The Need for Risk Reduction Is One of the Factors

question 17

Multiple Choice

The need for risk reduction is one of the factors affecting the individual making the organizational buying decision. What can a salesperson do to help reduce the risk?

• A)Turn a straight rebuy situation into a modified rebuy situation.
• B)Provide the buyer with product information from independent sources not connected with the company for which the salesperson works.
• C)Send the buyer the complete portfolio of all collateral sales materials.
• D)Make the buyer understand that every buy should be a new-task buy situation.
• E)Persuade the buyer to not perform vendor analyses.

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Definitions:

Return On Assets Ratio

A financial metric used to evaluate a company's efficiency in generating profits from its assets, calculated by dividing net income by total assets.

Debt And Equity Financing

Ways in which a company raises funds through borrowing (debt) or selling ownership shares (equity).

ROE

Return on Equity, a measure of financial performance calculated by dividing net income by shareholder's equity.

ROA

Return on assets (ROA) is a financial ratio that shows the percentage of profit a company earns in relation to its overall resources.