, TESTBANK for Purchasing Selection and
Procurement for the Hospitality Industry, 9th
Edition by Andrew H. Feinstein
Hello all ,
We have all what you need with best price
Our email :
Our website :
testbanks-store.com
,Multiple Choice Questions
1. An advantage of co-op purchasing is:
a. buyers will receive a higher quality
b. there is potential cost savings due to bulk purchasing
c. suppliers prefer this system over all other purchasing methods
d. all of the above
2. The term that best defines the full range of activities that are involved in obtaining the products
and services needed to accommodate hospitality guests is:
a. selection
b. procurement
c. purchasing
d. supply chain management
3. Typically, franchise operations can reduce and streamline the purchasing function by:
a. using a co-op organization to increase their buying power
b. using a central distribution center
c. buying large quantities of locally produced products
d. restricting franchises from purchasing products locally
4. The hospitality industry includes three major segments—the commercial segment, on-site
segment, and:
a. military segment
b. lodging segment
c. religious segment
d. contract foodservice segment
5. Franchise operations usually purchase some products from local suppliers, primarily because:
a. it will save a great deal of money
b. state law usually requires purchasing agents to buy many items locally
c. local suppliers usually sell higher-quality merchandise
d. it can maintain good community relations
6. Which one of the following is an example of a commercial hospitality operation?
a. food courts
b. employee feeding
c. hospitals
d. all of the above
7. E-commerce platforms where products can be selected and procured online are referred to as:
a. e-procurement centers
b. e-procurement chat boards
c. e-marketplaces
d. e-buying clubs
8. Which one of the following would not be used by an independent hospitality operator?
a. co-op buying
b. a central distribution center
c. a referral group
d. all of the above
, 9. The manager of a company-owned restaurant unit usually orders all merchandise from the
company's central commissary or from:
a. an approved supplier
b. the local supermarket supplier
c. the co-op set up by the vice president of purchasing
d. none of the above
10. The vice president of purchasing for a large corporation has the responsibility for all of the
following except:
a. drafting national contracts
b. establishing purchase specifications
c. purchasing products for independently owned and managed operations
d. researching and buying commodity items
11. Which of the following activities falls under selection?
a. determining how much to pay for a product/service
b. deciding when to place an order
c. deciding whether to order organic produce
d. choosing a supplier
12. E-procurement can be used by:
a. small companies
b. medium companies
c. only independent companies
d. all companies
13. What type of buyer system might one expect to find in a small independent operation?
a. a buyer or steward for each department
b. numerous buyers in a central location
c. owner–manager doing the purchasing
d. none of the above
True/False Questions
1. In the context of e-procurement, the term “B2C e-commerce” stands for business-to-consumer
electronic commerce.
2. To save money, multiunit and franchise operations often use co-op buying.
3. It is illegal for commercial operations to create and use referral groups.
4. A correctional facility is part of the noncommercial and on-site segments of the hospitality
industry.
5. A vending machine company is an example of a noncommercial type of foodservice operation.
6. The small, independent foodservice operations usually have limited capital resources to take
advantage of volume discounts that may be offered by a supplier.
7. The executive steward's major job responsibilities are to order food and supervise the sanitation
crews.
, 8. A franchise operation should never purchase products from any vendor outside of the central
distribution center.
9. A small, independent foodservice operation is usually run by an owner–operator who does all of
the buying for the operation.
10. An Internet purchasing program can only be used by multiunit and franchise companies.
11. The evolution of the Internet and the introduction of e-commerce technology have leveled the
playing field for smaller hospitality companies to procure products at more competitive prices.
12. In a large hospitality company, the restaurant manager is responsible for drawing up national
contracts.
13. Logistics management optimizes the movement of products and services within a company to
meet customers’ needs.
14. Foodservice on a cruise ship is an example of a commercial type of foodservice operation.
15. GPOs do not buy or sell products; they are used by hospitality operations to negotiate contracts
on their behalf.
16. Franchisees may purchase some of their products locally in order to maintain good relations in
the community.
17. The commissary system used by large chain operations is always the most cost–effective option.
18. A “referral group” is another name for a B2B group.
19. Selection is defined as paying for an item or service.
20. The on-site foodservice segment used to be referred to as the institutional segment.
Fill-in-the-Blank
1. In the hospitality industry, _______________ and _______________ are the two key activities of
a buyer. _______________ is the choosing of the item among a number of alternatives including
for example, grade, amount of processing (fresh or frozen) or supplier. _______________ is the
exchange of money for the item and all of the steps that involve including the purchasing
contract, receipt of goods on property, storage, and others.
2. List the three types of hospitality operations below, indicate whether they are commercial or
noncommercial and give an example of each:
Hospitality Operation Commercial/Noncommercial Example
_______________ _______________ _______________
_______________ _______________ _______________
_______________ _______________ _______________
3. Most procurement functions can now be accomplished with a few clicks of a mouse thanks to the
Internet. There are two kinds of electronic commerce or e-commerce, _______________ with the
, acronym of _______________, and _______________ with the acronym of _______________.
Amazon.com is a good example of _______________ e-commerce. E-commerce focusing on
procurement is known as _______________.
4. The electronic or e-marketplace has made it possible for small operations to easily take advantage
of bulk-purchase prices. _______________ is one way to accomplish this where members might
rotate the buying responsibilities among themselves.
5. A company that gathers together procurement processes is called an _______________ or
_______________. These organizations do not sell products themselves; instead, they negotiate
contracts on behalf of hotels, restaurants, REITs, etc. Members access the approved suppliers or
distributors through a private portal to make their purchases.
6. A _______________ and a _______________ are both terms for a distribution area that might be
utilized by a franchise or multiunit operation
,Multiple Choice Questions
1. Many “off-the-shelf” software packages specifically designed to manage inventory in a
hospitality operation can:
a. cost recipes and provide nutritional information
b. be linked to an operator’s POS system
c. forecast sales
d. all of the above
2. All the tools, technologies, and procedures to manage, improve, or facilitate sales, support, and
related interactions with customers, prospects, and business partners is known as:
a. CRM
b. GPS
c. RFID
d. POS
3. Which of the following is false in regard to the use of a Web order entry system?
a. it allows buyers and distributors to communicate online with each other
b. it creates more work and a longer paper trail to keep up with
c. it allows buyers to buy directly online
d. it allows buyers to get instant feedback on pricing and availability
4. The acronym POS stands for:
a. purchase only service
b. point of sale
c. point of shipment
d. product over sold
5. An early technology that was considered very innovative in terms of purchasing items was:
a. fax machines
b. bar code readers
c. POS systems
d. GPS
6. A routing sequence is :
a. the path that a driver follows when delivering products
b. the organization of the way products are received when they are delivered
c. the management structure of a restaurant
d. the order in which to list customers in a CRM database
7. Which of the following can be used to track inventory and monitor temperatures of items
throughout the channels of distribution?
a. RFID tags
b. POS systems
c. logistics and mapping software
d. bar code readers
, 8. A fleet management software program is:
a. a microchip used to track basic inventory items such as apples
b. used to estimate driver downtime and the amount of product that should be delivered per
hour
c. an extensive online ordering system offered by distributors
d. a POS system that is preferred by most hospitality operators
9. The acronym UPC stands for:
a. Underlying Purchase Control
b. Universal Product Code
c. Unused Portion Control
d. Universal Purchase Code
10. Most POS systems can:
a. forecast profitability
b. build customer databases
c. analyze buyers food costs
d. all of the above
11. One of the buyer’s tasks is to spec out products. A buyer might use all but which of the following
to gain product information?
a. USDA website
b. marketing boards
c. POS systems
d. newsgroups
12. Of the following, which is not an advantage of purchasing through an e-marketplace?
a. the ability to search great amounts of data for a specific product
b. the ability to connect with multiple suppliers
c. the ability to negotiate prices before the order is placed
d. the ability to remain anonymous throughout the purchasing function
True/False Questions
1. The major drawback of using buyer’s guides such as the Meat Buyers Guide published by the
North American Meat Institute (NAMI) is that they can only be purchased in print.
2. The introduction of cost–effective fax machines in the 1980s revolutionized the order-taking
process.
3. E-marketplaces allow hospitality purchasing managers and suppliers to negotiate contractual
pricing agreements on selected products prior to ordering.
4. Customer databases can be used to provide information to the marketing department to develop
special promotions.
5. It is predicted that the use of RFID tags will decrease in the future.
6. The development of GPS has led to an increase in the use of logistics and mapping software when
outlining delivery sequences.
, 7. The most common method used to acquire current, up-to-date product information in the e-
marketplace is to access the Internet.
8. Many hospitality operators use some type of computer application to increase their inventory and
cost-control efforts.
9. Logistics software is often integrated with time-efficiency programs.
10. Personal computers have made it possible for hospitality operators to base purchasing decisions
on current data.
11. Because technology used in purchasing is very expensive, the return on investment (ROI) is very
low.
12. In the future, because technology will keep progressing, it is most likely that buyers will use
multiple vendors as opposed to one-stop shopping with a primary vendor.
13. The most commonly used standard for a bar code reader is known as the CRM.
14. A big advantage of using UPCs on packaging is faster inventory counting.
15. A POS system that tracks what is ordered, how much, and by whom can complicate inventory,
ordering, and procurement.
Fill-in-the-Blank
1. A distributor is the _______________ or _______________ between a source and retailer.
Distributors must keep up with huge amounts of data in relation to products and clients. Customer
data are often tracked using a _______________ or _______________ (acronym) strategy.
2. An online ordering system is also known as a _______________.
3. The _______________, originally known as the Thomas Food Industry Register, is a searchable
database that brings buyers and sellers together, featuring 40,000 company listings and 6,000
product categories.
4. In any industry, it is important to capture sales data. _______________ systems can capture and
analyze great amounts of data very quickly. Most of these systems now have touch-screen
technology and some are now even wireless and can be carried to the table by waitstaff, where
orders are immediately sent to the screen in the bar or kitchen.
5. In the buyer/supplier relationship, a house account is to a vendor as a _______________ is to a
buyer.
6. Any time that the intermediary or middleman is cut out of the process, it is known as
_______________. This can happen when a buyer goes directly to the source for a product.
7. _______________ or _______________ (acronym) are tiny microchips that can be attached to
products for tracking purposes. Some can monitor temperature throughout the shipping process.
, 8. _______________ information helps buyers “spec out” or compare similar products. Much of this
information is now available online and in CD versions.
9. Trade organizations, such as the _______________ that produces The Meat Buyer’s Guide, provide
specific product information online and often in CD versions.
10. _______________ are organizations, usually centered on a specific product, that provide
information about that product to buyers and consumers. The Australian Pork Corporation is an
example of such an organization.
Procurement for the Hospitality Industry, 9th
Edition by Andrew H. Feinstein
Hello all ,
We have all what you need with best price
Our email :
Our website :
testbanks-store.com
,Multiple Choice Questions
1. An advantage of co-op purchasing is:
a. buyers will receive a higher quality
b. there is potential cost savings due to bulk purchasing
c. suppliers prefer this system over all other purchasing methods
d. all of the above
2. The term that best defines the full range of activities that are involved in obtaining the products
and services needed to accommodate hospitality guests is:
a. selection
b. procurement
c. purchasing
d. supply chain management
3. Typically, franchise operations can reduce and streamline the purchasing function by:
a. using a co-op organization to increase their buying power
b. using a central distribution center
c. buying large quantities of locally produced products
d. restricting franchises from purchasing products locally
4. The hospitality industry includes three major segments—the commercial segment, on-site
segment, and:
a. military segment
b. lodging segment
c. religious segment
d. contract foodservice segment
5. Franchise operations usually purchase some products from local suppliers, primarily because:
a. it will save a great deal of money
b. state law usually requires purchasing agents to buy many items locally
c. local suppliers usually sell higher-quality merchandise
d. it can maintain good community relations
6. Which one of the following is an example of a commercial hospitality operation?
a. food courts
b. employee feeding
c. hospitals
d. all of the above
7. E-commerce platforms where products can be selected and procured online are referred to as:
a. e-procurement centers
b. e-procurement chat boards
c. e-marketplaces
d. e-buying clubs
8. Which one of the following would not be used by an independent hospitality operator?
a. co-op buying
b. a central distribution center
c. a referral group
d. all of the above
, 9. The manager of a company-owned restaurant unit usually orders all merchandise from the
company's central commissary or from:
a. an approved supplier
b. the local supermarket supplier
c. the co-op set up by the vice president of purchasing
d. none of the above
10. The vice president of purchasing for a large corporation has the responsibility for all of the
following except:
a. drafting national contracts
b. establishing purchase specifications
c. purchasing products for independently owned and managed operations
d. researching and buying commodity items
11. Which of the following activities falls under selection?
a. determining how much to pay for a product/service
b. deciding when to place an order
c. deciding whether to order organic produce
d. choosing a supplier
12. E-procurement can be used by:
a. small companies
b. medium companies
c. only independent companies
d. all companies
13. What type of buyer system might one expect to find in a small independent operation?
a. a buyer or steward for each department
b. numerous buyers in a central location
c. owner–manager doing the purchasing
d. none of the above
True/False Questions
1. In the context of e-procurement, the term “B2C e-commerce” stands for business-to-consumer
electronic commerce.
2. To save money, multiunit and franchise operations often use co-op buying.
3. It is illegal for commercial operations to create and use referral groups.
4. A correctional facility is part of the noncommercial and on-site segments of the hospitality
industry.
5. A vending machine company is an example of a noncommercial type of foodservice operation.
6. The small, independent foodservice operations usually have limited capital resources to take
advantage of volume discounts that may be offered by a supplier.
7. The executive steward's major job responsibilities are to order food and supervise the sanitation
crews.
, 8. A franchise operation should never purchase products from any vendor outside of the central
distribution center.
9. A small, independent foodservice operation is usually run by an owner–operator who does all of
the buying for the operation.
10. An Internet purchasing program can only be used by multiunit and franchise companies.
11. The evolution of the Internet and the introduction of e-commerce technology have leveled the
playing field for smaller hospitality companies to procure products at more competitive prices.
12. In a large hospitality company, the restaurant manager is responsible for drawing up national
contracts.
13. Logistics management optimizes the movement of products and services within a company to
meet customers’ needs.
14. Foodservice on a cruise ship is an example of a commercial type of foodservice operation.
15. GPOs do not buy or sell products; they are used by hospitality operations to negotiate contracts
on their behalf.
16. Franchisees may purchase some of their products locally in order to maintain good relations in
the community.
17. The commissary system used by large chain operations is always the most cost–effective option.
18. A “referral group” is another name for a B2B group.
19. Selection is defined as paying for an item or service.
20. The on-site foodservice segment used to be referred to as the institutional segment.
Fill-in-the-Blank
1. In the hospitality industry, _______________ and _______________ are the two key activities of
a buyer. _______________ is the choosing of the item among a number of alternatives including
for example, grade, amount of processing (fresh or frozen) or supplier. _______________ is the
exchange of money for the item and all of the steps that involve including the purchasing
contract, receipt of goods on property, storage, and others.
2. List the three types of hospitality operations below, indicate whether they are commercial or
noncommercial and give an example of each:
Hospitality Operation Commercial/Noncommercial Example
_______________ _______________ _______________
_______________ _______________ _______________
_______________ _______________ _______________
3. Most procurement functions can now be accomplished with a few clicks of a mouse thanks to the
Internet. There are two kinds of electronic commerce or e-commerce, _______________ with the
, acronym of _______________, and _______________ with the acronym of _______________.
Amazon.com is a good example of _______________ e-commerce. E-commerce focusing on
procurement is known as _______________.
4. The electronic or e-marketplace has made it possible for small operations to easily take advantage
of bulk-purchase prices. _______________ is one way to accomplish this where members might
rotate the buying responsibilities among themselves.
5. A company that gathers together procurement processes is called an _______________ or
_______________. These organizations do not sell products themselves; instead, they negotiate
contracts on behalf of hotels, restaurants, REITs, etc. Members access the approved suppliers or
distributors through a private portal to make their purchases.
6. A _______________ and a _______________ are both terms for a distribution area that might be
utilized by a franchise or multiunit operation
,Multiple Choice Questions
1. Many “off-the-shelf” software packages specifically designed to manage inventory in a
hospitality operation can:
a. cost recipes and provide nutritional information
b. be linked to an operator’s POS system
c. forecast sales
d. all of the above
2. All the tools, technologies, and procedures to manage, improve, or facilitate sales, support, and
related interactions with customers, prospects, and business partners is known as:
a. CRM
b. GPS
c. RFID
d. POS
3. Which of the following is false in regard to the use of a Web order entry system?
a. it allows buyers and distributors to communicate online with each other
b. it creates more work and a longer paper trail to keep up with
c. it allows buyers to buy directly online
d. it allows buyers to get instant feedback on pricing and availability
4. The acronym POS stands for:
a. purchase only service
b. point of sale
c. point of shipment
d. product over sold
5. An early technology that was considered very innovative in terms of purchasing items was:
a. fax machines
b. bar code readers
c. POS systems
d. GPS
6. A routing sequence is :
a. the path that a driver follows when delivering products
b. the organization of the way products are received when they are delivered
c. the management structure of a restaurant
d. the order in which to list customers in a CRM database
7. Which of the following can be used to track inventory and monitor temperatures of items
throughout the channels of distribution?
a. RFID tags
b. POS systems
c. logistics and mapping software
d. bar code readers
, 8. A fleet management software program is:
a. a microchip used to track basic inventory items such as apples
b. used to estimate driver downtime and the amount of product that should be delivered per
hour
c. an extensive online ordering system offered by distributors
d. a POS system that is preferred by most hospitality operators
9. The acronym UPC stands for:
a. Underlying Purchase Control
b. Universal Product Code
c. Unused Portion Control
d. Universal Purchase Code
10. Most POS systems can:
a. forecast profitability
b. build customer databases
c. analyze buyers food costs
d. all of the above
11. One of the buyer’s tasks is to spec out products. A buyer might use all but which of the following
to gain product information?
a. USDA website
b. marketing boards
c. POS systems
d. newsgroups
12. Of the following, which is not an advantage of purchasing through an e-marketplace?
a. the ability to search great amounts of data for a specific product
b. the ability to connect with multiple suppliers
c. the ability to negotiate prices before the order is placed
d. the ability to remain anonymous throughout the purchasing function
True/False Questions
1. The major drawback of using buyer’s guides such as the Meat Buyers Guide published by the
North American Meat Institute (NAMI) is that they can only be purchased in print.
2. The introduction of cost–effective fax machines in the 1980s revolutionized the order-taking
process.
3. E-marketplaces allow hospitality purchasing managers and suppliers to negotiate contractual
pricing agreements on selected products prior to ordering.
4. Customer databases can be used to provide information to the marketing department to develop
special promotions.
5. It is predicted that the use of RFID tags will decrease in the future.
6. The development of GPS has led to an increase in the use of logistics and mapping software when
outlining delivery sequences.
, 7. The most common method used to acquire current, up-to-date product information in the e-
marketplace is to access the Internet.
8. Many hospitality operators use some type of computer application to increase their inventory and
cost-control efforts.
9. Logistics software is often integrated with time-efficiency programs.
10. Personal computers have made it possible for hospitality operators to base purchasing decisions
on current data.
11. Because technology used in purchasing is very expensive, the return on investment (ROI) is very
low.
12. In the future, because technology will keep progressing, it is most likely that buyers will use
multiple vendors as opposed to one-stop shopping with a primary vendor.
13. The most commonly used standard for a bar code reader is known as the CRM.
14. A big advantage of using UPCs on packaging is faster inventory counting.
15. A POS system that tracks what is ordered, how much, and by whom can complicate inventory,
ordering, and procurement.
Fill-in-the-Blank
1. A distributor is the _______________ or _______________ between a source and retailer.
Distributors must keep up with huge amounts of data in relation to products and clients. Customer
data are often tracked using a _______________ or _______________ (acronym) strategy.
2. An online ordering system is also known as a _______________.
3. The _______________, originally known as the Thomas Food Industry Register, is a searchable
database that brings buyers and sellers together, featuring 40,000 company listings and 6,000
product categories.
4. In any industry, it is important to capture sales data. _______________ systems can capture and
analyze great amounts of data very quickly. Most of these systems now have touch-screen
technology and some are now even wireless and can be carried to the table by waitstaff, where
orders are immediately sent to the screen in the bar or kitchen.
5. In the buyer/supplier relationship, a house account is to a vendor as a _______________ is to a
buyer.
6. Any time that the intermediary or middleman is cut out of the process, it is known as
_______________. This can happen when a buyer goes directly to the source for a product.
7. _______________ or _______________ (acronym) are tiny microchips that can be attached to
products for tracking purposes. Some can monitor temperature throughout the shipping process.
, 8. _______________ information helps buyers “spec out” or compare similar products. Much of this
information is now available online and in CD versions.
9. Trade organizations, such as the _______________ that produces The Meat Buyer’s Guide, provide
specific product information online and often in CD versions.
10. _______________ are organizations, usually centered on a specific product, that provide
information about that product to buyers and consumers. The Australian Pork Corporation is an
example of such an organization.
