of supply is one of the important aspects buyers look for.
Correct Answer
Continuity
Your Answer
Time

Select The Blank
Question
The fundamental aspect of industrial marketing is that it addresses the needs and wants of
________.
Correct Answer
Business organizations
Your Answer
Groups of consumers

True/False
Question
Advertisement and public relation campaign project a positive image of the Co.
Correct Answer
True
Your Answer
True

True/False
Question
Market coverage means demographic areas to be covered.
Correct Answer
True
Your Answer
False

Match The Following
Question
Correct Answer
Your Answer
Advertising effectiveness
Evaluation of performance
Evaluation of performance
Web design
Domain name
Domain name
Choice of media
Reaching the right audience
Reaching the right audience
Basis of Budgeting support
Percentage of past sales
Percentage of past sales

Multiple Choice Single Answer
Question
Making an assessment of the competitors’ strengths and weakness is called :-
Correct Answer
Competitive position analysis
Your Answer
Competitive position analysis

Select The Blank
Question
Business should act in a ________ manner to keep Govt. out of business environment.
Correct Answer
United
Your Answer
Creative

True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer
True
Your Answer
True
True/False
Question
Materials that go into the production of food / drug end product have very narrow quality
tolerance.
Correct Answer
True
Your Answer
False

Multiple Choice Multiple Answer
Question
According to you, marketing of industrial services and marketing of industrial products :-
Correct Answer
Are similar from the seller’s point of view , Require similar resources , Require different types of
resources
Your Answer
Require different types of resources , Are different.

Multiple Choice Single Answer
Question
Primary task to be performed for the execution of the sales efforts is :-
Correct Answer
Making sales presentation
Your Answer
Identifying needs of customers

True/False
Question
Countries with political stability have a grater chance of attracting investment from MNCs.
Correct Answer
True
Your Answer
True

True/False
Question
The IT and BPO service industries in India are showing lower rates of growth compared to other
industry sectors.
Correct Answer
False
Your Answer
False
Multiple Choice Multiple Answer
Question
Product development can discourage competition if it is :-
Correct Answer
Technologically intensive , Capital intensive , Require state-of-art technology
Your Answer
Technologically intensive , Capital intensive , Requires extensive sales promotion

Multiple Choice Single Answer
Question
The best channel of distribution for capital items is :-
Correct Answer
Direct selling
Your Answer
Direct selling

Multiple Choice Multiple Answer
Question
For developing a positioning strategy, following variables are used:-
Correct Answer
Product features , Product reliability , Ability to provide solutions to customer problem
Your Answer
Product features , Product reliability , Ability to provide solutions to customer problem

Select The Blank
Question
The Finance Officer can also play a passive part in the purchase process and his role in the
DMU would be as a ________.
Correct Answer
Gatekeeper
Your Answer
Influencer

Multiple Choice Single Answer
Question
An external environment analysis is necessary to understand :-
Correct Answer
The needs of the customers
Your Answer
The needs of the customers

Multiple Choice Multiple Answer
Question
A company has to revise its pricing strategy when :-
Correct Answer
Competitor changes his price , New rival enters the market , It is advantageous for the company
to change price
Your Answer
Competitor changes his price , New rival enters the market

Select The Blank
Question
Exploratory research involves the gathering of ________ data from secondary sources.
Correct Answer
Preliminary
Your Answer
Critical

Multiple Choice Multiple Answer
Question
Services of trained experts is required for :-
Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment
Your Answer
Special accounting machines , Electronic recording equipment , Supply of iron ore

True/False
Question
In order to enjoy cost advantage relative to the innovative firm, competitor must reach a break-
through in product design.
Correct Answer
True
Your Answer
True

True/False
Question
The objective of the high price strategy is only to recover firm's investment speedily.
Correct Answer
False
Your Answer
True

Multiple Choice Multiple Answer
Question
Industrial markets can be positioned on product merits e.g.:-
Correct Answer
Quality conscious , Reliability , Dependability
Your Answer
Quality conscious , Dependability , Affordability



LIST OF ATTEMPTED QUESTIONS AND ANSWERS


Multiple Choice Single Answer
Question
Funds spent on R & D to bring a new product into the market are :-
Correct Answer Sunk Costs
Your Answer Sunk Costs


True/False
Question
Hydraulic equipments are handled by general line industries.
Correct Answer False
Your Answer False


Select The Blank
Question
Market conditions may result in demand for a product, which is relatively
________ to change in price.
Correct Answer Unresponsive
Your Answer Responsive


Multiple Choice Single Answer
Question
Industrial product advertising is an effective means to stimulate :-
Correct Answer Primary demand
Your Answer Primary demand


Multiple Choice Single Answer
Question
Value analysis may suggest :-
Correct Answer Product modifications
Your Answer Product modifications


Select The Blank
Question
The buying needs and practices of organisations differ according to whether
they are innovate, product leaders or ________.
Correct Answer Followers
Your Answer Followers


Select The Blank
Question
Competitor, who enter late in the market, must apply part of their cash
inflow to the amortization of their own ________ cost.
Correct Answer Development
Your Answer Development


Select The Blank
Question
The ________ distributors focus on narrow range of related products.
Correct Answer Specialised
Your Answer Specialised


True/False
Question
A survey analyst is not part of the industrial marketing research team.
Correct Answer False
Your Answer False


Multiple Choice Multiple Answer
Question
Tata Motors is a company involved in the manufacture of :-
Correct Answer Passenger cars , Light commercial vehicles , Heavy
commercial vehicles
Your Answer Passenger cars , Light commercial vehicles , Heavy
commercial vehicles


Multiple Choice Single Answer
Question
Non Banking Financial Corporations receive negative publicity from :-
Correct Answer Down grading by rating agencies
Your Answer Write up in news papers


Select The Blank
Question
Sales personnel should study customers as ________.
Correct Answer Individuals
Your Answer Professionals


True/False
Question
Car manufacturers make all the components of the car themselves.
Correct Answer False
Your Answer False


Multiple Choice Single Answer
Question
For financially weak but reliable customers, supplier may be required to:-
Correct Answer Give high discounts
Your Answer Provide finance


True/False
Question
Service is one of the variables of vendor rating system.
Correct Answer True
Your Answer True


Select The Blank
Question
Composite rating is prepared by adding ________ rating.
Correct Answer Individual
Your Answer Individual


Multiple Choice Multiple Answer
Question
For successful positioning the firm should know its :-
Correct Answer Current positioning in the market , Competitors ,
Resources
Your Answer Current positioning in the market , Competitors , Resources


Multiple Choice Multiple Answer
Question
For industrial marketing, type of channel members needed would depend on :-
Correct Answer Market coverage , Marketing cost , Marketing control
Your Answer Market coverage , Marketing cost , Marketing control


Multiple Choice Multiple Answer
Question
Information sources for unstructured surveys are :-
Correct Answer Sales personnel , Dealers , Customers
Your Answer Sales personnel , Dealers , Customers


Multiple Choice Single Answer
Question
How industrial advertising helps the salesperson?
Correct Answer It conveys the message to the network of decision
makers, he cannot reach.
Your Answer It conveys the message to the network of decision makers, he
cannot reach.


Select The Blank
Question
The best advertising should be best in creativity, simplicity and ________.
Correct Answer Uniqueness
Your Answer Uniqueness


True/False
Question
In industrial marketing buying is a collective decision making process.
Correct Answer True
Your Answer True


True/False
Question
Market coverage means demographic areas to be covered.
Correct Answer True
Your Answer False


Multiple Choice Multiple Answer
Question
Industries constitute an important basis for market segmentation for
companies doing business in :-
Correct Answer Computers , Software , Office equipment
Your Answer Computers , Software , Office equipment
Multiple Choice Multiple Answer
Question
Starting point for the negotiation process is :-
Correct Answer Needs , Plans , Goals
Your Answer Plans , Goals , Needs


Select The Blank
Question
Industrial advertising must provide reader with information regarding
________ benefits, in simple words.
Correct Answer Intangible
Your Answer Intangible


Multiple Choice Multiple Answer
Question
When a firm introduces new product, a considerable amount is sunk into :-
Correct Answer Research , Planning , Testing
Your Answer Research , Planning , Testing


Multiple Choice Single Answer
Question
Marketing Intelligence System is useful :-
Correct Answer For decision making by industrial marketing managers
Your Answer For decision making by industrial marketing managers


Select The Blank
Question
The situation where the buyer requires an industrial product to a revised
set of specifications from a previous supplier is called ________.
Correct Answer Modified rebuy
Your Answer Straight rebuy


Multiple Choice Single Answer
Question
Data for initial screening can be obtained from:-
Correct Answer Secondary sources
Your Answer Secondary sources
Match The Following
Question
Correct Answer
Your Answer

Niche marketing - Customised products - Customised products

Purchasing policy - Bidding - Bidding

Product innovation - New products - New products

Competitive analysis - Strength &weakness - Strength &weakness



Multiple Choice Multiple Answer
Question
Media selection is done on the basis of :-
Correct Answer Reaching the right audience , Reaching audience with
right quantity of impact , Running the complain for a considerable period of
time
Your Answer Reaching the right audience , Reaching audience with right
quantity of impact , Running the complain for a considerable period of time


True/False
Question
An important characteristic of the mission statement is that it indicates
the direction the company wishes to take.
Correct Answer True
Your Answer True


Multiple Choice Single Answer
Question
A situation analysis consists of :-
Correct Answer A combination of internal environment analysis,
external environment analysis and competitive analysis
Your Answer A combination of internal environment analysis, external
environment analysis and competitive analysis


Multiple Choice Multiple Answer
Question
Service rating is judged by following factors :-
Correct Answer Promptness , Speed , Self interest
Your Answer Promptness , Speed , Self interest


True/False
Question
Some purchase decisions also depend on buyer's response to the seller's
marketing stimuli.
Correct Answer True
Your Answer True


Multiple Choice Single Answer
Question
Vendor rating system measures variables e.g. :-
Correct Answer Price
Your Answer Price


Multiple Choice Multiple Answer
Question
Industrial marketers have a choice of structural arrangement like :-
Correct Answer Direct to users , Indirect to users , Mixed
structure
Your Answer Direct to users , Indirect to users , Mixed structure


Select The Blank
Question
Decisions concerning pricing decisions are taken on ________ occasions.
Correct Answer Three
Your Answer Three


Multiple Choice Single Answer
Question
The purchase decision-makers in an industrial company constitute the:-
Correct Answer DMU
Your Answer DMU


Multiple Choice Single Answer
Question
Industrial buyer tries to justify his purchases on the basis of :-
Correct Answer Measurable performance
Your Answer Stock position
Multiple Choice Multiple Answer
Question
Industrial sales person must understand the :-
Correct Answer Manufacturing process of the company , Motivating
factors of individuals , Procedures of the company
Your Answer Manufacturing process of the company , Motivating factors of
individuals , Procedures of the company


True/False
Question
Sales forecast is the estimate of a Co's expected sales in a given time
period.
Correct Answer True
Your Answer True


True/False
Question
Most industrial suppliers make use of their own sales force in their
marketing system.
Correct Answer False
Your Answer True


Multiple Choice Multiple Answer
Question
A high price strategy is favoured under following conditions :-
Correct Answer Product represent genuine information , Presence of
elite market , Inelastic demand situation
Your Answer Product represent genuine information , Presence of elite
market , Inelastic demand situation


Multiple Choice Multiple Answer
Question
Growth of an automobile manufacturing firm can come from :-
Correct Answer Increase in domestic sales , Increase in export
sales , Decrease in manufacturing costs
Your Answer Increase in domestic sales , Increase in export sales ,
Decrease in manufacturing costs
LIST OF ATTEMPTED QUESTIONS AND ANSWERS

Multiple Choice Single Answer
Question
In pricing industrial goods, the most important factor is :-
Correct Answer Cost
Your Answer Cost


Select The Blank
Question
Methods to measure market ________ can classified into Qualitative and
Quantitative methods.
Correct Answer Potential
Your Answer Potential


Select The Blank
Question
Computer systems help in the ________ of the findings of the research
project.
Correct Answer Presentation
Your Answer Presentation


Select The Blank
Question
Senior marketing personnel from a supplier firm are usually involved in a
________ situation:
Correct Answer New task buy
Your Answer New task buy


Select The Blank
Question
IBM, Microsoft and Google are just three MNCs that have ________.
Correct Answer Set up software development centers in India
Your Answer Set up software development centers in India


Select The Blank
Question
By pricing the product at a very ________ level, management can have
substantial gross margin.
Correct Answer High
Your Answer High
Multiple Choice Multiple Answer
Question
For an industrial company, the following topics would fall under the
category of information on economic scenario :-
Correct Answer GDP growth figures , Inflation rates
Your Answer GDP growth figures , Inflation rates , Initial public
offerings by new companies


Multiple Choice Single Answer
Question
Primary task to be performed for the execution of the sales efforts is :-
Correct Answer Making sales presentation
Your Answer Making sales presentation


True/False
Question
Advertising and promotion expenses, as a percentage of total sales, are
usually more for industrial products than for consumer products.
Correct Answer False
Your Answer False


Multiple Choice Single Answer
Question
Fundamental skill requirement for closing a sale is :-
Correct Answer Application of psychology
Your Answer Application of psychology


Multiple Choice Single Answer
Question
Research objectives are statements that :-
Correct Answer Outline the aims of problem definition
Your Answer Outline the aims of problem definition


True/False
Question
Buyers always buy on the basis of the merit of the product.
Correct Answer False
Your Answer False
Multiple Choice Single Answer
Question
A small company which accepts high volume, low margin business & expands to
meet its production requirement will :-
Correct Answer Become dependant on such business
Your Answer Become dependant on such business


Select The Blank
Question
________ skills represent the essence of industrial marketing.
Correct Answer Negotiations
Your Answer Negotiations


Multiple Choice Single Answer
Question
The purpose of any modern industrial firm is to :-
Correct Answer Fulfill customers' needs
Your Answer Fulfill customers' needs


Multiple Choice Multiple Answer
Question
The maker of industrial product can increase total sales by :-
Correct Answer Research , Developing new uses , Developing new
users
Your Answer Research , Developing new uses , Developing new users


True/False
Question
Branch offices are located in commercial centres.
Correct Answer False
Your Answer False


Select The Blank
Question
The effect of the economic environment is not ________ across industries.
Correct Answer Uniform
Your Answer Uniform


True/False
Question
Advertisement and public relation campaign project a positive image of the
Co.
Correct Answer True
Your Answer True


Multiple Choice Single Answer
Question
The industrial marketing research department helps the company to :-
Correct Answer Take informed decisions regarding marketing
strategies
Your Answer Take informed decisions regarding marketing strategies


True/False
Question
Tariffs & quotas are used by the Govt. to protect indigenous business from
foreign competition.
Correct Answer True
Your Answer True


Multiple Choice Multiple Answer
Question
Car manufacturers make following parts in their factories :-
Correct Answer Engine , Gear box , Clutch
Your Answer Engine , Gear box , Clutch


Multiple Choice Multiple Answer
Question
The message of well-designed advertisement for an industrial product should
generally consist of :-
Correct Answer A short headline , An explanation of the headline ,
Distinctive features of the product
Your Answer A short headline , An explanation of the headline ,
Distinctive features of the product


Multiple Choice Multiple Answer
Question
Profitability of any potential segment is measured by following criteria:-
Correct Answer Market share , Market growth , Image
Your Answer Market share , Market growth , Image
True/False
Question
It is easier to negotiate the purchase of power generators for a large power
station than the purchase of PCs.
Correct Answer False
Your Answer True


Multiple Choice Multiple Answer
Question
Ashok Leyland is an Indian company whose competitors would include :-
Correct Answer Tata Motors , Volvo Motors
Your Answer Tata Motors , Volvo Motors , Baja Auto


True/False
Question
Bill to vendor' & 'Absorbed by buyer' are the two possibilities under
rework.
Correct Answer True
Your Answer True


Multiple Choice Multiple Answer
Question
The following departments in a large engineering company would come under
the responsibility of VP (Operations) :-
Correct Answer Assembly plant , Machine shop , Machinery repair and
maintenance Section
Your Answer Assembly plant , Machine shop , Machinery repair and
maintenance Section


Multiple Choice Single Answer
Question
Industrial markets can be segmented in two steps:-
Correct Answer Micro and macro
Your Answer Micro and macro


Select The Blank
Question
A relative ________ product life span is a favourable condition for charging
high price.
Correct Answer Short
Your Answer Short


Match The Following
Question
Correct Answer
Your Answer

Intensive distribution - All markets - All markets

Direct distribution - Closer contact - Closer contact

Manufactured parts - High profit - High cost

Volatile - Price adjustments - Price adjustments


True/False
Question
An organization that is structured to serve the customer is the most
optimally designed organizational structure.
Correct Answer True
Your Answer True


Multiple Choice Single Answer
Question
Industrial Market Research is undertaken :-
Correct Answer To obtain valuable inputs on variables
Your Answer To obtain valuable inputs on variables


Match The Following
Question
Correct Answer
Your Answer

Personality - Individual influencer - Individual influencer

Level of demand - Environmental influencer - Environmental influencer

Purchase procedures - Organizational influencer - Organizational influencer

Empathy - Interpersonal influencer - Interpersonal influencer
Multiple Choice Multiple Answer
Question
Industries involved in production of chemical & pesticides have to :-
Correct Answer Make natural resources pollution free , Devise
safety measures to protect environment , Properly dispose off waste material

Your Answer Make natural resources pollution free , Devise safety
measures to protect environment , Properly dispose off waste material


Multiple Choice Multiple Answer
Question
The following items fall under the category of manufactured items:-
Correct Answer Stainless steel , Aluminium foil , Digital cameras
Your Answer Stainless steel , Aluminium foil , Digital cameras


Multiple Choice Single Answer
Question
DGS&D refers to an authority that purchases goods for:-
Correct Answer Central Government
Your Answer Central Government


Multiple Choice Single Answer
Question
In industrial marketing, spare parts are sold through :-
Correct Answer Branch office
Your Answer Branch office


True/False
Question
Advertisement agencies provide much needed experience in advertising.
Correct Answer True
Your Answer True


Multiple Choice Multiple Answer
Question
A company has to revise its pricing strategy when :-
Correct Answer Competitor changes his price , New rival enters the
market , It is advantageous for the company to change price
Your Answer Competitor changes his price , New rival enters the market ,
It is advantageous for the company to change price
Select The Blank
Question
To overcome bad image, the companies have to go for ________ public
relations program.
Correct Answer Long term
Your Answer Long term


Multiple Choice Single Answer
Question
The best channel of distribution for capital items is :-
Correct Answer Direct selling
Your Answer Direct selling


Multiple Choice Single Answer
Question
An external environment analysis is necessary to understand :-
Correct Answer The needs of the customers
Your Answer The needs of the customers


True/False
Question
A repeat purchase decision will generally involve changes in product
specifications from earlier supplies.
Correct Answer False
Your Answer False


Multiple Choice Single Answer
Question
Allocating time for prospecting activities helps in :-
Correct Answer Servicing old accounts
Your Answer Servicing old accounts


Multiple Choice Single Answer
Question
An imbalance between cost & price requires :-
Correct Answer Managerial Action
Your Answer Managerial Action
Select The Blank
Question
A senior manager such as General Manager (Purchase) of an industrial
marketing company will get more involved in the purchase of ________.
Correct Answer High value items
Your Answer High value items




                     LIST OF ATTEMPTED QUESTIONS AND ANSWERS




     Select The Blank

     Question        Direct marketing is expensive when probable volume of sales in a
                     market area is ________.

     Correct Answer Small

     Your Answer     Large



     Select The Blank

     Question        Senior marketing personnel from a supplier firm are usually involved in
                     a ________ situation:

     Correct Answer New task buy

     Your Answer     New task buy



    Multiple Choice Multiple Answer

     Question        Supply by an industrial firm to an OEM will:

     Correct Answer Enhance its reputation , Help in obtaining regular orders , Help in
                    spreading awareness among other possible buyers

     Your Answer     Enhance its reputation , Help in obtaining regular orders , Help in
                     spreading awareness among other possible buyers



    Match The Following
Question                           Correct Answer                  Your Answer

Regression Analysis                Better Control                  Better Control

Management by Objectives Involvement in planning                   Involvement in planning

Motivational level                 Trust, Intimacy                 Trust, Intimacy

Straight Salary                    Minimum amount of work          Minimum amount of work



Select The Blank

Question             An industrial product manufacturer would prefer to deal with ________
                     suppliers of component parts.

Correct Answer Fewer

Your Answer          Domestic



Multiple Choice Single Answer

Question             Financial capability reflects the ability to finance :-

Correct Answer Additional level of production

Your Answer          Additional level of production



Select The Blank

Question             Exploratory research involves the gathering of ________ data from
                     secondary sources.

Correct Answer Preliminary

Your Answer          Preliminary



Multiple Choice Single Answer

Question             Large organisations opt for :-

Correct Answer Volume purchasing
Your Answer      Bulk purchasing



Multiple Choice Multiple Answer

Question         According to you, marketing of industrial services and marketing of
                 industrial products :-

Correct Answer Are similar from the seller’s point of view , Require similar resources ,
               Require different types of resources

Your Answer      Require different types of resources , Are different.



Select The Blank

Question         Market ________ is the most optimistic estimate of the amount of
                 product that an entire market will purchase in a given period of time.

Correct Answer Potential

Your Answer      Forecast



Select The Blank

Question         The best advertising should be best in creativity, simplicity and
                 ________.

Correct Answer Uniqueness

Your Answer      Commonality



True/False

Question         In industrial marketing buying is a collective decision making process.

Correct Answer True

Your Answer      True



Select The Blank

Question         Marketing cost is the ________ payable to the channel members.
Correct Answer Commission

Your Answer     Commission



True/False

Question        Some purchase decisions also depend on buyer's response to the
                seller's marketing stimuli.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        Many overseas companies are attracted to India for setting up
                manufacturing operations for industrial products on account of :-

Correct Answer Cost competitiveness

Your Answer     Cost competitiveness



Multiple Choice Single Answer

Question        Advertising should not only promote the product but also :-

Correct Answer The firm, selling the products

Your Answer     The firm, selling the products



Multiple Choice Multiple Answer

Question        Analysis of the strengths and weakness of competitors is done in the
                areas of :-

Correct Answer Manufacturing , Finance , Technical service

Your Answer     Manufacturing , Finance , Technical service



Multiple Choice Multiple Answer
Question        Services of trained experts is required for :-

Correct Answer Special accounting machines , Statistical analysis equipment ,
               Electronic recording equipment

Your Answer     Statistical analysis equipment , Electronic recording equipment ,
                Special accounting machines



Multiple Choice Single Answer

Question        Strengths and weaknesses of a firm can be derived through :-

Correct Answer An internal environment analysis

Your Answer     External environment analysis



Multiple Choice Multiple Answer

Question        What is a sales appeal?

Correct Answer An argument , A fact , An idea

Your Answer     An argument , A fact , An idea



True/False

Question        Advertising and promotion expenses, as a percentage of total sales, are
                usually more for industrial products than for consumer products.

Correct Answer False

Your Answer     False



Select The Blank

Question        The situation where the buyer requires an industrial product to a revised
                set of specifications from a previous supplier is called ________.

Correct Answer Modified rebuy

Your Answer     Modified rebuy
Multiple Choice Single Answer

Question        The purpose of any modern industrial firm is to :-

Correct Answer Fulfill customers’ needs

Your Answer     Fulfill customers’ needs



Multiple Choice Single Answer

Question        Making an assessment of the competitors’ strengths and weakness is
                called :-

Correct Answer Competitive position analysis

Your Answer     Competitive position analysis



True/False

Question        Trade directories, government reports, company files are some of the
                sources of primary data.

Correct Answer False

Your Answer     False



Multiple Choice Single Answer

Question        Distributors contact potential buyers and negotiate :-

Correct Answer Orders

Your Answer     Orders



True/False

Question        When a manufacturer wishes to diversify his product line, he will need a
                channel that is flexible.

Correct Answer True

Your Answer     True
Multiple Choice Single Answer

Question        The type of demand that characterizes industrial products is called :-

Correct Answer Derived demand

Your Answer     Derived demand



Match The Following

Question                    Correct Answer                Your Answer

To expand product range to Plan                           Milestone
cover all types of computer
peripherals

To become the No. 1         Mission                       Mission
supplier in computer
peripherals

To achieve a sales turnover Objective                     Plan
of Rs. 500 cr. by 2008-09

To reduce employee          Goal                          Benchmark
turnover from 30% to 25% in
1 yr



Multiple Choice Single Answer

Question        The middleman, who customize a product & handle specific situation
                are called :-

Correct Answer Value added resellers

Your Answer     Value added resellers



Multiple Choice Multiple Answer

Question        For industrial marketing, type of channel members needed would
                depend on :-
Correct Answer Market coverage , Marketing cost , Marketing control

Your Answer      Market coverage , Marketing cost , Marketing control



True/False

Question         Pre-sales services and post-sales services are not important to
                 modern-day concepts of industrial marketing.

Correct Answer False

Your Answer      False



True/False

Question         Tariffs & quotas are used by the Govt. to protect indigenous business
                 from foreign competition.

Correct Answer True

Your Answer      True



Multiple Choice Multiple Answer

Question         Industrial marketers have a choice of structural arrangement like :-

Correct Answer Direct to users , Indirect to users , Mixed structure

Your Answer      Direct to users , Indirect to users , Mixed structure



Multiple Choice Multiple Answer

Question         Service rating is judged by following factors :-

Correct Answer Promptness , Speed , Self interest

Your Answer      Promptness , Self interest



Multiple Choice Single Answer

Question         The demand for industrial products is :-
Correct Answer Derived

Your Answer     Derived



True/False

Question        Use of IT tools like enterprise resource planning is helping industrial
                firms to improve productivity and efficiency.

Correct Answer True

Your Answer     True



True/False

Question        Highly competent suppliers can deliver defect free products, on time
                and on a regular schedule basis.

Correct Answer True

Your Answer     True



Multiple Choice Multiple Answer

Question        A high price strategy is favoured under following conditions :-

Correct Answer Product represent genuine information , Presence of elite market ,
               Inelastic demand situation

Your Answer     Product represent genuine information , Presence of elite market ,
                Inelastic demand situation



Select The Blank

Question        ________ are an important link in indirect to user channel strategy.

Correct Answer Agents

Your Answer     Agents



Multiple Choice Single Answer
Question       A sales presentation is made to provide prospective customers with
               sufficient information on the firm's :-

Correct Answer Product

Your Answer    Product



Multiple Choice Single Answer

Question       Factors affecting industrial pricing are :-

Correct Answer Type of competition

Your Answer    Type of competition



Multiple Choice Single Answer

Question       An alternative term used for industrial marketing is :-

Correct Answer B2B marketing

Your Answer    B2B marketing



Multiple Choice Single Answer

Question       Industrial product advertising is an effective means to stimulate :-

Correct Answer Primary demand

Your Answer    Primary demand



Multiple Choice Multiple Answer

Question       The maker of industrial product can increase total sales by :-

Correct Answer Research , Developing new uses , Developing new users

Your Answer    Developing new uses , Developing new users



Multiple Choice Multiple Answer

Question       Growth of an automobile manufacturing firm can come from :-
Correct Answer Increase in domestic sales , Increase in export sales , Decrease in
               manufacturing costs

Your Answer     Increase in domestic sales , Increase in export sales , Decrease in
                manufacturing costs



Multiple Choice Multiple Answer

Question        The message of well-designed advertisement for an industrial product
                should generally consist of :-

Correct Answer A short headline , An explanation of the headline , Distinctive features
               of the product

Your Answer     A short headline , An explanation of the headline , Distinctive features
                of the product




                LIST OF ATTEMPTED QUESTIONS AND ANSWERS



Multiple Choice Multiple Answer

Question        For developing a positioning strategy, following variables are used:-

Correct Answer Ability to provide solutions to customer problem , Product features ,
               Product reliability

Your Answer     Product features , Product reliability , Ability to provide solutions to
                customer problem



Select The Blank

Question        Methods to measure market ________ can classified into Qualitative
                and Quantitative methods.

Correct Answer Potential

Your Answer     Potential
Multiple Choice Single Answer

Question         The industrial marketing research department helps the company to :-

Correct Answer Take informed decisions regarding marketing strategies

Your Answer      Take informed decisions regarding marketing strategies



Select The Blank

Question         The manufacturer of individual product can take customers away from
                 competitor's by ________ efforts.

Correct Answer Promotional

Your Answer      Marketing



Multiple Choice Multiple Answer

Question         Administration of sales force management is concerned with :-

Correct Answer Motivating , Compensating , Directing

Your Answer      Motivating , Directing , Controlling (the sales force)



Multiple Choice Multiple Answer

Question         Branch offices are used to :-

Correct Answer Maintain stocks of parts , Provide repair facilities , Serve big customers

Your Answer      Provide repair facilities , Serve big customers



Multiple Choice Single Answer

Question         In pricing industrial goods, the most important factor is :-

Correct Answer Cost

Your Answer      Cost
Select The Blank

Question        Business should act in a ________ manner to keep Govt. out of
                business environment.

Correct Answer United

Your Answer     United



Multiple Choice Single Answer

Question        An alternative term used for industrial marketing is :-

Correct Answer B2B marketing

Your Answer     B2B marketing



Multiple Choice Multiple Answer

Question        For successful positioning the firm should know its :-

Correct Answer Current positioning in the market , Competitors , Resources

Your Answer     Competitors , Resources , Financial position



True/False

Question        Sample size in industrial marketing research can be as large as in
                consumer marketing.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        The maker of industrial product can increase total sales by :-

Correct Answer Research , Developing new uses , Developing new users

Your Answer     Developing new uses , Developing new users , Reducing process
Multiple Choice Multiple Answer

Question        The message of well-designed advertisement for an industrial product
                should generally consist of :-

Correct Answer A short headline , An explanation of the headline , Distinctive features
               of the product

Your Answer     A short headline , An explanation of the headline , Distinctive features
                of the product



Multiple Choice Single Answer

Question        The type of demand that characterizes industrial products is called :-

Correct Answer Derived demand

Your Answer     Derived demand



Select The Blank

Question        Marketing research is used for making ________ projections.

Correct Answer Sales

Your Answer     Sales



Select The Blank

Question        Computer systems help in the ________ of the findings of the research
                project.

Correct Answer Presentation

Your Answer     Presentation



Multiple Choice Multiple Answer

Question        Important sources for tender notices regarding purchases of industrial
                products are:-

Correct Answer Company websites , Newspapers , Trade magazines
Your Answer      Newspapers , Trade magazines , Company websites



Match The Following

Question                      Correct Answer                Your Answer

Sales department              To reduce cost of sales by    Increase profits for FY in Q3
                              5% within one year            and Q4

Industrial marketing          Increase profits for FY in Q3 To reduce cost of sales by
department                    and Q4                        5% within one year

Industrial marketing          Conduct survey for customer Conduct survey for customer
research department           feedback on new product     feedback on new product

Industrial marketing services Obtain service revenue from Obtain service revenue from
department                    post-sales services in one  post-sales services in one
                              market segment              market segment



Select The Blank

Question         The best advertising should be best in creativity, simplicity and
                 ________.

Correct Answer Uniqueness

Your Answer      Uniqueness



Multiple Choice Single Answer

Question         The industrial buyers buy only when there are :-

Correct Answer Strong economic benefits

Your Answer      Strong economic benefits



Multiple Choice Single Answer

Question         A small company which accepts high volume, low margin business &
                 expands to meet its production requirement will :-
Correct Answer Become dependant on such business

Your Answer    Increase its profit margin



Multiple Choice Single Answer

Question       Parameters used to segment the market must be :-

Correct Answer Measurable

Your Answer    Rational



Multiple Choice Single Answer

Question       General public will work towards a cause if it is :-

Correct Answer Motivated

Your Answer    Motivated



True/False

Question       Bill to vendor' & 'Absorbed by buyer' are the two possibilities under
               rework.

Correct Answer True

Your Answer    True



Multiple Choice Single Answer

Question       Value analysis may suggest :-

Correct Answer Product modifications

Your Answer    Product modifications



Select The Blank

Question       In marketing research ________ influence the type of research that is
               selected.
Correct Answer Objectives

Your Answer          Methodology



Multiple Choice Multiple Answer

Question             Customer motives can be understood by studying customer's :-

Correct Answer Production systems , Organizational structures , Outlook & attitude of
               their executives

Your Answer          Production systems , Organizational structures , Outlook & attitude of
                     their executives



True/False

Question             Trade directories, government reports, company files are some of the
                     sources of primary data.

Correct Answer False

Your Answer          False



Select The Blank

Question             Industrial force should be ________ to market conditions.

Correct Answer Responsive

Your Answer          Responsive



Match The Following

Question                          Correct Answer               Your Answer

Regression Analysis               Better Control               Better Control

Management by Objectives Involvement in planning               Involvement in planning

Motivational level                Trust, Intimacy              Trust, Intimacy
Straight Salary               Minimum amount of work         Direct Compensation




Multiple Choice Single Answer

Question          Industrial dealer are business firms that serve :-

Correct Answer Narrow geographic market

Your Answer       Narrow geographic market



Multiple Choice Multiple Answer

Question          Negotiations between buyer and seller will be involved and of long
                  duration for the following items:-

Correct Answer Air-conditioning plant for an airport terminal , Telecom equipment for
               large MNC , Diesel locomotives for public sector company

Your Answer       Air-conditioning plant for an airport terminal , Telecom equipment for
                  large MNC , Diesel locomotives for public sector company



Multiple Choice Single Answer

Question          Strategic Industrial Marketing decision are primarily concerned with
                  selection of :-

Correct Answer Product-mix

Your Answer       Product-mix



True/False

Question          Pre-sales services and post-sales services are not important to
                  modern-day concepts of industrial marketing.

Correct Answer False

Your Answer       False



True/False
Question        In industrial product marketing, the cost of maintenance is not important
                in making comparisons with competitors’ products.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        When the product is complex & requires service by skilled specialist,
                the manufacturer has to :-

Correct Answer Supply large number of spare parts , Change a premium price , Train
               the technician of buyer

Your Answer     Maintain service station , Supply large number of spare parts , Train the
                technician of buyer



Multiple Choice Multiple Answer

Question        The following items fall under the category of manufactured items:-

Correct Answer Stainless steel , Aluminium foil , Digital cameras

Your Answer     Aluminium foil , Digital cameras , Wood for packing.



True/False

Question        Sometimes when the price of a material drops below a certain level,
                buyers start thinking of new applications.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        Industrial Marketing is characterised by:-

Correct Answer Tailor-made products

Your Answer     Tailor-made products
True/False

Question        The level of customer experience influences the marketing strategy.

Correct Answer True

Your Answer     True



Select The Blank

Question        The sales of standard industrial products are generally carried out
                through ________.

Correct Answer Direct channel and middlemen

Your Answer     Direct channel only



Multiple Choice Single Answer

Question        An external environment analysis is necessary to understand :-

Correct Answer The needs of the customers

Your Answer     The needs of the customers



Multiple Choice Single Answer

Question        In industrial marketing, a very important role is played by :-

Correct Answer Pricing

Your Answer     Advertising



Multiple Choice Single Answer

Question        The purpose of any modern industrial firm is to :-

Correct Answer Fulfill customers’ needs

Your Answer     Fulfill customers’ needs
True/False

Question        Materials that go into the production of food / drug end product have
                very narrow quality tolerance.

Correct Answer True

Your Answer     True



Select The Blank

Question        ________ is the alternate name given to marketing research.

Correct Answer Marketing intelligence

Your Answer     Marketing intelligence



True/False

Question        A small reduction in price of original material can lead to a large
                reduction in the price of end product.

Correct Answer False

Your Answer     True




               LIST OF ATTEMPTED QUESTIONS AND ANSWERS




Multiple Choice Multiple Answer

Question        By reducing price, industrial marketers can :-

Correct Answer Not make a major change in the end product price , Increase his share
               of the market , Enlarge the total market

Your Answer     Increase his share of the market , Enlarge the total market , Not make a
                major change in the end product price
Multiple Choice Multiple Answer

Question        The following items fall under the category of manufactured items:-

Correct Answer Stainless steel , Aluminium foil , Digital cameras

Your Answer     Aluminium foil , Digital cameras



Select The Blank

Question        The fundamental aspect of industrial marketing is that it addresses the
                needs and wants of ________.

Correct Answer Business organizations

Your Answer     Business organizations



Multiple Choice Single Answer

Question        The purchase decision-makers in an industrial company constitute the:-

Correct Answer DMU

Your Answer     DMU



Select The Blank

Question        The situation where the buyer requires an industrial product to a revised
                set of specifications from a previous supplier is called ________.

Correct Answer Modified rebuy

Your Answer     Modified rebuy



Multiple Choice Multiple Answer

Question        Industries involved in production of chemical & pesticides have to :-

Correct Answer Make natural resources pollution free , Devise safety measures to
               protect environment , Properly dispose off waste material
Your Answer     Make natural resources pollution free , Devise safety measures to
                protect environment , Properly dispose off waste material



Select The Blank

Question        Industrial force should be ________ to market conditions.

Correct Answer Responsive

Your Answer     Responsive



True/False

Question        In industrial product marketing, the cost of maintenance is not important
                in making comparisons with competitors’ products.

Correct Answer False

Your Answer     False



Select The Blank

Question        The key ________ people are evaluated as part of the assessment.

Correct Answer Management

Your Answer     Management



Multiple Choice Multiple Answer

Question        During discussions, sales people handle issues such as :-

Correct Answer Delivery schedule , Pricing , After Sales Service

Your Answer     Delivery schedule , Pricing , After Sales Service



Multiple Choice Single Answer

Question        An alternative term used for industrial marketing is :-

Correct Answer B2B marketing
Your Answer     B2B marketing



True/False

Question        Buyers are always cold, rational & dispassionate.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        When the product is complex & requires service by skilled specialist,
                the manufacturer has to :-

Correct Answer Supply large number of spare parts , Change a premium price , Train
               the technician of buyer

Your Answer     Supply large number of spare parts , Change a premium price , Train
                the technician of buyer



True/False

Question        A survey analyst is not part of the industrial marketing research team.

Correct Answer False

Your Answer     False



True/False

Question        Personal selling is a powerful tool in industrial product selling.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        Periodic analysis of an industrial buyer’s operations and purchase
                systems is necessary to :-
Correct Answer Understand the changes in buy practices

Your Answer     Understand the changes in buy practices



True/False

Question        Bill to vendor' & 'Absorbed by buyer' are the two possibilities under
                rework.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        The industrial marketing research department helps the company to :-

Correct Answer Take informed decisions regarding marketing strategies

Your Answer     Take informed decisions regarding marketing strategies



Multiple Choice Single Answer

Question        The first step in the purchase procurement cycle is:-

Correct Answer Receive an indent for item

Your Answer     Float inquiries



Multiple Choice Single Answer

Question        Chain of distribution from the supplier to customer are known as :-

Correct Answer Intermediaries

Your Answer     Intermediaries



Select The Blank

Question        By pricing the product at a very ________ level, management can have
                substantial gross margin.
Correct Answer High

Your Answer     High



Multiple Choice Multiple Answer

Question        Negotiations between buyer and seller will be involved and of long
                duration for the following items:-

Correct Answer Air-conditioning plant for an airport terminal , Telecom equipment for
               large MNC , Diesel locomotives for public sector company

Your Answer     Air-conditioning plant for an airport terminal , Telecom equipment for
                large MNC , Diesel locomotives for public sector company



Multiple Choice Single Answer

Question        A situation analysis consists of :-

Correct Answer A combination of internal environment analysis, external environment
               analysis and competitive analysis

Your Answer     A combination of internal environment analysis, external environment
                analysis and competitive analysis



Multiple Choice Single Answer

Question        The purpose of any modern industrial firm is to :-

Correct Answer Fulfill customers’ needs

Your Answer     Make profits



Multiple Choice Multiple Answer

Question        Following capabilities of the organisation also form a basis for
                segmentation:-

Correct Answer Operating , Technical , Financial

Your Answer     Operating , Technical , Financial
Multiple Choice Multiple Answer

Question         Growth of an automobile manufacturing firm can come from :-

Correct Answer Increase in domestic sales , Increase in export sales , Decrease in
               manufacturing costs

Your Answer      Increase in domestic sales , Increase in export sales , Decrease in
                 manufacturing costs



Multiple Choice Multiple Answer

Question         According to you, marketing of industrial services and marketing of
                 industrial products :-

Correct Answer Are similar from the seller’s point of view , Require similar resources ,
               Require different types of resources

Your Answer      Are similar from the seller’s point of view , Require similar resources



Multiple Choice Single Answer

Question         Non Banking Financial Corporations receive negative publicity from :-

Correct Answer Down grading by rating agencies

Your Answer      Down grading by rating agencies



Select The Blank

Question         Competitor, who enter late in the market, must apply part of their cash
                 inflow to the amortization of their own ________ cost.

Correct Answer Development

Your Answer      Development



Multiple Choice Single Answer

Question         Advertising objectives need to assist
Correct Answer Marketing objectives

Your Answer          Marketing objectives



Match The Following

Question                          Correct Answer                  Your Answer

Regression Analysis               Better Control                  Better Control

Management by Objectives Involvement in planning                  Involvement in planning

Motivational level                Trust, Intimacy                 Trust, Intimacy

Straight Salary                   Minimum amount of work          Minimum amount of work




True/False

Question             Delivery rating factor is prepared based on adherence to delivery
                     schedule.

Correct Answer True

Your Answer          True



Multiple Choice Multiple Answer

Question             For developing a positioning strategy, following variables are used:-

Correct Answer Product features , Product reliability , Ability to provide solutions to
               customer problem

Your Answer          Product features , Product reliability , Ability to provide solutions to
                     customer problem



Multiple Choice Multiple Answer

Question             The following departments in a large engineering company would come
                     under the responsibility of VP (Operations) :-

Correct Answer Assembly plant , Machine shop , Machinery repair and maintenance
                 Section

Your Answer      Assembly plant , Machine shop



Select The Blank

Question         Senior marketing personnel from a supplier firm are usually involved in
                 a ________ situation:

Correct Answer New task buy

Your Answer      New task buy



Multiple Choice Multiple Answer

Question         A typical buyer-firm of industrial products will:-

Correct Answer Insist on quality tests before delivery , Ask for test results after
               inspection

Your Answer      Insist on quality tests before delivery , Ask for test results after
                 inspection



Select The Blank

Question         Computer systems help in the ________ of the findings of the research
                 project.

Correct Answer Presentation

Your Answer      Presentation



Multiple Choice Single Answer

Question         Strategic Industrial Marketing decision are primarily concerned with
                 selection of :-

Correct Answer Product-mix

Your Answer      Product-mix
Multiple Choice Single Answer

Question           Making an assessment of the competitors’ strengths and weakness is
                   called :-

Correct Answer Competitive position analysis

Your Answer        Competitive position analysis



Multiple Choice Single Answer

Question           A firm's decision to operate in a particular market is influenced by :-

Correct Answer Competition

Your Answer        Competition



True/False

Question           The effect of price on sale must be balanced by production costs.

Correct Answer True

Your Answer        False



Match The Following

Question                       Correct Answer                  Your Answer

Innovation                     Competitive appeal              Competitive appeal

Sunk Cost                      Money spent                     Money spent

Legal Considerations           Sales of Goods Act              Sales of Goods Act

Inelastic Demand               Unresponsive                    Unresponsive




Multiple Choice Multiple Answer

Question           Manufacturers handle the inventory requirement problem by :-

Correct Answer Maintaining stock at convenient locations , Make arrangement for return
                of slow moving goods , Levy service charge on return of goods

Your Answer     Maintaining stock at convenient locations , Make arrangement for return
                of slow moving goods , Levy service charge on return of goods



Select The Blank

Question        An industrial product manufacturer would prefer to deal with ________
                suppliers of component parts.

Correct Answer Fewer

Your Answer     Fewer



Multiple Choice Single Answer

Question        The role of economic outlook on industrial buying behavior is:-

Correct Answer Important

Your Answer     Important



Multiple Choice Single Answer

Question        The approach to selling by the sales force should be :-

Correct Answer Professional

Your Answer     Professional



Select The Blank

Question        ________ is the alternate name given to marketing research.

Correct Answer Marketing intelligence

Your Answer     Marketing intelligence




               LIST OF ATTEMPTED QUESTIONS AND ANSWERS
Select The Blank

Question        The Finance Officer can also play a passive part in the purchase process and his
                role in the DMU would be as a ________.

Correct Answer Gatekeeper

Your Answer     Influencer



True/False

Question        Sales forecast is the estimate of a Co's expected sales in a given time period.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        Data for initial screening can be obtained from:-

Correct Answer Secondary sources

Your Answer     Secondary sources



Multiple Choice Single Answer

Question        The first step in the process of selling is :-

Correct Answer Identifying prospects

Your Answer     Identifying prospects



Multiple Choice Multiple Answer

Question        Media selection is done on the basis of :-

Correct Answer Reaching the right audience , Reaching audience with right quantity of impact ,
               Running the complain for a considerable period of time

Your Answer     Reaching the right audience , Reaching audience with right quantity of impact ,
               Availability of right space / time slot on the media



True/False

Question       Some purchase decisions also depend on buyer's response to the seller's
               marketing stimuli.

Correct Answer True

Your Answer    True



Multiple Choice Single Answer

Question       Open-ended questions in unstructured questionnaire are often called as :-

Correct Answer Non-disguised questions

Your Answer    Non-disguised questions



Multiple Choice Single Answer

Question       The facilitator of the process of interactions between a buyer and a banker are :-

Correct Answer Bankers

Your Answer    Creditors



True/False

Question       Service is one of the variables of vendor rating system.

Correct Answer True

Your Answer    True



True/False

Question       To get market feedback in industrial marketing marketing research is conducted
               frequently.

Correct Answer False
Your Answer    False



Multiple Choice Single Answer

Question       The most important of the operating plans are :-

Correct Answer Policies

Your Answer    Policies



Select The Blank

Question       IBM, Microsoft and Google are just three MNCs that have ________.

Correct Answer Set up software development centers in India

Your Answer    Set up software development centers in India



Select The Blank

Question       Indigenous vehicle manufacturers face ________ from foreign manufacturers
               setting up facilities in India.

Correct Answer A threat

Your Answer    A threat



Select The Blank

Question       Market ________ is the most optimistic estimate of the amount of product that an
               entire market will purchase in a given period of time.

Correct Answer Potential

Your Answer    Forecast



True/False

Question       Outsiders like technical consultants can play a key role in the purchase process of
               a large buying organization.
Correct Answer True

Your Answer      True



Multiple Choice Multiple Answer

Question         In a tender a vendor has to supply data on :-

Correct Answer Sales to net worth , Working capital , Turnover Ratio

Your Answer      Sales to net worth , Working capital , Turnover Ratio



True/False

Question         Most industrial suppliers make use of their own sales force in their marketing
                 system.

Correct Answer False

Your Answer      True



Multiple Choice Single Answer

Question         A high price strategy can generate among customers, a substantial amount of :-

Correct Answer Ill will

Your Answer      Ill will



Multiple Choice Single Answer

Question         Financial capability reflects the ability to finance :-

Correct Answer Additional level of production

Your Answer      Additional level of production



True/False

Question         A major change in the price of an industrial component causes a significant
                 change in the end product price.
Correct Answer False

Your Answer    False



Select The Blank

Question       Decisions concerning pricing decisions are taken on ________ occasions.

Correct Answer Three

Your Answer    Two



Multiple Choice Multiple Answer

Question       Ashok Leyland is an Indian company whose competitors would include :-

Correct Answer Tata Motors , Volvo Motors

Your Answer    Tata Motors , Baja Auto



True/False

Question       An important characteristic of the mission statement is that it indicates the
               direction the company wishes to take.

Correct Answer True

Your Answer    True



Select The Blank

Question       Marketing cost is the ________ payable to the channel members.

Correct Answer Commission

Your Answer    Brokerage



True/False

Question       Pre-sales services and post-sales services are not important to modern-day
               concepts of industrial marketing.
Correct Answer False

Your Answer      False



True/False

Question         Tariffs & quotas are used by the Govt. to protect indigenous business from foreign
                 competition.

Correct Answer True

Your Answer      True



Multiple Choice Multiple Answer

Question         Industrial sales person must understand the :-

Correct Answer Manufacturing process of the company , Motivating factors of individuals ,
               Procedures of the company

Your Answer      Manufacturing process of the company , Motivating factors of individuals ,
                 Procedures of the company



Match The Following

Question                        Correct Answer                    Your Answer

Purchase procedures             Organizational influencer         Organizational influencer

Straight rebuy                  Office stationery                 Office stationery

Modified rebuy                  Exhaust fans with revised         Modifications to Oil refinery;
                                capacity

New task buy                    LCD Projection system and         LCD Projection system and
                                audio system for conference       audio system for conference hall
                                hall




Select The Blank

Question         The drop in price of individual product has effect of ________ demand.
Correct Answer Shrinking

Your Answer     Shrinking



Multiple Choice Multiple Answer

Question        Success of selling activity is dependent on the ability of a sales person to :-

Correct Answer Answer questions of customers , Solve their problems , Identify customer's needs

Your Answer     Answer questions of customers , Solve their problems , Identify customer's needs



Multiple Choice Multiple Answer

Question        Industrial firms should act in the following ways to the changes in environment :-

Correct Answer Influence , Modify , Respond

Your Answer     Influence , Modify , Respond



Multiple Choice Single Answer

Question        Vendor rating system measures variables e.g. :-

Correct Answer Price

Your Answer     Price



Multiple Choice Single Answer

Question        Advertising should not only promote the product but also :-

Correct Answer The firm, selling the products

Your Answer     The firm, selling the products



Select The Blank

Question        Industrial marketer deals with ________ buyers than consumer marketer.

Correct Answer Fewer
Your Answer     Fewer



Select The Blank

Question        ________ of supply is one of the important aspects buyers look for.

Correct Answer Continuity

Your Answer     Continuity



True/False

Question        Legal and economic risks may occur because of fraudulent advertising.

Correct Answer True

Your Answer     True



Select The Blank

Question        Exploratory research involves the gathering of ________ data from secondary
                sources.

Correct Answer Preliminary

Your Answer     Critical



Multiple Choice Multiple Answer

Question        Analysis of the strengths and weakness of competitors is done in the areas of :-

Correct Answer Manufacturing , Finance , Technical service

Your Answer     Manufacturing , Finance , Technical service



Multiple Choice Single Answer

Question        Marketing Intelligence System is useful :-

Correct Answer For decision making by industrial marketing managers
Your Answer     For decision making by industrial marketing managers



True/False

Question        It is easier to negotiate the purchase of power generators for a large power station
                than the purchase of PCs.

Correct Answer False

Your Answer     False



Select The Blank

Question        The buying needs and practices of organisations differ according to wether they
                are innovate, product leaders or ________.

Correct Answer Followers

Your Answer     Followers



Multiple Choice Single Answer

Question        Research objectives are statements that :-

Correct Answer Outline the aims of problem definition

Your Answer     Outline the aims of problem definition



Multiple Choice Multiple Answer

Question        Technical service means details about :-

Correct Answer Ingredient material , How product works , Type of make of key equipments in the
               product

Your Answer     Ingredient material , How product works , Type of make of key equipments in the
                product



Multiple Choice Multiple Answer

Question        There are two ways of conducting surveys, they are :-
Correct Answer Structured surveys , Unstructured surveys

Your Answer      Structured surveys , Unstructured surveys



Select The Blank

Question         Business should act in a ________ manner to keep Govt. out of business
                 environment.

Correct Answer United

Your Answer      Creative



Multiple Choice Single Answer

Question         Secondary data is :-

Correct Answer Already existing

Your Answer      Already existing




                     LIST OF ATTEMPTED QUESTIONS AND ANSWERS




    Multiple Choice Multiple Answer

     Question         Assured consistency of the quality can have important benefits for the
                      buyer-user like :-

     Correct Answer Inspection at incoming end , Save inventory cost , Stocking time

     Your Answer      Inspection at incoming end , Save inventory cost , Stocking time



    True/False

     Question         A small reduction in price of original material can lead to a large
                      reduction in the price of end product.
Correct Answer False

Your Answer        True



True/False

Question           A repeat purchase decision will generally involve changes in product
                   specifications from earlier supplies.

Correct Answer False

Your Answer        False



Select The Blank

Question           The manufacturer of individual product can take customers away from
                   competitor's by ________ efforts.

Correct Answer Promotional

Your Answer        Promotional



Match The Following

Question                       Correct Answer                 Your Answer

Innovation                     Competitive appeal             Competitive appeal

Sunk Cost                      Money spent                    Money spent

Legal Considerations           Sales of Goods Act             Sales of Goods Act

Inelastic Demand               Unresponsive                   Unresponsive




True/False

Question           Bill to vendor' & 'Absorbed by buyer' are the two possibilities under
                   rework.

Correct Answer True
Your Answer     True



Multiple Choice Multiple Answer

Question        Substantial cash outlay needs to be allocated for :-

Correct Answer Training Salesmen , Building stock of raw materials , Providing
               information to customers

Your Answer     Training Salesmen , Building stock of raw materials , Providing
                information to customers



Select The Blank

Question        The drop in price of individual product has effect of ________ demand.

Correct Answer Shrinking

Your Answer     Shrinking



Select The Blank

Question        The effect of the economic environment is not ________ across
                industries.

Correct Answer Uniform

Your Answer     Uniform



Select The Blank

Question        In marketing research ________ influence the type of research that is
                selected.

Correct Answer Objectives

Your Answer     Budget



Multiple Choice Multiple Answer

Question        Industrial sales person must understand the :-
Correct Answer Manufacturing process of the company , Motivating factors of
               individuals , Procedures of the company

Your Answer     Manufacturing process of the company , Motivating factors of
                individuals , Procedures of the company



Select The Blank

Question        Sluggishness of price response lies in the nature of ________ demand.

Correct Answer Derived

Your Answer     Derived



Multiple Choice Multiple Answer

Question        Success of selling activity is dependent on the ability of a sales person
                to :-

Correct Answer Answer questions of customers , Solve their problems , Identify
               customer's needs

Your Answer     Answer questions of customers , Solve their problems , Identify
                customer's needs



Select The Blank

Question        ________ skills represent the essence of industrial marketing.

Correct Answer Negotiations

Your Answer     Negotiations



Multiple Choice Multiple Answer

Question        When the price of a product goes down, the industrial buyer :-

Correct Answer Changes his about prices , Waits for price to go down further , Enters
               the market & buys

Your Answer     Waits for price to go down further , Enters the market & buys , Changes
                his about prices
Multiple Choice Multiple Answer

Question        Service rating is judged by following factors :-

Correct Answer Promptness , Speed , Self interest

Your Answer     Promptness , Speed , Self interest



Multiple Choice Single Answer

Question        Initially rating is evaluated for :-

Correct Answer Each variable

Your Answer     Each variable



True/False

Question        Outsiders like technical consultants can play a key role in the purchase
                process of a large buying organization.

Correct Answer True

Your Answer     True



True/False

Question        To get market feedback in industrial marketing marketing research is
                conducted frequently.

Correct Answer False

Your Answer     False



Select The Blank

Question        When a firm sells through a limited number of outlets, it is known as
                ________ distribution.

Correct Answer Selective
Your Answer     Selective



Multiple Choice Single Answer

Question        Making an assessment of the competitors’ strengths and weakness is
                called :-

Correct Answer Competitive position analysis

Your Answer     Competitive position analysis



Multiple Choice Single Answer

Question        One example of operating supplies is:

Correct Answer Paints and varnishes

Your Answer     Paints and varnishes



Multiple Choice Single Answer

Question        Making money or facilitating the running of the business is a :-

Correct Answer Rational reason

Your Answer     Rational reason



Multiple Choice Multiple Answer

Question        An industrial marketer can :-

Correct Answer Create a schedule of demand , Prepare a list of products to be sold at
               different prices , Make the process systematic

Your Answer     Create a schedule of demand , Prepare a list of products to be sold at
                different prices , Make the process systematic



True/False

Question        It is easier to negotiate the purchase of power generators for a large
                power station than the purchase of PCs.
Correct Answer False

Your Answer    False



True/False

Question       An important characteristic of the mission statement is that it indicates
               the direction the company wishes to take.

Correct Answer True

Your Answer    True



Select The Blank

Question       Management can choose the place the company in the position of a
               price ________.

Correct Answer Leader

Your Answer    Leader



True/False

Question       Salesperson should not be aggressive in pursuing prospective
               customers.

Correct Answer False

Your Answer    False



True/False

Question       Hydraulic equipments are handled by general line industries.

Correct Answer False

Your Answer    False



Multiple Choice Single Answer
Question         Industrial product advertising is an effective means to stimulate :-

Correct Answer Primary demand

Your Answer      A response



Multiple Choice Single Answer

Question         How does advertisements help salespersons?

Correct Answer It helps the salespersons by improving image of the company in the
               customers' mind.

Your Answer      It is helpful because it avoids the need of a visit by a salesperson



Multiple Choice Single Answer

Question         The different amount of products, buyers may be expected to purchase
                 at various prices at a given point of time is known as :-

Correct Answer Market demand

Your Answer      Sales forecast



Multiple Choice Multiple Answer

Question         According to you, marketing of industrial services and marketing of
                 industrial products :-

Correct Answer Are similar from the seller’s point of view , Require similar resources ,
               Require different types of resources

Your Answer      Are similar from the seller’s point of view , Require similar resources ,
                 Require different types of resources



Match The Following

Question                      Correct Answer                Your Answer

Empathy                       Interpersonal influencer      Interpersonal influencer

Personality                   Individual influencer         Individual influencer
Level of demand               Environmental influencer      Environmental influencer

Purchase procedures           Organizational influencer     Organizational influencer




Multiple Choice Single Answer

Question          The sales force is influenced by :-

Correct Answer Selling environment

Your Answer       Selling environment



Multiple Choice Single Answer

Question          The approach to selling by the sales force should be :-

Correct Answer Professional

Your Answer       Professional



Multiple Choice Single Answer

Question          The demand for industrial goods is :-

Correct Answer Derived demand

Your Answer       Derived demand



Select The Blank

Question          One of the current trends in Indian industrial companies is the aspect of
                  ________ export growth.

Correct Answer Higher

Your Answer       Higher



Multiple Choice Multiple Answer

Question          The following items fall under the category of manufactured items:-
Correct Answer Stainless steel , Aluminium foil , Digital cameras

Your Answer     Stainless steel , Aluminium foil , Digital cameras



Multiple Choice Multiple Answer

Question        The message of well-designed advertisement for an industrial product
                should generally consist of :-

Correct Answer A short headline , An explanation of the headline , Distinctive features
               of the product

Your Answer     A short headline , An explanation of the headline , Distinctive features
                of the product



True/False

Question        Some purchase decisions also depend on buyer's response to the
                seller's marketing stimuli.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        Success in market is obtained by :-

Correct Answer Systematic vender development

Your Answer     Systematic vender development



Multiple Choice Multiple Answer

Question        Information sources for unstructured surveys are :-

Correct Answer Sales personnel , Dealers , Customers

Your Answer     Sales personnel , Dealers , Customers



Multiple Choice Single Answer
Question        Supporting plans are drafted for projects requiring:-

Correct Answer Special skills

Your Answer     Program implementation



Select The Blank

Question        In the process of performing their various activities, Govt. may aid,
                hamper or ________ the industrial marketing efforts.

Correct Answer Facilitate

Your Answer     Facilitate



Select The Blank

Question        Sales personnel should study customers as ________.

Correct Answer Individuals

Your Answer     Individuals



Multiple Choice Multiple Answer

Question        Customer motives can be understood by studying customer's :-

Correct Answer Production systems , Organizational structures , Outlook & attitude of
               their executives

Your Answer     Production systems , Organizational structures , Outlook & attitude of
                their executives




                LIST OF ATTEMPTED QUESTIONS AND ANSWERS
True/False

Question        The salesperson assists in solving the purchase organization's
                requirement in return for a specific sales.

Correct Answer True

Your Answer     True



Multiple Choice Multiple Answer

Question        Services of trained experts is required for :-

Correct Answer Special accounting machines , Statistical analysis equipment ,
               Electronic recording equipment

Your Answer     Special accounting machines , Statistical analysis equipment ,
                Electronic recording equipment



Multiple Choice Single Answer

Question        The first step in managing the industrial product marketing system is :-

Correct Answer Identifying the needs of customers

Your Answer     Identifying the needs of customers



Multiple Choice Multiple Answer

Question        To push the company's products, advertising literature should point out
                advantages to the middlemen, such as :-

Correct Answer Wide margins , Large sales potential , Rapid turnover

Your Answer     Wide margins , Large sales potential , Rapid turnover



Multiple Choice Single Answer

Question        When a project is given up in order to pursue another, the company
                incurs :-
Correct Answer Opportunity Cost

Your Answer          Fixed Costs



Match The Following

Question                           Correct Answer                Your Answer

Indirect Cost                      Interest                      Interest

Product life cycle                 Different phases              Different phases

Price Leadership                   Initiate price change         Initiate price change

Direct Cost                        Wages                         Wages




True/False

Question             Personal selling is a powerful tool in industrial product selling.

Correct Answer True

Your Answer          True



Multiple Choice Single Answer

Question             The demand for industrial products is :-

Correct Answer Derived

Your Answer          Derived



Select The Blank

Question             The fundamental aspect of industrial marketing is that it addresses the
                     needs and wants of ________.

Correct Answer Business organizations

Your Answer          Business organizations
Multiple Choice Single Answer

Question        A broad and definitive statement that covers an organization’s purpose,
                values and distinctive competencies is called :-

Correct Answer Mission

Your Answer     Mission



Multiple Choice Multiple Answer

Question        Internal public includes :-

Correct Answer Factory workers , Senior Managers , Top management

Your Answer     Top management , Factory workers , Senior Managers



Multiple Choice Single Answer

Question        Industrial Market Research is very important :-

Correct Answer From strategic and implementation point of view

Your Answer     From strategic and implementation point of view



Multiple Choice Single Answer

Question        Value analysis comprises following actions :-

Correct Answer Review of existing product

Your Answer     Review of existing product



Multiple Choice Multiple Answer

Question        Important sources for tender notices regarding purchases of industrial
                products are:-

Correct Answer Newspapers , Trade magazines , Company websites

Your Answer     Newspapers , Trade magazines , Company websites
Multiple Choice Multiple Answer

Question        Price of an industrial product depends upon :-

Correct Answer Ex-works price , Packing charges , Delivery time

Your Answer     Packing charges , Delivery time , Ex-works price



Multiple Choice Multiple Answer

Question        The legal framework is related to existing :-

Correct Answer Business laws , Civil rights , Labour laws

Your Answer     Business laws , Civil rights , Labour laws



Select The Blank

Question        Supply chain management is one of the tools used by modern
                companies to achieve ________.

Correct Answer High productivity improvement and efficiency

Your Answer     High productivity improvement and efficiency



Select The Blank

Question        Industrial force should be ________ to market conditions.

Correct Answer Responsive

Your Answer     Responsive



True/False

Question        Advertising effectiveness means the ratio of cost of advertisement and
                volume of sales generated.

Correct Answer False

Your Answer     False
Select The Blank

Question         The industrial selling environment consists of a process of ________
                 between buyer & seller.

Correct Answer Exchange

Your Answer      Exchange



True/False

Question         Sales forecast is the estimate of a Co's expected sales in a given time
                 period.

Correct Answer True

Your Answer      True



Multiple Choice Single Answer

Question         How fast a firm can recover its cash outlay depends on its :-

Correct Answer Financial strength

Your Answer      Financial strength



Match The Following

Question                     Correct Answer                Your Answer

Foreign market               Attractive returns            Attractive returns

Independent strategies       Resources                     Resources

Cooperative strategies       Understanding                 Understanding

Manipulative strategies      Restrictive                   Restrictive




Select The Blank

Question         Analytical techniques are ________ to a large extent.
Correct Answer Mathematical

Your Answer     Geometrical



Multiple Choice Single Answer

Question        Research objectives are statements that :-

Correct Answer Outline the aims of problem definition

Your Answer     Outline the aims of problem definition



Multiple Choice Single Answer

Question        Prospecting is essential to ensure future sources of :-

Correct Answer Sales revenue

Your Answer     Sales revenue



Multiple Choice Single Answer

Question        Allocating time for prospecting activities helps in :-

Correct Answer Servicing old accounts

Your Answer     Servicing old accounts



Multiple Choice Multiple Answer

Question        Supply by an industrial firm to an OEM will:

Correct Answer Enhance its reputation , Help in obtaining regular orders , Help in
               spreading awareness among other possible buyers

Your Answer     Enhance its reputation , Help in obtaining regular orders , Help in
                spreading awareness among other possible buyers



Select The Blank

Question        By pricing the product at a very ________ level, management can have
               substantial gross margin.

Correct Answer High

Your Answer    High



Multiple Choice Single Answer

Question       An alternative term used for industrial marketing is :-

Correct Answer B2B marketing

Your Answer    B2B marketing



Multiple Choice Single Answer

Question       DGS&D refers to an authority that purchases goods for:-

Correct Answer Central Government

Your Answer    Central Government



True/False

Question       A break-through innovation will always have competitive appeal.

Correct Answer True

Your Answer    True



Multiple Choice Single Answer

Question       Primary task to be performed for the execution of the sales efforts is :-

Correct Answer Making sales presentation

Your Answer    Making sales presentation



Multiple Choice Single Answer

Question       Industrial dealer are business firms that serve :-
Correct Answer Narrow geographic market

Your Answer      Large geographic market



Select The Blank

Question         Trade ________ form a part of regulatory environment.

Correct Answer Barriers

Your Answer      Barriers



Multiple Choice Multiple Answer

Question         A typical buyer-firm of industrial products will:-

Correct Answer Insist on quality tests before delivery , Ask for test results after
               inspection

Your Answer      Insist on quality tests before delivery , Ask for test results after
                 inspection



Multiple Choice Multiple Answer

Question         Negotiations between buyer and seller will be involved and of long
                 duration for the following items:-

Correct Answer Air-conditioning plant for an airport terminal , Telecom equipment for
               large MNC , Diesel locomotives for public sector company

Your Answer      Air-conditioning plant for an airport terminal , Telecom equipment for
                 large MNC , Diesel locomotives for public sector company



Select The Blank

Question         The situation where the buyer requires an industrial product to a revised
                 set of specifications from a previous supplier is called ________.

Correct Answer Modified rebuy

Your Answer      Modified rebuy
Select The Blank

Question       Industrial advertising must provide reader with information regarding
               ________ benefits, in simple words.

Correct Answer Intangible

Your Answer    Intangible



True/False

Question       A major change in the price of an industrial component causes a
               significant change in the end product price.

Correct Answer False

Your Answer    False



True/False

Question       Market coverage means demographic areas to be covered.

Correct Answer True

Your Answer    True



Multiple Choice Multiple Answer

Question       Starting point for the negotiation process is :-

Correct Answer Plans , Goals , Needs

Your Answer    Plans , Goals , Needs



True/False

Question       In industrial product marketing, the cost of maintenance is not important
               in making comparisons with competitors’ products.

Correct Answer False

Your Answer    False
Multiple Choice Multiple Answer

Question        Administration of sales force management is concerned with :-

Correct Answer Motivating , Compensating , Directing

Your Answer     Motivating , Compensating , Directing



Multiple Choice Single Answer

Question        The first step in the process of selling is :-

Correct Answer Identifying prospects

Your Answer     Identifying prospects



Multiple Choice Single Answer

Question        Non Banking Financial Corporations receive negative publicity from :-

Correct Answer Down grading by rating agencies

Your Answer     Down grading by rating agencies



Multiple Choice Single Answer

Question        The need of buying centre members of a firm can be studied by their :-

Correct Answer Orientation

Your Answer     Orientation




               LIST OF ATTEMPTED QUESTIONS AND ANSWERS
Multiple Choice Multiple Answer

Question        A company has to revise its pricing strategy when :-

Correct Answer It is advantageous for the company to change price , Competitor
               changes his price , New rival enters the market

Your Answer     It is advantageous for the company to change price , Competitor
                changes his price , New rival enters the market



True/False

Question        Effective use of sales force lead to achieving maximum sales at low
                costs.

Correct Answer True

Your Answer     True



True/False

Question        One of the objectives of advertising is long range image building.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        Many overseas companies are attracted to India for setting up
                manufacturing operations for industrial products on account of :-

Correct Answer Cost competitiveness

Your Answer     Cost competitiveness



Select The Blank

Question        When purchase of industrial equipment is involved, the stage between
                manufacture and dispatch of goods is called ________.

Correct Answer Inspection
Your Answer    Inspection



Multiple Choice Single Answer

Question       The type of demand that characterizes industrial products is called :-

Correct Answer Derived demand

Your Answer    Derived demand



True/False

Question       The IT and BPO service industries in India are showing lower rates of
               growth compared to other industry sectors.

Correct Answer False

Your Answer    False



Multiple Choice Single Answer

Question       Open-ended questions in unstructured questionnaire are often called as
               :-

Correct Answer Non-disguised questions

Your Answer    Non-disguised questions



Multiple Choice Single Answer

Question       Advertising objectives need to assist

Correct Answer Marketing objectives

Your Answer    Marketing objectives



True/False

Question       Cash flow produced by marketing a joint product must be equal in value
               to its separable cost.
Correct Answer True

Your Answer     True



Select The Blank

Question        To overcome bad image, the companies have to go for ________
                public relations program.

Correct Answer Long term

Your Answer     Long term



Multiple Choice Single Answer

Question        The first step in the purchase procurement cycle is:-

Correct Answer Receive an indent for item

Your Answer     Receive an indent for item



Multiple Choice Single Answer

Question        Strengths and weaknesses of a firm can be derived through :-

Correct Answer An internal environment analysis

Your Answer     An internal environment analysis



Multiple Choice Multiple Answer

Question        The maker of industrial product can increase total sales by :-

Correct Answer Research , Developing new uses , Developing new users

Your Answer     Research , Developing new uses , Developing new users



Multiple Choice Multiple Answer

Question        Analysis of the strengths and weakness of competitors is done in the
                areas of :-
Correct Answer Manufacturing , Finance , Technical service

Your Answer     Manufacturing , Finance , Technical service



Multiple Choice Multiple Answer

Question        Industrial markets can be positioned on product merits e.g.:-

Correct Answer Quality conscious , Reliability , Dependability

Your Answer     Quality conscious , Reliability , Dependability



True/False

Question        Direct exporting is the only way of entering the foreign market.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        The following departments in a large engineering company would come
                under the responsibility of VP (Operations) :-

Correct Answer Assembly plant , Machine shop , Machinery repair and maintenance
               Section

Your Answer     Assembly plant , Machine shop , Machinery repair and maintenance
                Section



Select The Blank

Question        A senior manager such as General Manager (Purchase) of an industrial
                marketing company will get more involved in the purchase of ________.

Correct Answer High value items

Your Answer     High value items



Multiple Choice Multiple Answer
Question        For industrial marketing, type of channel members needed would
                depend on :-

Correct Answer Market coverage , Marketing cost , Marketing control

Your Answer     Market coverage , Marketing cost , Marketing control



Multiple Choice Multiple Answer

Question        Purchase committees would be required for the following:-

Correct Answer Purchase of diesel engines for automobiles , Purchase of machinery for
               manufacturing polypropylene , Purchase of advanced computer
               networking systems for multi-national operations

Your Answer     Purchase of diesel engines for automobiles , Purchase of machinery for
                manufacturing polypropylene , Purchase of advanced computer
                networking systems for multi-national operations



Select The Blank

Question        Brand positioning is the art of creating a ________ image for a product
                in the minds of customers.

Correct Answer Distinct

Your Answer     Clear



Select The Blank

Question        Continuous efforts by sales person, result in developing friendship
                ________ & cooperation over a period of time between buyer & seller.

Correct Answer Trust

Your Answer     Trust



Multiple Choice Multiple Answer

Question        In a tender a vendor has to supply data on :-

Correct Answer Sales to net worth , Working capital , Turnover Ratio
Your Answer     Sales to net worth , Working capital , Turnover Ratio



Multiple Choice Single Answer

Question        Income in excess of direct expenses can be applied for improvement of
                :-

Correct Answer Product

Your Answer     Sales Promotion



True/False

Question        Advertisement agencies provide much needed experience in
                advertising.

Correct Answer True

Your Answer     True



Select The Blank

Question        The ultimate goal of business is to serve ________.

Correct Answer Society

Your Answer     Society



Multiple Choice Multiple Answer

Question        For an industrial company, the following topics would fall under the
                category of information on economic scenario :-

Correct Answer GDP growth figures , Inflation rates

Your Answer     GDP growth figures , Inflation rates



Multiple Choice Single Answer

Question        Natural products like iron ore and bauxite can be termed as:-
Correct Answer Raw materials

Your Answer       Raw materials



True/False

Question          Sample size in industrial marketing research can be as large as in
                  consumer marketing.

Correct Answer False

Your Answer       False



Match The Following

Question                      Correct Answer               Your Answer

Management capability         Organise                     Disposition factor

Quality rating                Disposition factor           Promptness

Delivery rating               Delivery schedule            Delivery schedule

Service rating                Promptness                   Swap factor



Select The Blank

Question          Senior marketing personnel from a supplier firm are usually involved in
                  a ________ situation:

Correct Answer New task buy

Your Answer       New task buy



True/False

Question          Advertising and promotion expenses, as a percentage of total sales, are
                  usually more for industrial products than for consumer products.

Correct Answer False

Your Answer       True
Match The Following

Question                     Correct Answer                   Your Answer

To expand product range to Plan                               Plan
cover all types of computer
peripherals

To become the No. 1          Mission                          Mission
supplier in computer
peripherals

To achieve a sales turnover Objective                         Objective
of Rs. 500 cr. by 2008-09

To reduce employee          Goal                              Goal
turnover from 30% to 25% in
1 yr



Multiple Choice Single Answer

Question        Factors affecting industrial pricing are :-

Correct Answer Type of competition

Your Answer     Type of competition



Multiple Choice Multiple Answer

Question        Following capabilities of the organisation also form a basis for
                segmentation:-

Correct Answer Operating , Technical , Financial

Your Answer     Operating , Technical , Financial



True/False

Question        In industrial marketing buying is a collective decision making process.

Correct Answer True
Your Answer     True



Select The Blank

Question        Exploratory research involves the gathering of ________ data from
                secondary sources.

Correct Answer Preliminary

Your Answer     Preliminary



True/False

Question        Buyers always buy on the basis of the merit of the product.

Correct Answer False

Your Answer     False



True/False

Question        Buyers are always cold, rational & dispassionate.

Correct Answer False

Your Answer     False



Multiple Choice Single Answer

Question        The purpose of any modern industrial firm is to :-

Correct Answer Fulfill customers’ needs

Your Answer     Fulfill customers’ needs



True/False

Question        Most industrial suppliers make use of their own sales force in their
                marketing system.

Correct Answer False
Your Answer     False



Multiple Choice Single Answer

Question        How industrial advertising helps the salesperson?

Correct Answer It conveys the message to the network of decision makers, he cannot
               reach.

Your Answer     It conveys the message to the network of decision makers, he cannot
                reach.



Multiple Choice Single Answer

Question        Marketing Intelligence System is useful :-

Correct Answer For decision making by industrial marketing managers

Your Answer     For decision making by industrial marketing managers



Select The Blank

Question        The Finance Officer can also play a passive part in the purchase
                process and his role in the DMU would be as a ________.

Correct Answer Gatekeeper

Your Answer     Gatekeeper



Multiple Choice Single Answer

Question        The role of economic outlook on industrial buying behavior is:-

Correct Answer Important

Your Answer     Important



Multiple Choice Multiple Answer

Question        There are two ways of conducting surveys, they are :-
   Correct Answer Structured surveys , Unstructured surveys

   Your Answer     Structured surveys , Unstructured surveys




  LIST OF ATTEMPTED
QUESTIONS AND ANSWERS




                               Multiple Choice Multiple Answer

                               Question         A high price strategy is favoured under
                                                following conditions :-

                               Correct Answer Inelastic demand situation , Product represent
                                              genuine information , Presence of elite market

                               Your Answer      Inelastic demand situation , Product represent
                                                genuine information , Presence of elite market



                               Multiple Choice Multiple Answer

                               Question         For an industrial company, the following topics
                                                would fall under the category of information on
                                                economic scenario :-

                               Correct Answer GDP growth figures , Inflation rates

                               Your Answer      GDP growth figures , Inflation rates



                               Multiple Choice Single Answer

                               Question         The first step in managing the industrial
                                                product marketing system is :-

                               Correct Answer Identifying the needs of customers

                               Your Answer      Identifying the needs of customers



                               Multiple Choice Single Answer
Question        The advertiser can formulate sales appeals
                that address prospective customer's problems
                and :-

Correct Answer Responsibilities

Your Answer     Responsibilities



True/False

Question        Trade directories, government reports,
                company files are some of the sources of
                primary data.

Correct Answer False

Your Answer     False



Multiple Choice Single Answer

Question        A sales presentation is made to provide
                prospective customers with sufficient
                information on the firm's :-

Correct Answer Product

Your Answer     Product



Select The Blank

Question        Direct marketing is expensive when probable
                volume of sales in a market area is ________.

Correct Answer Small

Your Answer     Small



Multiple Choice Multiple Answer

Question        Important sources for tender notices regarding
                purchases of industrial products are:-

Correct Answer Newspapers , Trade magazines , Company
                                                   websites

                                  Your Answer      Newspapers , Trade magazines , Company
                                                   websites



                                 Multiple Choice Multiple Answer

                                  Question         The following departments in a large
                                                   engineering company would come under the
                                                   responsibility of VP (Operations) :-

                                  Correct Answer Assembly plant , Machine shop , Machinery
                                                 repair and maintenance Section

                                  Your Answer      Assembly plant , Machine shop , Machinery
                                                   repair and maintenance Section



                                 Select The Blank

                                  Question         ________ is the alternate name given to
                                                   marketing research.

                                  Correct Answer Marketing intelligence

                                  Your Answer      Marketing intelligence



True/False

 Question       Tariffs & quotas are used by the Govt. to protect indigenous business from foreign
                competition.

 Correct Answer True

 Your Answer    True



Match The Following

Question                       Correct Answer                   Your Answer

Regression Analysis            Better Control                   Better Control
Management by Objectives             Involvement in planning              Involvement in planning

Motivational level                   Trust, Intimacy                      Trust, Intimacy

Straight Salary                      Minimum amount of work               Minimum amount of work




Multiple Choice Multiple Answer

Question             According to you, marketing of industrial services and marketing of industrial
                     products :-

Correct Answer Are similar from the seller’s point of view , Require similar resources , Require
               different types of resources

Your Answer          Are similar from the seller’s point of view , Require similar resources , Require
                     different types of resources



Multiple Choice Single Answer

Question             Industrial dealer are business firms that serve :-

Correct Answer Narrow geographic market

Your Answer          Narrow geographic market



Multiple Choice Single Answer

Question             Manufacturer require information on customer's :-

Correct Answer Specifications

Your Answer          Needs



True/False

Question             Advertisement agencies provide much needed experience in advertising.

Correct Answer True

Your Answer          True
Match The Following

Question                           Correct Answer                     Your Answer

Accuracy of data                   Sampling error                     Correctness of information

Frequency of use                   Periodical use of information      Usage of product

Urgency of response                Fast decision making               Fast decision making

Timeliness                         Current information                Periodical use of information




Multiple Choice Multiple Answer

 Question          The legal framework is related to existing :-

 Correct Answer Labour laws , Business laws , Civil rights

 Your Answer       Business laws , Civil rights , Labour laws



True/False

 Question          Buyers always buy on the basis of the merit of the product.

 Correct Answer False

 Your Answer       False



Multiple Choice Multiple Answer

 Question          Starting point for the negotiation process is :-

 Correct Answer Plans , Goals , Needs

 Your Answer       Plans , Goals , Needs



Multiple Choice Multiple Answer

 Question          Assured consistency of the quality can have important benefits for the buyer-user
                   like :-
 Correct Answer Inspection at incoming end , Save inventory cost , Stocking time

 Your Answer     Inspection at incoming end , Save inventory cost , Stocking time



Multiple Choice Multiple Answer

 Question        Manufacturers handle the inventory requirement problem by :-

 Correct Answer Maintaining stock at convenient locations , Make arrangement for return of slow
                moving goods , Levy service charge on return of goods

 Your Answer     Maintaining stock at convenient locations , Make arrangement for return of slow
                 moving goods , Levy service charge on return of goods



True/False

 Question        In industrial marketing buying is a collective decision making process.

 Correct Answer True

 Your Answer     True



Multiple Choice Single Answer

 Question        A broad and definitive statement that covers an organization’s purpose, values
                 and distinctive competencies is called :-

 Correct Answer Mission

 Your Answer     Mission




Multiple Choice Multiple Answer

 Question        Service rating is judged by following factors :-

 Correct Answer Promptness , Speed , Self interest

 Your Answer     Promptness , Speed , Self interest
Multiple Choice Single Answer

Question        Industrial markets can be segmented in two steps:-

Correct Answer Micro and macro

Your Answer     Micro and macro



Multiple Choice Single Answer

Question        Financial capability reflects the ability to finance :-

Correct Answer Additional level of production

Your Answer     Additional level of production



Select The Blank

Question        Brand positioning is the art of creating a ________ image for a product in the
                minds of customers.

Correct Answer Distinct

Your Answer     Distinct



True/False

Question        Some purchase decisions also depend on buyer's response to the seller's
                marketing stimuli.

Correct Answer True

Your Answer     True



True/False

Question        Car manufacturers make all the components of the car themselves.

Correct Answer False

Your Answer     False
Select The Blank

 Question         The best advertising should be best in creativity, simplicity and ________.

 Correct Answer Uniqueness

 Your Answer      Uniqueness



Select The Blank

 Question         A relative ________ product life span is a favourable condition for charging high
                  price.

 Correct Answer Short

 Your Answer      Short



Select The Blank

 Question         A ________ study is used to describe existing situation.

 Correct Answer Descriptive

 Your Answer      Descriptive




Multiple Choice Multiple Answer

 Question         For developing a positioning strategy, following variables are used:-

 Correct Answer Product features , Product reliability , Ability to provide solutions to customer
                problem

 Your Answer      Product features , Product reliability , Ability to provide solutions to customer
                  problem



Multiple Choice Single Answer

 Question         Allocating time for prospecting activities helps in :-

 Correct Answer Servicing old accounts
Your Answer     Servicing old accounts



Select The Blank

Question        Competitor, who enter late in the market, must apply part of their cash inflow to the
                amortization of their own ________ cost.

Correct Answer Development

Your Answer     Development



True/False

Question        The salesperson assists in solving the purchase organization's requirement in
                return for a specific sales.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        The best channel of distribution for capital items is :-

Correct Answer Direct selling

Your Answer     Direct selling



Select The Blank

Question        An industrial product manufacturer would prefer to deal with ________ suppliers of
                component parts.

Correct Answer Fewer

Your Answer     Fewer



Select The Blank

Question        Marketing cost is the ________ payable to the channel members.
 Correct Answer Commission

 Your Answer     Commission



True/False

 Question        Most of public institutions prefer buying as per legal constraints.

 Correct Answer True

 Your Answer     True



Select The Blank

 Question        In customer market a ________ price increase will shrink demand.

 Correct Answer Higher

 Your Answer     Higher



Multiple Choice Single Answer

 Question        Direct costs are also referred to as :-

 Correct Answer Operating costs

 Your Answer     Operating costs




Multiple Choice Multiple Answer

 Question        In a tender a vendor has to supply data on :-

 Correct Answer Sales to net worth , Working capital , Turnover Ratio

 Your Answer     Sales to net worth , Working capital , Turnover Ratio



True/False

 Question        A survey analyst is not part of the industrial marketing research team.
Correct Answer False

Your Answer     False



Select The Blank

Question        Indigenous vehicle manufacturers face ________ from foreign manufacturers
                setting up facilities in India.

Correct Answer A threat

Your Answer     A threat



Multiple Choice Single Answer

Question        The first step in the process of selling is :-

Correct Answer Identifying prospects

Your Answer     Identifying prospects



Select The Blank

  Question
The effectiveness of the advertising program is reflected by the ________ in
the state of awareness.

  Correct Answer
Differences

  Your Answer
Similarities




 Multiple Choice Single Answer

  Question
The role of economic outlook on industrial buying behavior is:-

  Correct Answer
Important

  Your Answer
Important
 Select The Blank

  Question
Marketing research is used for making ________ projections.

  Correct Answer
Sales

  Your Answer
Sales




 Multiple Choice Multiple Answer

  Question
There are two ways of conducting surveys, they are :-

  Correct Answer
Structured surveys , Unstructured surveys

  Your Answer
Spontaneous surveys , Controlled surveys




 Select The Blank

  Question
Composite rating is prepared by adding ________ rating.

  Correct Answer
Individual

  Your Answer
Individual




 Select The Blank

  Question
The industrial selling environment consists of a process of ________ between
buyer & seller.

  Correct Answer
Exchange

  Your Answer
Exchange
 Multiple Choice Multiple Answer

  Question
The legal framework is related to existing :-

  Correct Answer
Business laws , Civil rights , Labour laws

  Your Answer
Business laws , Labour laws , Social laws




 Multiple Choice Multiple Answer

  Question
For successful positioning the firm should know its :-

  Correct Answer
Current positioning in the market , Competitors , Resources

  Your Answer
Current positioning in the market , Competitors , Financial position




 Select The Blank

  Question
The best advertising should be best in creativity, simplicity and ________.

  Correct Answer
Uniqueness

  Your Answer
Uniqueness




 Multiple Choice Single Answer

  Question
DGS&D refers to an authority that purchases goods for:-

  Correct Answer
Central Government

  Your Answer
Central Government
 Select The Blank

  Question
Cost ratio plan uses ________ formula to evaluate vendor performance.

  Correct Answer
Mathematical

  Your Answer
Mathematical




 Multiple Choice Single Answer

  Question
Periodic analysis of an industrial buyer‟s operations and purchase systems is
necessary to :-

  Correct Answer
Understand the changes in buy practices

  Your Answer
Understand the changes in buy practices




 Select The Blank

  Question
Competitor, who enter late in the market, must apply part of their cash
inflow to the amortization of their own ________ cost.

  Correct Answer
Development

  Your Answer
Promotion




 True/False

  Question
High price strategy does not lead to cost position advantage over likely
competitors.

  Correct Answer
False

  Your Answer
True
 True/False

  Question
In industrial marketing buying is a collective decision making process.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Profitability of any potential segment is measured by following criteria:-

  Correct Answer
Market share , Market growth , Image

  Your Answer
Market share , Market growth




 Match The Following

Question
Correct Answer
Your Answer



Freight Equalization
Base Point
Base Point



Consumer Goods
Advertising & sales promotion
Advertising & sales promotion



High Price Strategy
Patents
Large Profit
Short Life Span
Recovery of Investment
Recovery of Investment




 Multiple Choice Single Answer

  Question
The type of demand in which one industrial product is combined with another
and then marketed is called :-

  Correct Answer
Joint demand

  Your Answer
Joint demand




 Multiple Choice Single Answer

  Question
The facilitator of the process of interactions between a buyer and a banker
are :-

  Correct Answer
Bankers

  Your Answer
Bankers




 True/False

  Question
Tariffs & quotas are used by the Govt. to protect indigenous business from
foreign competition.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Following capabilities of the organisation also form a basis for
segmentation:-

  Correct Answer
Operating , Technical , Financial

  Your Answer
Operating , Technical , Financial




 Multiple Choice Multiple Answer

  Question
Important sources for tender notices regarding purchases of industrial
products are:-

  Correct Answer
Newspapers , Trade magazines , Company websites

  Your Answer
Newspapers , Trade magazines , Company websites




 Multiple Choice Single Answer

  Question
The marketer of standardized industrial goods gain objectives more
effectively than non-standardized items because of the use of :-

  Correct Answer
Price Strategy

  Your Answer
Price Strategy




 Select The Blank

  Question
Analytical techniques are ________ to a large extent.

  Correct Answer
Mathematical

  Your Answer
Mathematical




 True/False
  Question
Market coverage means demographic areas to be covered.

  Correct Answer
True

  Your Answer
True




 True/False

  Question
It is easier to negotiate the purchase of power generators for a large power
station than the purchase of PCs.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Single Answer

  Question
For financially weak but reliable customers, supplier may be required to:-

  Correct Answer
Give high discounts

  Your Answer
Give high discounts




 Multiple Choice Multiple Answer

  Question
The common service requirements of Industrial buyers are :-

  Correct Answer
Technical , Replacement parts , Delivery

  Your Answer
Technical , Replacement parts , Delivery




 Select The Blank
  Question
The sales of standard industrial products are generally carried out through
________.

  Correct Answer
Direct channel and middlemen

  Your Answer
Direct channel and middlemen




 Multiple Choice Multiple Answer

  Question
A high price strategy is favoured under following conditions :-

  Correct Answer
Product represent genuine information , Presence of elite market , Inelastic
demand situation

  Your Answer
Product represent genuine information , Presence of elite market , Inelastic
demand situation




 Multiple Choice Multiple Answer

  Question
When the price of a product goes down, the industrial buyer :-

  Correct Answer
Changes his about prices , Waits for price to go down further , Enters the
market & buys

  Your Answer
Changes his about prices , Waits for price to go down further , Enters the
market & buys




 Multiple Choice Single Answer

  Question
During the introduction of a new material, a firm can expect monopoly of the
market for :-

  Correct Answer
A few years

  Your Answer
A few years
 Select The Blank

  Question
The situation where the buyer requires an industrial product to a revised set
of specifications from a previous supplier is called ________.

  Correct Answer
Modified rebuy

  Your Answer
Modified rebuy




 Multiple Choice Single Answer

  Question
An increase in purchase of consumer product can lead to increase of total
demand of :-

  Correct Answer
Industrial products

  Your Answer
Consumer products




 True/False

  Question
Most of public institutions prefer buying as per legal constraints.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Services of trained experts is required for :-

  Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic
recording equipment
  Your Answer
Special accounting machines , Statistical analysis equipment , Electronic
recording equipment




 True/False

  Question
A repeat purchase decision will generally involve changes in product
specifications from earlier supplies.

  Correct Answer
False

  Your Answer
True




 True/False

  Question
An important characteristic of the mission statement is that it indicates the
direction the company wishes to take.

  Correct Answer
True

  Your Answer
True




 True/False

  Question
Trade directories, government reports, company files are some of the sources
of primary data.

  Correct Answer
False

  Your Answer
True




 Select The Blank

  Question
IBM, Microsoft and Google are just three MNCs that have ________.
  Correct Answer
Set up software development centers in India

  Your Answer
Set up software development centers in India




 Multiple Choice Single Answer

  Question
Institutional investors are concerned with organisation's :-

  Correct Answer
Operational efficiency

  Your Answer
Profitability




 Multiple Choice Multiple Answer

  Question
Manufacturers handle the inventory requirement problem by :-

  Correct Answer
Maintaining stock at convenient locations , Make arrangement for return of
slow moving goods , Levy service charge on return of goods

  Your Answer
Maintaining stock at convenient locations , Make arrangement for return of
slow moving goods , Levy service charge on return of goods




 True/False

  Question
Cash flow produced by marketing a joint product must be equal in value to its
separable cost.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Single Answer

  Question
Which brand of computer processors is very aggressively promoted?

  Correct Answer
Intel

  Your Answer
Intel




 Match The Following

Question
Correct Answer
Your Answer



Accuracy of data
Sampling error
Correctness of information



Frequency of use
Periodical use of information
Periodical use of information



Urgency of response
Fast decision making
Fast decision making



Timeliness
Current information
Current information




 Multiple Choice Multiple Answer

  Question
Ashok Leyland is an Indian company whose competitors would include :-

  Correct Answer
Tata Motors , Volvo Motors

  Your Answer
Tata Motors , Volvo Motors , Baja Auto
Multiple Choice Single Answer

  Question
The approach to selling by the sales force should be :-

  Correct Answer
Professional

  Your Answer
Professional




 Multiple Choice Single Answer

  Question
Non Banking Financial Corporations receive negative publicity from :-

  Correct Answer
Down grading by rating agencies

  Your Answer
Down grading by rating agencies




 Select The Blank

  Question
Methods to measure market ________ can classified into Qualitative and
Quantitative methods.

  Correct Answer
Potential

  Your Answer
Potential




 Select The Blank

  Question
One of the current trends in Indian industrial companies is the aspect of
________ export growth.

  Correct Answer
Higher

  Your Answer
Higher
 Select The Blank

  Question
The situation where the buyer requires an industrial product to a revised set
of specifications from a previous supplier is called ________.

  Correct Answer
Modified rebuy

  Your Answer
Modified rebuy




 True/False

  Question
To get market feedback in industrial marketing marketing research is
conducted frequently.

  Correct Answer
False

  Your Answer
False




 Select The Blank

  Question
Marketing cost is the ________ payable to the channel members.

  Correct Answer
Commission

  Your Answer
Commission




 Select The Blank

  Question
Industrial advertising must provide reader with information regarding
________ benefits, in simple words.

  Correct Answer
Intangible

  Your Answer
Intangible
 Multiple Choice Single Answer

  Question
Brokers provide service of goods that are :-

  Correct Answer
Standardized

  Your Answer
Standardized




 Multiple Choice Single Answer

  Question
How industrial advertising helps the salesperson?

  Correct Answer
It conveys the message to the network of decision makers, he cannot reach.

  Your Answer
It is useful to create awareness in industry sector




 Multiple Choice Multiple Answer

  Question
Growth of an automobile manufacturing firm can come from :-

  Correct Answer
Increase in domestic sales , Increase in export sales , Decrease in
manufacturing costs

  Your Answer
Increase in domestic sales , Increase in export sales , Decrease in
manufacturing costs




 Multiple Choice Single Answer

  Question
Factors affecting industrial pricing are :-

  Correct Answer
Type of competition

  Your Answer
Type of competition
 Multiple Choice Single Answer

  Question
The advertiser can formulate sales appeals that address prospective
customer's problems and :-

  Correct Answer
Responsibilities

  Your Answer
Responsibilities




 Multiple Choice Multiple Answer

  Question
Industrial marketers have a choice of structural arrangement like :-

  Correct Answer
Direct to users , Indirect to users , Mixed structure

  Your Answer
Direct to users , Indirect to users , Mixed structure




 Multiple Choice Multiple Answer

  Question
Services of trained experts is required for :-

  Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic
recording equipment

  Your Answer
Special accounting machines , Statistical analysis equipment , Electronic
recording equipment




 Multiple Choice Multiple Answer

  Question
Quality rating is determined by following activities :-

  Correct Answer
Use as it is , Swap & Re order , Return & Re order
  Your Answer
Use as it is , Swap & Re order , Return & Re order




 True/False

  Question
The objective of the high price strategy is only to recover firm's investment
speedily.

  Correct Answer
False

  Your Answer
False




 Select The Blank

  Question
In customer market a ________ price increase will shrink demand.

  Correct Answer
Higher

  Your Answer
Higher




 Multiple Choice Multiple Answer

   Question
Success of selling activity is dependent on the ability of a sales person to
:-

  Correct Answer
Answer questions of customers , Solve their problems , Identify customer's
needs

  Your Answer
Answer questions of customers , Solve their problems , Identify customer's
needs




 True/False

  Question
Bill to vendor' & 'Absorbed by buyer' are the two possibilities under rework.
  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Response to a competitor's price cut would be influenced by whether innovator
has followed :-

  Correct Answer
High price strategy , Low price strategy , Competitor's motives

  Your Answer
High price strategy , Low price strategy




 Match The Following

Question
Correct Answer
Your Answer



To expand product range to cover all types of computer peripherals
Plan
Plan



To become the No. 1 supplier in computer peripherals
Mission
Mission



To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Objective



To reduce employee turnover from 30% to 25% in 1 yr
Goal
Goal
 Select The Blank

  Question
Industrial marketer deals with ________ buyers than consumer marketer.

  Correct Answer
Fewer

  Your Answer
Fewer




 Multiple Choice Multiple Answer

  Question
Service rating is judged by following factors :-

  Correct Answer
Promptness , Speed , Self interest

  Your Answer
Promptness , Speed , Self interest




 Multiple Choice Multiple Answer

  Question
For industrial marketing, type of channel members needed would depend on :-

  Correct Answer
Market coverage , Marketing cost , Marketing control

  Your Answer
Market coverage , Marketing cost , Marketing control




 Multiple Choice Single Answer

  Question
Success in market is obtained by :-

  Correct Answer
Systematic vender development

  Your Answer
Effective sales promotion
 Multiple Choice Single Answer

  Question
Financial capability refers to :-

  Correct Answer
Cash flow position

  Your Answer
Cash flow position




 True/False

  Question
Demand for many industrial product is elastic.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Multiple Answer

  Question
Stock carrying branches are useful for :-

  Correct Answer
Bulk sales , Lowering fright charges , Speed of delivery

  Your Answer
Bulk sales , Lowering fright charges , Speed of delivery




 True/False

  Question
Pre-sales services and post-sales services are not important to modern-day
concepts of industrial marketing.

  Correct Answer
False

  Your Answer
False
 Match The Following

Question
Correct Answer
Your Answer



Mission statement
Corporate culture
Corporate culture



Target market
Right product
Right product



Cost reduction program
Price adjustment
Price adjustment



Promotion mix
Trade shows
Trade shows




 True/False

  Question
Use of IT tools like enterprise resource planning is helping industrial firms
to improve productivity and efficiency.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Single Answer

  Question
Parameters used to segment the market must be :-

  Correct Answer
Measurable

  Your Answer
Measurable




 Multiple Choice Multiple Answer

  Question
Following capabilities of the organisation also form a basis for
segmentation:-

  Correct Answer
Operating , Technical , Financial

  Your Answer
Operating , Technical , Financial




 True/False

  Question
Delivery commitment plays a crucial role in purchase negotiations for
industrial items.

  Correct Answer
True

  Your Answer
True




 Select The Blank

  Question
Composite rating is prepared by adding ________ rating.

  Correct Answer
Individual

  Your Answer
Individual




 True/False

  Question
In industrial marketing buying is a collective decision making process.
  Correct Answer
True

  Your Answer
True




 Multiple Choice Single Answer

  Question
In an organisation, purchase division is made by:-

  Correct Answer
People

  Your Answer
People




 Multiple Choice Multiple Answer

  Question
There are two ways of conducting surveys, they are :-

  Correct Answer
Structured surveys , Unstructured surveys

  Your Answer
Structured surveys , Unstructured surveys




 Multiple Choice Multiple Answer

  Question
Administration of sales force management is concerned with :-

  Correct Answer
Motivating , Compensating , Directing

  Your Answer
Motivating , Compensating , Directing




 Multiple Choice Single Answer

  Question
A competitor while selling, may not be aware of his :-

  Correct Answer
Overhead costs

  Your Answer
Profit margins




 Select The Blank

  Question
In the process of performing their various activities, Govt. may aid, hamper
or ________ the industrial marketing efforts.

  Correct Answer
Facilitate

  Your Answer
Facilitate




 True/False

  Question
A major change in the price of an industrial component causes a significant
change in the end product price.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Single Answer

  Question
Making money or facilitating the running of the business is a :-

  Correct Answer
Rational reason

  Your Answer
Profit decision




 Select The Blank

  Question
Senior marketing personnel from a supplier firm are usually involved in a
________ situation:
  Correct Answer
New task buy

  Your Answer
New task buy




 True/False

  Question
The salesperson assists in solving the purchase organization's requirement in
return for a specific sales.

  Correct Answer
True

  Your Answer
True




 Select The Blank

  Question
Non stock carrying branch offices are used as ________ sales head quarter.

  Correct Answer
Regional

  Your Answer
Regional




                    LIST OF ATTEMPTED QUESTIONS AND ANSWERS




    True/False

     Question       A major change in the price of an industrial component causes a
                    significant change in the end product price.

     Correct Answer False

     Your Answer    False
True/False

Question        An organization that is structured to serve the customer is the most
                optimally designed organizational structure.

Correct Answer True

Your Answer     True



Select The Blank

Question        A senior manager such as General Manager (Purchase) of an industrial
                marketing company will get more involved in the purchase of ________.

Correct Answer High value items

Your Answer     High value items



Multiple Choice Single Answer

Question        The sales force is influenced by :-

Correct Answer Selling environment

Your Answer     Selling environment



Multiple Choice Multiple Answer

Question        Response to a competitor's price cut would be influenced by whether
                innovator has followed :-

Correct Answer High price strategy , Low price strategy , Competitor's motives

Your Answer     High price strategy , Low price strategy , Competitor's motives



True/False

Question        Market coverage means demographic areas to be covered.

Correct Answer True

Your Answer     True
Multiple Choice Multiple Answer

Question        The maker of industrial product can increase total sales by :-

Correct Answer Research , Developing new uses , Developing new users

Your Answer     Developing new uses , Developing new users , Reducing process



True/False

Question        Trade directories, government reports, company files are some of the
                sources of primary data.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        Industries involved in production of chemical & pesticides have to :-

Correct Answer Make natural resources pollution free , Devise safety measures to
               protect environment , Properly dispose off waste material

Your Answer     Make natural resources pollution free , Devise safety measures to
                protect environment , Properly dispose off waste material



Multiple Choice Single Answer

Question        Industrial Market Research is a systematic process of collecting data to
                :-

Correct Answer Prepare actionable research report

Your Answer     Estimate market potential



True/False

Question        It is easier to negotiate the purchase of power generators for a large
                power station than the purchase of PCs.
Correct Answer False

Your Answer    False



True/False

Question       Use of IT tools like enterprise resource planning is helping industrial
               firms to improve productivity and efficiency.

Correct Answer True

Your Answer    True



True/False

Question       In industrial marketing buying is a collective decision making process.

Correct Answer True

Your Answer    True



Multiple Choice Single Answer

Question       Making money or facilitating the running of the business is a :-

Correct Answer Rational reason

Your Answer    Rational reason



Select The Blank

Question       The best advertising should be best in creativity, simplicity and
               ________.

Correct Answer Uniqueness

Your Answer    Uniqueness



Select The Blank

Question       By pricing the product at a very ________ level, management can have
                substantial gross margin.

Correct Answer High

Your Answer     High



Multiple Choice Single Answer

Question        Making an assessment of the competitors’ strengths and weakness is
                called :-

Correct Answer Competitive position analysis

Your Answer     Competitive position analysis



Select The Blank

Question        A relative ________ product life span is a favourable condition for
                charging high price.

Correct Answer Short

Your Answer     Short



Multiple Choice Single Answer

Question        In pricing industrial goods, the most important factor is :-

Correct Answer Cost

Your Answer     Price



Select The Blank

Question        Management can choose the place the company in the position of a
                price ________.

Correct Answer Leader

Your Answer     Leader
True/False

Question        Direct exporting is the only way of entering the foreign market.

Correct Answer False

Your Answer     False



True/False

Question        Branch offices are located in commercial centres.

Correct Answer False

Your Answer     True



Multiple Choice Multiple Answer

Question        Services of trained experts is required for :-

Correct Answer Special accounting machines , Statistical analysis equipment ,
               Electronic recording equipment

Your Answer     Special accounting machines , Statistical analysis equipment ,
                Electronic recording equipment



Select The Blank

Question        Non stock carrying branch offices are used as ________ sales head
                quarter.

Correct Answer Regional

Your Answer     Regional



Multiple Choice Single Answer

Question        An imbalance between cost & price requires :-

Correct Answer Managerial Action

Your Answer     Managerial Action
Match The Following

Question                           Correct Answer                Your Answer

Indirect Cost                      Interest                      Interest

Product life cycle                 Different phases              Different phases

Price Leadership                   Initiate price change         Pricing decision

Direct Cost                        Wages                         Wages




Select The Blank

Question             The effectiveness of the advertising program is reflected by the
                     ________ in the state of awareness.

Correct Answer Differences

Your Answer          Differences



Multiple Choice Multiple Answer

Question             Price of an industrial product depends upon :-

Correct Answer Ex-works price , Packing charges , Delivery time

Your Answer          Ex-works price , Packing charges , Delivery time



Multiple Choice Multiple Answer

Question             The legal framework is related to existing :-

Correct Answer Business laws , Civil rights , Labour laws

Your Answer          Business laws , Labour laws , Social laws



Multiple Choice Single Answer
Question        Industrial product advertising is an effective means to stimulate :-

Correct Answer Primary demand

Your Answer     Primary demand



Multiple Choice Single Answer

Question        Allocating time for prospecting activities helps in :-

Correct Answer Servicing old accounts

Your Answer     Increasing potential sales volume



Multiple Choice Multiple Answer

Question        Substantial cash outlay needs to be allocated for :-

Correct Answer Training Salesmen , Building stock of raw materials , Providing
               information to customers

Your Answer     Training Salesmen , Building stock of raw materials , Setting up
                infrastructure



Multiple Choice Single Answer

Question        The need of buying centre members of a firm can be studied by their :-

Correct Answer Orientation

Your Answer     Interest



Multiple Choice Single Answer

Question        Prospecting is essential to ensure future sources of :-

Correct Answer Sales revenue

Your Answer     Sales revenue



Select The Blank
Question       Industrial marketer has an array of segmentation ________ to choose
               from

Correct Answer Variables

Your Answer    Variables



Select The Blank

Question       Marketing cost is the ________ payable to the channel members.

Correct Answer Commission

Your Answer    Commission



Multiple Choice Single Answer

Question       In an organisation, purchase division is made by:-

Correct Answer People

Your Answer    People



Select The Blank

Question       Market conditions may result in demand for a product, which is
               relatively ________ to change in price.

Correct Answer Unresponsive

Your Answer    Unresponsive



True/False

Question       Outsiders like technical consultants can play a key role in the purchase
               process of a large buying organization.

Correct Answer True

Your Answer    True
Multiple Choice Single Answer

Question        The first step in managing the industrial product marketing system is :-

Correct Answer Identifying the needs of customers

Your Answer     Identifying the needs of customers



Multiple Choice Multiple Answer

Question        Industrial firms should act in the following ways to the changes in
                environment :-

Correct Answer Influence , Modify , Respond

Your Answer     Influence , Modify , Respond



Multiple Choice Single Answer

Question        General public will work towards a cause if it is :-

Correct Answer Motivated

Your Answer     Motivated



Multiple Choice Single Answer

Question        Industrial markets can be segmented in two steps:-

Correct Answer Micro and macro

Your Answer     Micro and macro



Multiple Choice Single Answer

Question        A broad and definitive statement that covers an organization’s purpose,
                values and distinctive competencies is called :-

Correct Answer Mission

Your Answer     Mission
True/False

Question       The salesperson assists in solving the purchase organization's
               requirement in return for a specific sales.

Correct Answer True

Your Answer    True



True/False

Question       The IT and BPO service industries in India are showing lower rates of
               growth compared to other industry sectors.

Correct Answer False

Your Answer    False




               LIST OF ATTEMPTED QUESTIONS AND ANSWERS




Select The Blank

Question       A first approximation of ________ benefit analysis is necessary before
               a detailed segmentation analysis.

Correct Answer Cost

Your Answer    Cost



Select The Blank

Question       The effect of the economic environment is not ________ across
               industries.

Correct Answer Uniform

Your Answer    Uniform
True/False

Question        Advertisement and public relation campaign project a positive image of
                the Co.

Correct Answer True

Your Answer     True



Select The Blank

Question        Cost ratio plan uses ________ formula to evaluate vendor
                performance.

Correct Answer Mathematical

Your Answer     Mathematical



Multiple Choice Multiple Answer

Question        During discussions, sales people handle issues such as :-

Correct Answer Delivery schedule , Pricing , After Sales Service

Your Answer     Delivery schedule , Pricing , After Sales Service



True/False

Question        A lower price will stimulate demand for industrial products.

Correct Answer False

Your Answer     False



Select The Blank

Question        The ultimate goal of business is to serve ________.

Correct Answer Society

Your Answer     Society
Multiple Choice Single Answer

Question        Periodic analysis of an industrial buyer’s operations and purchase
                systems is necessary to :-

Correct Answer Understand the changes in buy practices

Your Answer     Understand the changes in buy practices



Multiple Choice Single Answer

Question        Direct costs are also referred to as :-

Correct Answer Operating costs

Your Answer     Operating costs



Multiple Choice Single Answer

Question        An external environment analysis is necessary to understand :-

Correct Answer The needs of the customers

Your Answer     The needs of the customers



Select The Blank

Question        The fundamental aspect of industrial marketing is that it addresses the
                needs and wants of ________.

Correct Answer Business organizations

Your Answer     Business organizations



Multiple Choice Multiple Answer

Question        Industrial sales person must understand the :-

Correct Answer Manufacturing process of the company , Motivating factors of
               individuals , Procedures of the company

Your Answer     Manufacturing process of the company , Motivating factors of
                individuals , Procedures of the company
True/False

Question        Advertising effectiveness means the ratio of cost of advertisement and
                volume of sales generated.

Correct Answer False

Your Answer     False



Select The Blank

Question        Brand positioning is the art of creating a ________ image for a product
                in the minds of customers.

Correct Answer Distinct

Your Answer     Distinct



Select The Blank

Question        Market ________ is the most optimistic estimate of the amount of
                product that an entire market will purchase in a given period of time.

Correct Answer Potential

Your Answer     Potential



Multiple Choice Multiple Answer

Question        Service rating is judged by following factors :-

Correct Answer Promptness , Speed , Self interest

Your Answer     Promptness , Speed , Self interest



True/False

Question        Tariffs & quotas are used by the Govt. to protect indigenous business
                from foreign competition.

Correct Answer True
Your Answer     True



True/False

Question        A new task buy situation has to pass several phases like awareness,
                interest and evaluation.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        How does advertisements help salespersons?

Correct Answer It helps the salespersons by improving image of the company in the
               customers' mind.

Your Answer     It helps the salespersons by improving image of the company in the
                customers' mind.



True/False

Question        Effective use of sales force lead to achieving maximum sales at low
                costs.

Correct Answer True

Your Answer     True



Multiple Choice Multiple Answer

Question        Internal public includes :-

Correct Answer Top management , Factory workers , Senior Managers

Your Answer     Factory workers , Contract workers



Multiple Choice Single Answer

Question        Sales agent handles :-
Correct Answer Competing products

Your Answer     Competing products



Multiple Choice Multiple Answer

Question        For an industrial company, the following topics would fall under the
                category of information on economic scenario :-

Correct Answer GDP growth figures , Inflation rates

Your Answer     GDP growth figures , Inflation rates



Multiple Choice Single Answer

Question        Initially rating is evaluated for :-

Correct Answer Each variable

Your Answer     Specific variables



Select The Blank

Question        Sales personnel should study customers as ________.

Correct Answer Individuals

Your Answer     Individuals



Multiple Choice Single Answer

Question        Strategic Industrial Marketing decision are primarily concerned with
                selection of :-

Correct Answer Product-mix

Your Answer     Product-mix



Select The Blank

Question        Many food processing firms prefer to take on ________ the processing
                plants for their use during the peak season.

Correct Answer Lease

Your Answer     Lease



Multiple Choice Single Answer

Question        The marketer of standardized industrial goods gain objectives more
                effectively than non-standardized items because of the use of :-

Correct Answer Price Strategy

Your Answer     Price Strategy



Multiple Choice Multiple Answer

Question        Sales personnel should :-

Correct Answer Be sensitive to the need of the customers , Have deep technical
               knowledge , Have good communication skills

Your Answer     Be sensitive to the need of the customers , Have deep technical
                knowledge , Have good communication skills



True/False

Question        Delivery commitment plays a crucial role in purchase negotiations for
                industrial items.

Correct Answer True

Your Answer     True



Multiple Choice Multiple Answer

Question        Industrial markets can be positioned on product merits e.g.:-

Correct Answer Quality conscious , Reliability , Dependability

Your Answer     Quality conscious , Reliability , Dependability
Multiple Choice Multiple Answer

Question          A company has to revise its pricing strategy when :-

Correct Answer Competitor changes his price , New rival enters the market , It is
               advantageous for the company to change price

Your Answer       Competitor changes his price , New rival enters the market , It is
                  advantageous for the company to change price



Multiple Choice Multiple Answer

Question          Administration of sales force management is concerned with :-

Correct Answer Motivating , Compensating , Directing

Your Answer       Motivating , Compensating , Directing



Multiple Choice Single Answer

Question          Supporting plans are drafted for projects requiring:-

Correct Answer Special skills

Your Answer       Special knowledge



True/False

Question          A repeat purchase decision will generally involve changes in product
                  specifications from earlier supplies.

Correct Answer False

Your Answer       False



Match The Following

Question                      Correct Answer                 Your Answer

Web design                    Domain name                    Domain name

Choice of media               Reaching the right audience Communication of
                                                            information

Basis of Budgeting support   Percentage of past sales       Percentage of past sales

Advertising effectiveness    Evaluation of performance      Reaching the right audience




Select The Blank

Question         ________ skills represent the essence of industrial marketing.

Correct Answer Negotiations

Your Answer      Presentation



Select The Blank

Question         Decisions concerning pricing decisions are taken on ________
                 occasions.

Correct Answer Three

Your Answer      Three



True/False

Question         The objective of the high price strategy is only to recover firm's
                 investment speedily.

Correct Answer False

Your Answer      False



Select The Blank

Question         ________ are an important link in indirect to user channel strategy.

Correct Answer Agents

Your Answer      Agents
True/False

Question          Service is one of the variables of vendor rating system.

Correct Answer True

Your Answer       True



Multiple Choice Multiple Answer

Question          The message of well-designed advertisement for an industrial product
                  should generally consist of :-

Correct Answer A short headline , An explanation of the headline , Distinctive features
               of the product

Your Answer       A short headline , An explanation of the headline , Distinctive features
                  of the product



Match The Following

Question                      Correct Answer                  Your Answer

Management capability         Organise                        Organise

Quality rating                Disposition factor              Defective material

Delivery rating               Delivery schedule               Delivery schedule

Service rating                Promptness                      Promptness




Multiple Choice Multiple Answer

Question          Starting point for the negotiation process is :-

Correct Answer Plans , Goals , Needs

Your Answer       Plans , Goals , Needs



Multiple Choice Single Answer
Question        DGS&D refers to an authority that purchases goods for:-

Correct Answer Central Government

Your Answer     The public sector




               LIST OF ATTEMPTED QUESTIONS AND ANSWERS




Multiple Choice Multiple Answer

Question        Manufacturers handle the inventory requirement problem by :-

Correct Answer Maintaining stock at convenient locations , Make arrangement for return
               of slow moving goods , Levy service charge on return of goods

Your Answer     Levy service charge on return of goods , Maintaining stock at
                convenient locations , Make arrangement for return of slow moving
                goods



Select The Blank

Question        The industrial selling environment consists of a process of ________
                between buyer & seller.

Correct Answer Exchange

Your Answer     Exchange



Select The Blank

Question        Computer systems help in the ________ of the findings of the research
                project.

Correct Answer Presentation

Your Answer     Presentation



Select The Blank
Question         In the process of performing their various activities, Govt. may aid,
                 hamper or ________ the industrial marketing efforts.

Correct Answer Facilitate

Your Answer      Facilitate



Multiple Choice Single Answer

Question         Open-ended questions in unstructured questionnaire are often called as
                 :-

Correct Answer Non-disguised questions

Your Answer      Non-disguised questions



Match The Following

Question                      Correct Answer                Your Answer

Sales department              To reduce cost of sales by    To reduce cost of sales by
                              5% within one year            5% within one year

Industrial marketing          Increase profits for FY in Q3 Increase profits for FY in Q3
department                    and Q4                        and Q4

Industrial marketing          Conduct survey for customer Conduct survey for customer
research department           feedback on new product     feedback on new product

Industrial marketing services Obtain service revenue from Obtain service revenue from
department                    post-sales services in one  post-sales services in one
                              market segment              market segment




Multiple Choice Single Answer

Question         Secondary data is :-

Correct Answer Already existing

Your Answer      Already existing
True/False

Question        Pre-sales services and post-sales services are not important to
                modern-day concepts of industrial marketing.

Correct Answer False

Your Answer     False



Select The Blank

Question        In marketing research ________ influence the type of research that is
                selected.

Correct Answer Objectives

Your Answer     Objectives



Multiple Choice Multiple Answer

Question        Following capabilities of the organisation also form a basis for
                segmentation:-

Correct Answer Operating , Technical , Financial

Your Answer     Operating , Technical , Financial



Multiple Choice Single Answer

Question        The advertiser can formulate sales appeals that address prospective
                customer's problems and :-

Correct Answer Responsibilities

Your Answer     Responsibilities



Multiple Choice Single Answer

Question        In industrial marketing, spare parts are sold through :-

Correct Answer Branch office

Your Answer     Branch office
True/False

Question        To get market feedback in industrial marketing marketing research is
                conducted frequently.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        By reducing price, industrial marketers can :-

Correct Answer Increase his share of the market , Enlarge the total market , Not make a
               major change in the end product price

Your Answer     Increase his share of the market , Enlarge the total market , Not make a
                major change in the end product price



Multiple Choice Multiple Answer

Question        Questions asked in unstructured surveys bring about :-

Correct Answer Motives , Priorities , Problems

Your Answer     Motives , Priorities , Problems



Select The Blank

Question        The manufacturer of individual product can take customers away from
                competitor's by ________ efforts.

Correct Answer Promotional

Your Answer     Promotional



Select The Blank

Question        Supply chain management is one of the tools used by modern
                companies to achieve ________.
Correct Answer High productivity improvement and efficiency

Your Answer     High productivity improvement and efficiency



Multiple Choice Multiple Answer

Question        The following departments in a large engineering company would come
                under the responsibility of VP (Operations) :-

Correct Answer Assembly plant , Machine shop , Machinery repair and maintenance
               Section

Your Answer     Assembly plant , Machine shop , Machinery repair and maintenance
                Section



Multiple Choice Multiple Answer

Question        Public interest groups support :-

Correct Answer Environmental causes , Women's rights , Minority welfare

Your Answer     Environmental causes , Women's rights , Minority welfare



Select The Blank

Question        One of the current trends in Indian industrial companies is the aspect of
                ________ export growth.

Correct Answer Higher

Your Answer     Higher



True/False

Question        Sales forecast is the estimate of a Co's expected sales in a given time
                period.

Correct Answer True

Your Answer     True
Multiple Choice Multiple Answer

Question        To push the company's products, advertising literature should point out
                advantages to the middlemen, such as :-

Correct Answer Wide margins , Large sales potential , Rapid turnover

Your Answer     Wide margins , Large sales potential , Rapid turnover



Multiple Choice Single Answer

Question        Advertising objectives need to assist

Correct Answer Marketing objectives

Your Answer     Marketing objectives



True/False

Question        Countries with political stability have a grater chance of attracting
                investment from MNCs.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        Distributors contact potential buyers and negotiate :-

Correct Answer Orders

Your Answer     Prices



Multiple Choice Multiple Answer

Question        Important sources for tender notices regarding purchases of industrial
                products are:-

Correct Answer Company websites , Newspapers , Trade magazines

Your Answer     Newspapers , Trade magazines , Company websites
Multiple Choice Single Answer

Question        Research objectives are statements that :-

Correct Answer Outline the aims of problem definition

Your Answer     Outline the aims of problem definition



True/False

Question        Sample size in industrial marketing research can be as large as in
                consumer marketing.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        For industrial marketing, type of channel members needed would
                depend on :-

Correct Answer Market coverage , Marketing cost , Marketing control

Your Answer     Market coverage , Marketing cost , Marketing control



Select The Blank

Question        The sales of standard industrial products are generally carried out
                through ________.

Correct Answer Direct channel and middlemen

Your Answer     Direct channel and middlemen



Multiple Choice Single Answer

Question        The unit price of a capital equipment item is usually:

Correct Answer High
Your Answer        High



Match The Following

Question                       Correct Answer                  Your Answer

Joint venture                  Control over operation          Agreement

Direct exporting               Higher risk                     Direct investment

Foreign production             Direct investment               Intermediaries

Comparative analysis           Similarities                    Similarities




Multiple Choice Multiple Answer

Question           Car manufacturers make following parts in their factories :-

Correct Answer Engine , Gear box , Clutch

Your Answer        Engine , Gear box , Clutch



True/False

Question           High price strategy does not lead to cost position advantage over likely
                   competitors.

Correct Answer False

Your Answer        False



Multiple Choice Single Answer

Question           Organizational buyers have to fulfill their needs relating to :-

Correct Answer The job function

Your Answer        The job function
Multiple Choice Multiple Answer

Question       Information sources for unstructured surveys are :-

Correct Answer Sales personnel , Dealers , Customers

Your Answer    Dealers , Customers , Public at large



Multiple Choice Multiple Answer

Question       Structured surveys are used to measure :-

Correct Answer Awareness & knowledge , Attitudes & opinions , Buyer behavior

Your Answer    Awareness & knowledge , Attitudes & opinions , Buyer behavior



Select The Blank

Question       When a firm sells through a limited number of outlets, it is known as
               ________ distribution.

Correct Answer Selective

Your Answer    Selective



True/False

Question       Some purchase decisions also depend on buyer's response to the
               seller's marketing stimuli.

Correct Answer True

Your Answer    True



True/False

Question       The effect of price on sale must be balanced by production costs.

Correct Answer True

Your Answer    True
Multiple Choice Single Answer

Question        A small lathe is a type of :-

Correct Answer Accessory equipment

Your Answer     Accessory equipment



True/False

Question        Advertising and promotion expenses, as a percentage of total sales, are
                usually more for industrial products than for consumer products.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        Important information on the purchase decision process in any
                industrial organization can be obtained from:-

Correct Answer Purchase officials , User department officials , Gatekeepers

Your Answer     Purchase officials , User department officials , Gatekeepers



True/False

Question        Legal and economic risks may occur because of fraudulent advertising.

Correct Answer True

Your Answer     True




                LIST OF ATTEMPTED QUESTIONS AND ANSWERS



Multiple Choice Single Answer
Question       Which brand of computer processors is very aggressively promoted?

Correct Answer Intel

Your Answer    Intel



Select The Blank

Question       Management can choose the place the company in the position of a
               price ________.

Correct Answer Leader

Your Answer    Leader



Select The Blank

Question       Exploratory research involves the gathering of ________ data from
               secondary sources.

Correct Answer Preliminary

Your Answer    Preliminary



Select The Blank

Question       The number of retail outlets for industrial products are usually
               ________ compared to those for consumer products.

Correct Answer Less

Your Answer    Less



Multiple Choice Single Answer

Question       Primary task to be performed for the execution of the sales efforts is :-

Correct Answer Making sales presentation

Your Answer    Making sales presentation



True/False
Question        Legal and economic risks may occur because of fraudulent advertising.

Correct Answer True

Your Answer     True



Multiple Choice Multiple Answer

Question        When the price of a product goes down, the industrial buyer :-

Correct Answer Changes his about prices , Waits for price to go down further , Enters
               the market & buys

Your Answer     Changes his about prices , Waits for price to go down further , Enters
                the market & buys



Multiple Choice Multiple Answer

Question        A company has to revise its pricing strategy when :-

Correct Answer Competitor changes his price , New rival enters the market , It is
               advantageous for the company to change price

Your Answer     Competitor changes his price , New rival enters the market , It is
                advantageous for the company to change price



Multiple Choice Multiple Answer

Question        Sales personnel should :-

Correct Answer Be sensitive to the need of the customers , Have deep technical
               knowledge , Have good communication skills

Your Answer     Be sensitive to the need of the customers , Have deep technical
                knowledge , Have good communication skills



Multiple Choice Single Answer

Question        Prospecting is essential to ensure future sources of :-

Correct Answer Sales revenue

Your Answer     Sales revenue
Multiple Choice Single Answer

Question        Strategic Industrial Marketing decision are primarily concerned with
                selection of :-

Correct Answer Product-mix

Your Answer     Product-mix



True/False

Question        The IT and BPO service industries in India are showing lower rates of
                growth compared to other industry sectors.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        For an industrial company, the following topics would fall under the
                category of information on economic scenario :-

Correct Answer GDP growth figures , Inflation rates

Your Answer     GDP growth figures , Inflation rates



Multiple Choice Single Answer

Question        The facilitator of the process of interactions between a buyer and a
                banker are :-

Correct Answer Bankers

Your Answer     Bankers



Multiple Choice Single Answer

Question        The sales force is influenced by :-

Correct Answer Selling environment
Your Answer     Selling environment



Multiple Choice Single Answer

Question        Industrial dealer are business firms that serve :-

Correct Answer Narrow geographic market

Your Answer     Narrow geographic market



Multiple Choice Single Answer

Question        The first step in managing the industrial product marketing system is :-

Correct Answer Identifying the needs of customers

Your Answer     Identifying the needs of customers



True/False

Question        An organization that is structured to serve the customer is the most
                optimally designed organizational structure.

Correct Answer True

Your Answer     True



Select The Blank

Question        Indigenous vehicle manufacturers face ________ from foreign
                manufacturers setting up facilities in India.

Correct Answer A threat

Your Answer     A threat



Select The Blank

Question        In marketing research ________ influence the type of research that is
                selected.

Correct Answer Objectives
Your Answer    Objectives



Multiple Choice Single Answer

Question       In industrial marketing, a very important role is played by :-

Correct Answer Pricing

Your Answer    Pricing



Multiple Choice Single Answer

Question       Many overseas companies are attracted to India for setting up
               manufacturing operations for industrial products on account of :-

Correct Answer Cost competitiveness

Your Answer    Cost competitiveness



Multiple Choice Multiple Answer

Question       Industries constitute an important basis for market segmentation for
               companies doing business in :-

Correct Answer Computers , Software , Office equipment

Your Answer    Computers , Software , Office equipment



Multiple Choice Single Answer

Question       A broad and definitive statement that covers an organization’s purpose,
               values and distinctive competencies is called :-

Correct Answer Mission

Your Answer    Mission



True/False

Question       Direct exporting is the only way of entering the foreign market.

Correct Answer False
Your Answer        False



Multiple Choice Multiple Answer

Question           Following capabilities of the organisation also form a basis for
                   segmentation:-

Correct Answer Operating , Technical , Financial

Your Answer        Operating , Technical , Financial



True/False

Question           Use of IT tools like enterprise resource planning is helping industrial
                   firms to improve productivity and efficiency.

Correct Answer True

Your Answer        True



Match The Following

Question                       Correct Answer                 Your Answer

Electric lift maintenance      Service firm                   Whole seller/retailer

Steel hardware                 Whole seller/retailer          Manufacturer

Air-conditioners               Distributor                    Manufacturers’
                                                              representatives

Compressors                    Manufacturer                   Agents



True/False

Question           Buyers, who are risk averse are good prospects for new product and
                   concepts.

Correct Answer False

Your Answer        True
Match The Following

Question                     Correct Answer                Your Answer

To expand product range to Plan                            Plan
cover all types of computer
peripherals

To become the No. 1          Mission                       Mission
supplier in computer
peripherals

To achieve a sales turnover Objective                      Objective
of Rs. 500 cr. by 2008-09

To reduce employee          Goal                           Goal
turnover from 30% to 25% in
1 yr



Multiple Choice Single Answer

Question         Large organisations opt for :-

Correct Answer Volume purchasing

Your Answer      Bulk purchasing



Multiple Choice Single Answer

Question         A small company which accepts high volume, low margin business &
                 expands to meet its production requirement will :-

Correct Answer Become dependant on such business

Your Answer      Increase its profit margin



Multiple Choice Multiple Answer

Question         Product development can discourage competition if it is :-

Correct Answer Technologically intensive , Capital intensive , Require state-of-art
                technology

Your Answer     Technologically intensive , Capital intensive , Require state-of-art
                technology



Select The Blank

Question        The effectiveness of the advertising program is reflected by the
                ________ in the state of awareness.

Correct Answer Differences

Your Answer     Differences



Multiple Choice Single Answer

Question        The first step in the process of selling is :-

Correct Answer Identifying prospects

Your Answer     Identifying prospects



Multiple Choice Multiple Answer

Question        Supply by an industrial firm to an OEM will:

Correct Answer Enhance its reputation , Help in obtaining regular orders , Help in
               spreading awareness among other possible buyers

Your Answer     Enhance its reputation , Help in obtaining regular orders , Help in
                spreading awareness among other possible buyers



True/False

Question        A lower price will stimulate demand for industrial products.

Correct Answer False

Your Answer     False



Select The Blank
Question        Business should act in a ________ manner to keep Govt. out of
                business environment.

Correct Answer United

Your Answer     United



Select The Blank

Question        A typical message policy statement would consist of corporate policy
                statement and ________ on advertising and promotion.

Correct Answer Procedures

Your Answer     Procedures



Multiple Choice Multiple Answer

Question        Response to a competitor's price cut would be influenced by whether
                innovator has followed :-

Correct Answer High price strategy , Low price strategy , Competitor's motives

Your Answer     High price strategy , Low price strategy , Competitor's motives



True/False

Question        Most industrial suppliers make use of their own sales force in their
                marketing system.

Correct Answer False

Your Answer     False



True/False

Question        Pre-sales services and post-sales services are not important to
                modern-day concepts of industrial marketing.

Correct Answer False

Your Answer     False
Multiple Choice Multiple Answer

Question        Service rating is judged by following factors :-

Correct Answer Promptness , Speed , Self interest

Your Answer     Promptness , Speed , Self interest



Multiple Choice Single Answer

Question        Funds spent on R & D to bring a new product into the market are :-

Correct Answer Sunk Costs

Your Answer     Sunk Costs



Multiple Choice Multiple Answer

Question        Industries involved in production of chemical & pesticides have to :-

Correct Answer Make natural resources pollution free , Devise safety measures to
               protect environment , Properly dispose off waste material

Your Answer     Make natural resources pollution free , Devise safety measures to
                protect environment , Properly dispose off waste material



Multiple Choice Single Answer

Question        Industrial buyer tries to justify his purchases on the basis of :-

Correct Answer Measurable performance

Your Answer     Measurable performance



Select The Blank

Question        Direct marketing is expensive when probable volume of sales in a
                market area is ________.

Correct Answer Small

Your Answer     Small
                LIST OF ATTEMPTED QUESTIONS AND ANSWERS



Multiple Choice Multiple Answer

Question        Important sources for tender notices regarding purchases of industrial
                products are:-

Correct Answer Company websites , Newspapers , Trade magazines

Your Answer     Newspapers , Trade magazines , Company websites , Business TV
                channels



Multiple Choice Single Answer

Question        During the introduction of a new material, a firm can expect monopoly
                of the market for :-

Correct Answer A few years

Your Answer     A few years



Multiple Choice Single Answer

Question        Marketing Intelligence System is useful :-

Correct Answer For decision making by industrial marketing managers

Your Answer     For spying on other units manufacturing similar items



Multiple Choice Multiple Answer

Question        Customs & traditions of organisation influence :-

Correct Answer Organisational structure , Inter-personal relationships , Functioning

Your Answer     Organisational structure , Inter-personal relationships , Functioning ,
                Financial Health



Select The Blank
Question        Supply chain management is one of the tools used by modern
                companies to achieve ________.

Correct Answer High productivity improvement and efficiency

Your Answer     High profit/sales ratio



True/False

Question        Highly competent suppliers can deliver defect free products, on time
                and on a regular schedule basis.

Correct Answer True

Your Answer     False



True/False

Question        A small reduction in price of original material can lead to a large
                reduction in the price of end product.

Correct Answer False

Your Answer     False



Select The Blank

Question        By pricing the product at a very ________ level, management can have
                substantial gross margin.

Correct Answer High

Your Answer     Low



Select The Blank

Question        Composite rating is prepared by adding ________ rating.

Correct Answer Individual

Your Answer     Simple
Multiple Choice Multiple Answer

Question        When a firm introduces new product, a considerable amount is sunk
                into :-

Correct Answer Research , Planning , Testing

Your Answer     Research , Planning , Testing , Financing



True/False

Question        A major change in the price of an industrial component causes a
                significant change in the end product price.

Correct Answer False

Your Answer     False



True/False

Question        In industrial product marketing, the cost of maintenance is not important
                in making comparisons with competitors’ products.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        In a tender a vendor has to supply data on :-

Correct Answer Sales to net worth , Working capital , Turnover Ratio

Your Answer     Sales to net worth , Working capital , Turnover Ratio , Profit to Loss
                Ratio



True/False

Question        The salesperson assists in solving the purchase organization's
                requirement in return for a specific sales.

Correct Answer True

Your Answer     False
Select The Blank

Question       A senior manager such as General Manager (Purchase) of an industrial
               marketing company will get more involved in the purchase of ________.

Correct Answer High value items

Your Answer    Items available domestically



Select The Blank

Question       Decisions concerning pricing decisions are taken on ________
               occasions.

Correct Answer Three

Your Answer    Three



Select The Blank

Question       The fundamental aspect of industrial marketing is that it addresses the
               needs and wants of ________.

Correct Answer Business organizations

Your Answer    Groups of consumers



True/False

Question       Advertising effectiveness means the ratio of cost of advertisement and
               volume of sales generated.

Correct Answer False

Your Answer    False



Select The Blank

Question       Methods to measure market ________ can classified into Qualitative
               and Quantitative methods.

Correct Answer Potential
Your Answer    Potency



Multiple Choice Single Answer

Question       Marketing channels buy from manufacturers in :-

Correct Answer Bulk quantity

Your Answer    Regular basis



Select The Blank

Question       Non stock carrying branch offices are used as ________ sales head
               quarter.

Correct Answer Regional

Your Answer    Branch



Multiple Choice Single Answer

Question       The marketer of standardized industrial goods gain objectives more
               effectively than non-standardized items because of the use of :-

Correct Answer Price Strategy

Your Answer    Distribution channel



True/False

Question       In order to enjoy cost advantage relative to the innovative firm,
               competitor must reach a break-through in product design.

Correct Answer True

Your Answer    False



Multiple Choice Multiple Answer

Question       The message of well-designed advertisement for an industrial product
               should generally consist of :-
Correct Answer A short headline , An explanation of the headline , Distinctive features
               of the product

Your Answer      A short headline , An explanation of the headline , Distinctive features
                 of the product , 3-D picture of the product



Multiple Choice Multiple Answer

Question         The supplier’s marketing person needs to identify the following role
                 players in the buying organization:-

Correct Answer Senior purchase officer , Actual users , Deciding officers

Your Answer      Senior purchase officer , Actual users , Deciding officers , Senior sales
                 officer



Multiple Choice Single Answer

Question         The purpose of any modern industrial firm is to :-

Correct Answer Fulfill customers’ needs

Your Answer      Manufacture suitable products



Multiple Choice Multiple Answer

Question         A typical buyer-firm of industrial products will:-

Correct Answer Insist on quality tests before delivery , Ask for test results after
               inspection

Your Answer      Insist on quality tests before delivery , Ask for test results after
                 inspection , Have no technical knowledge , Have no relationship with
                 the seller-firm



Multiple Choice Multiple Answer

Question         Customer motives can be understood by studying customer's :-

Correct Answer Organizational structures , Outlook & attitude of their executives ,
               Production systems

Your Answer      Production systems , Organizational structures , Outlook & attitude of
                their executives , Quality control systems



Multiple Choice Single Answer

Question        The demand for industrial goods is :-

Correct Answer Derived demand

Your Answer     A direct function of quality of supply



True/False

Question        Car manufacturers make all the components of the car themselves.

Correct Answer False

Your Answer     False



Multiple Choice Single Answer

Question        The first step in the purchase procurement cycle is:-

Correct Answer Receive an indent for item

Your Answer     Place orders on vendors



Select The Blank

Question        One of the current trends in Indian industrial companies is the aspect of
                ________ export growth.

Correct Answer Higher

Your Answer     Lower



Multiple Choice Multiple Answer

Question        Analysis of the strengths and weakness of competitors is done in the
                areas of :-

Correct Answer Manufacturing , Finance , Technical service
Your Answer       Manufacturing , Finance , Technical service , Sales forecasting
                  technique



Match The Following

Question                       Correct Answer                  Your Answer

Freight Equalization           Base Point                      Large Profit

Consumer Goods                 Advertising & sales             Patents
                               promotion

High Price Strategy            Patents                         Recovery of Investment

Short Life Span                Recovery of Investment          Advertising & sales
                                                               promotion



Multiple Choice Single Answer

Question          The flow of material to the organisation is known as :-

Correct Answer Inputs

Your Answer       Production



True/False

Question          Market coverage means demographic areas to be covered.

Correct Answer True

Your Answer       False



Multiple Choice Multiple Answer

Question          For developing a positioning strategy, following variables are used:-

Correct Answer Product features , Product reliability , Ability to provide solutions to
               customer problem

Your Answer       Product features , Product reliability , Ability to provide solutions to
                  customer problem , Ability to provide finance to customer
Match The Following

Question                      Correct Answer                 Your Answer

Sales department              To reduce cost of sales by     To reduce cost of sales by
                              5% within one year             5% within one year

Industrial marketing          Increase profits for FY in Q3 Increase profits for FY in Q3
department                    and Q4                        and Q4

Industrial marketing          Conduct survey for customer Purchase new welding
research department           feedback on new product     machine

Industrial marketing services Obtain service revenue from Recruit new employees
department                    post-sales services in one
                              market segment



Select The Blank

Question         Market conditions may result in demand for a product, which is
                 relatively ________ to change in price.

Correct Answer Unresponsive

Your Answer      Responsive



Multiple Choice Single Answer

Question         Organizational buyers have to fulfill their needs relating to :-

Correct Answer The job function

Your Answer      Self satisfaction



Multiple Choice Single Answer

Question         Advertising should not only promote the product but also :-

Correct Answer The firm, selling the products

Your Answer      The accessories of the product
Multiple Choice Single Answer

Question        Strengths and weaknesses of a firm can be derived through :-

Correct Answer An internal environment analysis

Your Answer     Opportunities available



True/False

Question        High price strategy does not lead to cost position advantage over likely
                competitors.

Correct Answer False

Your Answer     False



Multiple Choice Single Answer

Question        The industrial buyers buy only when there are :-

Correct Answer Strong economic benefits

Your Answer     Lowest prices



Select The Blank

Question        Sales personnel should study customers as ________.

Correct Answer Individuals

Your Answer     Buyers



Multiple Choice Multiple Answer

Question        Services of trained experts is required for :-

Correct Answer Special accounting machines , Statistical analysis equipment ,
               Electronic recording equipment

Your Answer     Special accounting machines , Statistical analysis equipment ,
                Electronic recording equipment , Supply of iron ore
Multiple Choice Multiple Answer

Question        Media selection is done on the basis of :-

Correct Answer Reaching the right audience , Reaching audience with right quantity of
               impact , Running the complain for a considerable period of time

Your Answer     Reaching the right audience , Reaching audience with right quantity of
                impact , Running the complain for a considerable



                period of time , Availability of right space / time slot on the media




                LIST OF ATTEMPTED QUESTIONS AND ANSWERS




True/False

Question        Buyers are always cold, rational & dispassionate.

Correct Answer False

Your Answer     False



True/False

Question        One of the objectives of advertising is long range image building.

Correct Answer True

Your Answer     True



Select The Blank

Question        The industrial selling environment consists of a process of ________
                between buyer & seller.

Correct Answer Exchange
Your Answer     Exchange



True/False

Question        Advertisement agencies provide much needed experience in
                advertising.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        Compared to distributor, a sales agent has :-

Correct Answer Low marketing cost

Your Answer     Low marketing cost



Multiple Choice Single Answer

Question        The first level of industrial marketing environment is called the :-

Correct Answer Interface level

Your Answer     Interface level



Select The Blank

Question        Cost ratio plan uses ________ formula to evaluate vendor
                performance.

Correct Answer Mathematical

Your Answer     Mathematical



Multiple Choice Multiple Answer

Question        Technical service means details about :-

Correct Answer Ingredient material , How product works , Type of make of key
               equipments in the product
Your Answer     Ingredient material , How product works , Type of make of key
                equipments in the product



Select The Blank

Question        Analytical techniques are ________ to a large extent.

Correct Answer Mathematical

Your Answer     Mathematical



Multiple Choice Multiple Answer

Question        Negotiations between buyer and seller will be involved and of long
                duration for the following items:-

Correct Answer Air-conditioning plant for an airport terminal , Telecom equipment for
               large MNC , Diesel locomotives for public sector company

Your Answer     Air-conditioning plant for an airport terminal , Telecom equipment for
                large MNC , Diesel locomotives for public sector company



Select The Blank

Question        The drop in price of individual product has effect of ________ demand.

Correct Answer Shrinking

Your Answer     Shrinking



Multiple Choice Multiple Answer

Question        When the product is complex & requires service by skilled specialist,
                the manufacturer has to :-

Correct Answer Supply large number of spare parts , Change a premium price , Train
               the technician of buyer

Your Answer     Supply large number of spare parts , Change a premium price , Train
                the technician of buyer
Select The Blank

Question       Competitor, who enter late in the market, must apply part of their cash
               inflow to the amortization of their own ________ cost.

Correct Answer Development

Your Answer    Development



Select The Blank

Question       The effect of the economic environment is not ________ across
               industries.

Correct Answer Uniform

Your Answer    Uniform



Select The Blank

Question       Industrial advertising must provide reader with information regarding
               ________ benefits, in simple words.

Correct Answer Intangible

Your Answer    Intangible



Multiple Choice Single Answer

Question       An external environment analysis is necessary to understand :-

Correct Answer The needs of the customers

Your Answer    The needs of the customers



Select The Blank

Question       Marketing cost is the ________ payable to the channel members.

Correct Answer Commission

Your Answer    Commission
Multiple Choice Single Answer

Question        A sales presentation is made to provide prospective customers with
                sufficient information on the firm's :-

Correct Answer Product

Your Answer     Product



Multiple Choice Single Answer

Question        An imbalance between cost & price requires :-

Correct Answer Managerial Action

Your Answer     Customer Feedback



Multiple Choice Single Answer

Question        The advertiser can formulate sales appeals that address prospective
                customer's problems and :-

Correct Answer Responsibilities

Your Answer     Responsibilities



True/False

Question        Outsiders like technical consultants can play a key role in the purchase
                process of a large buying organization.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        Manufacturer & customer in industrial marketing are affected by :-

Correct Answer Change in technology

Your Answer     Change in technology
Multiple Choice Multiple Answer

Question           A high price strategy is favoured under following conditions :-

Correct Answer Product represent genuine information , Presence of elite market ,
               Inelastic demand situation

Your Answer        Product represent genuine information , Presence of elite market ,
                   Inelastic demand situation



Multiple Choice Single Answer

Question           Factors affecting industrial pricing are :-

Correct Answer Type of competition

Your Answer        Type of competition



Match The Following

Question                        Correct Answer                   Your Answer

Accuracy of data                Sampling error                   Correctness of information

Frequency of use                Periodical use of information Periodical use of information

Urgency of response             Fast decision making             Fast decision making

Timeliness                      Current information              Current information



Multiple Choice Multiple Answer

Question           Quality rating is determined by following activities :-

Correct Answer Use as it is , Swap & Re order , Return & Re order

Your Answer        Use as it is , Swap & Re order , Return & Re order



Multiple Choice Multiple Answer

Question           Ashok Leyland is an Indian company whose competitors would include
                   :-
Correct Answer Volvo Motors , Tata Motors

Your Answer         Tata Motors , Volvo Motors



True/False

Question            Public interest groups limit the freedom of suppliers & buyers.

Correct Answer True

Your Answer         True



True/False

Question            The level of customer experience influences the marketing strategy.

Correct Answer True

Your Answer         True



Multiple Choice Multiple Answer

Question            During discussions, sales people handle issues such as :-

Correct Answer Delivery schedule , Pricing , After Sales Service

Your Answer         Delivery schedule , Pricing , After Sales Service



Match The Following

Question                        Correct Answer                Your Answer

Price change                    Change in attitude            Price manipulation

Controllable cost               Manager's Decision            Joint production

Non controllable expenses       Manipulation in price         Change in attitude

Joint Costs                     Inseparable                   Inseparable



True/False
Question        Sample size in industrial marketing research can be as large as in
                consumer marketing.

Correct Answer False

Your Answer     False



Multiple Choice Multiple Answer

Question        The following items fall under the category of manufactured items:-

Correct Answer Stainless steel , Aluminium foil , Digital cameras

Your Answer     Stainless steel , Aluminium foil , Digital cameras



Select The Blank

Question        Continuous efforts by sales person, result in developing friendship
                ________ & cooperation over a period of time between buyer & seller.

Correct Answer Trust

Your Answer     Trust



Select The Blank

Question        Trade ________ form a part of regulatory environment.

Correct Answer Barriers

Your Answer     Barriers



Select The Blank

Question        The key ________ people are evaluated as part of the assessment.

Correct Answer Management

Your Answer     Management



True/False
Question         Buyers always buy on the basis of the merit of the product.

Correct Answer False

Your Answer      False



Multiple Choice Single Answer

Question         Financial capability refers to :-

Correct Answer Cash flow position

Your Answer      Cash flow position



Multiple Choice Multiple Answer

Question         Branch offices are used to :-

Correct Answer Maintain stocks of parts , Provide repair facilities , Serve big customers

Your Answer      Maintain stocks of parts , Provide repair facilities , Serve big customers



Multiple Choice Multiple Answer

Question         The following departments in a large engineering company would come
                 under the responsibility of VP (Operations) :-

Correct Answer Assembly plant , Machine shop , Machinery repair and maintenance
               Section

Your Answer      Assembly plant , Machine shop , Machinery repair and maintenance
                 Section



Multiple Choice Multiple Answer

Question         Public interest groups support :-

Correct Answer Environmental causes , Women's rights , Minority welfare

Your Answer      Environmental causes , Women's rights , Minority welfare



True/False
Question        Trade directories, government reports, company files are some of the
                sources of primary data.

Correct Answer False

Your Answer     False



True/False

Question        An important characteristic of the mission statement is that it indicates
                the direction the company wishes to take.

Correct Answer True

Your Answer     True



Multiple Choice Single Answer

Question        An increase in purchase of consumer product can lead to increase of
                total demand of :-

Correct Answer Industrial products

Your Answer     Industrial products



Multiple Choice Single Answer

Question        The demand of consumer products can be increased by :-

Correct Answer Advertising

Your Answer     Advertising



Multiple Choice Single Answer

Question        The approach to selling by the sales force should be :-

Correct Answer Professional

Your Answer     Professional
    Multiple Choice Multiple Answer

     Question        Industrial sales person must understand the :-

     Correct Answer Manufacturing process of the company , Motivating factors of
                    individuals , Procedures of the company

     Your Answer     Manufacturing process of the company , Motivating factors of
                     individuals , Procedures of the company




 Multiple Choice Single Answer

  Question
An external environment analysis is necessary to understand :-

  Correct Answer
The needs of the customers

  Your Answer
The capabilities of competitors

True/False

  Question
Tariffs & quotas are used by the Govt. to protect indigenous business from
foreign competition.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
When a firm introduces new product, a considerable amount is sunk into :-

  Correct Answer
Research , Planning , Testing

  Your Answer
Planning , Testing , Research
 Select The Blank

  Question
Cost ratio plan uses ________ formula to evaluate vendor performance.

  Correct Answer
Mathematical

  Your Answer
Mathematical




 Multiple Choice Single Answer

  Question
The advertiser can formulate sales appeals that address prospective
customer's problems and :-

  Correct Answer
Responsibilities

  Your Answer
Responsibilities




 True/False

  Question
Buyers, who are risk averse are good prospects for new product and concepts.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Single Answer

  Question
Use of the product becomes widespread when markets :-

  Correct Answer
Develop

  Your Answer
Develop
 Multiple Choice Multiple Answer

  Question
By reducing price, industrial marketers can :-

  Correct Answer
Increase his share of the market , Enlarge the total market , Not make a
major change in the end product price

  Your Answer
Increase his share of the market , Enlarge the total market , Not make a
major change in the end product price




 Multiple Choice Single Answer

  Question
Industrial Market Research is undertaken :-

  Correct Answer
To obtain valuable inputs on variables

  Your Answer
Only by professional market research agencies




 Select The Blank

  Question
The Finance Officer can also play a passive part in the purchase process and
his role in the DMU would be as a ________.

  Correct Answer
Gatekeeper

  Your Answer
Gatekeeper




 Multiple Choice Multiple Answer

  Question
The maker of industrial product can increase total sales by :-

  Correct Answer
Research , Developing new uses , Developing new users

  Your Answer
Research , Developing new uses , Developing new users
 Multiple Choice Multiple Answer

  Question
A company has to revise its pricing strategy when :-

  Correct Answer
Competitor changes his price , New rival enters the market , It is
advantageous for the company to change price

  Your Answer
Competitor changes his price , New rival enters the market , It is
advantageous for the company to change price




 Select The Blank

  Question
Market ________ is the most optimistic estimate of the amount of product that
an entire market will purchase in a given period of time.

  Correct Answer
Potential

  Your Answer
Potential




 True/False

  Question
One of the objectives of advertising is long range image building.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Service rating is judged by following factors :-

  Correct Answer
Promptness , Speed , Self interest
  Your Answer
Promptness , Speed , Self interest




 Select The Blank

  Question
Competitor, who enter late in the market, must apply part of their cash
inflow to the amortization of their own ________ cost.

  Correct Answer
Development

  Your Answer
Development




 Select The Blank

  Question
To overcome bad image, the companies have to go for ________ public relations
program.

  Correct Answer
Long term

  Your Answer
Long term




 Multiple Choice Multiple Answer

  Question
Substantial cash outlay needs to be allocated for :-

  Correct Answer
Training Salesmen , Building stock of raw materials , Providing information
to customers

  Your Answer
Training Salesmen , Providing information to customers , Setting up
infrastructure




 True/False

  Question
Countries with political stability have a grater chance of attracting
investment from MNCs.
  Correct Answer
True

  Your Answer
True




 Select The Blank

  Question
Continuous efforts by sales person, result in developing friendship ________
& cooperation over a period of time between buyer & seller.

  Correct Answer
Trust

  Your Answer
Trust




 Multiple Choice Single Answer

  Question
The type of demand that characterizes industrial products is called :-

  Correct Answer
Derived demand

  Your Answer
Derived demand




 Match The Following

Question
Correct Answer
Your Answer



Empathy
Interpersonal influencer
Interpersonal influencer



Personality
Individual influencer
Individual influencer
Level of demand
Environmental influencer
Industry influencer



Purchase procedures
Organizational influencer
Organizational influencer




 True/False

  Question
Advertising effectiveness means the ratio of cost of advertisement and volume
of sales generated.

  Correct Answer
False

  Your Answer
False




 True/False

  Question
Bill to vendor' & 'Absorbed by buyer' are the two possibilities under rework.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Single Answer

  Question
Large industrial buyers tend to have the following type of contract for their
regular suppliers:-

  Correct Answer
Annual contracts

  Your Answer
Volume contracts
 Multiple Choice Multiple Answer

  Question
Industrial marketers have a choice of structural arrangement like :-

  Correct Answer
Direct to users , Indirect to users , Mixed structure

  Your Answer
Direct to users , Indirect to users , Mixed structure




 Select The Blank

  Question
Many food processing firms prefer to take on ________ the processing plants
for their use during the peak season.

  Correct Answer
Lease

  Your Answer
Lease




 Multiple Choice Single Answer

  Question
Sales agent handles :-

  Correct Answer
Competing products

  Your Answer
Competing products




 True/False

  Question
An important characteristic of the mission statement is that it indicates the
direction the company wishes to take.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Internal public includes :-

  Correct Answer
Top management , Factory workers , Senior Managers

  Your Answer
Top management , Factory workers , Senior Managers




 True/False

  Question
Cash flow produced by marketing a joint product must be equal in value to its
separable cost.

  Correct Answer
True

  Your Answer
True




 Select The Blank

  Question
Sluggishness of price response lies in the nature of ________ demand.

  Correct Answer
Derived

  Your Answer
Derived




 True/False

  Question
High price strategy does not lead to cost position advantage over likely
competitors.

  Correct Answer
False
  Your Answer
True




 Multiple Choice Single Answer

  Question
Making money or facilitating the running of the business is a :-

  Correct Answer
Rational reason

  Your Answer
Rational reason




 True/False

  Question
The IT and BPO service industries in India are showing lower rates of growth
compared to other industry sectors.

  Correct Answer
False

  Your Answer
True




 Select The Blank

  Question
A senior manager such as General Manager (Purchase) of an industrial
marketing company will get more involved in the purchase of ________.

  Correct Answer
High value items

  Your Answer
High value items




 Multiple Choice Multiple Answer

  Question
A typical buyer-firm of industrial products will:-

  Correct Answer
Insist on quality tests before delivery , Ask for test results after
inspection

  Your Answer
Insist on quality tests before delivery , Ask for test results after
inspection




 Multiple Choice Single Answer

  Question
The sales force is influenced by :-

  Correct Answer
Selling environment

  Your Answer
Selling environment




 Multiple Choice Multiple Answer

  Question
Structured surveys are used to measure :-

  Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior

  Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior




 Select The Blank

  Question
A first approximation of ________ benefit analysis is necessary before a
detailed segmentation analysis.

  Correct Answer
Cost

  Your Answer
Cost




 Multiple Choice Single Answer

  Question
Market Segmentation is the process of dividing a large market into :-
  Correct Answer
Sub-markets

  Your Answer
Smaller markets




 Match The Following

Question
Correct Answer
Your Answer



To expand product range to cover all types of computer peripherals
Plan
Plan



To become the No. 1 supplier in computer peripherals
Mission
Mission



To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Objective



To reduce employee turnover from 30% to 25% in 1 yr
Goal
Goal




 Multiple Choice Multiple Answer

  Question
When the price of a product goes down, the industrial buyer :-

  Correct Answer
Changes his about prices , Waits for price to go down further , Enters the
market & buys

  Your Answer
Changes his about prices , Waits for price to go down further , Enters the
market & buys
 Multiple Choice Single Answer

  Question
In industrial marketing, a very important role is played by :-

  Correct Answer
Pricing

  Your Answer
Pricing




 Multiple Choice Multiple Answer

  Question
Response to a competitor's price cut would be influenced by whether innovator
has followed :-

  Correct Answer
High price strategy , Low price strategy , Competitor's motives

  Your Answer
High price strategy , Low price strategy , Competitor's motives




 Select The Blank

  Question
Non stock carrying branch offices are used as ________ sales head quarter.

  Correct Answer
Regional

  Your Answer
Regional




 Multiple Choice Single Answer

  Question
How does advertisements help salespersons?

  Correct Answer
It helps the salespersons by improving image of the company in the customers'
mind.

  Your Answer
It helps the salespersons by improving image of the company in the customers'
mind.




 Multiple Choice Single Answer

  Question
Open-ended questions in unstructured questionnaire are often called as :-

  Correct Answer
Non-disguised questions

  Your Answer
Non-disguised questions


Match The Following

Question
Correct Answer
Your Answer




Comparative analysis
Similarities
Control over operation




Joint venture
Control over operation
Intermediaries




Direct exporting
Higher risk
Higher risk




Foreign production
Direct investment
Agreement




Multiple Choice Multiple Answer

 Question
Assured consistency of the quality can have important benefits for the buyer-user like :-

 Correct Answer
Inspection at incoming end , Save inventory cost , Stocking time

 Your Answer
Inspection at incoming end , Save inventory cost , Less headache




True/False

 Question
An organization that is structured to serve the customer is the most optimally designed organizational
structure.

 Correct Answer
True

 Your Answer
True




Select The Blank

 Question
The best advertising should be best in creativity, simplicity and ________.

 Correct Answer
Uniqueness

 Your Answer
Uniqueness




Multiple Choice Multiple Answer

 Question
Service rating is judged by following factors :-

 Correct Answer
Promptness , Speed , Self interest

 Your Answer
Promptness , Speed , Self interest




Select The Blank

 Question
The buying needs and practices of organisations differ according to wether they are innovate, product
leaders or ________.

 Correct Answer
Followers

 Your Answer
Followers




Select The Blank

 Question
Industrial marketer has an array of segmentation ________ to choose from
 Correct Answer
Variables

 Your Answer
Variables




True/False

 Question
Advertisement and public relation campaign project a positive image of the Co.

 Correct Answer
True

 Your Answer
True




Select The Blank

 Question
Composite rating is prepared by adding ________ rating.

 Correct Answer
Individual

 Your Answer
Individual




Multiple Choice Multiple Answer

 Question
When a firm introduces new product, a considerable amount is sunk into :-
 Correct Answer
Research , Planning , Testing

 Your Answer
Research , Testing




Multiple Choice Single Answer

 Question
Non Banking Financial Corporations receive negative publicity from :-

 Correct Answer
Down grading by rating agencies

 Your Answer
Defaulters




Multiple Choice Single Answer

 Question
During the introduction of a new material, a firm can expect monopoly of the market for :-

 Correct Answer
A few years

 Your Answer
A few years




Multiple Choice Multiple Answer

 Question
To push the company's products, advertising literature should point out advantages to the middlemen,
such as :-
 Correct Answer
Wide margins , Large sales potential , Rapid turnover

 Your Answer
Wide margins , Large sales potential , Rapid turnover




True/False

 Question
In order to enjoy cost advantage relative to the innovative firm, competitor must reach a break-through
in product design.

 Correct Answer
True

 Your Answer
True




True/False

 Question
Highly competent suppliers can deliver defect free products, on time and on a regular schedule basis.

 Correct Answer
True

 Your Answer
True




True/False

 Question
Delivery rating factor is prepared based on adherence to delivery schedule.

 Correct Answer
True

 Your Answer
True




Select The Blank

 Question
Direct marketing is expensive when probable volume of sales in a market area is ________.

 Correct Answer
Small

 Your Answer
Small




Multiple Choice Multiple Answer

 Question
Quality rating is determined by following activities :-

 Correct Answer
Use as it is , Swap & Re order , Return & Re order

 Your Answer
Swap & Re order , Return & Re order




Match The Following

Question
Correct Answer
Your Answer




To expand product range to cover all types of computer peripherals
Plan
Plan




To become the No. 1 supplier in computer peripherals
Mission
Mission




To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Objective




To reduce employee turnover from 30% to 25% in 1 yr
Goal
Goal




Select The Blank

 Question
When a firm sells through a limited number of outlets, it is known as ________ distribution.

 Correct Answer
Selective

 Your Answer
Selective
Multiple Choice Single Answer

 Question
A broad and definitive statement that covers an organization’s purpose, values and distinctive
competencies is called :-

 Correct Answer
Mission

 Your Answer
Mission




Multiple Choice Single Answer

 Question
How does advertisements help salespersons?

  Correct Answer
It helps the salespersons by improving image of the company in the customers' mind.

  Your Answer
It helps the salespersons by improving image of the company in the customers' mind.




Multiple Choice Single Answer

 Question
The first step in managing the industrial product marketing system is :-

 Correct Answer
Identifying the needs of customers

 Your Answer
Identifying the needs of customers




Multiple Choice Multiple Answer

 Question
The message of well-designed advertisement for an industrial product should generally consist of :-

 Correct Answer
A short headline , An explanation of the headline , Distinctive features of the product

 Your Answer
A short headline , An explanation of the headline , Distinctive features of the product




True/False

 Question
Bill to vendor' & 'Absorbed by buyer' are the two possibilities under rework.

 Correct Answer
True

 Your Answer
True




Multiple Choice Multiple Answer

 Question
Growth of an automobile manufacturing firm can come from :-

 Correct Answer
Increase in domestic sales , Increase in export sales , Decrease in manufacturing costs

 Your Answer
Increase in domestic sales , Increase in export sales , Decrease in manufacturing costs




Multiple Choice Single Answer

 Question
The purchase of industrial products is based on:-

 Correct Answer
Rational factors

 Your Answer
Rational factors




Multiple Choice Single Answer

 Question
A high price strategy can generate among customers, a substantial amount of :-

  Correct Answer
Ill will

 Your Answer
Goodwill




True/False

 Question
Hydraulic equipments are handled by general line industries.

 Correct Answer
False

 Your Answer
False




Multiple Choice Multiple Answer

 Question
For industrial marketing, type of channel members needed would depend on :-

 Correct Answer
Market coverage , Marketing cost , Marketing control

 Your Answer
Marketing cost , Marketing profit




True/False

 Question
In industrial product marketing, the cost of maintenance is not important in making comparisons with
competitors’ products.

 Correct Answer
False

 Your Answer
False




Select The Blank

 Question
Non stock carrying branch offices are used as ________ sales head quarter.

 Correct Answer
Regional
 Your Answer
Local




Multiple Choice Multiple Answer

 Question
Industrial markets can be positioned on product merits e.g.:-

 Correct Answer
Quality conscious , Reliability , Dependability

 Your Answer
Quality conscious , Reliability




Multiple Choice Single Answer

 Question
The flow of material to the organisation is known as :-

 Correct Answer
Inputs

 Your Answer
Inputs




Multiple Choice Single Answer

 Question
One example of operating supplies is:

 Correct Answer
Paints and varnishes
 Your Answer
Paints and varnishes




Multiple Choice Single Answer

  Question
The marketer of standardized industrial goods gain objectives more effectively than non-standardized
items because of the use of :-

 Correct Answer
Price Strategy

 Your Answer
Distribution channel




Multiple Choice Single Answer

 Question
In industrial marketing, a very important role is played by :-

 Correct Answer
Pricing

 Your Answer
Marketing




Select The Blank

 Question
________ skills represent the essence of industrial marketing.

 Correct Answer
Negotiations
 Your Answer
Negotiations




Multiple Choice Multiple Answer

 Question
A company has to revise its pricing strategy when :-

 Correct Answer
Competitor changes his price , New rival enters the market , It is advantageous for the company to
change price

 Your Answer
Competitor changes his price , New rival enters the market




Multiple Choice Multiple Answer

 Question
When the price of a product goes down, the industrial buyer :-

 Correct Answer
Changes his about prices , Waits for price to go down further , Enters the market & buys

 Your Answer
Changes his about prices , Enters the market & buys




Multiple Choice Single Answer

 Question
In industrial marketing, spare parts are sold through :-

 Correct Answer
Branch office

 Your Answer
Branch office




Multiple Choice Multiple Answer

 Question
Industrial firms should act in the following ways to the changes in environment :-

 Correct Answer
Influence , Modify , Respond

 Your Answer
Modify , Respond




Select The Blank

 Question
Trade ________ form a part of regulatory environment.

 Correct Answer
Barriers

 Your Answer
Barriers




True/False

 Question
The level of customer experience influences the marketing strategy.

 Correct Answer
True

 Your Answer
True




Select The Blank

 Question
The ________ distributors focus on narrow range of related products.

 Correct Answer
Specialised

 Your Answer
Specialised




Select The Blank

 Question
Competitor, who enter late in the market, must apply part of their cash inflow to the amortization of
their own ________ cost.

 Correct Answer
Development

 Your Answer
Distribution




Multiple Choice Single Answer

 Question
The first level of industrial marketing environment is called the :-
 Correct Answer
Interface level

 Your Answer
Interface level


Multiple Choice Single Answer

 Question
Functional intermediaries are known as:-

 Correct Answer
Resellers

 Your Answer
Dealers




Select The Blank

 Question
________ is the alternate name given to marketing research.

 Correct Answer
Marketing intelligence

 Your Answer
Marketing intelligence




Multiple Choice Single Answer

 Question
The first step in the process of selling is :-

 Correct Answer
Identifying prospects
 Your Answer
Identifying prospects




Multiple Choice Single Answer

 Question
Data for initial screening can be obtained from:-

 Correct Answer
Secondary sources

 Your Answer
Secondary sources




True/False

 Question
Some purchase decisions also depend on buyer's response to the seller's marketing stimuli.

 Correct Answer
True

 Your Answer
True




Multiple Choice Single Answer

 Question
Financial capability reflects the ability to finance :-

 Correct Answer
Additional level of production
 Your Answer
Additional level of production




Multiple Choice Multiple Answer

 Question
Success of selling activity is dependent on the ability of a sales person to :-

 Correct Answer
Answer questions of customers , Solve their problems , Identify customer's needs

 Your Answer
Identify customer's needs , Carry out services




True/False

 Question
Buyers always buy on the basis of the merit of the product.

 Correct Answer
False

 Your Answer
True




Select The Blank

 Question
Market ________ is the most optimistic estimate of the amount of product that an entire market will
purchase in a given period of time.

 Correct Answer
Potential

 Your Answer
Potential




True/False

 Question
Sample size in industrial marketing research can be as large as in consumer marketing.

 Correct Answer
False

 Your Answer
False




Match The Following

Question
Correct Answer
Your Answer




To expand product range to cover all types of computer peripherals
Plan
Plan




To become the No. 1 supplier in computer peripherals
Mission
Objective
To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Goal




To reduce employee turnover from 30% to 25% in 1 yr
Goal
Milestone




Select The Blank

 Question
To overcome bad image, the companies have to go for ________ public relations program.

 Correct Answer
Long term

 Your Answer
Long term




Multiple Choice Multiple Answer

 Question
Manufacturers handle the inventory requirement problem by :-

 Correct Answer
Maintaining stock at convenient locations , Make arrangement for return of slow moving goods , Levy
service charge on return of goods

 Your Answer
Maintaining stock at convenient locations , Make arrangement for return of slow moving goods , Levy
service charge on return of goods
Multiple Choice Single Answer

 Question
Allocating time for prospecting activities helps in :-

 Correct Answer
Servicing old accounts

 Your Answer
Servicing old accounts




Multiple Choice Multiple Answer

 Question
To push the company's products, advertising literature should point out advantages to the middlemen,
such as :-

 Correct Answer
Rapid turnover , Wide margins , Large sales potential

 Your Answer
Wide margins , Large sales potential , Rapid turnover




True/False

 Question
An important characteristic of the mission statement is that it indicates the direction the company
wishes to take.

 Correct Answer
True

 Your Answer
True




Multiple Choice Single Answer

 Question
Institutional investors are concerned with organisation's :-

 Correct Answer
Operational efficiency

 Your Answer
Profitability




Multiple Choice Multiple Answer

 Question
In a tender a vendor has to supply data on :-

 Correct Answer
Sales to net worth , Working capital , Turnover Ratio

 Your Answer
Working capital , Turnover Ratio , Sales to net worth




Multiple Choice Single Answer

 Question
Use of the product becomes widespread when markets :-

 Correct Answer
Develop

 Your Answer
Develop




Multiple Choice Multiple Answer

 Question
The legal framework is related to existing :-

 Correct Answer
Business laws , Civil rights , Labour laws

 Your Answer
Business laws , Civil rights , Labour laws




Multiple Choice Single Answer

 Question
Industrial buyer tries to justify his purchases on the basis of :-

 Correct Answer
Measurable performance

 Your Answer
Measurable performance




True/False

 Question
Outsiders like technical consultants can play a key role in the purchase process of a large buying
organization.

 Correct Answer
True
 Your Answer
True




Multiple Choice Single Answer

 Question
Direct costs are also referred to as :-

 Correct Answer
Operating costs

 Your Answer
Operating costs




Multiple Choice Single Answer

 Question
The first step in managing the industrial product marketing system is :-

 Correct Answer
Identifying the needs of customers

 Your Answer
Identifying the needs of customers




Select The Blank

 Question
________ are an important link in indirect to user channel strategy.

 Correct Answer
Agents
 Your Answer
Agents




True/False

 Question
Hydraulic equipments are handled by general line industries.

 Correct Answer
False

 Your Answer
False




True/False

 Question
To get market feedback in industrial marketing marketing research is conducted frequently.

 Correct Answer
False

 Your Answer
False




Multiple Choice Multiple Answer

 Question
Tata Motors is a company involved in the manufacture of :-

 Correct Answer
Passenger cars , Light commercial vehicles , Heavy commercial vehicles
 Your Answer
Passenger cars , Light commercial vehicles , Heavy commercial vehicles




True/False

 Question
Bill to vendor' & 'Absorbed by buyer' are the two possibilities under rework.

 Correct Answer
True

 Your Answer
True




Select The Blank

 Question
Senior marketing personnel from a supplier firm are usually involved in a ________ situation:

 Correct Answer
New task buy

 Your Answer
New task buy




Select The Blank

 Question
The effect of the economic environment is not ________ across industries.

 Correct Answer
Uniform
 Your Answer
Uniform




Select The Blank

 Question
The situation where the buyer requires an industrial product to a revised set of specifications from a
previous supplier is called ________.

 Correct Answer
Modified rebuy

 Your Answer
Modified rebuy




True/False

 Question
Service is one of the variables of vendor rating system.

 Correct Answer
True

 Your Answer
False




Multiple Choice Single Answer

 Question
A broad and definitive statement that covers an organization’s purpose, values and distinctive
competencies is called :-

 Correct Answer
Mission

 Your Answer
Mission




Select The Blank

 Question
The buying needs and practices of organisations differ according to wether they are innovate, product
leaders or ________.

 Correct Answer
Followers

 Your Answer
Followers




True/False

 Question
A new task buy situation has to pass several phases like awareness, interest and evaluation.

 Correct Answer
True

 Your Answer
True




Multiple Choice Multiple Answer

 Question
Growth of an automobile manufacturing firm can come from :-
 Correct Answer
Increase in domestic sales , Increase in export sales , Decrease in manufacturing costs

 Your Answer
Increase in domestic sales , Increase in export sales , Decrease in manufacturing costs




Select The Blank

 Question
Cost ratio plan uses ________ formula to evaluate vendor performance.

 Correct Answer
Mathematical

 Your Answer
Mathematical




Select The Blank

 Question
The best advertising should be best in creativity, simplicity and ________.

 Correct Answer
Uniqueness

 Your Answer
Uniqueness




Multiple Choice Single Answer

 Question
Industrial user always considers price of a product in the :-
 Correct Answer
Future

 Your Answer
Future




Multiple Choice Multiple Answer

 Question
Supply by an industrial firm to an OEM will:

 Correct Answer
Enhance its reputation , Help in obtaining regular orders , Help in spreading awareness among other
possible buyers

 Your Answer
Enhance its reputation , Help in obtaining regular orders , Help in spreading awareness among other
possible buyers




Multiple Choice Multiple Answer

 Question
Questions asked in unstructured surveys bring about :-

 Correct Answer
Motives , Priorities , Problems

 Your Answer
Motives , Priorities , Problems




Multiple Choice Multiple Answer

 Question
Services of trained experts is required for :-

 Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment

 Your Answer
Special accounting machines , Statistical analysis equipment , Electronic recording equipment




Multiple Choice Single Answer

 Question
The middleman, who customize a product & handle specific situation are called :-

 Correct Answer
Value added resellers

 Your Answer
Value added resellers




Multiple Choice Multiple Answer

 Question
Information sources for unstructured surveys are :-

 Correct Answer
Sales personnel , Dealers , Customers

 Your Answer
Sales personnel , Dealers , Customers




Select The Blank

 Question
Many food processing firms prefer to take on ________ the processing plants for their use during the
peak season.

 Correct Answer
Lease

 Your Answer
Rent




Match The Following

Question
Correct Answer
Your Answer




Regression Analysis
Better Control
Better Control




Management by Objectives
Involvement in planning
Involvement in planning




Motivational level
Trust, Intimacy
Trust, Intimacy




Straight Salary
Minimum amount of work
Minimum amount of work
Select The Blank

  Question
________ of supply is one of the important aspects buyers look for.

  Correct Answer
Continuity

  Your Answer
Continuity




 Select The Blank

  Question
Industrial marketer deals with ________ buyers than consumer marketer.

  Correct Answer
Fewer

  Your Answer
Fewer




 True/False

  Question
Market coverage means demographic areas to be covered.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Single Answer

  Question
The demand for industrial goods is :-

  Correct Answer
Derived demand

  Your Answer
Derived demand




 True/False
  Question
Cash flow produced by marketing a joint product must be equal in value to its
separable cost.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
The common service requirements of Industrial buyers are :-

  Correct Answer
Technical , Replacement parts , Delivery

  Your Answer
Technical , Replacement parts , Delivery




 Select The Blank

  Question
Non stock carrying branch offices are used as ________ sales head quarter.

  Correct Answer
Regional

  Your Answer
Regional




 Multiple Choice Multiple Answer

  Question
Ashok Leyland is an Indian company whose competitors would include :-

  Correct Answer
Tata Motors , Volvo Motors

  Your Answer
Tata Motors , Volvo Motors




 Multiple Choice Single Answer
  Question
Many overseas companies are attracted to India for setting up manufacturing
operations for industrial products on account of :-

  Correct Answer
Cost competitiveness

  Your Answer
Cost competitiveness




 Select The Blank

  Question
Methods to measure market ________ can classified into Qualitative and
Quantitative methods.

  Correct Answer
Potential

  Your Answer
Potential




 Multiple Choice Multiple Answer

   Question
Analysis of the strengths and weakness of competitors is done in the areas of
:-

  Correct Answer
Manufacturing , Finance , Technical service

  Your Answer
Manufacturing , Finance , Technical service




 Multiple Choice Single Answer

  Question
Manufacturer require information on customer's :-

  Correct Answer
Specifications

  Your Answer
Specifications
 True/False

  Question
A small reduction in price of original material can lead to a large reduction
in the price of end product.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Single Answer

  Question
Making an assessment of the competitors‟ strengths and weakness is called :-

  Correct Answer
Competitive position analysis

  Your Answer
Competitive position analysis




 Match The Following

Question
Correct Answer
Your Answer



New task buy
LCD Projection system and audio system for conference hall
LCD Projection system and audio system for conference hall



Purchase procedures
Organizational influencer
Organizational influencer



Straight rebuy
Office stationery
Office stationery



Modified rebuy
Exhaust fans with revised capacity
Exhaust fans with revised capacity




 True/False

  Question
Sales forecast is the estimate of a Co's expected sales in a given time
period.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Sales personnel should :-

  Correct Answer
Be sensitive to the need of the customers , Have deep technical knowledge ,
Have good communication skills

  Your Answer
Keep their Company's interest in mind , Be sensitive to the need of the
customers , Have good communication skills




 Multiple Choice Multiple Answer

  Question
For an industrial company, the following topics would fall under the category
of information on economic scenario :-

  Correct Answer
GDP growth figures , Inflation rates

  Your Answer
GDP growth figures , Inflation rates




 Multiple Choice Multiple Answer

  Question
Technical service means details about :-

  Correct Answer
Ingredient material , How product works , Type of make of key equipments in
the product

  Your Answer
Ingredient material , How product works , Type of make of key equipments in
the product




 Multiple Choice Single Answer

  Question
Strengths and weaknesses of a firm can be derived through :-

  Correct Answer
An internal environment analysis

  Your Answer
An internal environment analysis




 Multiple Choice Multiple Answer

  Question
During discussions, sales people handle issues such as :-

  Correct Answer
Delivery schedule , Pricing , After Sales Service

  Your Answer
Delivery schedule , Pricing , After Sales Service




 True/False

  Question
An organization that is structured to serve the customer is the most
optimally designed organizational structure.

  Correct Answer
True

  Your Answer
True




 Match The Following
Question
Correct Answer
Your Answer



Sunk Cost
Money spent
Money spent



Legal Considerations
Sales of Goods Act
Sales of Goods Act



Inelastic Demand
Unresponsive
Unresponsive



Innovation
Competitive appeal
Competitive appeal




 Multiple Choice Single Answer

  Question
An external environment analysis is necessary to understand :-

  Correct Answer
The needs of the customers

  Your Answer
The needs of the customers




 True/False

  Question
Most industrial suppliers make use of their own sales force in their
marketing system.

  Correct Answer
False
  Your Answer
True




 Multiple Choice Single Answer

  Question
The industrial marketing research department helps the company to :-

  Correct Answer
Take informed decisions regarding marketing strategies

  Your Answer
Take informed decisions regarding marketing strategies




 True/False

  Question
Tariffs & quotas are used by the Govt. to protect indigenous business from
foreign competition.

  Correct Answer
True

  Your Answer
True




 Select The Blank

  Question
Analytical techniques are ________ to a large extent.

  Correct Answer
Mathematical

  Your Answer
Mathematical




 True/False

  Question
High price strategy does not lead to cost position advantage over likely
competitors.

  Correct Answer
False
  Your Answer
False




 Multiple Choice Multiple Answer

  Question
Important sources for tender notices regarding purchases of industrial
products are:-

  Correct Answer
Newspapers , Trade magazines , Company websites

  Your Answer
Newspapers , Trade magazines , Company websites




 Select The Blank

  Question
The ________ distributors focus on narrow range of related products.

  Correct Answer
Specialised

  Your Answer
Specialised




 True/False

  Question
A major change in the price of an industrial component causes a significant
change in the end product price.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Single Answer

  Question
For financially weak but reliable customers, supplier may be required to:-

  Correct Answer
Give high discounts

  Your Answer
Give high discounts




 True/False

  Question
A survey analyst is not part of the industrial marketing research team.

  Correct Answer
False

  Your Answer
False




 Select The Blank

  Question
Marketing cost is the ________ payable to the channel members.

  Correct Answer
Commission

  Your Answer
Commission




 Select The Blank

  Question
The sales of standard industrial products are generally carried out through
________.

  Correct Answer
Direct channel and middlemen

  Your Answer
Direct channel and middlemen




 Select The Blank

  Question
One of the current trends in Indian industrial companies is the aspect of
________ export growth.
  Correct Answer
Higher

  Your Answer
Higher




 Multiple Choice Single Answer

  Question
The unit price of a capital equipment item is usually:

  Correct Answer
High

  Your Answer
High




 Select The Blank

  Question
Marketing research is used for making ________ projections.

  Correct Answer
Sales

  Your Answer
Sales




 Multiple Choice Single Answer

  Question
The different amount of products, buyers may be expected to purchase at
various prices at a given point of time is known as :-

  Correct Answer
Market demand

  Your Answer
Market demand




 Select The Blank

  Question
Industrial advertising must provide reader with information regarding
________ benefits, in simple words.
  Correct Answer
Intangible

  Your Answer
Intangible




 Multiple Choice Multiple Answer

  Question
Industrial marketers have a choice of structural arrangement like :-

  Correct Answer
Direct to users , Indirect to users , Mixed structure

  Your Answer
Direct to users , Indirect to users , Mixed structure




 Multiple Choice Single Answer

  Question
Organizational buyers have to fulfill their needs relating to :-

  Correct Answer
The job function

  Your Answer
The job function




 Multiple Choice Single Answer

  Question
In industrial marketing, spare parts are sold through :-

  Correct Answer
Branch office

  Your Answer
Branch office




 Multiple Choice Single Answer

  Question
An alternative term used for industrial marketing is :-
  Correct Answer
B2B marketing

  Your Answer
B2B marketing




 Multiple Choice Multiple Answer

  Question
The maker of industrial product can increase total sales by :-

  Correct Answer
Research , Developing new uses , Developing new users

  Your Answer
Research , Developing new uses , Developing new users




 Multiple Choice Multiple Answer

  Question
When a firm introduces new product, a considerable amount is sunk into :-

  Correct Answer
Research , Planning , Testing

  Your Answer
Research , Planning , Testing




True/False

 Question
An important characteristic of the mission statement is that it indicates the direction the company
wishes to take.

 Correct Answer
True

 Your Answer
True
Multiple Choice Multiple Answer

 Question
According to you, marketing of industrial services and marketing of industrial products :-

 Correct Answer
Are similar from the seller’s point of view , Require similar resources , Require different types of
resources

 Your Answer
Require different types of resources , Are different.




Multiple Choice Single Answer

 Question
The sales force is influenced by :-

 Correct Answer
Selling environment

 Your Answer
Marketing environment




True/False

 Question
A lower price will stimulate demand for industrial products.

 Correct Answer
False

 Your Answer
False
Multiple Choice Single Answer

 Question
Primary task to be performed for the execution of the sales efforts is :-

 Correct Answer
Making sales presentation

 Your Answer
Making sales forecast




Select The Blank

 Question
Indigenous vehicle manufacturers face ________ from foreign manufacturers setting up facilities in
India.

 Correct Answer
A threat

 Your Answer
An opportunity




Multiple Choice Single Answer

 Question
Funds spent on R & D to bring a new product into the market are :-

 Correct Answer
Sunk Costs

 Your Answer
Sunk Costs
True/False

 Question
Demand for many industrial product is elastic.

 Correct Answer
False

 Your Answer
False




True/False

 Question
In industrial marketing buying is a collective decision making process.

 Correct Answer
True

 Your Answer
True




True/False

 Question
The IT and BPO service industries in India are showing lower rates of growth compared to other industry
sectors.

 Correct Answer
False

 Your Answer
False
Multiple Choice Single Answer

 Question
Organizational buyers have to fulfill their needs relating to :-

 Correct Answer
The job function

 Your Answer
The job function




Multiple Choice Single Answer

 Question
Prospecting is essential to ensure future sources of :-

 Correct Answer
Sales revenue

 Your Answer
Sales revenue




Multiple Choice Single Answer

 Question
A broad and definitive statement that covers an organization’s purpose, values and distinctive
competencies is called :-

 Correct Answer
Mission

 Your Answer
Mission
True/False

 Question
A small reduction in price of original material can lead to a large reduction in the price of end product.

 Correct Answer
False

 Your Answer
False




Select The Blank

 Question
When a firm sells through a limited number of outlets, it is known as ________ distribution.

 Correct Answer
Selective

 Your Answer
Selective




Multiple Choice Multiple Answer

 Question
Industrial firms should act in the following ways to the changes in environment :-

 Correct Answer
Influence , Modify , Respond

 Your Answer
Influence , Modify , Respond
Select The Blank

 Question
Methods to measure market ________ can classified into Qualitative and Quantitative methods.

 Correct Answer
Potential

 Your Answer
Potential




Multiple Choice Multiple Answer

 Question
Ashok Leyland is an Indian company whose competitors would include :-

 Correct Answer
Tata Motors , Volvo Motors

 Your Answer
Tata Motors , Volvo Motors




Multiple Choice Single Answer

 Question
How does advertisements help salespersons?

  Correct Answer
It helps the salespersons by improving image of the company in the customers' mind.

  Your Answer
It helps the salespersons by improving image of the company in the customers' mind.
True/False

 Question
A survey analyst is not part of the industrial marketing research team.

 Correct Answer
False

 Your Answer
False




Multiple Choice Single Answer

 Question
The purchase of industrial products is based on:-

 Correct Answer
Rational factors

 Your Answer
Indeterminate factors




Multiple Choice Multiple Answer

 Question
When the price of a product goes down, the industrial buyer :-

 Correct Answer
Changes his about prices , Waits for price to go down further , Enters the market & buys

 Your Answer
Changes his about prices , Enters the market & buys
Multiple Choice Single Answer

 Question
Strengths and weaknesses of a firm can be derived through :-

 Correct Answer
An internal environment analysis

 Your Answer
External environment analysis




Multiple Choice Single Answer

 Question
Many overseas companies are attracted to India for setting up manufacturing operations for industrial
products on account of :-

 Correct Answer
Cost competitiveness

 Your Answer
Cost competitiveness




Select The Blank

 Question
Marketing research is used for making ________ projections.

 Correct Answer
Sales

 Your Answer
Financial




True/False

 Question
Car manufacturers make all the components of the car themselves.

 Correct Answer
False

 Your Answer
False




Multiple Choice Single Answer

 Question
The first step in managing the industrial product marketing system is :-

 Correct Answer
Identifying the needs of customers

 Your Answer
Identifying the needs of customers




Select The Blank

 Question
The industrial selling environment consists of a process of ________ between buyer & seller.

 Correct Answer
Exchange

 Your Answer
Trust




Multiple Choice Single Answer

 Question
Success in market is obtained by :-

 Correct Answer
Systematic vender development

 Your Answer
Maintaining quality




Multiple Choice Multiple Answer

 Question
When a firm introduces new product, a considerable amount is sunk into :-

 Correct Answer
Research , Planning , Testing

 Your Answer
Research , Planning , Testing




Multiple Choice Single Answer

 Question
Marketing Intelligence System is useful :-

 Correct Answer
For decision making by industrial marketing managers

 Your Answer
For decision making by industrial marketing managers




Match The Following

Question
Correct Answer
Your Answer




To expand product range to cover all types of computer peripherals
Plan
Goal




To become the No. 1 supplier in computer peripherals
Mission
Mission




To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective
Milestone




To reduce employee turnover from 30% to 25% in 1 yr
Goal
Objective




Multiple Choice Multiple Answer
 Question
Success of selling activity is dependent on the ability of a sales person to :-

 Correct Answer
Answer questions of customers , Solve their problems , Identify customer's needs

 Your Answer
Solve their problems , Identify customer's needs , Carry out services




True/False

 Question
Most of public institutions prefer buying as per legal constraints.

 Correct Answer
True

 Your Answer
True




Select The Blank

 Question
Non stock carrying branch offices are used as ________ sales head quarter.

 Correct Answer
Regional

 Your Answer
Regional




Select The Blank
 Question
Market ________ is the most optimistic estimate of the amount of product that an entire market will
purchase in a given period of time.

 Correct Answer
Potential

 Your Answer
Forecast




Multiple Choice Multiple Answer

 Question
Industrial sales person must understand the :-

 Correct Answer
Manufacturing process of the company , Motivating factors of individuals , Procedures of the company

 Your Answer
Manufacturing process of the company , Motivating factors of individuals , Procedures of the company




Select The Blank

 Question
Industrial force should be ________ to market conditions.

 Correct Answer
Responsive

 Your Answer
Aggressive




True/False
 Question
Effective use of sales force lead to achieving maximum sales at low costs.

 Correct Answer
True

 Your Answer
True




Multiple Choice Multiple Answer

 Question
Customer motives can be understood by studying customer's :-

 Correct Answer
Production systems , Organizational structures , Outlook & attitude of their executives

 Your Answer
Organizational structures , Outlook & attitude of their executives




Multiple Choice Single Answer

 Question
The uncontrollable environment is known as :-

 Correct Answer
Macro Environment

 Your Answer
Macro Environment




Match The Following
Question
Correct Answer
Your Answer




Management capability
Organise
Organise




Quality rating
Disposition factor
Defective material




Delivery rating
Delivery schedule
Delivery schedule




Service rating
Promptness
Promptness




Multiple Choice Multiple Answer

 Question
Structured surveys are used to measure :-

 Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior
 Your Answer
Awareness & knowledge , Attitudes & opinions , Information & intelligence




Multiple Choice Multiple Answer

 Question
For industrial marketing, type of channel members needed would depend on :-

 Correct Answer
Market coverage , Marketing cost , Marketing control

 Your Answer
Market coverage , Marketing cost , Marketing control




Multiple Choice Single Answer

 Question
The flow of material to the organisation is known as :-

 Correct Answer
Inputs

 Your Answer
Inputs




Multiple Choice Single Answer

 Question
The demand for industrial products is :-

 Correct Answer
Derived
 Your Answer
Derived




Multiple Choice Multiple Answer

 Question
A company has to revise its pricing strategy when :-

 Correct Answer
Competitor changes his price , New rival enters the market , It is advantageous for the company to
change price

 Your Answer
Competitor changes his price , New rival enters the market



 Select The Blank

  Question
The effect of the economic environment is not ________ across industries.

  Correct Answer
Uniform

 True/False

  Question
Buyers always buy on the basis of the merit of the product.

  Correct Answer
False

 Multiple Choice Single Answer

   Question
A high price strategy can generate among customers, a substantial amount of
:-

  Correct Answer
Ill will

 Select The Blank

  Question
The best advertising should be best in creativity, simplicity and ________.

  Correct Answer
Uniqueness

 Match The Following

Question
Correct Answer



Niche marketing
Customised products



Purchasing policy
Bidding



Product innovation
New products



Competitive analysis
Strength &weakness



_ INCLUDEPICTURE "http://www.scdl.net/Assessment/images/spacer.gif" \*
MERGEFORMATINET ___


 Select The Blank

  Question
Sluggishness of price response lies in the nature of ________ demand.

  Correct Answer
Derived

 Multiple Choice Single Answer

  Question
Objective of value analysis is to improve :-

  Correct Answer
Quality

 Select The Blank

  Question
________ of supply is one of the important aspects buyers look for.

  Correct Answer
Continuity
  Your Answer
Continuity

_ INCLUDEPICTURE "http://www.scdl.net/Assessment/images/spacer.gif" \*
MERGEFORMATINET ___


 Multiple Choice Single Answer

  Question
Many overseas companies are attracted to India for setting up manufacturing
operations for industrial products on account of :-

  Correct Answer
Cost competitiveness

 Select The Blank

  Question
The number of retail outlets for industrial products are usually ________
compared to those for consumer products.

  Correct Answer
Less

 Multiple Choice Single Answer

  Question
The purchase decision-makers in an industrial company constitute the:-

  Correct Answer
DMU

 True/False

  Question
A new task buy situation has to pass several phases like awareness, interest
and evaluation.

  Correct Answer
True

 True/False

  Question
Advertisement and public relation campaign project a positive image of the
Co.

  Correct Answer
True

 Multiple Choice Multiple Answer

  Question
Growth of an automobile manufacturing firm can come from :-

  Correct Answer
Increase in domestic sales , Increase in export sales , Decrease in
manufacturing costs

 Multiple Choice Single Answer

  Question
A broad and definitive statement that covers an organization‟s purpose,
values and distinctive competencies is called :-

  Correct Answer
Mission

 Multiple Choice Single Answer

  Question
In pricing industrial goods, the most important factor is :-

  Correct Answer
Cost

 Multiple Choice Multiple Answer

  Question
To push the company's products, advertising literature should point out
advantages to the middlemen, such as :-

  Correct Answer
Wide margins , Large sales potential , Rapid turnover

 Match The Following

Question
Correct Answer



To expand product range to cover all types of computer peripherals
Plan



To become the No. 1 supplier in computer peripherals
Mission



To achieve a sales turnover of Rs. 500 cr. by 2008-09
Objective



To reduce employee turnover from 30% to 25% in 1 yr
Goal
Goal
_ INCLUDEPICTURE "http://www.scdl.net/Assessment/images/spacer.gif" \*
MERGEFORMATINET ___


 Multiple Choice Multiple Answer

  Question
For developing a positioning strategy, following variables are used:-

  Correct Answer
Product features , Product reliability , Ability to provide solutions to
customer problem

 Multiple Choice Multiple Answer

  Question
For industrial marketing, type of channel members needed would depend on :-

  Correct Answer
Market coverage , Marketing cost , Marketing control

 Multiple Choice Single Answer

  Question
Fundamental skill requirement for closing a sale is :-

  Correct Answer
Application of psychology

 Multiple Choice Single Answer

  Question
Industrial Market Research is a systematic process of collecting data to :-

  Correct Answer
Prepare actionable research report

 Select The Blank

  Question
A senior manager such as General Manager (Purchase) of an industrial
marketing company will get more involved in the purchase of ________.

  Correct Answer
High value items

 True/False

  Question
Advertising and promotion expenses, as a percentage of total sales, are
usually more for industrial products than for consumer products.

  Correct Answer
False

 True/False
  Question
A small reduction in price of original material can lead to a large reduction
in the price of end product.

  Correct Answer
False

 Multiple Choice Multiple Answer

  Question
An industrial marketer can :-

  Correct Answer
Create a schedule of demand , Prepare a list of products to be sold at
different prices , Make the process systematic

 True/False

  Question
The objective of the high price strategy is only to recover firm's investment
speedily.

  Correct Answer
False

 Multiple Choice Multiple Answer

  Question
The message of well-designed advertisement for an industrial product should
generally consist of :-

  Correct Answer
A short headline , An explanation of the headline , Distinctive features of
the product

 Multiple Choice Single Answer

  Question
The marketer of standardized industrial goods gain objectives more
effectively than non-standardized items because of the use of :-

  Correct Answer
Price Strategy

 Select The Blank

  Question
When a firm sells through a limited number of outlets, it is known as
________ distribution.

  Correct Answer
Selective

 True/False

  Question
In order to enjoy cost advantage relative to the innovative firm, competitor
must reach a break-through in product design.

  Correct Answer
True

 Multiple Choice Single Answer

  Question
The first step in managing the industrial product marketing system is :-

  Correct Answer
Identifying the needs of customers

 Multiple Choice Multiple Answer

  Question
Branch offices are used to :-

  Correct Answer
Maintain stocks of parts , Provide repair facilities , Serve big customers

 Select The Blank

  Question
Many food processing firms prefer to take on ________ the processing plants
for their use during the peak season.

  Correct Answer
Lease

 Multiple Choice Single Answer

  Question
Making an assessment of the competitors‟ strengths and weakness is called :-

  Correct Answer
Competitive position analysis

 Select The Blank

  Question
Industrial marketer has an array of segmentation ________ to choose from

  Correct Answer
Variables

 Multiple Choice Multiple Answer

  Question
Manufacturers handle the inventory requirement problem by :-

  Correct Answer
Maintaining stock at convenient locations , Make arrangement for return of
slow moving goods , Levy service charge on return of goods

 Multiple Choice Multiple Answer
  Question
A typical buyer-firm of industrial products will:-

  Correct Answer
Insist on quality tests before delivery , Ask for test results after
inspection

 Multiple Choice Multiple Answer

  Question
Customs & traditions of organisation influence :-

  Correct Answer
Organisational structure , Inter-personal relationships , Functioning

 Select The Blank

  Question
One of the current trends in Indian industrial companies is the aspect of
________ export growth.

  Correct Answer
Higher

 Multiple Choice Multiple Answer

  Question
Purchase committees would be required for the following:-

  Correct Answer
Purchase of diesel engines for automobiles , Purchase of machinery for
manufacturing polypropylene , Purchase of advanced computer networking
systems for multi-national operations

 Select The Blank

  Question
By pricing the product at a very ________ level, management can have
substantial gross margin.

  Correct Answer
High

 Multiple Choice Single Answer

  Question
The purchase order placement of a furnace for a large steel plant can take:-

  Correct Answer
A few months

 True/False

  Question
In industrial marketing buying is a collective decision making process.
  Correct Answer
True

 Multiple Choice Single Answer

  Question
Strengths and weaknesses of a firm can be derived through :-

  Correct Answer
An internal environment analysis

 True/False

  Question
It is easier to negotiate the purchase of power generators for a large power
station than the purchase of PCs.

  Correct Answer
False

 Multiple Choice Single Answer

  Question
Distributors contact potential buyers and negotiate :-

  Correct Answer
Orders


Product development can discourage competition if it is :-

  Correct Answer
Require state-of-art technology , Technologically intensive , Capital
intensive

  Your Answer
Technologically intensive , Capital intensive , Require state-of-art
technology




 Multiple Choice Single Answer

  Question
Advertising objectives need to assist

  Correct Answer
Marketing objectives

  Your Answer
Sales persons in the field
 Multiple Choice Multiple Answer

  Question
Customer motives can be understood by studying customer's :-

  Correct Answer
Production systems , Organizational structures , Outlook & attitude of their
executives

  Your Answer
Production systems , Organizational structures , Quality control systems




 Match The Following

Question
Correct Answer
Your Answer



Sunk Cost
Money spent
Money spent



Legal Considerations
Sales of Goods Act
Sales of Goods Act



Inelastic Demand
Unresponsive
Unresponsive



Innovation
Competitive appeal
Competitive appeal




 Multiple Choice Single Answer

  Question
The best channel of distribution for capital items is :-

  Correct Answer
Direct selling
  Your Answer
Direct selling




 True/False

  Question
A new task buy situation has to pass several phases like awareness, interest
and evaluation.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Services of trained experts is required for :-

  Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic
recording equipment

  Your Answer
Special accounting machines , Statistical analysis equipment , Electronic
recording equipment




 Select The Blank

  Question
Trade ________ form a part of regulatory environment.

  Correct Answer
Barriers

  Your Answer
Regulations




 Select The Blank

  Question
________ is the alternate name given to marketing research.
  Correct Answer
Marketing intelligence

  Your Answer
Marketing surveillance




 True/False

  Question
Trade directories, government reports, company files are some of the sources
of primary data.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Single Answer

  Question
The purchase of industrial products is based on:-

  Correct Answer
Rational factors

  Your Answer
Rational factors




 Multiple Choice Single Answer

  Question
An alternative term used for industrial marketing is :-

  Correct Answer
B2B marketing

  Your Answer
B2B marketing




 Multiple Choice Single Answer

  Question
The purchase decision-makers in an industrial company constitute the:-
  Correct Answer
DMU

  Your Answer
DMU




 Select The Blank

  Question
By pricing the product at a very ________ level, management can have
substantial gross margin.

  Correct Answer
High

  Your Answer
High




 True/False

  Question
Direct exporting is the only way of entering the foreign market.

  Correct Answer
False

  Your Answer
False




 Select The Blank

  Question
Composite rating is prepared by adding ________ rating.

  Correct Answer
Individual

  Your Answer
Individual




 Multiple Choice Single Answer

  Question
Manufacturer & customer in industrial marketing are affected by :-
  Correct Answer
Change in technology

  Your Answer
Policies of Govt.




 Multiple Choice Single Answer

  Question
The demand of consumer products can be increased by :-

  Correct Answer
Advertising

  Your Answer
Advertising




 Multiple Choice Multiple Answer

  Question
Manufacturers handle the inventory requirement problem by :-

  Correct Answer
Maintaining stock at convenient locations , Make arrangement for return of
slow moving goods , Levy service charge on return of goods

  Your Answer
Maintaining stock at convenient locations , Make arrangement for return of
slow moving goods , Supplying against specific orders




 Multiple Choice Single Answer

  Question
General public will work towards a cause if it is :-

  Correct Answer
Motivated

  Your Answer
Motivated




 Multiple Choice Multiple Answer

  Question
Important sources for tender notices regarding purchases of industrial
products are:-

  Correct Answer
Newspapers , Trade magazines , Company websites

  Your Answer
Newspapers , Trade magazines , Company websites




 True/False

  Question
In order to enjoy cost advantage relative to the innovative firm, competitor
must reach a break-through in product design.

  Correct Answer
True

  Your Answer
False




 Select The Blank

  Question
In customer market a ________ price increase will shrink demand.

  Correct Answer
Higher

  Your Answer
Higher




 True/False

  Question
In industrial marketing buying is a collective decision making process.

  Correct Answer
True

  Your Answer
True




 True/False
  Question
Pre-sales services and post-sales services are not important to modern-day
concepts of industrial marketing.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Single Answer

  Question
An increase in purchase of consumer product can lead to increase of total
demand of :-

  Correct Answer
Industrial products

  Your Answer
Industrial products




 True/False

  Question
A repeat purchase decision will generally involve changes in product
specifications from earlier supplies.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Single Answer

  Question
A small company which accepts high volume, low margin business & expands to
meet its production requirement will :-

  Correct Answer
Become dependant on such business

  Your Answer
Become dependant on such business
 Multiple Choice Multiple Answer

  Question
Important information on the purchase decision process in any industrial
organization can be obtained from:-

  Correct Answer
Purchase officials , User department officials , Gatekeepers

  Your Answer
Purchase officials , User department officials




 Multiple Choice Multiple Answer

  Question
Branch offices are used to :-

  Correct Answer
Maintain stocks of parts , Provide repair facilities , Serve big customers

  Your Answer
Maintain stocks of parts , Provide repair facilities , Serve big customers




 Multiple Choice Multiple Answer

  Question
Tata Motors is a company involved in the manufacture of :-

  Correct Answer
Passenger cars , Light commercial vehicles , Heavy commercial vehicles

  Your Answer
Passenger cars , Light commercial vehicles , Heavy commercial vehicles




 Select The Blank

  Question
Direct marketing is expensive when probable volume of sales in a market area
is ________.

  Correct Answer
Small

  Your Answer
Small
 Multiple Choice Single Answer

  Question
Industrial buyer tries to justify his purchases on the basis of :-

  Correct Answer
Measurable performance

  Your Answer
Measurable performance




 Select The Blank

  Question
Marketing research is used for making ________ projections.

  Correct Answer
Sales

  Your Answer
Sales




 True/False

  Question
In industrial product marketing, the cost of maintenance is not important in
making comparisons with competitors‟ products.

  Correct Answer
False

  Your Answer
False




 True/False

  Question
Highly competent suppliers can deliver defect free products, on time and on a
regular schedule basis.

  Correct Answer
True

  Your Answer
True
 Multiple Choice Multiple Answer

  Question
Information sources for unstructured surveys are :-

  Correct Answer
Sales personnel , Dealers , Customers

  Your Answer
Sales personnel , Dealers , Customers




 Multiple Choice Multiple Answer

  Question
Questions asked in unstructured surveys bring about :-

  Correct Answer
Motives , Priorities , Problems

  Your Answer
Motives , Priorities , Problems




 Multiple Choice Multiple Answer

  Question
When the product is complex & requires service by skilled specialist, the
manufacturer has to :-

  Correct Answer
Supply large number of spare parts , Change a premium price , Train the
technician of buyer

  Your Answer
Maintain service station , Train the technician of buyer




 Select The Blank

  Question
In the process of performing their various activities, Govt. may aid, hamper
or ________ the industrial marketing efforts.

  Correct Answer
Facilitate

  Your Answer
Reject




 Match The Following

Question
Correct Answer
Your Answer



Foreign market
Attractive returns
Attractive returns



Independent strategies
Resources
Resources



Cooperative strategies
Understanding
Comprehensive



Manipulative strategies
Restrictive
Restrictive




 Select The Blank

  Question
The key ________ people are evaluated as part of the assessment.

  Correct Answer
Management

  Your Answer
Production




 True/False

  Question
Legal and economic risks may occur because of fraudulent advertising.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Public interest groups support :-

  Correct Answer
Environmental causes , Women's rights , Minority welfare

  Your Answer
Environmental causes , Women's rights , Minority welfare




 Select The Blank

  Question
Sales personnel should study customers as ________.

  Correct Answer
Individuals

  Your Answer
Negotiators




 Select The Blank

  Question
A ________ study is used to describe existing situation.

  Correct Answer
Descriptive

  Your Answer
Descriptive




 Multiple Choice Single Answer

  Question
Initially rating is evaluated for :-
  Correct Answer
Each variable

  Your Answer
Specific variables


 True/False

  Question
An organization that is structured to serve the customer is the most
optimally designed organizational structure.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
Profitability of any potential segment is measured by following criteria:-

  Correct Answer
Market share , Market growth , Image

  Your Answer
Market growth , Image , Market share




 Multiple Choice Single Answer

  Question
A broad and definitive statement that covers an organization‟s purpose,
values and distinctive competencies is called :-

  Correct Answer
Mission

  Your Answer
Mission




 Match The Following

Question
Correct Answer
Your Answer



Mission statement
Corporate culture
Corporate culture



Target market
Right product
Right product



Cost reduction program
Price adjustment
Price adjustment



Promotion mix
Trade shows
Trade shows




 True/False

  Question
Public interest groups limit the freedom of suppliers & buyers.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Single Answer

  Question
An alternative term used for industrial marketing is :-

  Correct Answer
B2B marketing

  Your Answer
B2B marketing
 Multiple Choice Multiple Answer

  Question
Services of trained experts is required for :-

  Correct Answer
Special accounting machines , Statistical analysis equipment , Electronic
recording equipment

  Your Answer
Special accounting machines , Statistical analysis equipment , Electronic
recording equipment




 Select The Blank

  Question
Computer systems help in the ________ of the findings of the research
project.

  Correct Answer
Presentation

  Your Answer
Presentation




 Multiple Choice Single Answer

  Question
One example of operating supplies is:

  Correct Answer
Paints and varnishes

  Your Answer
Personal computers




 True/False

  Question
Most of public institutions prefer buying as per legal constraints.

  Correct Answer
True

  Your Answer
True
 Multiple Choice Single Answer

  Question
Direct costs are also referred to as :-

  Correct Answer
Operating costs

  Your Answer
Operating costs




 Multiple Choice Single Answer

  Question
Strengths and weaknesses of a firm can be derived through :-

  Correct Answer
An internal environment analysis

  Your Answer
An internal environment analysis




 Select The Blank

  Question
________ is the alternate name given to marketing research.

  Correct Answer
Marketing intelligence

  Your Answer
Marketing intelligence




 Select The Blank

  Question
Marketing research is used for making ________ projections.

  Correct Answer
Sales

  Your Answer
Sales
 True/False

  Question
The IT and BPO service industries in India are showing lower rates of growth
compared to other industry sectors.

  Correct Answer
False

  Your Answer
False




 True/False

  Question
Service is one of the variables of vendor rating system.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Multiple Answer

  Question
The common service requirements of Industrial buyers are :-

  Correct Answer
Technical , Replacement parts , Delivery

  Your Answer
Technical , Replacement parts , Delivery




 Multiple Choice Single Answer

  Question
The first step in managing the industrial product marketing system is :-

  Correct Answer
Identifying the needs of customers

  Your Answer
Identifying the needs of customers
 Select The Blank

  Question
A relative ________ product life span is a favourable condition for charging
high price.

  Correct Answer
Short

  Your Answer
Short




 Multiple Choice Single Answer

  Question
Making an assessment of the competitors‟ strengths and weakness is called :-

  Correct Answer
Competitive position analysis

  Your Answer
Competitive position analysis




 Select The Blank

  Question
The fundamental aspect of industrial marketing is that it addresses the needs
and wants of ________.

  Correct Answer
Business organizations

  Your Answer
Business organizations




 Multiple Choice Single Answer

  Question
Factors affecting industrial pricing are :-

  Correct Answer
Type of competition

  Your Answer
Type of competition
 True/False

  Question
Use of IT tools like enterprise resource planning is helping industrial firms
to improve productivity and efficiency.

  Correct Answer
True

  Your Answer
True




 Multiple Choice Single Answer

  Question
Funds spent on R & D to bring a new product into the market are :-

  Correct Answer
Sunk Costs

  Your Answer
Sunk Costs




 Multiple Choice Single Answer

  Question
Periodic analysis of an industrial buyer‟s operations and purchase systems is
necessary to :-

  Correct Answer
Understand the changes in buy practices

  Your Answer
Understand the changes in buy practices




 Match The Following

Question
Correct Answer
Your Answer



Freight Equalization
Base Point
Base Point



Consumer Goods
Advertising & sales promotion
Advertising & sales promotion



High Price Strategy
Patents
Recovery of Investment



Short Life Span
Recovery of Investment
Large Profit




 Multiple Choice Single Answer

  Question
The uncontrollable environment is known as :-

  Correct Answer
Macro Environment

  Your Answer
Macro Environment




 Multiple Choice Single Answer

  Question
The demand for industrial products is :-

  Correct Answer
Derived

  Your Answer
Derived




 Select The Blank

  Question
The drop in price of individual product has effect of ________ demand.

  Correct Answer
Shrinking

  Your Answer
Increasing




 Multiple Choice Single Answer

  Question
Data for initial screening can be obtained from:-

  Correct Answer
Secondary sources

  Your Answer
Secondary sources




 Select The Blank

  Question
When purchase of industrial equipment is involved, the stage between
manufacture and dispatch of goods is called ________.

  Correct Answer
Inspection

  Your Answer
Inspection




 Multiple Choice Multiple Answer

  Question
Questions asked in unstructured surveys bring about :-

  Correct Answer
Priorities , Problems , Motives

  Your Answer
Motives , Priorities , Problems




 Multiple Choice Multiple Answer

  Question
Stock carrying branches are useful for :-

  Correct Answer
Bulk sales , Lowering fright charges , Speed of delivery

  Your Answer
Bulk sales , Lowering fright charges , Speed of delivery




 Multiple Choice Multiple Answer

  Question
To push the company's products, advertising literature should point out
advantages to the middlemen, such as :-

  Correct Answer
Wide margins , Large sales potential , Rapid turnover

  Your Answer
Wide margins , Large sales potential , Rapid turnover




 Multiple Choice Single Answer

  Question
The industrial buyers buy only when there are :-

  Correct Answer
Strong economic benefits

  Your Answer
Strong economic benefits




 Select The Blank

  Question
Senior marketing personnel from a supplier firm are usually involved in a
________ situation:

  Correct Answer
New task buy

  Your Answer
New task buy




 Select The Blank
  Question
The effect of the economic environment is not ________ across industries.

  Correct Answer
Uniform

  Your Answer
Uniform




 Multiple Choice Single Answer

  Question
Large industrial companies realize substantial cost savings is by having:-

  Correct Answer
Centralized purchasing

  Your Answer
Centralized purchasing




 Multiple Choice Multiple Answer

  Question
Industries involved in production of chemical & pesticides have to :-

  Correct Answer
Make natural resources pollution free , Devise safety measures to protect
environment , Properly dispose off waste material

  Your Answer
Make natural resources pollution free , Devise safety measures to protect
environment , Properly dispose off waste material




 Select The Blank

  Question
________ of supply is one of the important aspects buyers look for.

  Correct Answer
Continuity

  Your Answer
Continuity




 Select The Blank
  Question
Continuous efforts by sales person, result in developing friendship ________
& cooperation over a period of time between buyer & seller.

  Correct Answer
Trust

  Your Answer
Trust




 True/False

  Question
Sample size in industrial marketing research can be as large as in consumer
marketing.

  Correct Answer
False

  Your Answer
False




 Multiple Choice Multiple Answer

  Question
Structured surveys are used to measure :-

  Correct Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior

  Your Answer
Awareness & knowledge , Attitudes & opinions , Buyer behavior




 Multiple Choice Single Answer

  Question
Many overseas companies are attracted to India for setting up manufacturing
operations for industrial products on account of :-

  Correct Answer
Cost competitiveness

  Your Answer
Cost competitiveness
 Multiple Choice Single Answer

  Question
In an organisation, purchase division is made by:-

  Correct Answer
People

  Your Answer
Purchase committee




 Multiple Choice Multiple Answer

Question
In a tender a vendor has to supply data on :-

  Correct Answer
Sales to net worth , Working capital , Turnover Ratio

  Your Answer
Sales to net worth , Working capital , Turnover Ratio


Q.1 a) Define Industrial Marketing

Marketing is the identification and satisfaction of a customer's needs and
wants. Marketing thus starts with the customer. The emphasis is completely on
the customer. The Industrial marketing concept therefore views the marketing
function of a company in relation to its strategy.

DEFINITIONS OF INDUSTRIAL MARKETING:

Industrial Marketing is a human activity directed towards satisfying the
needs and wants and demands of organizations through exchange process.
Industrial Marketing is the marketing to customers who utilize the products
and services they buy for manufacturing some other products, not for personal
use.
Industrial Marketing consists of all the activities involved in the marketing
of products and services to the organizations that use these products and
services for the production of other consumer or industrial products and
services.


Q.1 b) Explain Industrial Marketing Concept

INDUSTRIAL MARKETING CONCEPT

Industrial marketing concept refers to marketing from an organizational
perspective. Industrial marketing has been classified into three dimensions

a) Philosophical
b) Functional and organizational
Marketing As Business Philosophy Dimension:

The resources allocation of a business is done commonly based on the market
demand. But, this concept of resources allocation ignores the efforts for
identifying new markets. Demand creation and stimulation is thus ignored in
this concept. As a result resource allocation now is being increasingly
influenced by the search for new business opportunities. Modern business
allocates resources keeping in view not only the present demand, but also the
new business venture available and resources required for exploiting them.

The factors of production in Industrial   market are land, labor, capital and
organization. The output is the product   and service for satisfying for the
present demand and the new products and   product ideas with no present demand.
To manage the input-output systems, the   marketing managers have to have
knowledge of the following:

Identification Of Opportunities:
As a business philosophy, Industrial marketing takes into consideration the
customer‟s requirement i.e. the requirement of the customer and also that of
the immediate customer. By understanding the requirement of the customer, who
is a customer for the Industrial customer, we can get an understanding of the
requirement of the Industrial customers. The purpose for which the products
and services are being bought should also be taken into consideration, as
marketing involves satisfying the needs and want of customers through
suitable products. The needs and wants, and not the actual products being
bought, have to be analyzed. This analysis will reveal the opportunities to
be exploited.

SETTING GOALS FOR EXPLOITATION
Goals setting follow the identification of opportunities; goals are self-
based on the extent of exploitation desired and the resources being allocated
for this purpose.

PREPARATION OF PLANS
After setting the goals, the organization has to prepare the plans. These
plans outline the activities to be performed the realizing the goals
identified. The plans cover the activities to be performed by each functional
area, and also the resources allocated for achieving the goals.

RESOURCES COMMITMENT
After the resource commitments are identified by the plans, the organization
has to allocate the resources available and raise resources to make the
investment required for exploitation of the opportunities. The resources
commitment determines the choice of opportunities.

EVALUATE RESULTS
The resource commitment by the company is the starting point for the
implementation of the plans. The result of this implementation is then
evaluated. For purpose of evaluation the goals are compared with the actual
result.


INDUSTRIAL MARKETING AS A FUNCTIONAL DIMENSION:

Industrial marketing aims to understand the requirement of end users (I.e.)
the customers of the products and services that are produced using industrial
products. The characteristic of needs identified should then be translated
into technical details and performance parameters.

The data collected by asking such questions is prejudiced and not useful in
planning for opportunities. For making decisions, the marketing manager has
to collect information from many sources and has to evaluate the data so
collected, keeping in view the deficiencies of each source.

Making starts with the identification of opportunities and deciding on the
opportunity to exploit. The decision on the needs to be fulfilled is termed
the mission of the company. After the


mission is framed, the customers whose needs related to the mission are
identified. The identified customers form the market for the opportunity. A
comparison of the needs of this market with the functions performed by the
company gives the seller an understanding of the operating system present in
the customer‟s organization. The systems identified are matched to the
product characteristic first, and then to the output capabilities of the
marketer. This marketing process gives a rough idea of the future
opportunities and the product characteristics, pricing policies, and
distribution channel necessary to capture them. The combination of the above
three (mission, market and system) gives rise to the strategy to be followed
by the company. The decision marketing process followed in choosing
opportunities and developing strategies is depicted figure attached herewith.


Q.3) In how many ways the industrial products can be classified? Discuss the
characteristics and the marketing for each class of the product.

INTRODUCTION
The type of demand for industrial goods is different as compared to consumer
goods. It is more inclined towards derived nature of the demand.

MARKET LEVELS & PRODUCT TYPES
There are different product market levels and it is important to identify
them to gain an insight about the demand for industrial goods and how the
buyers classify these products. This helps a marketer in choosing a
distribution channel and an effective means for promotion.

These are at least the following general classification of goods: -

Major equipment
Accessory equipment
Fabricating part
Operating supplies and
Raw materials.


MAJOR EQUIPMENT

This category includes large machines or other tools whose unit purchases
price are so great that expenditures for them are charged to a capital
account and not the current account.
Major equipment is of 2 types – multipurpose or standard machines and special
or single purpose machines. Multipurpose machines can be used by a number of
different industries or by many firms in the same industry. By minor
adjustments, standard machines can be adapted to several kinds of work.
Single purpose machines are designed to perform one particular operation and
no other.

MINOR OR ACCESSORY EQUIPMENT

Minor or accessory equipment is machinery used in an auxiliary capacity. Its
unit price is lesser than that of major equipment, and its cost is generally
charged to the current account. Such purchases are likely to be made in a
routine manner and involve lesser negotiation.

Most minor equipment items are standardized and suited to the performance of
a function involved in more than one of the operations of a business.

FABRICATING OR COMPONENT PART

The work is production is carried on by a series of plants, often under
diverse ownership, each performing a single operation or homogeneous group of
operations on the material. As the process approaches the final, finished
product stage the work of production becomes more and more a matter of
assembling finished parts, bought from different suppliers, into an


article ready for use and final safe. For example, even large automobile
manufacturers find it necessary to buy items from thousands of small
suppliers.

PROCESS MATERIAL

Process material closely resembles component parts in that they usually enter
into and form an indistinguishable part of the finished product. For example,
a good manufacturer may buy a variety of ingredients, mix then in proper
proportions, and sell the resulting material on the market as a cake mix.

Process material different from component parts chiefly in that most of them
cannot be identified so that they can be recognized in the final product. For
very few of them there is a replacement market. They tend to be bought on the
specifications prepared by the buyer or accounting to the specification
developed by the trade, often with the help of Government agencies.


OPERATING SUPPLIER

Operating supplies do not become a part of the finished product, but for the
most part are continuously worn out or used up in the process of operating or
facilitating the operation of an enterprise. Such items as paints, soaps and
detergents etc. fall in this category.

RAW MATERIAL

Raw materials are the basic materials of industry. They usually have
undergone only such processing as is necessary for convenience in handling
and transportation or for standardization to facilitate their use or purchase
and sale.
Raw materials are supplied chiefly by agriculture and the lumbering, mining
and finishing industries. The industries other than agriculture that extract
raw materials exhibit a strong tendency to integrate their extraction with
the performance of at least the early process of refinement and fabrication.
For example the steel companies carry the production process from the ore in
the ground through to the point where they are able to offer rods, beams,
sheets etc. to their customers.


Q.5) Compare consumer goods Marketing with Industrial Grades Marketing.


Element for comparison Consumer Goods Marketing Industrial Goods Marketing
A) Market Geographically dispersed all 1) Geographically concentrated
Structure over the country. part of the country.     It known as mass market
since     many customers for the       product.     Mono politic competition
may 2) As compared to consumer goods,    prevail. it has fewer buyers.
Demand is directly from users. 3) Normally oligopolistic competition       is
seen.    4) Demand is derived. B) Products Products are bought in ones 5)
Large quantities or high value    and twos. equipment are involved.    Service
is somewhat important. 6) Service is a strategic weapon.    Most of the
products are standard. 7) Customized and technically    Cost of maintenance is
not   complex products.   important. 8) More focus is a cost of
maintenance. C) Buyer Family Involvement 9) Functional Department
Behaviour Impulse buying – social /    Involvement   psychological or
emotional motives 10) Impulse Buying Not Allowed,     predominate. rather
Rational or task motives   Less or no technical expertise predominate.
needed in buying. 11) More technical knowledge is     No reciprocity between
consumer required in buying.     and manufacturer i.e., no inter 12) The
customer and manufacture   dependence. are inter dependent i.e.,      Less
important to personal relation- reciprocity does exist.     ships between
customer and 13) More important to personal     manufacturer. relationship
between customer   D) Decision For quality tests are conducted and
manufacturer. Making by the consumers. 15) All quality tests are checked by
Consume are relatively amateur in the consumers.     decision making. 16)
Consumers are professionals in     Emotional or Irrational decision decision
making.   might be possible. 17) Only relation decisions are taken.     18)
More emphasis placed on      negotiation skills.    Negotiation takes place
less 19) More influences exists on    frequently and less important decision-
making process.   Less number of influences on       decision making process.
E) Making Sales or thought retail outlets. 20) Sales or thought direct
channel   Channels    as well thought middlemen.   Long channels (more light
and 21) Normally short channel required.    more broad) required. 22)
Recognized purchases.    Un-recognized purchases. 23) Less retail outlets.
More retail outlets exist. 24) Less stock holding channel     More stock
holding channel members.     members.    F)Promotion Advertising and sales
promotion 25) Personal selling is the powerful     are more popular promo-
tools. tool.     26) Less ad-budget say 0.5-5% of     More ad-budget possible
say the sales turnover.     5-10% of the sales turnover.    G) Price Buying
only once and that too in 27) Every Transaction, may be     ones, may not
influence price. buying once , is important for the       industrial marketer
and       hence may effect the price    List price selling. 28) Competitive
bidding.   Negotiation on price is rarely made 29) Negotiation on price for
all types   by consumer for convenience    of goods is made by industrial
goods. customers.     Simple pricing policies. 30) Complex pricing policies.
Products are not leased excepts 31) Products are normally leased      high
value products. except low value products.
Q.7) Describe the characteristics of Industrial Buyers.

     Industrial Buyer Characteristics can be categorised into 10 types:

Fewer Buyers: Industrial marketer deals with fewer buyers than consumer
marketer. Indian tyre manufacturers like MRF, J.K., Coat, Apollo, etc.
earlier only dependent on OEMS i.e., automobile manufacturers for selling
tyres.

Larger Buyers: Many markets are characterized by a high buyer-concentration
ratio few large buyers do most of the purchase. In Indian can industry MUL is
single largest buyer or tyres equal to 3.5 lacs cars into five tyres per car,
which is almost 75% of total car tyre market size. Similarly in HCV segment,
TELCO every year 1 lac HCVs into seven tyres per HCV, which accounts for 80%
of HCV type market size?

Business Relationship: As industrial market has smaller customer base and
normally power is concentrated with heavy-seller. Suppliers are frequently
expected to customer their offerings to individual buyer‟s needs. Orders are
finalized with those suppliers who co-operate with buyer on technical
specifications and delivery schedule requirements. For example, during, 1995
when Government of India sanctioned licenses to 12 new car manufacturers to
face competition MUL asked their battery partner Exide, to enhance guarantee
from one year to three years, without increase in price. Exide could not
confirm the clause in time; hence MUL finalized the deal with Standard
Batteries, who offered 2 years guarantee period.

Geographic concentration of buyers: Industrial buyers are normally
concentrated in particular city, region of area. For example most of the
automobile producers are from Pune like Bajaj, Kinetic, Telco etc. Similarly
Refinery business is concentrated in and around Mumbai. Practically every
firm like PBCL, HPCL, IOC, ONGC has refinery near Mumbai.

Derived Demand: The demand for industrial goods is ultimately, dependant on
demand for automobiles or demand for animal skins depends on demand for
leader goods etc. For this particular reason, the industrial marketer must
monitor the micro changes in buyer‟s pattern of ultimate consumers.

In-elastic demand: The demand for many industrial products is inelastic. For
example till LPG in control of Government irrespective of any price-rise,
consumers are going to buy it. Ultimately suppose tomorrow LPG prices drop by
say 25% customer will not buy more to stock it.

Fluctuating Demand: The demand for industrial goods and services tends to be
more fluctuating. This is especially true for turn-key projects, new
equipment and machinery. A given percentage increase in consumer demand can
lead to a much larger percentage increase in the demand for plant and
machinery, necessary to produce the additional increase in the demand for
plant and machinery, necessary to produce the


additional output. For example during the year 94-95, the Indian car market
saw 37% increases in demand over previous year. Producers thought, if this
speed continues, by 2000 AD, Indian market will have demand of 8,00,000 cars
per annum. With this economics in mind 12 new players jumped into car-
manufacturing field, with total installed capacity 10,00,000 cars per annum.
However demand growth rate did not keep the pace and slowed down to 8-10%
because of which only these players will survive who can sustain losses.
Similarly after rise of cellular phones, mobiles, demand for pager slowed
down dramatically, resulting in close down of production of pagers by same
firms.

Professional Purchasing: Industrial goods are bought by trained purchase
officers, who spend their professionalism in how to buy better. Their
professional approach and greater ability to evaluate technical information
leads to more cost-effective buying. This means, industrial marketer has to
provide more technical data to such buyers. Moreover, marketers have to
recruit skilled technical personnel to sort out quarries by buyers.

Several Buying in Fluencies: In industry-buying, many people are involved.
Buying committees consist of technical and commercial experts at senior and
middle management levels. Hence the communication mix needs to design in such
a way that all influences get required information.

Other Characteristics:

Direct purchasing – Industrial buyers prefer to produce directly from
producer.
Reciprocity – Buyer selects such suppliers, who also buy from them.
Leasing – Leasing and or hire-purchase is new buzzword in industrial purchase
due to various benefits or taxes and depreciation.
Q.9) What do you understand by Negotiation? What is the importance of
negotiation skill in industrial marketing?


Negotiation is traditionally associated with behavioral aspects, but business
scenario today demands negotiating techniques that are beyond behavioral
aspects – they will have to be organization specific.

Excellent product, extensive distribution, impressive promotion and valued
based pricing – these aspects alone cannot win a deal for the marketer
especially in business-to-business marketing. Negotiating technique is one of
the key factors involved in enabling the marketer to clinch the deal.

Several aspects of business negotiation are –

BEHAVIOURAL ASPECTS

These aspects assume a lot of significance in the day to day bargaining that
individuals indulge in consumer non-durables sold in retail outlets where
there is a lot of scope for behavioural aspects to be employed directly. Even
in „high-pressure‟ negotiations, behavioural aspects could be useful but the
degree of influences, which these aspects have, may be overshadowed by
logical facts that either party provides.
The basic behavioural aspects of negotiating techniques are the pre-
requisites, which an industrial marketer should possess. The behavioural
approach could start from the analysis of communication (at the individual
level) and end with a specific strategy taking into consideration the
circumstances of negotiation. Negotiating with the consumer would depend on
the nature of his need.

While negotiating for a price discount, a manufacturer may deliberately start
up another issue concerning proper delivery schedule and ask the supplier to
work out a schedule to suit his demand pattern. This tactics may be applied
to gain time.

CONCEPTUAL ASPECTS

 In the present day context, conceptual aspect of negotiating is important
because both parties should be satisfied. This aspect is important in
industrial marketing where relationships are the focal point for synergistic
benefits between the manufacturer and supplier.
A conceptual approach is required because there may be several individual and
groups involved in the negotiation process.
The behavioural aspects will have to be used with several conceptual factors
in industrial marketing. Thus, behavioural and conceptual aspects are vital
in the negotiating technique.

As there are several individuals involved in organizational buying and
selling, each of them will carry a perception, which influences his thought-
process on the negotiation.

Preparing the backdrop helps a negotiating team to decide what kind of stance
it has to take on several factors that might figure in the negotiating
process.
Process of Planning – It is extremely difficult to plan the process, but a
negotiating team should consider the following aspects that are important:

What are the factors to be discussed initially? A company that purchases a
product of premium quality may not discuss price initially.
Should the negotiation be spread over a length of time? If so, what purpose
could it serve?
What are the factors on which the team should be rigid? What are the factors
on which the team could be flexible?
What unfavourable factors are likely to be raised by the other party and how
should they be tackled?
What logical reasons are to be accepted?


Every negotiating team should view the negotiating situation from the view
point of the other team. A condition of stalemate could be prevented if
factors important to both the teams are discussed after other factors being
discussed initially. A buying organization may accord a better price to a
supplier if he is able to formulate a warranty policy, which could appeal to
buying organization, which could appeal to buying organization.


ORGANIZATIONAL SITUATION –

In Industrial Marketing, negotiations tend to be organization specific; a
large company procuring bearings from multiple sources may classify its
suppliers in terms of procurement percentage and have a different kind of
negotiating with each of the suppliers.

Negotiating techniques may not enable the marketer to „win‟ the deal at all
times. It enriches the marketer with experience which could provide a unique
approach to several situation faced by him.
Q.10) Define Industrial Marketing Environment and explain the factors
influencing the industrial marketing environment.

Ans. INTRODUCTION TO INDUSTRIAL MARKETING ENVIRONMENT
The environment in which business functions can be divided into semi
controllable and uncontrollable environment. The semi controllable
environment, also known as the macro environment can be managed by the
organization. The tools utilized or managing or 4 P's of the marketing. The
uncontrollable environment also known as the external or macro environment
exists outside the organization‟s preview and it not controllable by
managers.

We will discuss the macro environment in the context of environmental
dynamics. The external or uncontrollable components comprise political,
legal, economic, technological, social, cultural and natural environments. In
addition to the above, government influences is also an uncontrollable factor
that needs to be understood by an industrial marketing manager. However, this
will be discussed as a separate issue in industrial marketing, as government
is both a regulator and also a customer. We will also analyze international
and modern trends in industrial marketing to have a comprehensive
understanding of environmental dynamics.

Industrial Marketing Environment starts with identifying Mega Trends means
Industrial markets. MEGA Trends means market opportunity takes birth at the
point of intersection where society / industry culture, changes in technology
and changes in mind set meet each other.



FACTORS INFLUENCING THE INDUSTRIAL MARKETING ENVIRONMENT:

The industrial marketing environment has three basic levels as   can be seen
from Figure attached for details. The first is the interaction   between the
buyer and the seller. This is also called the interface level.   The second is
the publics or stakeholders of the organization, and the third   is the macro
environment.

THE INTERFACE LEVEL
The interface level involves the key participant who interacts with an
industrial firm to facilitate production, distribution and sale of its
products and services. The inputs are transferred into output by the firm,
with value addition, and then supplied to the end markets.

SUPPLIERS OF INPUTS
The inward flow of materials to the organization is known as inputs. These
materials are part of the factors of production. The factors of production
i.e. inputs, raw material and parts, labor and capital, are supplied by the
extractive industries to the industrial firms for use in the production of
industrial products and services.

DISTRIBUTORS
Distributors contact potential buyers and negotiate orders. In addition, they
hold buffer stocks, provide credit to customers and offer technical assistant
to buyers. They also bring together different products to meet joint demand.

FACILITATORS
The facilitators of the process of interactions between a buyer and a seller
at the interface level are bankers transport agencies, research and
advertising firms. The advertising and public relations firm aid in the
communication flow between the seller and the buyers by formulating
information and media strategies through promotional campaigns. Advertising
is useful in reaching the multiple buying influencers present in industrial
marketing. It is practically not possible for salespersons to contact all
buying influencers present in industrial marketing. It is practically not
possible for salespersons to contact all buying influencers. In this
situation, advertising helps these salespeople to successfully close deals.
Public relations firm help organizations to develop and enhance their public
image.

COMPETITORS
A firm's decision to operate in a particular market is influenced by the
competition present in that market. The competitors can be domestic and
foreign. They influenced the organization‟s decision regarding target
markets, product mix, and distributor‟s channels and, in short the entire
marketing strategy. Gathering information about the competition has become
critical with the increasing no of competitors, declining market shares and
growing maturity of customers. Moreover, competition is become increasingly
global due to the liberalization of world economics.

PUBLICS
Publics are distinct groups that have an actual or potential interest or
impact on each firm's ability to achieve its respective goals. The different
publics listed below influence the interface level of interactions:
Financial Public
Press
Public interest groups
General public
Internal public or employees

FINANCIAL PUBLICS
The financial publications that invest in organization constitute the
financial publics the investment is different from the flow of products and
services at the interface level; the investing financial houses have minimal
impact on organizational considerations.

PRESS
The press is an independent moderator of the image of the organization.
Industrial firms are sensitive to the role played by the mass media in
achieving its marketing objectives. The publicity given by the press can be
positive or negative.

PUBLIC INTEREST GROUPS
Public interest groups are increasingly influencing business decision in the
industrial marketing area. These groups support environmental and ecological
causes, women‟s rights, or even minority welfare. The various public interest
groups limit the freedom of suppliers and buyers in the industrial markets.
Some organizations oppose these groups whereas some prefer to coordinate
their plans and advocate their causes.

GENERAL PUBLIC
The general public is not as coordinated and integrated as interest groups.
But it will work towards a cause if it is sufficiently motivated. The general
public is the target group for press and interest groups, as it compromises
the end customers and ultimate consumers in the business chain.

INTERNAL PUBLIC
The employees working in an organization constitute the internal public. This
includes people from top management, like the member of the board of
directors, to the factory workers. These internal public or employees have to
be motivated. They should feel happy working for the organization. If
employee morale is low, the organization will suffer.

MACRO ENVIRONMENT

The macro environment influences the public and also the interface level
process. The macro environment has six forces.
Economic environment
Natural environment
Culture and Social environment
Technological environment
Political / legal environment
Demographic environment

ECONOMIC INFLUENCES
Since, the world wide economic conditions influence the ability of
organizations to buy and sell, emerging trends have to be closely monitored
to take appropriate measures. The demand for industrial products is derived
in nature and the presence of derived demand forces industrial marketers to
monitor the changes in consumer purchasing power and savings. If consumption
by ultimate customers increases, the demand for raw materials and machinery
required increases, and if consumption power declines, the demand for
industrial products also declines.

NATURAL ENVIRONMENT
Environmental pollution is making the earth unsuitable for living a quality
life. To make natural resources pollution free, the major polluter‟s i.e.
industrial firm has to spruce up their production systems. Industries
involved in production of chemicals and pesticides have to device safety
measures to protect the environment. Disposal of waste materials is also
considered a basic responsibility of these firms as they are the culprits for
the high levels of mercury in the oceans.


PHYSICAL ENVIREONMENT INFLUENCES
The ability of firms to produce and market products and services for profit
requires a favorable combination of inputs. Natural endowments such as raw
materials, water, power, and combinations of inputs like skilled management,
labor and transportation confer advantages on an industrial firm to achieve
the above objective. An industrial firm with a cost-effective combination has
a competitive advantage over its rivals.

CULTURAL INFLUENCES
The customs and traditions of organizations influence organizational
structure and functioning. They also influence the interpersonal
relationships between employees. Though culture hardly has any influence on
product specifications. Joint ventures with organizations from different
cultures run the risk of cultural incompatibility.

TECHNOLOGICAL INFLUENCES
Changes in technology affect both manufacturer and customers in the
industrial marketing scenario. The manufacturer worry about the customers
following up the technological advancement and maintaining derived demand for
products: the customer worry about the impact of product design and the
manufacturing process of the manufacturer on quality and costs.

DEMOGRAPHIC INFLUENCE
Though demographic not have a direct impact on industrial marketing they have
to be monitored closely, as the demand for industrial products is derived.
Changing demographics influence consumer markets and the demand for raw
materials for making them is also affected.

POLITICAL AND LEGAL INFLUENCES
Organizations across countries base their decisions on the political
environment and the legal frame works existing in a country. The political
environment is distinct from governmental influences and comprises the
personal in charge of the government. The legal framework is related to the
existing business and civil laws, civil right and labor laws. The legal
influences also include the regulatory environment of the country.

GOVERNMENT'S INFLUENCE
Government performs various roles and responsibilities while discharging its
duties. In the process of performing their various activities governments
may aid, hamper or facilitate the industries marketing efforts. The law and
regulations framed by the government influences all participants at the
interface level. The government performs various activities that influence
industrial marketing like framing regulations protecting business from
outside competition when necessary, and protecting natural environment from
industrial pollution.
Q.13) Which factors influence industrial channel structure?

Some conditions that influence the choice of channel structure arise from the
nature of the market, others are related to the particularities of the
product, others are linked to the character and situation of the firm itself.

TYPE OF MARKET: Is the market horizontal or vertical?

If a manufacturer‟s product can be sold only to the members of one or few
industries, and the number of firms in each industry in small, direct
distribution is the most profitable method.
Closer contact can be maintained with customers and prospective customers and
the opportunities to make sales or usually improved by this marketing method
if on the other hand market is horizontal the product must be sold to buyers
in many industries.
E.g. most industrial supplies producers make use of distributors in their
marketing system, as do the makers of small tools widely used by many
industries.

MARKET FINANCIAL: Is the market potential large or small?

If the nature of the product is such that a substantial volume of sales is
available in the average area served by single salesman or branch warehouses,
direct marketing may prove profitable. If one contrary, the probable volume
of sales in a market area is small, the direct method may be too expensive.

TO WHAT EXTENT ARE THE POSSIBLE PURCHASERS CONCENTRATED GEOGRAPHICALLY?
If 70 or 80% of the total possible sales volume of a product is concentrated
in one or two limited market areas not unusual with industrial goods the
markers of such a product are likely to find that there is enough volume
available in those areas to support direct marketing.


PURCHASE POLICIES OF THE BUYER
By marking direct, a manufacturer may cut him off from the remaining 20% or
30% of the total volume, although he may be able to capture part or his
entire share of it through distributors located in the areas of thin demand.
What are the purchasing policies of the user? If the typical user of an
industrial good purchases in small orders and for quick delivery and its
marketer find it least closely and most satisfactory to sell through
distributions.

GROSS PROFIT AND PRICE VOLATILITY
When the sales are combining of the manufacturer goods, the gross profit is
small, who makes the item that enjoy higher margins and sold to the users.

How volatile is the price?
The price of many industrial material and some supplies is highly volatile.
The maker of such an item who markets through distributors has a constant
problem in adjusting the margins to compensate for shifts in price. If he
does not make such adjustments, he finds that part of the time distributors
are overcompensated in dollar receipts for services they rendered, while part



of time they do not receive enough for handling his product to make
satisfactory selling, stocking and handling services worthwhile.
PRODUCT INSTALLATION
Must the product be installed?
Many industries products must be installed in the users plat or installments.
In some cases such as of heavy complicated machinery, the nature of the
product and the market is such that work of installation must be done by the
maker, or be must advice, these trends to induce the use of direct channels
of marketing. In order cases, such as of communication equipment for use in
apartment, buildings, office buildings installations and factories,
specialized contractors have been developed to do the work of installation.

REQUIREMENT OF TECHNICAL SERVICES
How much technical service does the product require is use?
Many materials such as chemicals and some types of highly equipment such as
accounting, recording and statistical analysis machines demand the services
of carefully trained experts if the user is to enjoy the maximum benefit from
them. The buyer expects advice and help from the seller to obtain the
desired result. It the user of electronic recording and computing equipment
wants and analysis or control results not contemplated. When it was
installed, he expects the equipment maker to tell him how to get it.

QUALITY
How important is quality?
The quality specifications for some materials must be very exact and the
quality tolerances very narrow. This is especially so with materials that
goes into food or drug end products and with electronics or mechanical
control components.

WEIGHT OF THE PRODUCT
How bulky is the items?
If a product is 0 bulky that most of its user buy in carload or truck load
lots the tendency towards direct to user distribution is very strong. Speed
of delivery is most importance to the buyer manufacturer can sell direct
through his own salesman for factory shipment.

REPAIRS AND MAINTENANCE REQUIREMENTS
What kind of repair and maintenance service does the user need and how much?
The product is so complex that highly skilled specialist the manufacturer
must maintain some sort of service station from which they can operate and in
which stocks of part may be carried must service it. Marketer sees that the
repair parts are conveniently available to users. This can be accomplished
by through distributor as well as or better than by branch houses.

SIZE AND FINANCIAL POSITION OF THE INDUSTRIAL MARKETING
What is the firm size and financial position?
Is the marketer well financed and large or is he small and without adequate
financial backing? It can support a program of direct distribution that
requires the spending of money for sales effort the long-time investment of
funds in branch warehouse and accounts receivable. The house of distribution
or agent helps to achieve these ends only a few salesmen are needed to serve
the trade, they usually discount their bills.
MARKETING OBJECTIVES OF THE SUPPLIER
What are the seller marketing objectives?
If a manufacturer is marketing his product locally and intends to extend to
nationwide distribution, he will need a channel structure that facilitates
that expansion. If he will to diversity his products line he will needed a
channel that is flexible that it can be extend in to new markets and adding
new units rather than recognizing to reach each new type of customer. If
objective is making a profit by stemming the price through market sales is
high profit product or provision maximum, for service channel is most
suitable channel.
Q.14) Discuss the functions performed by advertising in industrial marketing.

Industrial advertising plays essential roles. It enables the sales force to
function more effectively and economically. It thus reduces selling costs
and boosts turnover. Industrial advertising also creates way of looking at
its role is to create awareness of the brand‟s existence among potential
buyers. But providing information of the brands uses and benefits, it
cerates a favorable attitude toward the brand. Creating a favorable attitude
toward the brand. Crating a favorable attitude is particularly desirable
because it increases the likelihood that new and loyal customer will be
created and that current customers will be held.

Advertisings help to convey a message in depth to a prospective buyer. The
decision-making network in industrial product purchase is complex and
normally the salesperson will not be regularly in touch with more than two
executives. The rest of the network will be hard and expensive to reach.
Hence an important task of advertising is to contact others on the network
and lead them to a fuller appreciation of the product and convince them to
buy if from their company. Where the market for an industrial product is wide
spread and many companies make a small volume of purchases the salesperson‟s
calls on them will be infrequent-perhaps once or twice a year. Advertising
fills the gap between these calls.

ADVERTISING FUNCTIONS
Industrial advertising and promotion can be seen as a viable and important
tool of the whole industrial marketing concept. A list of advertising
functions would include such important and varied ones as informing customers
and prospects about the seller and his products, identifying new customer,
winning recognition, supporting salesperson motivating distributors, and
stimulating primary demand.

DISSEMINATING INFORMATION
Since industrial products are purchased for rational reasons, effective
selling will need the support of a proper presentation of all the relevant
facts about the product. The primary function of all advertising, therefore,
is to inform people about the products and services of the advertiser. A
selling company spending money, manpower and talent on manufacturing products
of a high technical standard will expect its customer to want to know about
them what they will do, ad how to get the most out of them.

IDENTIFYING NEW CUSTOMER
Another function of advertising is to generate inquiries from potential
customers the firm might otherwise never know about. Though it is very
unlikely that industrial customer would make a decision to purchase the
product solely on the basis of advertisement, they can definitely be induced
to make request for additional information. To arouse such an interest, the
advertisement should be well written, highly factual, and well planned,
followed
by personal follow-up. Effectively planned advertising enhances the sales
call by arousing interest in the supplier‟s offering and by helping to create
supplier preference.

ESTABLISHING RECOGNITION
Advertising may be initiated to promote the selling firm itself rather than
any of its products.

The reasons for this approach could be -
The firm may have a wide variety of products in its selling range and it
cannot possibly advertise all of them.
The difference between the selling firm‟s products and those of its
competitors may be slight.
The firm finds it valuable to on company features like good quality control,
good research resources and technical services.
The products may be extremely dull in themselves, and so afford little scope
for preparation attractive advertisements or
There is no new market growth for the firm.

SUPPORTING SALESLPERSONS
Occasionally, advertising can provide valuable support for salesperson by
helping to dissipate unfavorable attitudes about the company or its product.
It is also helpful in improving the image or a company that has lost its
reputation due to some technical faults in its products.

MOTIVATING DISTRIBUTORS
Industrial products are sometimes distributed through distributors, or
manufactures or sales agent. Since these middlemen usually handle products
of other manufacturers also, the producer should convince them to devote
sufficient time and energy to sell his products. This task can be made
easier by supplying the middlemen with advertising literature that points out
the advantages of pushing the company‟s line, such as wide margins, large
sales potential, rapid turnover, or the relatively small investment required.

STIMULATING PRIMARY DEMAND
Industrial products advertising can also be used as an effective means to
boost the sales the sales of the products of the customers. For example,
steel, rubber and computer hardware manufacturers often place advertisement
in consumer media promoting the virtue of their products like furniture,
types and computes respectively. Advertisement of trademark component parts
is undertaken by producers of such parts to induce the end users to specify
end products containing the parts manufactured by them. It is not uncommon
for computer buyers to specify that they want Intel Pentium inside their
computers.

SALES APPEALS
A sales appeal is an argument, a fact, an idea or an expression of an
attitude or emotion that the advertiser thinks will induce a prospective
buyer to react favorably to his message. The appeal should promise to help
the buyer achieve his own objectives. A good industrial advertisement should
have about it an air of promise for the reader and inspire belief.

Sales appeals should e determined on the basis of the buying motives of the
prospective customers. Buying motives may be classified as basic and
patronage.

Industrial marketers can gain an understanding of customer motives by
studying the customer‟s production systems and organizational structures as
well as the outlook and attitude of their executives. Some management are
very conservative in their outlook and approach while others are more risk
oriented and willing to experiment with innovative concepts and methods.
With such an understanding, the advertiser can formulate sales appeals that
address his audience‟s problems and responsibilities.

MESSAGE FORMULATION AND POLICY
Industrial advertising depends on the reader‟s understanding of the message
to take cognitive decision in buying the advertised product. He needs to
make correct decisions heavily dependent on performance and value facts.
Though purchase is made of physical products, in deeper sense, the industrial
buyers are buying problem solving benefits and abilities to improve
operations. Thus, industrial advertising must provide the reader with useful
information in simple words regarding the intangible benefits.

MESSAGE FORMULATION
Advertising message must be formulated on the basis of the supplier‟s
product‟s ability to assist in solving customer problems and relating to the
needs of the target audience. Major considerations before developing message
strategy are
Determining the audience‟s needs by seeking out the kind of readers that the
manufacturers would like to reach.
Message content: Whether the message should be confined to important
specifics or it should be elaborate. Elaborate advertisement can be
developed around car histories in the form of testimonials, short stories or
audience participation, or a straightforward narration regarding the
company‟s product and its uses.
Q.16) Explain Industrial Marketing Research Process. How industrial
Marketing Research differs to consumer marketing research?

Ans.16 Research is undertaken to obtain valuable inputs on variables.
Marketing research is conducted to gather reliable information that will
facilitate planning and control of marketing activity. Therefore, the
success of marketing efforts is dependent on the research methods used to
gather data. Marketing research then is a process starting with problem
definition and concluding with the presentation of findings. Five basic
steps constitute the marketing research process:

Defining the problem
Developing research objectives
Collection of information
Analysis of the information
Presentation of the findings.

Let us examine these five basic steps in details to gain a comprehensive
undertaking of the marketing research process.

DEFINING THE PROBLEM

Problem definition is very important because the purpose of marketing
research is to solve the problem or understand it better. If the decision-
makers are vague about the various specific aspects of the problem then a lot
of research efforts going to be misdirected. The researcher‟s efforts of the
problem rather than the problem per se. Only a small portion of the actual
problem might be known if these efforts not property directed.

RESEARCH OBJECTIVE
Research objectives are statements that outline the aims of the above step.
These research objectives from the basis on which the research is conducted.
If the research problem is to find the “Demand for product X” then several
research objectives can be developed. These objectives can be like

Determining the number of firms in different industries that would desire the
product.
Estimating the consumption by these firms of similar products.
Estimating the potential gross sales possible.



 INFORMATION COLLECTION
Information collection is the third step in the marketing research process.
There are basically two sources of information: primary sources and secondary
sources. Primary data is data that is especially collected for the problem
to aid decision-making. Secondary data refers to data that already exists
and is published by various agencies. It is available free or on payment to
the general public.
Q.1 a) Define Industrial Marketing

Marketing is the identification and satisfaction of a customer's needs and
wants. Marketing thus starts with the customer. The emphasis is completely on
the customer. The Industrial marketing concept therefore views the marketing
function of a company in relation to its strategy.

DEFINITIONS OF INDUSTRIAL MARKETING:
Industrial Marketing is a human activity directed towards satisfying the
needs and wants and demands of organizations through exchange process.
Industrial Marketing is the marketing to customers who utilize the products
and services they buy for manufacturing some other products, not for personal
use.
Industrial Marketing consists of all the activities involved in the marketing
of products and services to the organizations that use these products and
services for the production of other consumer or industrial products and
services.


Q.1 b) Explain Industrial Marketing Concept

INDUSTRIAL MARKETING CONCEPT

Industrial marketing concept refers to marketing from an organizational
perspective. Industrial marketing has been classified into three dimensions

a) Philosophical
b) Functional and organizational

Marketing As Business Philosophy Dimension:

The resources allocation of a business is done commonly based on the market
demand. But, this concept of resources allocation ignores the efforts for
identifying new markets. Demand creation and stimulation is thus ignored in
this concept. As a result resource allocation now is being increasingly
influenced by the search for new business opportunities. Modern business
allocates resources keeping in view not only the present demand, but also the
new business venture available and resources required for exploiting them.

The factors of production in Industrial   market are land, labor, capital and
organization. The output is the product   and service for satisfying for the
present demand and the new products and   product ideas with no present demand.
To manage the input-output systems, the   marketing managers have to have
knowledge of the following:

Identification Of Opportunities:
As a business philosophy, Industrial marketing takes into consideration the
customer‟s requirement i.e. the requirement of the customer and also that of
the immediate customer. By understanding the requirement of the customer, who
is a customer for the Industrial customer, we can get an understanding of the
requirement of the Industrial customers. The purpose for which the products
and services are being bought should also be taken into consideration, as
marketing involves satisfying the needs and want of customers through
suitable products. The needs and wants, and not the actual products being
bought, have to be analyzed. This analysis will reveal the opportunities to
be exploited.

SETTING GOALS FOR EXPLOITATION
Goals setting follow the identification of opportunities; goals are self-
based on the extent of exploitation desired and the resources being allocated
for this purpose.

PREPARATION OF PLANS
After setting the goals, the organization has to prepare the plans. These
plans outline the activities to be performed the realizing the goals
identified. The plans cover the activities to be performed by each functional
area, and also the resources allocated for achieving the goals.

RESOURCES COMMITMENT
After the resource commitments are identified by the plans, the organization
has to allocate the resources available and raise resources to make the
investment required for exploitation of the opportunities. The resources
commitment determines the choice of opportunities.

EVALUATE RESULTS
The resource commitment by the company is the starting point for the
implementation of the plans. The result of this implementation is then
evaluated. For purpose of evaluation the goals are compared with the actual
result.


INDUSTRIAL MARKETING AS A FUNCTIONAL DIMENSION:

Industrial marketing aims to understand the requirement of end users (I.e.)
the customers of the products and services that are produced using industrial
products. The characteristic of needs identified should then be translated
into technical details and performance parameters.

The data collected by asking such questions is prejudiced and not useful in
planning for opportunities. For making decisions, the marketing manager has
to collect information from many sources and has to evaluate the data so
collected, keeping in view the deficiencies of each source.

Making starts with the identification of opportunities and deciding on the
opportunity to exploit. The decision on the needs to be fulfilled is termed
the mission of the company. After the


mission is framed, the customers whose needs related to the mission are
identified. The identified customers form the market for the opportunity. A
comparison of the needs of this market with the functions performed by the
company gives the seller an understanding of the operating system present in
the customer‟s organization. The systems identified are matched to the
product characteristic first, and then to the output capabilities of the
marketer. This marketing process gives a rough idea of the future
opportunities and the product characteristics, pricing policies, and
distribution channel necessary to capture them. The combination of the above
three (mission, market and system) gives rise to the strategy to be followed
by the company. The decision marketing process followed in choosing
opportunities and developing strategies is depicted figure attached herewith.

Q.3) In how many ways the industrial products can be classified? Discuss the
characteristics and the marketing for each class of the product.

INTRODUCTION
The type of demand for industrial goods is different as compared to consumer
goods. It is more inclined towards derived nature of the demand.

MARKET LEVELS & PRODUCT TYPES
There are different product market levels and it is important to identify
them to gain an insight about the demand for industrial goods and how the
buyers classify these products. This helps a marketer in choosing a
distribution channel and an effective means for promotion.

These are at least the following general classification of goods: -

Major equipment
Accessory equipment
Fabricating part
Operating supplies and
Raw materials.


MAJOR EQUIPMENT

This category includes large machines or other tools whose unit purchases
price are so great that expenditures for them are charged to a capital
account and not the current account.
Major equipment is of 2 types – multipurpose or standard machines and special
or single purpose machines. Multipurpose machines can be used by a number of
different industries or by many firms in the same industry. By minor
adjustments, standard machines can be adapted to several kinds of work.
Single purpose machines are designed to perform one particular operation and
no other.

MINOR OR ACCESSORY EQUIPMENT

Minor or accessory equipment is machinery used in an auxiliary capacity. Its
unit price is lesser than that of major equipment, and its cost is generally
charged to the current account. Such purchases are likely to be made in a
routine manner and involve lesser negotiation.

Most minor equipment items are standardized and suited to the performance of
a function involved in more than one of the operations of a business.

FABRICATING OR COMPONENT PART

The work is production is carried on by a series of plants, often under
diverse ownership, each performing a single operation or homogeneous group of
operations on the material. As the process approaches the final, finished
product stage the work of production becomes more and more a matter of
assembling finished parts, bought from different suppliers, into an


article ready for use and final safe. For example, even large automobile
manufacturers find it necessary to buy items from thousands of small
suppliers.

PROCESS MATERIAL

Process material closely resembles component parts in that they usually enter
into and form an indistinguishable part of the finished product. For example,
a good manufacturer may buy a variety of ingredients, mix then in proper
proportions, and sell the resulting material on the market as a cake mix.
Process material different from component parts chiefly in that most of them
cannot be identified so that they can be recognized in the final product. For
very few of them there is a replacement market. They tend to be bought on the
specifications prepared by the buyer or accounting to the specification
developed by the trade, often with the help of Government agencies.


OPERATING SUPPLIER

Operating supplies do not become a part of the finished product, but for the
most part are continuously worn out or used up in the process of operating or
facilitating the operation of an enterprise. Such items as paints, soaps and
detergents etc. fall in this category.

RAW MATERIAL

Raw materials are the basic materials of industry. They usually have
undergone only such processing as is necessary for convenience in handling
and transportation or for standardization to facilitate their use or purchase
and sale.

Raw materials are supplied chiefly by agriculture and the lumbering, mining
and finishing industries. The industries other than agriculture that extract
raw materials exhibit a strong tendency to integrate their extraction with
the performance of at least the early process of refinement and fabrication.
For example the steel companies carry the production process from the ore in
the ground through to the point where they are able to offer rods, beams,
sheets etc. to their customers.

Q.5) Compare consumer goods Marketing with Industrial Grades Marketing.


Element for comparison Consumer Goods Marketing Industrial Goods Marketing
A) Market Geographically dispersed all 1) Geographically concentrated
Structure over the country. part of the country.     It known as mass market
since     many customers for the       product.     Mono politic competition
may 2) As compared to consumer goods,    prevail. it has fewer buyers.
Demand is directly from users. 3) Normally oligopolistic competition       is
seen.    4) Demand is derived. B) Products Products are bought in ones 5)
Large quantities or high value    and twos. equipment are involved.     Service
is somewhat important. 6) Service is a strategic weapon.    Most of the
products are standard. 7) Customized and technically    Cost of maintenance is
not   complex products.   important. 8) More focus is a cost of
maintenance. C) Buyer Family Involvement 9) Functional Department
Behaviour Impulse buying – social /    Involvement   psychological or
emotional motives 10) Impulse Buying Not Allowed,     predominate. rather
Rational or task motives   Less or no technical expertise predominate.
needed in buying. 11) More technical knowledge is     No reciprocity between
consumer required in buying.     and manufacturer i.e., no inter 12) The
customer and manufacture   dependence. are inter dependent i.e.,      Less
important to personal relation- reciprocity does exist.     ships between
customer and 13) More important to personal     manufacturer. relationship
between customer   D) Decision For quality tests are conducted and
manufacturer. Making by the consumers. 15) All quality tests are checked by
Consume are relatively amateur in the consumers.     decision making. 16)
Consumers are professionals in     Emotional or Irrational decision decision
making.   might be possible. 17) Only relation decisions are taken.      18)
More emphasis placed on      negotiation skills.   Negotiation takes place
less 19) More influences exists on   frequently and less important decision-
making process.   Less number of influences on      decision making process.
E) Making Sales or thought retail outlets. 20) Sales or thought direct
channel   Channels    as well thought middlemen.   Long channels (more light
and 21) Normally short channel required.    more broad) required. 22)
Recognized purchases.    Un-recognized purchases. 23) Less retail outlets.
More retail outlets exist. 24) Less stock holding channel     More stock
holding channel members.     members.    F)Promotion Advertising and sales
promotion 25) Personal selling is the powerful     are more popular promo-
tools. tool.     26) Less ad-budget say 0.5-5% of     More ad-budget possible
say the sales turnover.     5-10% of the sales turnover.    G) Price Buying
only once and that too in 27) Every Transaction, may be     ones, may not
influence price. buying once , is important for the       industrial marketer
and       hence may effect the price    List price selling. 28) Competitive
bidding.   Negotiation on price is rarely made 29) Negotiation on price for
all types   by consumer for convenience    of goods is made by industrial
goods. customers.     Simple pricing policies. 30) Complex pricing policies.
Products are not leased excepts 31) Products are normally leased      high
value products. except low value products.
Q.7) Describe the characteristics of Industrial Buyers.

     Industrial Buyer Characteristics can be categorised into 10 types:

Fewer Buyers: Industrial marketer deals with fewer buyers than consumer
marketer. Indian tyre manufacturers like MRF, J.K., Coat, Apollo, etc.
earlier only dependent on OEMS i.e., automobile manufacturers for selling
tyres.

Larger Buyers: Many markets are characterized by a high buyer-concentration
ratio few large buyers do most of the purchase. In Indian can industry MUL is
single largest buyer or tyres equal to 3.5 lacs cars into five tyres per car,
which is almost 75% of total car tyre market size. Similarly in HCV segment,
TELCO every year 1 lac HCVs into seven tyres per HCV, which accounts for 80%
of HCV type market size?

Business Relationship: As industrial market has smaller customer base and
normally power is concentrated with heavy-seller. Suppliers are frequently
expected to customer their offerings to individual buyer‟s needs. Orders are
finalized with those suppliers who co-operate with buyer on technical
specifications and delivery schedule requirements. For example, during, 1995
when Government of India sanctioned licenses to 12 new car manufacturers to
face competition MUL asked their battery partner Exide, to enhance guarantee
from one year to three years, without increase in price. Exide could not
confirm the clause in time; hence MUL finalized the deal with Standard
Batteries, who offered 2 years guarantee period.

Geographic concentration of buyers: Industrial buyers are normally
concentrated in particular city, region of area. For example most of the
automobile producers are from Pune like Bajaj, Kinetic, Telco etc. Similarly
Refinery business is concentrated in and around Mumbai. Practically every
firm like PBCL, HPCL, IOC, ONGC has refinery near Mumbai.

Derived Demand: The demand for industrial goods is ultimately, dependant on
demand for automobiles or demand for animal skins depends on demand for
leader goods etc. For this particular reason, the industrial marketer must
monitor the micro changes in buyer‟s pattern of ultimate consumers.

In-elastic demand: The demand for many industrial products is inelastic. For
example till LPG in control of Government irrespective of any price-rise,
consumers are going to buy it. Ultimately suppose tomorrow LPG prices drop by
say 25% customer will not buy more to stock it.

Fluctuating Demand: The demand for industrial goods and services tends to be
more fluctuating. This is especially true for turn-key projects, new
equipment and machinery. A given percentage increase in consumer demand can
lead to a much larger percentage increase in the demand for plant and
machinery, necessary to produce the additional increase in the demand for
plant and machinery, necessary to produce the


additional output. For example during the year 94-95, the Indian car market
saw 37% increases in demand over previous year. Producers thought, if this
speed continues, by 2000 AD, Indian market will have demand of 8,00,000 cars
per annum. With this economics in mind 12 new players jumped into car-
manufacturing field, with total installed capacity 10,00,000 cars per annum.
However demand growth rate did not keep the pace and slowed down to 8-10%
because of which only these players will survive who can sustain losses.
Similarly after rise of cellular phones, mobiles, demand for pager slowed
down dramatically, resulting in close down of production of pagers by same
firms.

Professional Purchasing: Industrial goods are bought by trained purchase
officers, who spend their professionalism in how to buy better. Their
professional approach and greater ability to evaluate technical information
leads to more cost-effective buying. This means, industrial marketer has to
provide more technical data to such buyers. Moreover, marketers have to
recruit skilled technical personnel to sort out quarries by buyers.

Several Buying in Fluencies: In industry-buying, many people are involved.
Buying committees consist of technical and commercial experts at senior and
middle management levels. Hence the communication mix needs to design in such
a way that all influences get required information.

Other Characteristics:

Direct purchasing – Industrial buyers prefer to produce directly from
producer.
Reciprocity – Buyer selects such suppliers, who also buy from them.
Leasing – Leasing and or hire-purchase is new buzzword in industrial purchase
due to various benefits or taxes and depreciation.
Q.9) What do you understand by Negotiation? What is the importance of
negotiation skill in industrial marketing?


Negotiation is traditionally associated with behavioral aspects, but business
scenario today demands negotiating techniques that are beyond behavioral
aspects – they will have to be organization specific.

Excellent product, extensive distribution, impressive promotion and valued
based pricing – these aspects alone cannot win a deal for the marketer
especially in business-to-business marketing. Negotiating technique is one of
the key factors involved in enabling the marketer to clinch the deal.

Several aspects of business negotiation are –

BEHAVIOURAL ASPECTS

These aspects assume a lot of significance in the day to day bargaining that
individuals indulge in consumer non-durables sold in retail outlets where
there is a lot of scope for behavioural aspects to be employed directly. Even
in „high-pressure‟ negotiations, behavioural aspects could be useful but the
degree of influences, which these aspects have, may be overshadowed by
logical facts that either party provides.
The basic behavioural aspects of negotiating techniques are the pre-
requisites, which an industrial marketer should possess. The behavioural
approach could start from the analysis of communication (at the individual
level) and end with a specific strategy taking into consideration the
circumstances of negotiation. Negotiating with the consumer would depend on
the nature of his need.

While negotiating for a price discount, a manufacturer may deliberately start
up another issue concerning proper delivery schedule and ask the supplier to
work out a schedule to suit his demand pattern. This tactics may be applied
to gain time.

CONCEPTUAL ASPECTS

 In the present day context, conceptual aspect of negotiating is important
because both parties should be satisfied. This aspect is important in
industrial marketing where relationships are the focal point for synergistic
benefits between the manufacturer and supplier.
A conceptual approach is required because there may be several individual and
groups involved in the negotiation process.
The behavioural aspects will have to be used with several conceptual factors
in industrial marketing. Thus, behavioural and conceptual aspects are vital
in the negotiating technique.

As there are several individuals involved in organizational buying and
selling, each of them will carry a perception, which influences his thought-
process on the negotiation.

Preparing the backdrop helps a negotiating team to decide what kind of stance
it has to take on several factors that might figure in the negotiating
process.
Process of Planning – It is extremely difficult to plan the process, but a
negotiating team should consider the following aspects that are important:

What are the factors to be discussed initially? A company that purchases a
product of premium quality may not discuss price initially.
Should the negotiation be spread over a length of time? If so, what purpose
could it serve?
What are the factors on which the team should be rigid? What are the factors
on which the team could be flexible?
What unfavourable factors are likely to be raised by the other party and how
should they be tackled?
What logical reasons are to be accepted?


Every negotiating team should view the negotiating situation from the view
point of the other team. A condition of stalemate could be prevented if
factors important to both the teams are discussed after other factors being
discussed initially. A buying organization may accord a better price to a
supplier if he is able to formulate a warranty policy, which could appeal to
buying organization, which could appeal to buying organization.


ORGANIZATIONAL SITUATION –

In Industrial Marketing, negotiations tend to be organization specific; a
large company procuring bearings from multiple sources may classify its
suppliers in terms of procurement percentage and have a different kind of
negotiating with each of the suppliers.

Negotiating techniques may not enable the marketer to „win‟ the deal at all
times. It enriches the marketer with experience which could provide a unique
approach to several situation faced by him.
Q.10) Define Industrial Marketing Environment and explain the factors
influencing the industrial marketing environment.

Ans. INTRODUCTION TO INDUSTRIAL MARKETING ENVIRONMENT
The environment in which business functions can be divided into semi
controllable and uncontrollable environment. The semi controllable
environment, also known as the macro environment can be managed by the
organization. The tools utilized or managing or 4 P's of the marketing. The
uncontrollable environment also known as the external or macro environment
exists outside the organization‟s preview and it not controllable by
managers.

We will discuss the macro environment in the context of environmental
dynamics. The external or uncontrollable components comprise political,
legal, economic, technological, social, cultural and natural environments. In
addition to the above, government influences is also an uncontrollable factor
that needs to be understood by an industrial marketing manager. However, this
will be discussed as a separate issue in industrial marketing, as government
is both a regulator and also a customer. We will also analyze international
and modern trends in industrial marketing to have a comprehensive
understanding of environmental dynamics.

Industrial Marketing Environment starts with identifying Mega Trends means
Industrial markets. MEGA Trends means market opportunity takes birth at the
point of intersection where society / industry culture, changes in technology
and changes in mind set meet each other.



FACTORS INFLUENCING THE INDUSTRIAL MARKETING ENVIRONMENT:

The industrial marketing environment has three basic levels as   can be seen
from Figure attached for details. The first is the interaction   between the
buyer and the seller. This is also called the interface level.   The second is
the publics or stakeholders of the organization, and the third   is the macro
environment.

THE INTERFACE LEVEL
The interface level involves the key participant who interacts with an
industrial firm to facilitate production, distribution and sale of its
products and services. The inputs are transferred into output by the firm,
with value addition, and then supplied to the end markets.

SUPPLIERS OF INPUTS
The inward flow of materials to the organization is known as inputs. These
materials are part of the factors of production. The factors of production
i.e. inputs, raw material and parts, labor and capital, are supplied by the
extractive industries to the industrial firms for use in the production of
industrial products and services.

DISTRIBUTORS
Distributors contact potential buyers and negotiate orders. In addition, they
hold buffer stocks, provide credit to customers and offer technical assistant
to buyers. They also bring together different products to meet joint demand.

FACILITATORS
The facilitators of the process of interactions between a buyer and a seller
at the interface level are bankers transport agencies, research and
advertising firms. The advertising and public relations firm aid in the
communication flow between the seller and the buyers by formulating
information and media strategies through promotional campaigns. Advertising
is useful in reaching the multiple buying influencers present in industrial
marketing. It is practically not possible for salespersons to contact all
buying influencers present in industrial marketing. It is practically not
possible for salespersons to contact all buying influencers. In this
situation, advertising helps these salespeople to successfully close deals.
Public relations firm help organizations to develop and enhance their public
image.

COMPETITORS
A firm's decision to operate in a particular market is influenced by the
competition present in that market. The competitors can be domestic and
foreign. They influenced the organization‟s decision regarding target
markets, product mix, and distributor‟s channels and, in short the entire
marketing strategy. Gathering information about the competition has become
critical with the increasing no of competitors, declining market shares and
growing maturity of customers. Moreover, competition is become increasingly
global due to the liberalization of world economics.

PUBLICS
Publics are distinct groups that have an actual or potential interest or
impact on each firm's ability to achieve its respective goals. The different
publics listed below influence the interface level of interactions:
Financial Public
Press
Public interest groups
General public
Internal public or employees

FINANCIAL PUBLICS
The financial publications that invest in organization constitute the
financial publics the investment is different from the flow of products and
services at the interface level; the investing financial houses have minimal
impact on organizational considerations.

PRESS
The press is an independent moderator of the image of the organization.
Industrial firms are sensitive to the role played by the mass media in
achieving its marketing objectives. The publicity given by the press can be
positive or negative.

PUBLIC INTEREST GROUPS
Public interest groups are increasingly influencing business decision in the
industrial marketing area. These groups support environmental and ecological
causes, women‟s rights, or even minority welfare. The various public interest
groups limit the freedom of suppliers and buyers in the industrial markets.
Some organizations oppose these groups whereas some prefer to coordinate
their plans and advocate their causes.

GENERAL PUBLIC
The general public is not as coordinated and integrated as interest groups.
But it will work towards a cause if it is sufficiently motivated. The general
public is the target group for press and interest groups, as it compromises
the end customers and ultimate consumers in the business chain.

INTERNAL PUBLIC
The employees working in an organization constitute the internal public. This
includes people from top management, like the member of the board of
directors, to the factory workers. These internal public or employees have to
be motivated. They should feel happy working for the organization. If
employee morale is low, the organization will suffer.

MACRO ENVIRONMENT

The macro environment influences the public and also the interface level
process. The macro environment has six forces.
Economic environment
Natural environment
Culture and Social environment
Technological environment
Political / legal environment
Demographic environment

ECONOMIC INFLUENCES
Since, the world wide economic conditions influence the ability of
organizations to buy and sell, emerging trends have to be closely monitored
to take appropriate measures. The demand for industrial products is derived
in nature and the presence of derived demand forces industrial marketers to
monitor the changes in consumer purchasing power and savings. If consumption
by ultimate customers increases, the demand for raw materials and machinery
required increases, and if consumption power declines, the demand for
industrial products also declines.

NATURAL ENVIRONMENT
Environmental pollution is making the earth unsuitable for living a quality
life. To make natural resources pollution free, the major polluter‟s i.e.
industrial firm has to spruce up their production systems. Industries
involved in production of chemicals and pesticides have to device safety
measures to protect the environment. Disposal of waste materials is also
considered a basic responsibility of these firms as they are the culprits for
the high levels of mercury in the oceans.


PHYSICAL ENVIREONMENT INFLUENCES
The ability of firms to produce and market products and services for profit
requires a favorable combination of inputs. Natural endowments such as raw
materials, water, power, and combinations of inputs like skilled management,
labor and transportation confer advantages on an industrial firm to achieve
the above objective. An industrial firm with a cost-effective combination has
a competitive advantage over its rivals.

CULTURAL INFLUENCES
The customs and traditions of organizations influence organizational
structure and functioning. They also influence the interpersonal
relationships between employees. Though culture hardly has any influence on
product specifications. Joint ventures with organizations from different
cultures run the risk of cultural incompatibility.

TECHNOLOGICAL INFLUENCES
Changes in technology affect both manufacturer and customers in the
industrial marketing scenario. The manufacturer worry about the customers
following up the technological advancement and maintaining derived demand for
products: the customer worry about the impact of product design and the
manufacturing process of the manufacturer on quality and costs.

DEMOGRAPHIC INFLUENCE
Though demographic not have a direct impact on industrial marketing they have
to be monitored closely, as the demand for industrial products is derived.
Changing demographics influence consumer markets and the demand for raw
materials for making them is also affected.

POLITICAL AND LEGAL INFLUENCES
Organizations across countries base their decisions on the political
environment and the legal frame works existing in a country. The political
environment is distinct from governmental influences and comprises the
personal in charge of the government. The legal framework is related to the
existing business and civil laws, civil right and labor laws. The legal
influences also include the regulatory environment of the country.

GOVERNMENT'S INFLUENCE
Government performs various roles and responsibilities while discharging its
duties. In the process of performing their various activities governments
may aid, hamper or facilitate the industries marketing efforts. The law and
regulations framed by the government influences all participants at the
interface level. The government performs various activities that influence
industrial marketing like framing regulations protecting business from
outside competition when necessary, and protecting natural environment from
industrial pollution.
Q.13) Which factors influence industrial channel structure?

Some conditions that influence the choice of channel structure arise from the
nature of the market, others are related to the particularities of the
product, others are linked to the character and situation of the firm itself.

TYPE OF MARKET: Is the market horizontal or vertical?

If a manufacturer‟s product can be sold only to the members of one or few
industries, and the number of firms in each industry in small, direct
distribution is the most profitable method.
Closer contact can be maintained with customers and prospective customers and
the opportunities to make sales or usually improved by this marketing method
if on the other hand market is horizontal the product must be sold to buyers
in many industries.
E.g. most industrial supplies producers make use of distributors in their
marketing system, as do the makers of small tools widely used by many
industries.

MARKET FINANCIAL: Is the market potential large or small?

If the nature of the product is such that a substantial volume of sales is
available in the average area served by single salesman or branch warehouses,
direct marketing may prove profitable. If one contrary, the probable volume
of sales in a market area is small, the direct method may be too expensive.

TO WHAT EXTENT ARE THE POSSIBLE PURCHASERS CONCENTRATED GEOGRAPHICALLY?
If 70 or 80% of the total possible sales volume of a product is concentrated
in one or two limited market areas not unusual with industrial goods the
markers of such a product are likely to find that there is enough volume
available in those areas to support direct marketing.


PURCHASE POLICIES OF THE BUYER
By marking direct, a manufacturer may cut him off from the remaining 20% or
30% of the total volume, although he may be able to capture part or his
entire share of it through distributors located in the areas of thin demand.
What are the purchasing policies of the user? If the typical user of an
industrial good purchases in small orders and for quick delivery and its
marketer find it least closely and most satisfactory to sell through
distributions.

GROSS PROFIT AND PRICE VOLATILITY
When the sales are combining of the manufacturer goods, the gross profit is
small, who makes the item that enjoy higher margins and sold to the users.

How volatile is the price?
The price of many industrial material and some supplies is highly volatile.
The maker of such an item who markets through distributors has a constant
problem in adjusting the margins to compensate for shifts in price. If he
does not make such adjustments, he finds that part of the time distributors
are overcompensated in dollar receipts for services they rendered, while part



of time they do not receive enough for handling his product to make
satisfactory selling, stocking and handling services worthwhile.
PRODUCT INSTALLATION
Must the product be installed?
Many industries products must be installed in the users plat or installments.
In some cases such as of heavy complicated machinery, the nature of the
product and the market is such that work of installation must be done by the
maker, or be must advice, these trends to induce the use of direct channels
of marketing. In order cases, such as of communication equipment for use in
apartment, buildings, office buildings installations and factories,
specialized contractors have been developed to do the work of installation.

REQUIREMENT OF TECHNICAL SERVICES
How much technical service does the product require is use?
Many materials such as chemicals and some types of highly equipment such as
accounting, recording and statistical analysis machines demand the services
of carefully trained experts if the user is to enjoy the maximum benefit from
them. The buyer expects advice and help from the seller to obtain the
desired result. It the user of electronic recording and computing equipment
wants and analysis or control results not contemplated. When it was
installed, he expects the equipment maker to tell him how to get it.

QUALITY
How important is quality?
The quality specifications for some materials must be very exact and the
quality tolerances very narrow. This is especially so with materials that
goes into food or drug end products and with electronics or mechanical
control components.

WEIGHT OF THE PRODUCT
How bulky is the items?
If a product is 0 bulky that most of its user buy in carload or truck load
lots the tendency towards direct to user distribution is very strong. Speed
of delivery is most importance to the buyer manufacturer can sell direct
through his own salesman for factory shipment.

REPAIRS AND MAINTENANCE REQUIREMENTS
What kind of repair and maintenance service does the user need and how much?
The product is so complex that highly skilled specialist the manufacturer
must maintain some sort of service station from which they can operate and in
which stocks of part may be carried must service it. Marketer sees that the
repair parts are conveniently available to users. This can be accomplished
by through distributor as well as or better than by branch houses.

SIZE AND FINANCIAL POSITION OF THE INDUSTRIAL MARKETING
What is the firm size and financial position?
Is the marketer well financed and large or is he small and without adequate
financial backing? It can support a program of direct distribution that
requires the spending of money for sales effort the long-time investment of
funds in branch warehouse and accounts receivable. The house of distribution
or agent helps to achieve these ends only a few salesmen are needed to serve
the trade, they usually discount their bills.
MARKETING OBJECTIVES OF THE SUPPLIER
What are the seller marketing objectives?
If a manufacturer is marketing his product locally and intends to extend to
nationwide distribution, he will need a channel structure that facilitates
that expansion. If he will to diversity his products line he will needed a
channel that is flexible that it can be extend in to new markets and adding
new units rather than recognizing to reach each new type of customer. If
objective is making a profit by stemming the price through market sales is
high profit product or provision maximum, for service channel is most
suitable channel.
Q.14) Discuss the functions performed by advertising in industrial marketing.

Industrial advertising plays essential roles. It enables the sales force to
function more effectively and economically. It thus reduces selling costs
and boosts turnover. Industrial advertising also creates way of looking at
its role is to create awareness of the brand‟s existence among potential
buyers. But providing information of the brands uses and benefits, it
cerates a favorable attitude toward the brand. Creating a favorable attitude
toward the brand. Crating a favorable attitude is particularly desirable
because it increases the likelihood that new and loyal customer will be
created and that current customers will be held.

Advertisings help to convey a message in depth to a prospective buyer. The
decision-making network in industrial product purchase is complex and
normally the salesperson will not be regularly in touch with more than two
executives. The rest of the network will be hard and expensive to reach.
Hence an important task of advertising is to contact others on the network
and lead them to a fuller appreciation of the product and convince them to
buy if from their company. Where the market for an industrial product is wide
spread and many companies make a small volume of purchases the salesperson‟s
calls on them will be infrequent-perhaps once or twice a year. Advertising
fills the gap between these calls.

ADVERTISING FUNCTIONS
Industrial advertising and promotion can be seen as a viable and important
tool of the whole industrial marketing concept. A list of advertising
functions would include such important and varied ones as informing customers
and prospects about the seller and his products, identifying new customer,
winning recognition, supporting salesperson motivating distributors, and
stimulating primary demand.

DISSEMINATING INFORMATION
Since industrial products are purchased for rational reasons, effective
selling will need the support of a proper presentation of all the relevant
facts about the product. The primary function of all advertising, therefore,
is to inform people about the products and services of the advertiser. A
selling company spending money, manpower and talent on manufacturing products
of a high technical standard will expect its customer to want to know about
them what they will do, ad how to get the most out of them.

IDENTIFYING NEW CUSTOMER
Another function of advertising is to generate inquiries from potential
customers the firm might otherwise never know about. Though it is very
unlikely that industrial customer would make a decision to purchase the
product solely on the basis of advertisement, they can definitely be induced
to make request for additional information. To arouse such an interest, the
advertisement should be well written, highly factual, and well planned,
followed
by personal follow-up. Effectively planned advertising enhances the sales
call by arousing interest in the supplier‟s offering and by helping to create
supplier preference.

ESTABLISHING RECOGNITION
Advertising may be initiated to promote the selling firm itself rather than
any of its products.

The reasons for this approach could be -
The firm may have a wide variety of products in its selling range and it
cannot possibly advertise all of them.
The difference between the selling firm‟s products and those of its
competitors may be slight.
The firm finds it valuable to on company features like good quality control,
good research resources and technical services.
The products may be extremely dull in themselves, and so afford little scope
for preparation attractive advertisements or
There is no new market growth for the firm.

SUPPORTING SALESLPERSONS
Occasionally, advertising can provide valuable support for salesperson by
helping to dissipate unfavorable attitudes about the company or its product.
It is also helpful in improving the image or a company that has lost its
reputation due to some technical faults in its products.

MOTIVATING DISTRIBUTORS
Industrial products are sometimes distributed through distributors, or
manufactures or sales agent. Since these middlemen usually handle products
of other manufacturers also, the producer should convince them to devote
sufficient time and energy to sell his products. This task can be made
easier by supplying the middlemen with advertising literature that points out
the advantages of pushing the company‟s line, such as wide margins, large
sales potential, rapid turnover, or the relatively small investment required.

STIMULATING PRIMARY DEMAND
Industrial products advertising can also be used as an effective means to
boost the sales the sales of the products of the customers. For example,
steel, rubber and computer hardware manufacturers often place advertisement
in consumer media promoting the virtue of their products like furniture,
types and computes respectively. Advertisement of trademark component parts
is undertaken by producers of such parts to induce the end users to specify
end products containing the parts manufactured by them. It is not uncommon
for computer buyers to specify that they want Intel Pentium inside their
computers.

SALES APPEALS
A sales appeal is an argument, a fact, an idea or an expression of an
attitude or emotion that the advertiser thinks will induce a prospective
buyer to react favorably to his message. The appeal should promise to help
the buyer achieve his own objectives. A good industrial advertisement should
have about it an air of promise for the reader and inspire belief.

Sales appeals should e determined on the basis of the buying motives of the
prospective customers. Buying motives may be classified as basic and
patronage.

Industrial marketers can gain an understanding of customer motives by
studying the customer‟s production systems and organizational structures as
well as the outlook and attitude of their executives. Some management are
very conservative in their outlook and approach while others are more risk
oriented and willing to experiment with innovative concepts and methods.
With such an understanding, the advertiser can formulate sales appeals that
address his audience‟s problems and responsibilities.

MESSAGE FORMULATION AND POLICY
Industrial advertising depends on the reader‟s understanding of the message
to take cognitive decision in buying the advertised product. He needs to
make correct decisions heavily dependent on performance and value facts.
Though purchase is made of physical products, in deeper sense, the industrial
buyers are buying problem solving benefits and abilities to improve
operations. Thus, industrial advertising must provide the reader with useful
information in simple words regarding the intangible benefits.

MESSAGE FORMULATION
Advertising message must be formulated on the basis of the supplier‟s
product‟s ability to assist in solving customer problems and relating to the
needs of the target audience. Major considerations before developing message
strategy are
Determining the audience‟s needs by seeking out the kind of readers that the
manufacturers would like to reach.
Message content: Whether the message should be confined to important
specifics or it should be elaborate. Elaborate advertisement can be
developed around car histories in the form of testimonials, short stories or
audience participation, or a straightforward narration regarding the
company‟s product and its uses.
Q.16) Explain Industrial Marketing Research Process. How industrial
Marketing Research differs to consumer marketing research?

Ans.16 Research is undertaken to obtain valuable inputs on variables.
Marketing research is conducted to gather reliable information that will
facilitate planning and control of marketing activity. Therefore, the
success of marketing efforts is dependent on the research methods used to
gather data. Marketing research then is a process starting with problem
definition and concluding with the presentation of findings. Five basic
steps constitute the marketing research process:

Defining the problem
Developing research objectives
Collection of information
Analysis of the information
Presentation of the findings.

Let us examine these five basic steps in details to gain a comprehensive
undertaking of the marketing research process.

DEFINING THE PROBLEM

Problem definition is very important because the purpose of marketing
research is to solve the problem or understand it better. If the decision-
makers are vague about the various specific aspects of the problem then a lot
of research efforts going to be misdirected. The researcher‟s efforts of the
problem rather than the problem per se. Only a small portion of the actual
problem might be known if these efforts not property directed.

RESEARCH OBJECTIVE
Research objectives are statements that outline the aims of the above step.
These research objectives from the basis on which the research is conducted.
If the research problem is to find the “Demand for product X” then several
research objectives can be developed. These objectives can be like

Determining the number of firms in different industries that would desire the
product.
Estimating the consumption by these firms of similar products.
Estimating the potential gross sales possible.




                                        Industrial Marketing

Total Set -1

To expand product range to cover all types of computer         Plan
peripherals

To become the No. 1 supplier in computer peripherals                  Mission

To achieve a sales turnover of Rs. 500 cr. by 2008-09                Objective

To reduce employee turnover from 30% to 25% in 1 yr                  Goal



Mission statement                                 Corporate culture

Target market                                     Right product

Cost reduction program                            Price adjustment

Promotion mix                                     Trade shows




Set 1
Question By reducing price, industrial marketers can :-

 Correct Answer Increase his share of the market , Enlarge the total market , Not make a major change
in the end product price



Question Strengths and weaknesses of a firm can be derived through :-

 Correct Answer An internal environment analysis



  Question When a manufacturer wishes to diversify his product line, he will need a channel that is
flexible.

 Correct Answer True



 Question For industrial marketing, type of channel members needed would depend on :-

 Correct Answer Market coverage , Marketing cost , Marketing control
 Question The buying needs and practices of organisations differ according to wether they are
innovate, product leaders or ________.

 Correct Answer Followers



 Question For developing a positioning strategy, following variables are used:-

 Correct Answer Product features , Product reliability , Ability to provide solutions to customer
problem



 Question The purchase of industrial products is based on:-

 Correct Answer Rational factors



 Question To get market feedback in industrial marketing marketing research is conducted frequently.

 Correct Answer False



 Question Compared to distributor, a sales agent has :-

 Correct Answer Low marketing cost



 Question Financial capability refers to :-

 Correct Answer Cash flow position



 Question Public interest groups limit the freedom of suppliers & buyers.

 Correct Answer True



 Question When a firm sells through a limited number of outlets, it is known as ________ distribution.

 Correct Answer Selective
 Question ________ is the alternate name given to marketing research.

 Correct Answer Marketing intelligence



 Question During discussions, sales people handle issues such as :-

 Correct Answer Delivery schedule , Pricing , After Sales Service



 Question In a tender a vendor has to supply data on :-

 Correct Answer Sales to net worth , Working capital , Turnover Ratio




 Question Price of an industrial product depends upon :-

 Correct Answer Ex-works price , Packing charges , Delivery time



 Question Advertising effectiveness means the ratio of cost of advertisement and volume of sales
generated.

 Correct Answer False



 Question Most of public institutions prefer buying as per legal constraints.

 Correct Answer True



 Question Service rating is judged by following factors :-

 Correct Answer Promptness , Speed , Self interest



 Question The effectiveness of the advertising program is reflected by the ________ in the state of
awareness.
 Correct Answer Differences



 Question The effect of the economic environment is not ________ across industries.

 Correct Answer Uniform



 Question For an industrial company, the following topics would fall under the category of information
on economic scenario :-

 Correct Answer Inflation rates , GDP growth figures



 Question The level of customer experience influences the marketing strategy.

 Correct Answer True



 Question A typical buyer-firm of industrial products will:-

 Correct Answer Insist on quality tests before delivery , Ask for test results after inspection



 Question Choice of channel structure is influenced by :-

 Correct Answer Market potential



 Question Another function of advertising is to generate :-

 Correct Answer Inquiries



 Question Tariffs & quotas are used by the Govt. to protect indigenous business from foreign
competition.

 Correct Answer True



 Question Delivery commitment plays a crucial role in purchase negotiations for industrial items.
 Correct Answer True



 Question In pricing industrial goods, the most important factor is :-

 Correct Answer Cost



 Question The first step in the process of selling is :-

 Correct Answer Identifying prospects



 Question A relative ________ product life span is a favourable condition for charging high price.

 Correct Answer Short



 Question Sales agent handles :-

 Correct Answer Competing products



Question Customs & traditions of organisation influence :-

 Correct Answer Organisational structure , Inter-personal relationships , Functioning



 Question Making an assessment of the competitors’ strengths and weakness is called :-

 Correct Answer Competitive position analysis



 Question Sometimes when the price of a material drops below a certain level, buyers start thinking of
new applications.

 Correct Answer True



 Question Following capabilities of the organisation also form a basis for segmentation:-

 Correct Answer Operating , Technical , Financial
 Question A typical message policy statement would consist of corporate policy statement and
________ on advertising and promotion.

 Correct Answer Procedures



 Question Composite rating is prepared by adding ________ rating.

 Correct Answer Individual



 Question Computer systems help in the ________ of the findings of the research project.

 Correct Answer Presentation



 Question Market coverage means demographic areas to be covered.

 Correct Answer True



 Question IBM, Microsoft and Google are just three MNCs that have ________.

 Correct Answer Set up software development centers in India



 Question Prospecting is essential to ensure future sources of :-

 Correct Answer Sales revenue



 Question Profitability of any potential segment is measured by following criteria:-

 Correct Answer Market share , Market growth , Image



 Question Market conditions may result in demand for a product, which is relatively ________ to
change in price.

 Correct Answer Unresponsive
 Question Changes in the macro environment create :-

 Correct Answer Opportunities




Select The Blank
Question The Priestman production plan is a ________ incentive plan
Correct Answer Group
Your Answer Individual incentives

Multiple Choice Multiple Answer
Question Select the three Demerits of functional organisation
Correct Answer Functional organisation violates the principle of unity of command. , There is
problem of indiscipline in functional organisation , There is Lack of co-ordination of work in
functional organisation
Your Answer Functional organisation violates the principle of unity of command. , There is
problem of indiscipline in functional organisation , There is Lack of co-ordination of work in
functional organisation

Select The Blank
Question ________ are the statutory bodies, required to be established under the industrial
disputes act (1947), in every industrial unit employing over 100 workers
Correct Answer Works committee
Your Answer Workers union

Multiple Choice Single Answer
Question How many minimum members are required to form an association or union as per The
Trade Union Act 1926
Correct Answer Seven
Your Answer Seven

Multiple Choice Multiple Answer
Question FSN Analysis helps to identify:
Correct Answer Active items which require to be reviewed regularly. , Surplus items whose
stocks are higher than their rate of consumption. , Non – moving items which are not consumed.
Your Answer Active items which require to be reviewed regularly. , Surplus items whose stocks
are higher than their rate of consumption. , Non – moving items which are not consumed.

Multiple Choice Multiple Answer
Question Operation process chart is useful to
Correct Answer Visualize the complete sequence of operations and inspections involved in the
process , Know where the operation selected for detailed study fits into the entire process
Your Answer Visualize the complete sequence of operations and inspections involved in the
process , Know where the operation selected for detailed study fits into the entire process ,
Know the information regarding the person who does the work, the place where the work is
performed and the time when it is performed

Multiple Choice Single Answer
Question Job evaluation is the process of selecting an appropriate job evaluation system,
evaluating the job and
Correct Answer Fitting the jobs into grades
Your Answer Fitting the jobs into grades

True/False
Question Liability of a minor partner is limited to investment only.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question Objective of job evaluation includes to eliminate causes of employee dissatisfaction
and reduce
Correct Answer Conflicts in industrial relations
Your Answer Conflicts in industrial relations

True/False
Question Government policies can be changed thru suggesstions
Correct Answer False
Your Answer True

Multiple Choice Single Answer
Question In which stage of product design, a pilot production run is carried out ?
Correct Answer Pre-production
Your Answer Pre-production

Multiple Choice Multiple Answer
Question Major componants of wages of employee includes.
Correct Answer Dearness allownce. , Perquisits.
Your Answer Dearness allownce. , Incentives. , Goodwill of company.

True/False
Question MBO programs are not expensive and are less time taken
Correct Answer False
Your Answer True
True/False
Question Merrick's differential piece rate method has similar advantages & disadvantages as
Taylor's system
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question Typical direct expenses includes
Correct Answer payment made for obtaining design.
Your Answer payment made for development.

True/False
Question Apprenticeship is the oldest and the most commonly used methos of training in crafts,
traders and technial areas
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question What is the formula used to work out no. of possible combinations in paired
comparison method
Correct Answer N ( N - 1 ) / 2
Your Answer N ( N - 1 ) / 2

Multiple Choice Multiple Answer
Question Effective performance of business activities require
Correct Answer Effective adminstration , Scientific Management , Well-Knit Organisation
Your Answer Scientific Management , Well-Knit Organisation , Effective adminstration

Select The Blank
Question Factors selected in point rating system must be acceptable to both ________
Correct Answer Workers and management
Your Answer Workers and management

Match The Following
Question Correct Answer Your Answer

F.W.Taylor. Founder father of scientific management. Founder father of scientific management.

Robinson Boulton. Soho Engineering Foundry. Soho Engineering Foundry.

Robert Owen. Contributed significantly in area of personal management. Contributed
significantly in area of personal management.

Charles Babbage. Division of labour Division of labour
Multiple Choice Single Answer
Question Over what weight materials should be handled mechanically?
Correct Answer 20 kgs
Your Answer 20 kgs

Multiple Choice Multiple Answer
Question Symptoms of poor material handling are....
Correct Answer Frequent cases of material damages in handling , Badly damaged floors and
narrow passages , Difficulties in locating things when required
Your Answer Frequent cases of material damages in handling , Badly damaged floors and
narrow passages , Difficulties in locating things when required

Multiple Choice Multiple Answer
Question What are the different criteria for effective store layout?
Correct Answer Easy receipt , storage and issue of materials. , Optimum utilization of storage
space. , Quick location of items.
Your Answer Easy receipt , storage and issue of materials. , Optimum utilization of storage
space. , Quick location of items.

Multiple Choice Multiple Answer
Question Which two roles does a partner play in a partnership ?
Correct Answer Principle , Agent
Your Answer Principle , Supervisor

Match The Following
Question Correct Answer Your Answer

Enterprises in which Government holds not less than 51% of the paid up capital are called as
Government Companies Government Companies

A business organisation in which ownership is retained by a limited group of persons without
having the limitations of a partnership is called as Private limited company Private limited
company

A business organisation in which ownership is retained by a large number of shareholders
selected by inviting subscriptions from the public through prospectous is called as Public limited
company Public limited company

The autonomous bodies wholly owned by the Government is called as Public corporation Public
corporation
Multiple Choice Single Answer
Question Collective bargaining is founded on which principle?
Correct Answer Give and take
Your Answer Positive changes

Multiple Choice Multiple Answer
Question Select the three merits of functional organisation
Correct Answer It provides specialised knowledge and guidance to indivisual workers through
experts , The supervision and decision making by specialists reduces considerably the workload
at the top. , Efficiency of the organisation at all levels is improved due to availability of
specialised services.
Your Answer It provides specialised knowledge and guidance to indivisual workers through
experts , The supervision and decision making by specialists reduces considerably the workload
at the top. , Efficiency of the organisation at all levels is improved due to availability of
specialised services.

Multiple Choice Multiple Answer
Question Select two kinds of deposits
Correct Answer Demand deposits , Time deposits
Your Answer Demand deposits , Time deposits

Select The Blank
Question Job instruction training method is mainly used for training of ________
Correct Answer Workmen and clerical staff
Your Answer Superwisers

Multiple Choice Single Answer
Question Which of the main stores is used for maintaining the stock of cutting tools, hand tools
etc?
Correct Answer Crib store
Your Answer Crib store

Multiple Choice Single Answer
Question What is the single cause of strike by workers and lockouts by management
Correct Answer Industrial conflicts
Your Answer Industrial conflicts

Multiple Choice Single Answer
Question In which type of line organisation, business activities are classified into departments?
Each department is headed by departmental manager
Correct Answer Departmental line organisation
Your Answer Departmental line organisation

Select The Blank
Question A hand barrow comprises a frame which is supported with short ________
Correct Answer Shafts
Your Answer Wheels

Select The Blank
Question ________ is the only other available option when suitable persons from within the
organisation are not available.
Correct Answer External source
Your Answer External source

Select The Blank
Question Wages tend to be ________ when availability of labour is more than requirement.
Correct Answer Low
Your Answer Low

Multiple Choice Multiple Answer
Question Which are the two principal sources of recruitment?
Correct Answer Internal Source , External Source
Your Answer Internal Source , External Source

True/False
Question Every standard is a specification.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question Productivity of labour depends on the following factors
Correct Answer Inherent qualities , Education and training , Work environments
Your Answer Education and training , Work environments , Long hours of working leads to
higher efficiency

Multiple Choice Multiple Answer
Question Select the three assumptions underlying the law of supply
Correct Answer The cost of production remains unchanged , The policies of the government
concerning trade, taxation, credit etc remains constant , There is no change in the techniques of
production
Your Answer The cost of production remains unchanged , The policies of the government
concerning trade, taxation, credit etc remains constant , There is no change in the techniques of
production

Select The Blank
Question ________ analysis is based on the consumption figures of the items
Correct Answer FSN
Your Answer S-OS
True/False
Question Economy in material handling is obtained by use of equipment that is capable of
variety of applications.
Correct Answer True
Your Answer True

Select The Blank
Question ________ revolves around the needs and interests of buyer
Correct Answer Marketing
Your Answer Buying

True/False
Question Supply and stock are synonymous.
Correct Answer False
Your Answer True

Select The Blank
Question Interview helps the employer ________ the total personality of the candidate and
adjust his suitability for job
Correct Answer "Size up"
Your Answer To know better

True/False
Question The productivity of the system can be improved by maximising the waste occuring in
the system.
Correct Answer False
Your Answer False

Multiple Choice Single Answer
Question One of the important pillars of effective logistics is
Correct Answer Logistical network
Your Answer Logistical network

True/False
Question Fixed costs varies with production volume.
Correct Answer False
Your Answer True

				
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