The Sales Director of a Medium-Sized Company Selling Chemicals to the Lumber

question 2

Multiple Choice

The sales director of a medium-sized company selling chemicals to the lumber industry has analyzed sales and found serious problems with sales representatives close rate relative to the number of prospects in the pipeline.The sales director commissioned a research company to come in and analyze the numbers in the CRM system and conduct interviews with prospects who became customers as well as with prospects who did not buy from the company.He also hires a sales training consultant with whom he has worked before to analyze the sales representatives and the training they receive.
-As the interviews with prospects who did not buy from the company are analyzed,it becomes apparent that prospects felt that the sales representatives did not know about the full line of products they carried or understand their uses.The prospects did not buy,as they felt they could not:

• A)ensure that the company's billing process was aboveboard
• B)understand what their business objectives were
• C)pay the prices the company was charging
• D)find the room to store the chemicals once they were delivered
• E)trust the sales reps to sell them the correct products

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Definitions:

Seasoned Equity Offering

When a company with publicly traded shares issues additional shares. Also known as a “secondary” or “follow-on” offering.

Primary Market

The primary market is the financial market where new securities are issued and sold for the first time, directly from the issuer.

Secondary Market

A marketplace where investors buy and sell securities or assets that have been previously issued, often through exchanges or over-the-counter markets.

Equity Carve-Outs

The process by which a parent company sells a portion of the equity in a subsidiary to public investors.