SALE MANAGEMENT - FINAL

114. Which of the following is not a benefit of the growing use of the internet as a marketing and
sales medium?
a. It increases the power of the consumer
b. It increases the availability of comparative price information
c. It increases the diversity of purchasing options
d. It helps avoid risk
115. Which of the following is not true about extranets?
a. They are secure sites accessible only to certain people and or organizations
b. They allow transactions between buyer and seller to take place with the guidance of key
salespeople
c. Customers are able to log on to make routine purchases
d. These business-to-business sites improve sales productivity and allow salespeople to
build customer loyalty
116. Which of the following is not true about quick response (QR) codes?
a. Potential customers can be reached
b. They can take the customer directly to the product by the use of pixelated black and white
squares in an advertisement, which hold a bank of information
c. To read the squares, users need a smartphone or any ordinary mobile phone
d. The free app, which enables the user to point the camera at the printed code to activate
more material, must be downloaded
117. Which of the following is not a type of online advertising?
a. Pop-ups
b. Interstitials
c. Editorial
d. Superstitials
118. Data can be captured from those who make purchases. Which of the following is not one of
the commonly captured data?
a. Frequency of ordering
b. Size of orders
c. Previous seller
d. Methods of payment
119. Technology can increase the overall professionalism of salespeople as they work through
the sales cycle with potential customers. Which of the following is not one of the benefits
provided by laptop software applications?
a. They help with the completion of routine office administrative tasks
b. They provide better customer service because the salesperson has immediate access to
information such as stock levels or quotations
c. They capture information that allows management to measure and monitor sales performance
d. They help to create and manage sales opportunities so that a greater proportion is converted
into sales
120. Social media sites such as Facebook, LinkedIn and Twitter provide opportunities to help the
sales process. Which of the following is not one of the key functions of social media activity?
a. Calling on new buyers
b. Personal relationships
c. Event notification
d. Track the online behaviour of customers
121. Several facts emphasise the importance of effective salesforce selection. Which of the
following is not one of these facts?
a. There is wide variability in the effectiveness of salespeople
b. Salespeople are very costly
c. The quality of the sales representatives that sales managers recruit can have a substantial
effect on sales turnover
d. Innate selling skills and ability can be taught
122. Which of the following was not one of the top four features identified by Galbraith, Kiely
and Watkins when in 1991 they examined the features that attracted salespeople into selling and
what they valued most about their work?
a. Working methods
b. Promotion prospects
c. Independence
d. Earnings
123. Which of the following is not one of the mumber of stages in the recruitment and selection
process?
a. Preparation of the job description and personnel specification
b. Identification of sources of recruitment and methods of communication
c. Designing an effective application form and preparing a shortlist
d. Making the offer
124. Which of the following should not be included in a personnel specification?
a. Physical requirements: eg. speech, appearance
b. Aptitudes and qualities: eg ability to communicate, self-motivation
c. Sexual orientation
 d. Standard of education and qualifications, experience and successes
125. There are six main sources of recruitment. Which of the following is not one of these
sources?
a. From inside-the company's own staff
b. Recruitment agencies
c. Educational establishments
d. Other countries
126. When designing an effective application form and preparing a shortlist, four categories of
information are usual on application forms. Which of the following is not one of these?
a. Personal
b. Education
c. Employment history
d. Residential housing status
127. There are several ways in which interviews are used during the selection processes for
salespeople. Which of the following is not usual?
a. Two-stage interviews
b. The sales manager alone can hold the initial interview
c. In order to assess his or her skills, the potential salesperson conducts an interview of a
salesperson from the company
d. The human resources manager or human resources manager and the sales manager
together can conduct the initial interview
128. The skills required in the needs analysis stage of the selling process may be used in an
interview to good effect. Which of the following is not one of the techniques which the
interviewer can specifically use?
a. The playback technique
b. The use of rewards
c. The use of silence
d. The use of loaded questions
129. Psychological testing is often used as a supplementary selection aid. However, a number of
criticisms have been associated with these tests. Which of the following is not one of the
criticisms?
a. Numeracy performance does not reflect communication skills
b. Tests have been used to identify individual personality traits, which may not be
associated with sales success
c. Many tests measure interest rather than sales ability
d. It is easy to cheat
130. Which of the following is relevant to role playing?
 a. It can help gauge the selling potential of candidates as it involves placing them
individually in selling situations and assessing how well they perform
b. At best, it measures sales ability at that moment
c. Previous sales experience may be a strong factor
d. Role playing can help assess the candidate's ability to establish and handle long-term
relationships with buyers
131. Creating and maintaining a well-motivated salesforce is a challenging task. Which of the
following statements is not a reason why this task could be challenging?
a. Sales is a vocation that only suits some personality types
b. Effective motivation requires a deep understanding of salespeople as individuals, their
personalities and value systems
c. The confidence and motivation of salespeople are being constantly worn down by the
inevitable rejections from buyers as part of everyday activities
d. The salesperson and supervisor are normally geographically separated, so the salesperson
may feel isolated or even neglected
132. Which of the following is not a result of high levels of motivation according to research?
a. A more relaxed attitude and a less negative emotional tone
b. Working smarter and a more adaptive selling approach
c. Less interest in being creative
d. Higher self-esteem
133. The classic motivational model, Maslow's hierarchy of needs, proposes that there are five
fundamental needs, which are arranged in a ‘hierarchy of prepotency’. Which of the following is
not one of these five fundamental needs?
a. Psychological
b. Safety
c. Belongingness and love
d. Self-actualization
134. Herzberg's dual factor theory distinguished factors which can cause dissatisfaction but
cannot motivate (hygiene factors), and factors which can cause positive motivation. Which of the
following is not included as a hygiene factor?
a. Physical working conditions
b. Security
c. Regular possibility of promotion
d. Interpersonal relationships
135. Vroom's expectancy theory assumes that people's motivation to exert effort is dependent
upon their expectations for success. Vroom based his theory on three concepts. Which of the
following is not one of these three concepts?
 a. Expectancy. This refers to a person's perceived relationship between effort and
performance
b. Financial status. This represents how much monetary value is perceived to be given to a
person
c. Instrumentality. This reflects the person's perception of the relationship between
performance and reward
d. Valence. This represents the value placed upon a particular reward by a person
136. According to the essence of Adams's inequity theory, for a salesperson, inequity can be felt
in several areas. Which of the following is not usually considered to be an area?
a. Monetary rewards
b. Workload
c. Geographical dispersion of clients
d. Targets
137. Likert based his sales management theory on research that looked specifically at the
motivation of salespeople. His research related differing characteristics and styles of supervision
to performance. Which of the following was one of the hypotheses he tested?
a. The sales managers' own behaviours provide a set of standards which, in themselves, will
affect the behaviour of their salespeople
b. Sales managers' management style affects the style of the salespeople
c. Sales managers' pace of review affects the perfomance of salespeople
d. Sales managers' time with a company affects the time that salespeople remain with a
given company
138. Field training is designed to improve the performance of the experienced as well as the
newer salesperson. In order to achieve this, the sales manager needs to do several activities.
Which of the following is not recommended?
a. Monitor progress to check that an improvement has been realised
b. Analyse each salesperson's performance
c. Identify strengths and weaknesses
d. Accept the weaknesses of the salespeople
139. The four-stage training model proposed by Kirkpatrick is a widely adopted framework for
evaluating the effectiveness of sales training. Which of the following is not one of the four
categories?
a. Participants' reactions to the training course
b. Acquisition and retention of knowledge and attitude change
c. Adherence to work behaviour
d. Organisational outcomes
140. A diverse set of skills and roles is required to succeed as a sales manager. Which of the
following could not be considered as a skill and role?
 a. Developing close relationships with customers and an in-depth understanding of
customers' businesses
b. Avoiding up-to-date technologies
c. Marketing skills to identify potential business opportunities and recommend strategies
d. Continually seeking ways to exceed customer expectations and create added value in
buyer-seller relationships
141. What is the classic form of organising a salesforce?
a. According to the size of the account
b. Along geographical lines
c. According to languages spoken by the salespeople
d. According to the number of years with the company
142. Which of the following conditions are conducive to sales specialisation along product lines?
a. The company holds the monopoly in a specific market
b. The company sells a wide range of technically complex and diverse products and key
members of the decision-making unit of the buying organisations are different for each
product group
c. The company is the sole manufacturer of a given product
d. The company is internationally recognised
143. What are involved with customer-based structures?
a. Companies are organising themselves around customers and shifting resources from
product or regional divisions to customer-focused business units
b. Customers choose which key account manager they wish to do business with
c. Customers decide which product range they wish to purchase
d. Companies are segmenting customers based on the type of purchases being made
144. Which of the following statements is not relevant to market-centred structures?
a. Sales specialisation is by the size of market served
b. Often in industrial selling the market is defined by industry type as different industry
groups have widely varying needs, problems and potential applications
c. Specialisation by market served allows salespeople to gain greater insights into factors
significant for their particular industry, as well as to monitor changes and trends within
the industry that might affect demand for their products
d. Salespeople in an industry tend to be viewed as 'fraternity brothers' by their customers
due to their familiarity with the given industry
145. A number of advantages are claimed for a key account salesforce structure. Which of the
following is not one of the advantages?
a. Close working relationships with the customer
b. Improved communication and coordination
 c. Guaranteed advancement
d. Better follow-up on sales and service
146. What is meant by the term national account?
a. The term national account is generally considered to refer to large and important
customers who may have centralised purchasing departments that buy or coordinate
buying for decentralised, geographically dispersed branches that transcend sales territory
boundaries
b. The term national account refers to government account
c. The term national account refers to an account which is based on a centralised system of
operations
d. The term national account refers to an account which is held by any buyer company
within the same country as the seller company
147. Which of the following is not one of the usual considerations when deciding upon
international salesforce organisation?
a. Geographical size
b. Sales potential
c. Customer expectations
d. Types of products
148. Which of the following factors would not be suggested as a need for territory revision?
a. Change in consumer preference
b. Competitive activity
c. Diminution in the usefulness of chosen distribution channels
d. Decreases in the cost of covering territories
149. A number of objectives can be achieved through a compensation scheme. Which of the
following is not an objective that can be associated with a compensation plan?
a. Compensation can be used to attract and hold successful salespeople by providing a good
standard of living for them, by rewarding outstanding performance and providing
regularity of income
b. Compensation can be designed to allow selling costs to fluctuate in line with changes in
sales revenue. Thus, in poor years lower sales are offset to some extent by lower
commission payments, and in good years increased sales costs are financed by higher
sales revenue
c. Compensation plans can be formulated to direct the attention of sales personnel to
specific company sales objectives
d. Compensation can be used as a sole differentiator from a company's competitors
150. Darmon identified five types of salespeople. Which of the following is not one of these?
a. Satisfiers
 b. Status orientated
c. Goal orientated
d. Money orientated
151. What does the term 'market forecasting' mean?
a. A company can segment the potential market for its offerings
b. A company can forecast market sales and then determine what share of this will accrue to
the company
c. A company can determine the size of the potential market
d. A company can evaluate whether a market would be suitable or not for its products or
services
152. Forecasts can be produced for different horizons. Which of the following statements is not
true about forecasts?
a. Forecasts can start at an international level and range down to national levels
b. Forecasts can be produced by industry, then by company levels until individual product-
by-product forecasts are reached
c. Forecasts should never be broken down seasonally over the time span of the forecasting
period
d. Forecasts can be broken down geographically right down to individual salesperson areas
153. Which of the following is not a qualitative forecasting technique?
a. Salesforce composite
b. Panels of executive opinion
c. Delphi method
d. Product testing and test marketing
154. Quantitative techniques can be divided into two types: time series analysis and causal
techniques. Which of the following is not one of the quantitative forecasting techniques that are
categorised as time series analysis?
a. Moving averages
b. Z (or zee) charts
c. Exponential smoothing
d. Consumer/user survey method
155. Which of the following is not one of the quantitative forecasting techniques that are
categorised as causal techniques?
a. Leading indicators
b. Simulation
c. Diffusion models
d. Box-Jenkins
156. Which of the following is not true about budgeting?
 a. An organisation needs to budget to ensure that expenditure does not exceed planned
income
b. The company costing function takes the short-term sales forecast as its starting point, and
from this budgets are allocated to departments (or cost centres)
c. Budgets state limits of spending, they are thus a means of control
d. The company can plan its profits based upon anticipated sales, minus the cost of
achieving those sales (which is represented in the total budget for the organisation)
157. The advertising budget includes those expenses directly attributable to above-the-line
promotion (e.g. television advertising), and below-the-line promotion (eg. a coupon redemption
scheme). Which of the following is not usually considered to be a method used to ascertain the
level of such a budget?
a. The risk method
b. The objective and task method
c. The return on investment method
d. The incremental method
158. Which of the following is not true about the sales budget?
a. It is a statement of projected sales by individual salespeople
b. The figure that reaches the individual salesperson is sometimes called the sales quota or
sales target and this is the amount that must be sold in order to achieve the forecasted
sales
c. Quotas or targets are in direct conflict with performance targets that must be reached
d. Incentives are often linked to salespeople reaching (and surpassing) their quotas or targets
159. It is sensible to periodically review individual sales quotas to establish if they are reasonable
given current market conditions. Which of the following is not recommended as part of this
process?
a. Employ surrogate measures to give at least relative measures of potential
b. For consumer products, disposable incomes and number of people in the target market
may be used to assess relative potential
c. For industrial products, the number and size of potential customers may be used
d. All territories should be treated equally and be deemed equivalent to each other in terms
of workload
160. To produce a good forecast, sales leaders need to pay attention to a range of factors. Which
of the following is not one of these suggested factors?
a. Good forecasting requires a good sales strategy
b. Good forecasting requires a milestone-driven pipeline process
c. Good forecasting requires an understanding of your buyer's behaviour
d. Good forecasting, once set, should not be tampered with
161. What is salesforce evaluation?
 a. It is the assessment of the sales team
b. It is the comparison of salesforce objectives with results
c. It is the review of current profits compared to those of the two previous years
d. It is the evaluation of each salesperson
162. Which of the following would not be considered a salesforce objective?
a. Market share
b. Customer satisfaction
c. The promotion of salespeople
d. Expenses
163. Which of the following is not a usual benefit of evaluation?
a. It helps determine where wastage of expenses is occurring
b. It helps attain company objectives as by measuring actual performance against objectives,
shortfalls can be identified and appropriate action taken to improve performance
c. It can help improve an individual's motivation and skills
d. It provides the opportunity for the recognition of above-average standards of work
164. Three of the following are dependent on the information derived from evaluation. Which
one is not?
a. Training
b. Net profit
c. Motivation
d. Objective
165. Which of the following could not be considered as a specific output measure for individual
salespeople?
a. Sales revenue achieved
b. Sales to new customers
c. Number of orders
d. Support to team members
166. Which of the following is not true about quantitative performance measures?
a. Quantitative performance measures fall into three groups
b. Some input measures are essentially diagnostic in nature; the measures help to provide
indications of why performance is below standard
c. Key output measures relate to sales and profit performance
d. Most companies use a combination of input (behavioural) and output measures to
evaluate their salesforces
167. Quantitative measures can be used to explore the remuneration which each salesperson
receives. The focus is on expenses and compensation. With respect to expenses, comparisons are
made between salespeople and between current year and last year. Which of the following is not
a ratio that can be used?
a. Expenses sales revenue generated
b. Expenses profit generated
c. Expenses based on duration of employment with the company
d. Expenses per square mile of territory
168. Which of the following is one of the usual dimensions assessed by a qualitative measure of
performance?
a. Achievement of sales quotas
b. Self-organisation
c. Product knowledge
d. Cooperation and attitudes
169. Which of the following is not a sub-factor to assess sales skills using a qualitative measure
of performance?
a. Handling the opening and developing rapport with the potential customer
b. Identification of customer needs, questioning ability
c. Ability to overwhelm and persuade the potential buyer
d. Ability to close the sale
170. Which of the following statements is not true about appraisal interviewing?
a. Appraisal interviewing can provide the opportunity to identify a salesperson's weaknesses
b. Appraisal interviewing is best conducted in an informal setting
c. Appraisal interviewing offers the opportunity to give praise when it is deserved
d. One method which can be used in appraisal interviewing is to ask the salesperson to write
down 5-10 expectations that they hope to achieve during the next year. The sales
manager can then sit down with the salesperson and go through this list, breaking it down
into quarterly (three-month) sections. At the end of each quarter they have another
meeting to see if expectations have been met or shifted in any way
 ANSWER KEY
114.D 133.A 152.C
115.B 134.C 153.C
116.C 135.B 154.D
117.C 136.C 155.D
118.C 137.A 156.B
119.A 138.D 157.A
120.D 139.C 158.C
121.D 140.B 159.D
122.B 141.B 160.D
123.D 142.B 161.B
124.C 143.A 162.C
125.D 144.A 163.A
126.D 145.C 164.B
127.C 146.A 165.D
128.D 147.D 166.A
129.A 148.D 167.C
130.D 149.D 168.A
131.A 150.B 169.C
132.C 151.B 170.B