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Saturday 18 May 2013

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Examination Paper of Semester IV
1
IIBM Institute of Business Management
IIBM Institute of Business Management
Semester-IV Examination Paper MM.100
Sales Management
Section A: Objective Type (30 marks)
Part One:
Multiple Choices:
1. Sales executives have responsibilities for coordination which involves
a. Individual
b. The organization
c. The company
d. None of the above
2. Who researched buyer-seller Dyads in the Life Insurance business
a. Hanri Tosi
b. McMurry
c. Arnold
d. Franklin Evans
3. Formula for calculating Gross Margin is
a. Sales – Cost of sales
b. Gross profit – Cost of sales
c. Sales – Expenses
d. None of the above
4. Coach- and – pupil method is
a. Company Information
b. Sales Technique
c. On – the – just Training
d. Both (a) & (c)
5. Term in which ratio measures the effectiveness of sales personnel in securing order
a. “Lowering Average”
b. “Batting Average”
c. “Multiple Average”
d. None of the average
Examination Paper of Semester IV
2
IIBM Institute of Business Management
6. District sales manager and planning report is called
a. Manager plan
b. District plan
c. District sales plan
d. None of the above
7. Numerical expression indicating the degree to which one or more factor associated with a given
products demand is
a. Sales Index
b. Product Index
c. Market Index
d. Company Index
8. Event that strengthens the buyers tendency to make a particular response is called
a. Reinforcement
b. Cue
c. Drives
d. Both (a) & (b)
9. 2 Types of drive in learning process are
a. Innate and learned drive
b. Mutual and learned drive
c. Innate and mutual drive
d. None of the above
10. The weak stimuli which determine when the buyer will respond
a. Cue
b. Response
c. Drive
d. None of the above
Part Two:
1. Write a short note on “Sales Resistance”?
2. What is “Controlling Selling Expenses”?
3. Write short note on “Product Line Policy”?
4. What do you understand by “Straight-Commission Plan”?
END OF SECTION A
Examination Paper of Semester IV
3
IIBM Institute of Business Management
Section B: Caselets (40 marks)
This section consists of Caselets.
Answer all the questions.
Each caselet carries 20 marks.
Detailed information should form the part of your answer (Word limit 200 to 250 words).
Caselet 1
Allen Specialty Company, located in Detroit, Michigan, manufactured a line of Ballpoint pens, and
mechanical pencils and, in the past five years, had added a line of stationary. Allen products were sold to
stationary and office supply wholesalers and retailers, as well as to department stores, discount houses,
drugstores, variety stores, and supermarkets. A field sales force of eighty-two persons operated out of six
district sales offices. Allen management believed that a critical factor in the company’s
manager to work with the individual salespeople and call on key dealers. He also complained that when
these sessions were scheduled in mid-November, they interfered with sales productivity in the busiest
season of the year.
1. Evaluate the Allen Specialty Company’s organization and plan for coordinating sales and
advertising?
2. How should Biggerstaff answer Halloram’s complaint?
Caselet 2
Holden Electrical Supplies Company
Manufacturer of Electrical Equipment – Recruiting Sales Personnel
Holden Electrical Supplies Company, Cincinnati, Ohio, manufactured a wide line of electrical
equipment used in both home and industry. The sales force called on both electrical wholesalers and
industrial buyers with the greater part of their efforts concentrated o industry buyers. The industrial
products required considerable technical expertise upon the part of sales people. Sales offices situated
in twenty cities spread over the country had two hundred sales personnel operating out of them. In the
past eight years sales volume increased by more than 50 percent, to a level of nearly $150,000,000.
The fast rise in sales volume and the accompanying plant expansion created a problem in that more
sales personnel were needed to keep up with the new accounts and to make sure the additional plant
capacity was used profitably.\
The president preferred internal recruiting from the non-selling division, such as engineering,
design, and manufacturing. He claimed that their familiarity with Holden and their proven abilities
were important indicators of potential success as sales engineers.
A complete analysis of Holden’s entire personnel recruiting program was in order, and, regardless
of the approach finally decided upon, it was paramount that the company have a continuous program
to attract satisfactory people to the sales organization.
1. Evaluate Holden’s recruiting program, suggesting whether or not the company should have
continued its college recruiting of sales engineers?
2. What criteria should a good sales engineer should implement to uplift the company sales?
END OF SECTION B
Section C: Applied Theory (30 marks)
1. Write in brief about motivation of sales personnel?
2. Write in brief about setting up a sales organization?
END OF SECTION C
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