Trimester: Oct- Jan 2022 - Examination: End Term Examination

Program code: 03 Class: FY/ Trimester: V

Program: MBA Retail Management
Name of the Constituent College:
K. J. Somaiya Institute of Management
Course Code: 117PO3C506
2020-22 Batch (SVU 2021)
Name of the
department/Section/Center:
Marketing Management &
International Business
Name of the Course: Sales Management & B2B Marketing

Maximum Marks: 50 Date: 5th January 2022

Notes:
1. All Questions are Compulsory.
2. Use of Relevant Examples, Charts, and Tables etc. are recommended
Question Max.
No. Marks
Q1 Case - FLETCHER ELECTRIC, INC. (Partnering relationship) 20
Molly Stevens, account manager for Fletcher Electronic, Inc., was pondering her
next move with Tymco, her largest account. Fletcher manufacturers a line of
pumps, electric motors, and controls that are sold to companies that use Fletcher’s
parts in manufacturing all kinds of equipment. Tymco, a maker of street sweepers
and other specialized industrial products, had purchased Fletcher controls for the
last five years but also purchased controls from several small distributors for
specific applications when Fletcher’s products could not meet the specifications.
Stevens originally sold the controls by proving to the engineering department that
Fletcher’s quality could meet their specifications and demonstrating the controls
accuracy and long life. Then she convinced the purchasing agent that the pricing
would be more stable with one major vendor than with multiple distributors. Since
then, Stevens has heard no complaints about Fletcher’s products. Tymco even
allowed a trade magazine to write an article about Tymco’s experience with
Fletcher controls.
Early last year, Stevens persuaded the purchasing agent for Tymco to switch to
Fletcher electric motors for several applications. Although engineering was not
involved in this decision, Stevens had to prove to the purchasing agent that the
products were as good as the ones they were currently purchasing. Stevens
estimated that Fletcher had about 30 percent of the Tymco motor business, 30
percent went to Visa SA from Mexico, and the remainder of the business belonged
to Smart & Company, which actually distributed several lines of electric motors
 imported from the Pacific Rim.
Last month, Stevens received a call from the director of engineering asking for a
meeting to discuss some issues with Fletcher motors. She was delighted, because
one of the Fletcher engineers had suggested combining Fletcher motors and
controls and shipping the units as one assembly. Stevens believed that such a
meeting would be a perfect opportunity to present the new idea. She created and
presented a proposal to the engineering department that, if accepted, would mean
doubling Fletcher’s share of the electric motor business. The proposal would
require some redesign by Tymco, but the savings over two years would be more
than redesign costs. After that, Tymco could increase profits on those products by
about 3 percent. But several engineers pointed out that Fletcher was unwilling to
manufacture controls for all of Tymco’s needs, and they were reluctant to make
such a change with a company that was not willing to work more closely with
them. In addition, one engineer seemed very unhappy that the purchasing
department had switched to the Fletcher motors. That engineer thought the reject
rate of 2 percent was too high; all of Tymco’s other vendors were achieving fewer
than 1 percent rejects. At the conclusion of the meeting, the director of
engineering said to Stevens, “Molly, we’ve enjoyed a long and good relationship
with Fletcher. And your idea is a good one. Right now, though, I don’t think
Fletcher is the company we should do that with. But we’ll consider it and let you
know.”
Questions
a) In what stage of partnering is the relationship between Fletcher and
Tymco?
b) Is there anything Molly Stevens could have done to set the stage for
better acceptance of her proposal?
c) What should Molly Stevens do right now? If her visionary objective is
to develop a strategic partnership with Tymco, is it still realistic? What
should she do to achieve that visionary objective?
Q2 Discuss the evolution of Personal Selling. Give an example to explain the difference 10
between Consultative Selling and Business Management. Also, how the different Sales
Eras could be significant in the evolution of Personal Selling?

Q3 a) What are the arguments for and against giving sales people a high level of 10
price discretion during their negotiations with customers? What would you
choose if you are the Head- Marketing in a company selling cleaning fluids
 for industrial premises?

b) What suggestions would you offer to Life Insurance companies in India

regarding the changing role of social media in B2B Marketing context?

Q4 You are a consultant for two large institutions having interests in Insurance and Software 10
Development respectively. You are supposed to explain the buyer roles to the
sales teams of these institutions for the products they offer to their customers.
Also, you are supposed to identify and explain which buyer roles are worth
approaching for getting through a sales contract finalized.

a) A new paperless system desired by an academic institution offering post

graduate programs in management studies
b) A new customer management software in a private sector bank