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Management of a Sales Force, 11/e

Rosann Spiro, Indiana University
William J. Stanton, University of Colorado
Gregory A. Rich, Bowling Green State University

Ethical and Legal Responsibilities of Sales Managers

Chapter 17 Multiple Choice Quiz


1	Salespeople are exposed to greater ethical pressures than are individuals in many other jobs, because:
		A)	they are often unsupervised
		B)	they are responsible for generating the firm's revenues
		C)	they continually problems that require unique solutions
		D)	they are often evaluated on the basis of short-term objectives.
		E)	All of the above


2	Padding an expense account is:
		A)	unethical
		B)	illegal
		C)	legal
		D)	Both A and B
		E)	Both A and C


3	The IRS places a limit of $___ year on the amount that may be deducted for business gifts _________________ .
		A)	$25; to any one customer
		B)	$50; to any one customer
		C)	$1,000; to all of a given firm's customers
		D)	$10,000; to all of a given firm's customers
		E)	None of the above


4	Sales executives have some time-tested guidelines to help them avoid gift giving that is unethical or in bad tast These include all of the following, except:
		A)	Follow your company's policy on gift giving
		B)	Do not give gifts to customers' spouses
		C)	Keep the value of gifts low to avoid the appearance of undue influence
		D)	Give gifts only to customers who have not yet done business with your firm
		E)	Walk away from the business if the customer pushes for something that exceeds your company's policy


5	Robinson-Patman is a federal law that prohibits:
		A)	bribes
		B)	padding expense accounts
		C)	giving one specific customer an unusually large price discount
		D)	selling door to door
		E)	false advertising


6	Using bribes to gain information about competitors is:
		A)	unethical
		B)	illegal
		C)	legal
		D)	Both A and B
		E)	Both A and C


7	Knowingly lying about the financial stability of a competitor is:
		A)	unethical
		B)	illegal
		C)	legal
		D)	Both A and B
		E)	Both A and C


8	Green River Ordinances are laws most likely to be broken by salespeople who:
		A)	pad their expense accounts
		B)	sell door-to-door without a local license
		C)	close a sale through bribery
		D)	make false claims about the product they sell
		E)	remove the warning labels


9	Cooling-Off Laws allow a customer to:
		A)	obtain a full refund for a recently purchased item
		B)	receive volume discounts when justified
		C)	be entertained by outlandish gifts
		D)	pass on confidential information
		E)	None of the above


10	When selling in another country, salespeople working for a U.S. company:
		A)	can legally offer large sums of money to bribe foreign customers
		B)	are not subject to U.S. laws
		C)	can make subordination payments to foreign customers
		D)	All of the above
		E)	None of A-B-C is correct

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