Sixth Edition by Ross Brennan
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, Brennan et al., Business-to-Business Marketing, 6e
SAGE Publishing, 2024
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, Brennan et al., Business-to-Business Marketing, 6e
SAGE Publishing, 2024
Chapter 1: Business-to-business markets and marketing
1. The key distinguishing feature of business-to-business marketing is that the customer is an
______ rather than an individual consumer.
a. Actor
b. Resource
c. Organization
d. Activity
Ans: C
2. According to service-dominant logic, in the end all marketing concerns services. Which of
the following statements is not true.
a. When buying products, business buyers are seeking value-in-use
b. Physical products are not relevant to service-dominant logic
c. All economies are service economies
d. All products have associated service elements
Ans: B
3. Airbnb, Uber, Deliveroo and Couchsurfing are all examples of:
a. Sharing economy
b. Competitive economy
c. Resource economy
d. Driving economy
Ans: A
4. The nature of demand in business markets is:
a. Direct
b. Derived
c. Indirect
, Brennan et al., Business-to-Business Marketing, 6e
SAGE Publishing, 2024
d. Elastic
Ans: B
5. A concentration ratio is defined as the combined market shares of the few largest firms in
the market. Where concentration ratios are high:
a. Industry will be more innovative
b. It is less likely that firms in an industry will collude to raise prices
c. Production volumes will be more stable
d. It is more likely that firms in an industry will collude to raise prices
Ans: D
6. Which of the following is not a means to classify products according to Murphy and Enis
(1986):
a. Maintenance repair and operating (MRO) products
b. Preference products
c. Specialty products
d. Convenience products
Ans: A
7. Personal selling makes sense in business markets due to:
a. Concentrated demand
b. Dispersed demand
c. Less powerful sellers
d. Less powerful buyers
Ans: A
8. In business markets:
a. The transaction value is usually small
b. The buying process is simple
, Brennan et al., Business-to-Business Marketing, 6e
SAGE Publishing, 2024
c. Purchase professionalism is low
d. The degree of interactivity is often high
Ans: D
9. In terms of marketing practice:
a. In consumer marketing personal selling is used to a greater extent than in business
marketing
b. In consumer marketing relationships are used to a greater extent than in business
marketing
c. In consumer marketing branding is more extensive and sophisticated than in business
marketing
d. In consumer marketing segmentation is less extensive and sophisticated than in business
marketing
Ans: C
10. In terms of buying behaviour:
a. In business marketing purchasing cycles are shorter than in consumer marketing
b. In consumer marketing buyer/seller interdependence is high
c. In business marketing formal written rules are uncommon
d. In business marketing many people influence the buying decision
Ans: D
Chapter 2: Buyer behaviour
1. Auchan, Easyjet and Nestlé are all examples of ‘mass-production’ businesses for whom
______.
a. a network of suppliers is key to creating bespoke, complex products for individual
customers
b. selected suppliers are key to the design and supply of high-volume, standard finished
‘products’
, Brennan et al., Business-to-Business Marketing, 6e
SAGE Publishing, 2024
c. commodity prices and supply continuity are central to the production of semi-finished
goods
d. business centres around competing for and supplying major capital investment projects
Ans: B
2. Companies that adopt a buying orientation ______.
a. select suppliers that offer the lowest contract price
b. select suppliers that offer the lowest total cost of ownership
c. try to build long-term collaborative relationships with suppliers
d. try to maximize value along an entire supply chain
Ans: A
3. For purchases categorized as bottleneck items, the buyer will try to ______.
a. improve purchase efficiency
b. exploit buying power
c. maximize existing supply partnerships
d. ensure supply security
Ans: D
4. When organizational buyers have extensive experience in using a product, detailed
understanding of a supply market, as well as clearly defined product specification and
supplier selection criteria, they are in a ______ situation.
a. modified rebuy
b. new task buying
c. straight rebuy
d. judgemental buying
Ans: C
5. When confronted with a modified re-buy situation, the ‘out-supplier’ should
, Brennan et al., Business-to-Business Marketing, 6e
SAGE Publishing, 2024
a. try to move the customer to a straight rebuy
b. reduce the perceived benefits of a supply switch
c. automate the ordering process
d. create communication messages to present value-adding alternatives
Ans: D
6. Within the buying centre, individuals who actually make organizational buying decisions,
whether or not they have the formal authority to do so, are performing the role of a
______.
a. user
b. buyer
c. gatekeeper
d. influencer
Ans: B
7. A common, identifiable element in buying centres in all industrial market sectors is
a. the accounting function
b. the R&D function
c. the operations function
d. the purchasing function
Ans: D
8. Which of the following activities is NOT normally an activity undertaken by managers
with purchasing responsibilities?
a. Consulting with colleagues in other functional areas.
b. Negotiating contracts with customers.
c. Searching for suppliers and issuing requests for tender.
d. Monitoring supplier performance.
Ans: B
, Brennan et al., Business-to-Business Marketing, 6e
SAGE Publishing, 2024
9. For online catalogue purchases ______.
a. all buying activities are handled by the purchasing manager
b. the user deals directly with suppliers, independently of the purchasing manager
c. the user is able to choose from a limited number of products and suppliers according to the
terms and conditions negotiated by the purchasing manager
d. the purchasing buying team delegates all responsibility for the decision-making process to
the product user
Ans: C
10. Which of the following represents a RISK for suppliers who engage in reverse auctions to
secure business with customers?
a. Inventory management
b. Unrealistic prices
c. New business
d. Cycle time reduction
Ans: B
Chapter 3: Inter-firm relationships and networks
1. Which of the following assumptions is true in business-to-business marketing
a. The marketer and customer operate separately and their goals often diverge
b. The marketer is active while the customer is relatively passive
c. The marketer establishes the customer need via traditional research activities
d. In business markets customers are often as active as suppliers
Ans: D
2. In business markets, customers face uncertainties in the buying process. Which of the
following is not a customer uncertainty:
a. Need uncertainty
, Brennan et al., Business-to-Business Marketing, 6e
SAGE Publishing, 2024
b. Market uncertainty
c. Decision uncertainty
d. Transaction uncertainty
Ans: C
3. Agency theory deals with:
a. Reducing risk and managing uncertainty in the exchange process.
b. Reducing risk and managing power in the exchange process.
c. Managing risk and reducing power in the exchange process.
d. Managing risk and relationships in the exchange process.
Ans: A
4. The following factor is not a key consideration in transaction cost economics:
a. Uncertainty
b. Risk
c. Asset specificity
d. Frequency of the transaction
Ans: B
5. Social exchange theory assumes that people are rational. This means...
a. Feeling powerful over one party will enhance the relationship
b. Feeling dependent on one partner will enhance the relationship
c. Trust and commitment do not play a role in relationship satisfaction
d. Relational actors are motivated to seek relationships with a high level of reward
Ans: D
6. The interaction model developed by the IMP group of researchers is a useful framework
for analysing ______.
a. Networks