Rhonda Is Attempting to Classify a New Account

question 108

Multiple Choice

Rhonda is attempting to classify a new account. She believes the account could be very profitable, but she also believes she is in a weak competitive position. Which of the following best represents what Rhonda's selling effort strategy should be?

• A) Assign the account to a telemarketer until a breakthrough is made.
• B) Make a heavy investment in the selling effort in an attempt to strengthen her competitive position.
• C) Allocate a small portion of her time to the account until her competitive position improves.
• D) Avoid calling on the account until her competitive position improves.
• E) Attempt to maintain her competitive position while prospecting for new accounts.

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Definitions:

Owner/Manager-Operated

A business model where the owner actively manages the day-to-day operations of the company.

Negotiated Price Approach

The negotiated price approach involves establishing the price of a product or service through direct negotiation between sellers and buyers, rather than using fixed prices or market rates.

Transfer Price

The price at which goods and services are traded between departments within the same company or between subsidiaries, often used for budgeting and tax purposes.

Responsibility Center

A unit within an organization tasked with specific duties and responsibilities, where performance is measured based on predetermined financial and operational metrics.