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1. Headquartered in Montreal and with a presence in more than 60 countries, Bombardier operates two industry-leading businesses: ฀ ฀ A. computer hardware and graphics processing B. rail transportation and aerospace C. software development and data storage D. trucking and logistics 2. Bombardier is considered a global leader in which industry? ฀ A. business aircraft B. ships C. hydroelectric power dams D. data storage servers

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3. Bombardier competes globally and forecasts that over the next 20 years there will be growth in demand for its products in ___________. ฀ ฀ A. China and India B. Russia and India C. China and Russia D. Russia and Brazil 4. Because Bombardier competes in the B2B marketplace, it recognizes that demand for its products is often contingent on: ฀ ฀ A. the end customer B. marketing intermediaries C. its suppliers D. government policies 5. Jackson Steel produces sheet metal that is then sold to Ford, Toyota, and GM for use in producing their vehicles. Jackson Steel competes with other sheet metal companies for the car company's business. Jackson Steel is in which segment? ฀ ฀ A. Relational enterprise B. Institutional marketing C. Business marketing D. Reseller marketing 6. Two manufacturers were discussing the upcoming trends in the business market. One kept referring to the market as the ‘business market,' while the other interrupted him and said: "when you refer to the business market, you are referring to the _________." ฀ ฀ A. transactional market B. ultimate market C. relational enterprise D. industrial market 7. Manufacturers, wholesalers, retailers, and government agencies that buy goods and services for their own use or for resale are examples of: ฀ ฀ A. multinationals. B. cooperatives. C. organizational buyers. D. ultimate consumers.

8. Organizational buyers include all the following EXCEPT: ฀ A. retailers. B. government. C. manufacturers. D. ultimate consumers.

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9. Which of the following is not considered a market for organizational buyers? ฀ A. industrial B. reseller C. government agencies D. retailer

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10. Which of the following statements represents an organizational buying decision? ฀ ฀ A. Mr. Crowe buys a Toyota minivan to commute to work. B. A dentist buys a new Blu-ray player for her den. C. Mr. Langley hires a housecleaning service to clean his apartment. D. The owner of a fried chicken restaurant hires a snow removal service to keep the parking lot clear. 11. An industrial firm is a firm that: ฀ ฀ A. is distinguished by the amount of energy it uses and potential for pollution to the environment. B. employs more than 500 people, who are paid minimum wage with few or no benefits. C. deals exclusively with federal, state, and local governments, and often mediates governmental agency disputes. D. in some way reprocesses a good or service it buys before selling the product again to the next buyer. 12. A steel mill converts iron ore into sheet metal that they then sell to the next buyer. The steel mill would be considered a(n) ฀ ฀ A. industrial firm B. reseller firm C. middleman D. producer 13. The industries that are growing in Canada, currently make the greatest contribution to Canada's gross domestic product, are known as ____________ industries. ฀ ฀ A. construction B. transportation and public utilities C. manufacturer D. service 14. Which market in Canada has approximately 50,000 businesses and ship an estimated value of $575 billion? ฀ ฀ A. real estate businesses B. wholesalers C. retailers D. manufacturers 15. Honeywell's Micro Switch Division sells its fibre-optic technology and products to manufacturers of data communication systems worldwide. Data communications system manufacturers are operating in _____ market. ฀ ฀ A. reseller B. governmental C. psychographic D. industrial

16. A manufacturer of consumer food products for the Chinese market in Canada buys several tons of camellia nuts annually. It converts those nuts into cooking oil that is popular among the Chinese population because it has a milder taste than olive oil and a higher burning point. The oil is sold to supermarkets. The pulp from which the oil is extracted is sold to beef cattle farmers who use it to fatten their cattle. These transactions occur in the _____ market. ฀ ฀ A. reseller B. government C. institutional D. industrial 17. Graham-Field Health Products makes hospital beds and wheelchairs from component parts and materials it buys. It sells its products to hospitals, nursing homes, and retailers of health care products. GrahamField Health Products operates in a(n) _____ market. ฀ ฀ A. consumer B. psychographic C. industrial D. cultural 18. All of the following are considered resellers, except: ฀ A. Costco B. Walmart C. Canadian Tire D. U.S. Steel

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19. A reseller purchases products from a manufacturer and then ______________ before selling them to the end customer. ฀ ฀ A. puts their logo on them B. processes them no further C. builds them into a larger product D. strips them down to their parts 20. Itex Corporation, marketer of Photostat products used in the graphic arts field, buys sensitized paper from Eastman Kodak Company, packages it with the Photostat brand name on it, and sells it directly to amateur photographers. In this context, Itex Corporation should be classified as a(n): ฀ ฀ A. service provider. B. monopoly. C. reseller. D. industrialist. 21. Apex Therapeutic buys medical supplies and services for people with hemophilia and other related blood diseases from a multitude of sources. It then sells these products to anyone who needs them. When it sells directly to a person who is a hemophiliac, it would be classified as a(n): ฀ ฀ A. change agent. B. monopoly. C. reseller. D. industrialist. 22. In terms of organizational buyers, Amazon.com, Lands' End, and J.C. Penney would all be classified as: ฀ ฀ A. capitalists. B. resellers. C. monopolies. D. facilitating agents.

23. Canadian Crown corporations, such as CBC, VIA Rail, and the Royal Canadian Mint are examples of: ฀ ฀ A. Industrial markets B. Reseller markets C. Cooperative markets D. Government units 24. Federal, provincial, and local agencies that buy goods and services for the constituents they serve are known as: ฀ ฀ A. Industrial markets B. Reseller markets C. Cooperative markets D. Government units 25. When the Canadian Broadcasting Corporation buys new computers, monitors, and printers for its various newsrooms, it is operating as a(n): ฀ ฀ A. industrial market. B. business market. C. government unit. D. facilitating agent. 26. Many of Canada's top exporters, including Bombardier and Maple Leaf Foods, focus on ___, not ___. ฀ A. organizational customers; ultimate consumers B. ultimate consumers; organizational consumers C. governmental agencies; ultimate consumers D. governmental agencies; organizational consumers 27. Pratt & Whitney sells aircraft engines to Europe's Airbus Industries, which sells passenger airplanes to Japan Airlines, which flies businesspeople around the world. This is an example of: ฀ ฀ A. the circular flow of products. B. market dynamics. C. global organizational markets. D. organizational clusters. 28. Concern about terrorists using biological warfare has caused the U.S. government to create stockpiles of specific drugs. The federal government has purchased Cipro, the only drug specifically approved by the FDA to treat inhaled anthrax from Bayer, the German drug and chemical company. The U.S. government has also purchased smallpox vaccine from Acambis, a British drug company. These transactions are examples of: ฀ ฀ A. the circular flow of products. B. market dynamics. C. global organizational markets. D. organizational clusters. 29. Europe's Airbus Industrie, the world's largest aircraft manufacturer, sells its passenger airplanes to Air Canada, which flies Canadian businesspeople to Asia. This is an example of: ฀ ฀ A. the circular flow of products. B. market dynamics. C. global organizational markets. D. organizational clusters. 30. The system that provides common industry definitions for Canada, Mexico, and the United States to facilitate the measurement of economic activity in the three member countries of the North American Free Trade Agreement (NAFTA) is called: ฀ ฀ A. Strategic International Classification (SIC). B. Federated Domestic and International Classification (FDIC). C. Federated Trade Codification (FTC). D. the North American Industry Classification System (NAICS).

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31. As a market research analyst for Bain & Co., your Senior Partner asks you to determine the NIACS code for the manufacturing industry. This will be used to help facilitate the measurement of economy activity for the: ฀ ฀ A. European Economic Community (EEC). B. Fiscal Development International Coalition (FDIC). C. North American Free Trade Agreement (NAFTA). D. North Atlantic Treaty Organization (NATO). 32. NAICS is an acronym for: ฀ ฀ A. North American Industry Competition Standings. B. North American Industry Competition System. C. North American Industry Classification System. D. North American Industry Classification Standards 33. Which of the following statements about the North American Industry Classification System (NAICS) is false? ฀ ฀ A. the first two digits represent sectors B. the third digit designates subsectors C. the fourth digit designates industry groups D. the fifth digit designates company name. 34. Which of the following statements about the North American Industry Classification System (NAICS) is false? ฀ ฀ A. the first two digits represent sectors B. the third digit designates subsectors C. the fourth digit designates industry groups D. in Canada, there are 25 sectors 35. As an organizational buyer, if you worked directly with your suppliers to improve their efficiency and product quality to enhance your business, you would be focused on: ฀ ฀ A. supplier development B. upstream development C. partner development D. supplier partnerships 36. John Deere employees almost 100 supplier-development engineers that focus on working with suppliers to: ฀ ฀ A. improve efficiency B. provide feedback on product development C. demonstrate how important that supplier is to John Deere D. act as a bridge between the supplier and John Deere's customers 37. The NAICS divides the economy into sectors using a ______ coded system. ฀ A. seven-digit B. six-digit C. five-digit D. four-digit

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38. A disadvantage of the North American Industry Classification System (NAICS) is that: ฀ ฀ A. it only lists the top ten firms in any particular industry. B. it is too difficult and confusing to read. C it assigns one code to each organization based on its major economic activity, so large firms that engage . in many different activities are given only one code. D. it only covers organizations with sales in excess of (US) $1 million.

39. How might a marketing manager for a manufacturer of turboprop engines used in private jet planes use the North American Industry Classification System (NAICS) to help with his marketing planning to find prospective customers? ฀ ฀ A He could record the NAICS numbers for each of his firm's best customers, and then obtain lists of . companies with the same NAICS numbers. B. He could go to a library to find the NAICS numbers for all government units, federal, state, and local. C. He could identify all NAICS numbers that do not reflect the classifications of his firm's customers. D. He could poll his field sales organization to see if his company's sales representatives know what NAICS numbers mean. 40. You are the research director of a major marketing research consulting firm. You need to select an NAICS (North American Industry Classification System) code that gives you the most detail about the competitors in a client's industry. Which of the following levels of classification would provide the greatest detail? ฀ ฀ A. Code 260 B. Code 423531 C. Code 91 D. Code 6575 41. The NAICS will allow marketing managers to gather and study all of the following information EXCEPT: ฀ ฀ A. market share. B. demand for goods and services. C. competition in domestic markets. D. every industry in which a conglomerate engages in business. 42. All of the following are characteristics of the organizational buying behaviour except: ฀ A. Market characteristics B. Product or service characteristics C. Marketing mix characteristics D. Supplier characteristics

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43. The demand for industrial products and services that is driven by demand for consumer products and services is called: ฀ ฀ A. Gross National Product. B. derived demand. C. the Consumer Price Index. D. break-even demand. 44. Consumer demand has dramatically increased for home-based solar panels. As a result, manufacturers are seeing increased demand for the raw materials and components to construct the solar panels. This type of demand is known as: ฀ ฀ A. indirect B. direct C. derived D. eco-friendly 45. BP drills and refines crude oil into petroleum for vehicles, which it sells through its retail gas stations. What kind of demand is there for BP's gasoline? ฀ ฀ A. unitized B. derived C. consumer D. applied

46. Spruceland Millworks in Canada makes wooden pallets for transporting and storing new appliances such as stoves, freezers, and refrigerators. What kind of demand is there for Spruceland pallets? ฀ ฀ A. There is creative demand, which is tied to the sales of appliances, not the sale of the pallets. B. There is derived demand, which is tied to the sales of appliances, but independent of the sales of pallets. C. There is derived demand, which is tied to the sales of pallets, which in turn, is tied to the sales of appliances. D. There is inelastic demand tied to the cost of the components of the pallets. 47. Concert Staging Company provides the stage, the roof system, and lighting and sound for outdoor concerts and theaters. It is typically hired by the organization sponsoring the event. When the economy slows down, consumers are more likely to save their money for a rainy day than buy a concert or theatre ticket. The number of concert and theatre events determines how many times the company gets to provide its services. Demand for the services provided by Concert Staging Company is _____ demand. ฀ ฀ A. derived B. unitized C. holistic D. applied 48. Purchases of sodium fluoride by Pfizer for its Listerine mouthwash would be an example of ____ demand. ฀ ฀ A. derived B. unitized C. binary D. applied 49. As a new business, you are trying to find the right manufacturing partner to be your supplier of widgets. You come across one that maintains ISO 9000 standards, why do you decide to choose this supplier? ฀ ฀ A. the manufacturer has a quality and assurance process B. the manufacturer will be the least expensive on the market C. the manufacturer will form an exclusive relationship with you D. the manufacturer passes on guarantees to your end consumers 50. The amount of pulp and paper products that MacMillan Bloedel manufactures is influenced by consumer demand for newspapers, Pizza Pizza's "keep warm" pizza-to-go boxes, Federal Express packages, and disposable diapers. This is an example of: ฀ ฀ A. derived demand. B. the price-quality relationship. C. the acceleration principle. D. price elasticity. 51. Ultimately, most demand is derived from consumer demand, the exception being demand derived from: ฀ ฀ A. resellers. B. original equipment manufacturers. C. wholesalers. D. government purchases. 52. Because orders in organizational buying are typically much larger than in consumer buying, such as when the order is above a specific amount, such as $5,000, the buyers often must ฀ ฀ A. lie to their superiors about how much things really cost B. get competitive bids from at least three prospective suppliers C. carry personal insurance to cover possible losses D. pay taxes out of their own pockets

53. Which of the following is NOT a characteristic of products and services purchased within an organizational context? ฀ ฀ A. The focus is on delivery time and postsale service. B. Raw and semi-finished goods are predominantly purchased. C. The sizes of orders are typically much smaller than in consumer buying. D. Goods and services are purchased on the basis of specifications that are technical in nature. 54. Each of the following statements accurately characterizes the organizational buying process EXCEPT: ฀ ฀ A. Multiple buying influences exist because many people may be involved in the purchase decision process. B. Reciprocal arrangements are uncommon C. Negotiations between buyers and sellers regarding price is common. D. The purchase of goods or services is usually handled by expert buyers. 55. Which of the following is NOT a characteristic of the organizational buying process? ฀ A. Multiple parties participate in purchase decisions. B. Negotiation between buyers and sellers is commonplace. C. Online buying over the Internet is widespread. D. Online buying over the Internet is uncommon.

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56. Which of the following statements accurately characterizes buying behaviour in organizational markets? ฀ ฀ A. Organizational buying behaviour is similar to consumer buying behaviour since individuals are involved in both processes. B Demand for industrial products is elastic instead of inelastic or derived because companies, not ultimate . consumers, determine the quantity of goods produced. C. Fewer customers typically exist in organizational markets than in consumer markets. D. Purchase orders are usually small. 57. When compared to consumer marketing, industrial marketing is simpler because: ฀ A. firms have buying centres. B. it is easy to forecast derived demand. C. the buying objectives of industrial buyers are easily identifiable. D. industrial orders are smaller.

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58. Which of the following statements is true regarding organizational versus consumer buying decisions? ฀ ฀ A. Perceived risk is lower in organizational buying. B. Reciprocal arrangements exist. C. More organizational buying decisions are lower in involvement. D. Organizational buyers are more influenced by lifestyle factors. 59. Which of the following possible aspects of consumer buying decisions is LEAST likely to enter into an organizational buying decision? ฀ ฀ A. comparison of product performance with expectations B. decision based on highest overall evaluation C. alternatives evaluated on important criteria D. problem recognition triggered by self-actualization motives 60. Firms selling consumer goods or services often try to reach thousands or millions of individuals or households. Firms selling to organizations are often: ฀ ฀ A. inclined to try to reach tens of millions. B. restricted to far fewer buyers. C. hoping to obtain similar numbers of nonconsumer customers. D. restricted by government regulations to only a few industrial categories.

61. Bell Canada has decided to sign a ‘code sharing agreement' with Telus and Rogers which allows them to grow their market while avoiding costs by having to build more cell transmission towers. The focus of Bell Canada's actions is to: ฀ ฀ A. increase profits through increasing costs and increasing revenues. B. increase profits through reducing costs and decreasing revenues. C. increase profits through reducing costs or increasing revenues. D. maintain profits through reducing costs and increasing revenues. 62. Mac's buys automated inventory systems in order to increase the number of products that can be sold through its convenience stores and to keep them fresh is an example of: ฀ ฀ A. an organizational buying criterion B. an organizational buying objective C. derived demand D. reselling 63. Every $1 of manufacturing in Canada generates ______ in total economic activity. ฀ A. $2 B. $3 C. $4 D. $5

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64. Canada manufacturers export over __________ percent of all goods manufactured. ฀ A. 30 B. 40 C. 50 D. 60

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65. A company that runs its trucks on a mixture of petroleum and ethanol buys its ethanol from Archer Daniels Midland (ADM) Company because it is the only large sup...