MKTG 400 Exam questions and
answers graded 100%
Reseller Markets - ANS✅✅wholesalers and retailers that buy physical products and resell them
again without any reprocessing
Industrial Markets - ANS✅✅in some way reprocess a product or service they buy before selling it
again to the next buyer
What is a reason that a supplier might not like a reverse auction? - ANS✅✅It overemphasizes price
as a buying criteria
Government Markets - ANS✅✅federal, state, and local agencies that buy goods and services for
the constituents they serve
-There are about 89,500 of these government units in the U.S.*
Reciprocity - ANS✅✅the human need to want to give something back when something is received
Supply Partnership - ANS✅✅exists when a buyer and its supplier adopt mutually beneficial
objectives, policies, and procedures for the purpose of lowering the cost or increasing the value of
products and services delivered to the ultimate consumer
Derived Demand - ANS✅✅the demand for industrial products and services is driven by or derived
from demand for consumer products and services.
Derived Demand Example - ANS✅✅Ex. The demand for Tannhauser's pulp and paper products is
based on consumer demand for newspapers, Fed Ex packages and disposable diapers
Organizational Buying Characteristics/Criteria -
ANS✅✅--------------------------------------------------------------
Marketing Characteristics - ANS✅✅Demand for industrial products and services is derived, Few
customers typically exist and their purchase orders are large
, Product or Service Characteristics - ANS✅✅Products or services are technical in nature and
purchased on the basis of specifications; many goods purchased are raw and semi-finished; Heavy
emphasis is placed on delivery time, technical asistance, and postsale service
Buying Process Characteristics - ANS✅✅*Technically qualified and professional buyers follow
established purchasing policies and procedures. *Buying objectives and criteria are typically spelled
out, as are procedures for evaluating sellers and their products or services. *There are multiple
buying influences, and multiple parties participate in purchase decisions. *There are reciprocal
arrangements, and negotiation between buyers and sellers is commonplace. *Online buying over the
Internet is widespread
Marketing Mix Characteristics - ANS✅✅-Direct selling to organizational buyers is the rule, and
distribution is very important
-Advertising and other forms of promotion are technical in nature
-Price is often negotiated, evaluated as part of broader seller and product/service qualities, and
frequently affected by quantity discounts
Buying Center - ANS✅✅several people in the organization participate in the buying process who
share common goals, risks, and knowledge important to a purchase decision.
Buying Center (Example) - ANS✅✅For most large multi store chain re-sellers, such as Target, 7-
Eleven convenience stores, or Safeway, the ________is highly formalized and is called a buying
committee.
Roles in the Buying Center - ANS✅✅users, influencers, buyers, deciders, gatekeepers
Users - ANS✅✅members of the buying organization who will actually use the purchased product
or service
Influencers - ANS✅✅People in an organization's buying center who affect the buying decision;
they often help define specifications and also provide information for evaluating alternatives.
Buyers - ANS✅✅have formal authority to select the supplier and arrange terms of purchase
Deciders - ANS✅✅people in an organization's buying center who have formal or informal power to
select or approve the final suppliers
answers graded 100%
Reseller Markets - ANS✅✅wholesalers and retailers that buy physical products and resell them
again without any reprocessing
Industrial Markets - ANS✅✅in some way reprocess a product or service they buy before selling it
again to the next buyer
What is a reason that a supplier might not like a reverse auction? - ANS✅✅It overemphasizes price
as a buying criteria
Government Markets - ANS✅✅federal, state, and local agencies that buy goods and services for
the constituents they serve
-There are about 89,500 of these government units in the U.S.*
Reciprocity - ANS✅✅the human need to want to give something back when something is received
Supply Partnership - ANS✅✅exists when a buyer and its supplier adopt mutually beneficial
objectives, policies, and procedures for the purpose of lowering the cost or increasing the value of
products and services delivered to the ultimate consumer
Derived Demand - ANS✅✅the demand for industrial products and services is driven by or derived
from demand for consumer products and services.
Derived Demand Example - ANS✅✅Ex. The demand for Tannhauser's pulp and paper products is
based on consumer demand for newspapers, Fed Ex packages and disposable diapers
Organizational Buying Characteristics/Criteria -
ANS✅✅--------------------------------------------------------------
Marketing Characteristics - ANS✅✅Demand for industrial products and services is derived, Few
customers typically exist and their purchase orders are large
, Product or Service Characteristics - ANS✅✅Products or services are technical in nature and
purchased on the basis of specifications; many goods purchased are raw and semi-finished; Heavy
emphasis is placed on delivery time, technical asistance, and postsale service
Buying Process Characteristics - ANS✅✅*Technically qualified and professional buyers follow
established purchasing policies and procedures. *Buying objectives and criteria are typically spelled
out, as are procedures for evaluating sellers and their products or services. *There are multiple
buying influences, and multiple parties participate in purchase decisions. *There are reciprocal
arrangements, and negotiation between buyers and sellers is commonplace. *Online buying over the
Internet is widespread
Marketing Mix Characteristics - ANS✅✅-Direct selling to organizational buyers is the rule, and
distribution is very important
-Advertising and other forms of promotion are technical in nature
-Price is often negotiated, evaluated as part of broader seller and product/service qualities, and
frequently affected by quantity discounts
Buying Center - ANS✅✅several people in the organization participate in the buying process who
share common goals, risks, and knowledge important to a purchase decision.
Buying Center (Example) - ANS✅✅For most large multi store chain re-sellers, such as Target, 7-
Eleven convenience stores, or Safeway, the ________is highly formalized and is called a buying
committee.
Roles in the Buying Center - ANS✅✅users, influencers, buyers, deciders, gatekeepers
Users - ANS✅✅members of the buying organization who will actually use the purchased product
or service
Influencers - ANS✅✅People in an organization's buying center who affect the buying decision;
they often help define specifications and also provide information for evaluating alternatives.
Buyers - ANS✅✅have formal authority to select the supplier and arrange terms of purchase
Deciders - ANS✅✅people in an organization's buying center who have formal or informal power to
select or approve the final suppliers
