Question 1

North American Industry Classification System (NAICS) system designates industries with a numerical code in a defined structure.A six-digit coding system is used.The sixth digit designates a(n)

Accepted Answer

A)   industry subsector.
B)   industry group.
C)   specific industry.
D)   individual country-level national industry.
E)   sector of the economy.F) C) and E)
G) B) and E)

Question 2

Figure 6-1
-Based on Figure 6-1 above,what is the NAICS code for cable and other subscription programming?

Accepted Answer

A)   511
B)   5152
C)   51512
D)   51520
E)   511515F) A) and D)
G) B) and E)

Question 3

Corporation,a marketer of Photostat products used in the graphic arts field,buys photo sensitized paper from Eastman Kodak Company,packages it with the Photostat brand name,and sells it directly to amateur photographers.In this context,Itex Corporation is most accurately classified as a

Accepted Answer

A)   manufacturer.
B)   reseller.
C)   service provider.
D)   wholesaler.
E)   industrial firm.F) A) and C)
G) A) and B)

Question 4

Which of the following characterizes organizational buyer-seller relationships?

Accepted Answer

A)   Purchases are often made after lengthy or complex negotiations.
B)   Purchases are usually of small dollar values.
C)   Short-term contracts are often prevalent.
D)   Reciprocal arrangements never exist.
E)   Delivery schedules are less important than production capacity.F) C) and D)
G) B) and C)

Question 5

NAICS is consistent with the International Standard Industrial Classification of All Economic Activities,which is published by the __________ to facilitate measurement of global economic activity.

Accepted Answer

A)   United Nations (UN) 
B)   European Union (EU) 
C)   International Standards Organization (ISO) 
D)   North American Free Trade Agreement (NAFT
A)  
E)   North American Product Classification System (NAPCS) F) A) and E)
G) None of the above

Question 6

Reverse auctions

Accepted Answer

A)   are buyer-initiated.
B)   benefit the sellers significantly more than the buyers.
C)   have an increasing number of buyers as the auction progresses.
D)   do not have sequential bidding.
E)   have many buyers at the start of the auction.F) C) and D)
G) D) and E)

Question 7

Figure 6-6a
-Figure 6-6a above,as the number of buyers increases,the price

Accepted Answer

A)   increases.
B)   decreases.
C)   stays the same.
D)   has no relation to the number of buyers.
E)   fluctuates depending on economic conditions.F) B) and C)
G) A) and B)

Question 8

buying situation where an organization is a first-time buyer of the product or service is referred to as a

Accepted Answer

A)   buy class.
B)   new buy.
C)   make-buy.
D)   straight rebuy.
E)   modified rebuy.F) B) and E)
G) B) and C)

Question 9

Which of the following statements about the North American Industry Classification System (NAICS) is most accurate?

Accepted Answer

A)   After being used for more than 50 years, the NAICS was replaced by the Standard Industrial Classification (SI
C)   system.
B)   The NAICS permits comparability across countries but does not accurately measure new or emerging industries.
C)   One drawback to the NAICS is that its industry classifications are inconsistent with the International Standards Organization.
D)   The NAICS groups economic activity to permit studies of market share, demand for goods and services, import competition in domestic markets, and similar studies.
E)   The NAICS is a five-digit code that allows comparison of industries even when information is limited.F) C) and D)
G) D) and E)

Question 10

a buying center,__________ have formal authority and responsibility to select the supplier and negotiate the terms of a contract.

Accepted Answer

A)   buyers
B)   gatekeepers
C)   deciders
D)   influencers
E)   usersF) B) and D)
G) B) and C)

Question 11

Reciprocity refers to

Accepted Answer

A)   the practice whereby a seller requires the purchaser of one product to buy another item in the line.
B)   an industrial buying practice in which two organizations, in this case a manufacturer and a supplier, agree to purchase each other's products and services.
C)   an arrangement a manufacturer makes with a reseller to handle only its products and not those of competitors.
D)   the illegal practice of refusing to purchase a seller's products unless the seller agrees not to purchase that product or any similar products from any other buyer.
E)   when a supplier requires a buyer purchasing some of its products to also buy others.F) A) and D)
G) C) and D)

Question 12

a purchase is a new buy for a manufacturer,the seller should be prepared to act as a consultant to the buyer,work with technical personnel,and

Accepted Answer

A)   expect a long time for a buying decision to be reached.
B)   neutralize a lot of conflict.
C)   expect specifications to be changed several times before the buy is completed.
D)   expect to have to do some favors for the decision makers.
E)   avoid making concessions or compromises.F) All of the above
G) A) and E)

Question 13

Graham-Field Health Products makes hospital beds and wheelchairs from the component parts and materials it buys.It sells these manufactured products to hospitals,nursing homes,and retailers of health care products.Graham-Field Health Products operates in a(n) __________ market.

Accepted Answer

A)   consumer
B)   government
C)   service
D)   industrial
E)   resellerF) A) and D)
G) B) and D)

Question 14

Because more and more companies are concerned with the depletion of natural resources,supply partnerships often include provisions for

Accepted Answer

A)   green marketing.
B)   regulatory exemptions.
C)   stakeholder procurement.
D)   ecological procurement.
E)   sustainable procurement.F) A) and E)
G) B) and D)

Question 15

industrial firm

Accepted Answer

A)   is one that is independently owned and takes title to the merchandise it sells.
B)   buys physical products and resells them again without any reprocessing.
C)   deals exclusively with federal, state, and local governments.
D)   in some way reprocesses a good or service it buys before selling it again to the next buyer.
E)   only produces a product, not a service.F) B) and D)
G) C) and E)

Question 16

Another name for an e-marketplace is a(n)

Accepted Answer

A)   WebXChange.
B)   WebMart.
C)   B2B exchange.
D)   2B1 marketplace.
E)   C2C market forum.F) A) and B)
G) B) and E)

Question 17

Walmart wants Procter & Gamble (P&G) to link up with its computerized cash register scanning equipment and direct electronic ordering and replenishing systems for all its stores,Walmart can tell P&G what merchandise it needs to replenish,along with how much,when,and to which store to deliver it on a daily basis.From this description,Walmart is engaged in __________.

Accepted Answer

A)   ISO 9000 certification.
B)   ISO 14000 certification.
C)   sustainable procurement.
D)   sustainable development.
E)   cause marketing.F) B) and E)
G) A) and E)

Question 18

Dell,Inc.sells surplus,refurbished,or closeout computer merchandise at its dellauction.com website to many buyers who bid competitively against one another.This is an example of a

Accepted Answer

A)   reverse auction.
B)   traditional auction.
C)   bidder's war.
D)   I-auction.
E)   Webfront auction.F) A) and D)
G) B) and E)

Question 19

IT engineer specifies the type of plug-in to be used on the company's new website.The engineer also chooses the supplier who receives the contract to provide the software.In the buying center,this person is the __________.

Accepted Answer

A)   gatekeeper
B)   decider
C)   broker
D)   influencer
E)   userF) B) and D)
G) A) and E)

Question 20

relationship that 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 customer is referred to as a __________.

Accepted Answer

A)   supply partnership
B)   supplier development agreement
C)   reciprocal arrangement
D)   shareholder relationship
E)   strategic allianceF) All of the above
G) A) and D)

Exam 6: Understanding Organizations As Customers

Reverse auctions

Correct Answer
verified

a buying center,__________ have formal authority and responsibility to select the supplier and negotiate the terms of a contract.

Correct Answer
verified

Figure 6-6a -Figure 6-6a above,as the number of buyers increases,the price

Correct Answer
verified

North American Industry Classification System (NAICS) system designates industries with a numerical code in a defined structure.A six-digit coding system is used.The sixth digit designates a(n)

Correct Answer
verified

Graham-Field Health Products makes hospital beds and wheelchairs from the component parts and materials it buys.It sells these manufactured products to hospitals,nursing homes,and retailers of health care products.Graham-Field Health Products operates in a(n) __________ market.

Correct Answer
verified

industrial firm

Correct Answer
verified

NAICS is consistent with the International Standard Industrial Classification of All Economic Activities,which is published by the __________ to facilitate measurement of global economic activity.

Correct Answer
verified

Correct Answer
verified

Because more and more companies are concerned with the depletion of natural resources,supply partnerships often include provisions for

Correct Answer
verified

Which of the following statements about the North American Industry Classification System (NAICS) is most accurate?

Correct Answer
verified

Which of the following characterizes organizational buyer-seller relationships?

Correct Answer
verified

IT engineer specifies the type of plug-in to be used on the company's new website.The engineer also chooses the supplier who receives the contract to provide the software.In the buying center,this person is the __________.

Correct Answer
verified

relationship that 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 customer is referred to as a __________.

Correct Answer
verified

Dell,Inc.sells surplus,refurbished,or closeout computer merchandise at its dellauction.com website to many buyers who bid competitively against one another.This is an example of a

Correct Answer
verified

Reciprocity refers to

Correct Answer
verified

Figure 6-1 -Based on Figure 6-1 above,what is the NAICS code for cable and other subscription programming?

Correct Answer
verified

Corporation,a marketer of Photostat products used in the graphic arts field,buys photo sensitized paper from Eastman Kodak Company,packages it with the Photostat brand name,and sells it directly to amateur photographers.In this context,Itex Corporation is most accurately classified as a

Correct Answer
verified

buying situation where an organization is a first-time buyer of the product or service is referred to as a

Correct Answer
verified

a purchase is a new buy for a manufacturer,the seller should be prepared to act as a consultant to the buyer,work with technical personnel,and

Correct Answer
verified

Another name for an e-marketplace is a(n)

Correct Answer
verified

Exam 6: Understanding Organizations As Customers

Reverse auctions

Correct AnswerverifiedShow Answer

a buying center,__________ have formal authority and responsibility to select the supplier and negotiate the terms of a contract.

Correct AnswerverifiedShow Answer

Figure 6-6a -Figure 6-6a above,as the number of buyers increases,the price

Correct AnswerverifiedShow Answer

North American Industry Classification System (NAICS) system designates industries with a numerical code in a defined structure.A six-digit coding system is used.The sixth digit designates a(n)

Correct AnswerverifiedShow Answer

Graham-Field Health Products makes hospital beds and wheelchairs from the component parts and materials it buys.It sells these manufactured products to hospitals,nursing homes,and retailers of health care products.Graham-Field Health Products operates in a(n) __________ market.

Correct AnswerverifiedShow Answer

industrial firm

Correct AnswerverifiedShow Answer

NAICS is consistent with the International Standard Industrial Classification of All Economic Activities,which is published by the __________ to facilitate measurement of global economic activity.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Because more and more companies are concerned with the depletion of natural resources,supply partnerships often include provisions for

Correct AnswerverifiedShow Answer

Which of the following statements about the North American Industry Classification System (NAICS) is most accurate?

Correct AnswerverifiedShow Answer

Which of the following characterizes organizational buyer-seller relationships?

Correct AnswerverifiedShow Answer

IT engineer specifies the type of plug-in to be used on the company's new website.The engineer also chooses the supplier who receives the contract to provide the software.In the buying center,this person is the __________.

Correct AnswerverifiedShow Answer

relationship that 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 customer is referred to as a __________.

Correct AnswerverifiedShow Answer

Dell,Inc.sells surplus,refurbished,or closeout computer merchandise at its dellauction.com website to many buyers who bid competitively against one another.This is an example of a

Correct AnswerverifiedShow Answer

Reciprocity refers to

Correct AnswerverifiedShow Answer

Figure 6-1 -Based on Figure 6-1 above,what is the NAICS code for cable and other subscription programming?

Correct AnswerverifiedShow Answer

Corporation,a marketer of Photostat products used in the graphic arts field,buys photo sensitized paper from Eastman Kodak Company,packages it with the Photostat brand name,and sells it directly to amateur photographers.In this context,Itex Corporation is most accurately classified as a

Correct AnswerverifiedShow Answer

buying situation where an organization is a first-time buyer of the product or service is referred to as a

Correct AnswerverifiedShow Answer

a purchase is a new buy for a manufacturer,the seller should be prepared to act as a consultant to the buyer,work with technical personnel,and

Correct AnswerverifiedShow Answer

Another name for an e-marketplace is a(n)

Correct AnswerverifiedShow Answer

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