Started on Monday, 4 March 2024, 10:25 PM

State Finished
Completed on Monday, 4 March 2024, 11:10 PM
Time taken 44 mins 53 secs
Grade 48.00 out of 50.00 (96%)
Question 1
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What rights provide a mechanism for senior managers to overturn pricing decisions when
they conflict with broader organizational priorities?

Select one:

a.
None of the choices

b.
input rights

c.
Ratification rights

d.
Decision rights
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Question 2
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Question text
What tool is used by sales people to develop customer-specific monetary value?

Select one:

a.
influence-based selling tool

b.
none of the choices

c.
value-based selling tool

d.
monetary value
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Question 3
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What means that differences in pricing across customers and changes over time reflect
differences or changes in the value to customers?

Select one:

a.
none of the choices

b.
proactive

c.
profit driven

d.
value based
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Question 4
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What are the two forms of differentiation value?

Select one:

a.
economic and monetary value

b.
none of the choices

c.
monetary and psychological

d.
use and economic value
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Question 5
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What step creates a series of redesigned pricing processes for each of the major pricing
activities identified in step one?

Select one:

a.
Identify Profit Leaks

b.
Define Major Pricing Activities

c.
Map Current Processes

d.
Redesign Process
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Question 6
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What is a strategic initiative to cut costs and achieve advantage?
Select one:

a.
pricing

b.
none of the choices

c.
procurement

d.
selling
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Question 7
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What rights define the scope and role of each person’s participation in the decision-making
process?

Select one:

a.
ratification

b.
decision

c.
input
d.
all of the choices
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Question 8
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What pricing strategy involves a strategic decision not to use price to gain market share,
while not allowing price alone to restrict it?

Select one:

a.
none of the choices

b.
penetration pricing

c.
skim pricing

d.
neutral pricing
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Question 9
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 Flag question

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What rights enable an individual to provide information before the decision is made?

Select one:

a.
input rights

b.
decision rights

c.
ratification rights

d.
none of the choices
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Question 10
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What stage has a critically important stage for complex goods with a high cost of search?

Select one:

a.
selection
b.
none of the choices

c.
information gathering

d.
origination
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Question 11
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What value is the heart of pricing strategy?

Select one:

a.
none of the choices

b.
economic value

c.
use value

d.
exchange value
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Question 12
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What pricing strategy involves setting a price low enough to attract and hold a large base of
customers?

Select one:

a.
skim pricing

b.
penetration pricing

c.
sequential pricing

d.
none of the choices
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Question 13
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What is the maximum price that a “smart shopper,” fully informed about the market and
seeking the best value, would pay?
Select one:

a.
total economic value

b.
monetary value

c.
differentation value

d.
psychological value
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Question 14
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What step involves the definition of the major process activities such as opportunity
assessment, price setting, negotiation, and contracting

Select one:

a.
Redesign Process

b.
Map Current Processes

c.
Define Major Pricing Activities
d.
Identify Profit Leaks
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Question 15
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What is the most important element for most business-to- business purchases?

Select one:

a.
differentation value

b.
monetary value

c.
none of the choices

d.
economic value
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Question 16
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What is the statistical technique for identifying which customers are paying significantly
more or significantly less than the band of “peer” prices for a given type of transaction?

Select one:

a.
Price bundling

b.
price banding

c.
price ceiling

d.
all of the choices
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Question 17
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Decision rights enable an individual to provide information before the decision is made.

Select one:
True
False
Question 18
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What influence reference prices strategically?

Select one:

a.
pychological meaning

b.
promotional deals

c.
none of the choices

d.
new product introduction
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Question 19
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What value accounts for the fact that the value one can capture for commodity attributes of
an offer is limited to whatever competitors charge for them?

Select one:
a.
economic value

b.
differentiation value

c.
use value

d.
none of the choices
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Question 20
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What is the central part for goods in which monetary value drivers?

Select one:

a.
none of the choices

b.
value based quantification

c.
value quantification

d.
value qualification
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Question 21
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What step creates a visual depiction of the processes by which pricing decisions are
currently made?

Select one:

a.
Identify Profit Leaks

b.
Redesign Process

c.
Map Current Processes

d.
Define Major Pricing Activitie
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Question 22
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 Question text
Typically, input rights are granted to individuals from finance, forecasting, and research that
provide critical data but are not responsible for commercial outcomes.

Select one:
True
False

Question 23
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What stage is when a customer gathers more detailed information to make choice based on
price and value?

Select one:

a.
none of the choices

b.
selection

c.
information gathering

d.
fulfillment
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Question 24
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What pricing function occurs when the pricing organization owns the right to make key
decisions, but does not have the power to enforce those decisions in the market place?

Select one:

a.
functional coordinator role

b.
none of the choices

c.
figure head

d.
commercial partner role
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Question 25
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What value depends on the alternatives customers have available to satisfy the same need?

Select one:

a.
exchange value

b.
all of the choices

c.
economic value

d.
use value
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Question 26
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What archetype in which pricing decisions are made and managed at the corporate level?

Select one:

a.
Dedicated Support Unit

b.
None of the choices

c.
Center of Scale

d.
Center of Expertise
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Question 27
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What is the final stage of buying process?

Select one:

a.
selection

b.
origination

c.
fulfillment

d.
none of the choices
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Question 28
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What type of buyer purchase a disproportionate share of sales volume in most business-to-
business markets?
Select one:

a.
none of the choices

b.
price buyers

c.
brand buyers

d.
value buyers
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Question 29
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What value represents the total cost savings or income enhancements that a customer
accrues as a result of purchasing a product?

Select one:

a.
economic value

b.
use value

c.
all of the choices
d.
monetary value
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Question 30
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What value is the most important element for most business-to- business purchases?

Select one:

a.
Monetary value

b.
economic value

c.
use value

d.
none of the choices
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Question 31
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 Flag question

Question text
Profit-driven means that the company evaluates its success at price management by what it
earns relative to alternative investments rather than by the revenue it generates relative to
its competitors.

Select one:

a.
false

b.
neither true nor false

c.
true

d.
none of the choices
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Question 32
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Question text
What pricing strategy involves a strategic decision not to use price to gain market share,
while not allowing price alone to restrict it?

Select one:
a.
none of the choices

b.
penetration pricing

c.
skim pricing

d.
neutral pricing
Feedback
Your answer is correct.

Question 33
Correct
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Question text
What value refers to the many ways that a product creates innate satisfaction for the
customer?

Select one:

a.
psychological

b.
all of the choices

c.
monetary
d.
economic
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Question 34
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What are the rules or habits, either explicit or cultural, that determine how a company varies
its prices when faced with factors other than value and cost that threaten its ability to
achieve its objectives?

Select one:

a.
none of the choices

b.
reverse auction

c.
pricing policy

d.
price exceptions
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Question 35
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 Flag question

Question text
What value represents the total cost savings or income enhancements that a customer
accrues as a result of purchasing a product?

Select one:

a.
use value

b.
none of the choices

c.
monetary value

d.
economic value
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Question 36
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What archetype is in which each business unit has a dedicated pricing group that is only
loosely aligned with corporate pricing?

Select one:
a.
Dedicated Support Unit

b.
None of the choices

c.
Center of Expertise

d.
Center of Scale
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Question 37
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What price setting process develops communication plan to ensure prices are perceived to
be fair?

Select one:

a.
communicate price to market

b.
set initial price

c.
none of the choices

d.
define the price window
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Question 38
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What type of structure is appropriate for diversified businesses with little overlap in market
type?

Select one:

a.
Center of Expertise

b.
None of the choices

c.
Dedicated Support Unit

d.
Center of Scale
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Question 39
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 Question text
What stage is when customer collects initial product data with the objective of narrowing
down the choice set to a manageable number of options?

Select one:

a.
origination

b.
selection

c.
information gathering

d.
fulfillment
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Question 40
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What the stage at which the customer becomes aware of a need and begins the search for a
suitable offering to satisfy it?

Select one:

a.
fulfillment

b.
selection
c.
origination

d.
information gathering
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Question 41
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What stage is when a customer chooses distribution channel from which to make purchase
and conducts transaction?

Select one:

a.
origination

b.
selection

c.
fulfillment
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Question 42
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 Flag question

Question text
What is the term for the highest allowable price point?

Select one:

a.
price ceiling

b.
price window

c.
None of the choices

d.
price floor
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Question 43
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What rewards those customers who are aggressive negotiators?

Select one:

a.
none of the choices
b.
discounts

c.
price exceptions

d.
reverse auction
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Question 44
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“notification” rights should be allocated to individuals that will use or be affected by the
pricing decisions in other decision-making processes.

Select one:
True
False

Question 45
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Question text
What strategy is when the firm expects that its lower costs will enable it to profit despite
competitive pricing?
Select one:

a.
differentiated product strategy

b.
cost leadership strategy

c.
none of the choices

d.
both cost leadership strategy differentiated product strategy
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Question 46
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What rights should be allocated to individuals that will use or be affected by the pricing
decisions in other decision-making processes?

Select one:

a.
notification

b.
decision

c.
input
d.
none of the choices
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Question 47
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What strategy in which the firm focuses its marketing efforts on developing unique
attributes (or images) for its product?

Select one:

a.
cost leadership strategy

b.
both cost leadership and differentiated

c.
none of the choices

d.
differentiated product strategy
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Question 48
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 Flag question

Question text
What pricing functions often assume the role of commercial partner or expert resource?

Select one:

a.
Center of Scale

b.
All of the choices

c.
Center of Expertise

d.
Dedicated Support Unit
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Question 49
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What strategy is when a company thinks the uniqueness of its product creates a value effect
that attenuates buyers’ price sensitivity, enabling the firm to price profitably despite
increasing numbers of competitors?

Select one:
a.
None of the choices

b.
differentiated product strategy

c.
cost leadership strategy

d.
both cost leadership and differentiated product strategy
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Question 50
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What price setting process determines the amount of differential value to be captured with
the price?

Select one:

a.
define the price window

b.
set the initial price

c.
communicate price to the market

d.
none of the choices
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