One of Your Sales Representatives Has Begun Using Social Networks

question 13

Multiple Choice

One of your sales representatives has begun using social networks to aggressively promote a new product line.The best response would likely be to

• A) encourage him to continue.
• B) discourage him from using blatant "salespeak" since it is likely to alienate the audience.
• C) enact a policy forbidding employees from using social networks on company time.
• D) do nothing.
• E) fire him immediately.

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Definitions:

Net Markups

The amount by which the cost of a product is increased to arrive at the selling price, after accounting for any discounts or additional charges.

Net Markdowns

The total decrease in the original selling prices of products, accounting for promotions or clearance sales, minus any markdown cancellations.

Periodic Inventory System

An inventory accounting system where the inventory balance is updated and the cost of goods sold is calculated only at the end of each accounting period.

Merchandise Purchases

The acquisition of goods for resale at a profit, a central activity of retail and wholesale businesses.