ChB4
Customer Relationship Management
Multiple Choice Questions
1. Which of the following is not one of the three phases in the evolution of CRM?
A) Reporting
B) Analyzing
C) Processing
D) Predicting
Answer: C Level: Easy Page: 263
Response: Processing is not one of the three phases in the evolution of CRM.
2. What helps an organization identify its customers across applications?
A) Reporting
B) Analyzing
C) Processing
D) Predicting
Answer: A Level: Easy Page: 263
Response: Reporting helps an organization identify its customers across applications.
3. What is an organization performing when it asks questions such as "why was customer revenue so
high"?
A) Reporting
B) Analyzing
C) Processing
D) Predicting
Answer: B Level: Easy Page: 264
Response: Why was customer revenue so high is analyzing.
4. What is an organization performing when it asks questions such as "which customers are at risk of
leaving"?
A) Reporting
B) Analyzing
C) Processing
D) Predicting
Answer: D Level: Easy Page: 264
Response: Which customers are at risk of leaving is predicting.
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5. Which question below represents a reporting example?
A) Why did sales not meet forecasts?
B) What customers are at risk of leaving?
C) What is the total revenue by customer?
D) All of the above
Answer: C Level: Medium Page: 264
Response: Total revenue by customer is a report.
6. Which question below represents an analyzing question?
A) Why did sales not meet forecasts?
B) What customers are at risk of leaving?
C) What is the total revenue by customer?
D) All of the above
Answer: A Level: Medium Page: 264
Response: Why did sales not meet forecasts is analyzing.
7. Which question below represents a predicting question?
A) Why did sales not meet forecasts?
B) What customers are at risk of leaving?
C) What is the total revenue by customer?
D) All of the above
Answer: B Level: Medium Page: 264
Response: What customers are at risk of leaving is predicting.
8. Which of the following operational CRM technologies does the sales department typically use?
A) Campaign management, contact management, opportunity management
B) Sales management, contact management, contact center
C) Sales management, call scripting, opportunity management
D) Sales management, contact management, opportunity management
Answer: D Level: Easy Page: 266
Response: Sales management, contact management, and opportunity management is generally used by
sales departments.
9. Which of the following operational CRM technologies does the marketing department typically use?
A) Contact center, Web-based self-service, call scripting
B) Contact center, cross-selling and up-selling, Web-based self-service
C) List generator, opportunity management, cross-selling and up-selling
D) List generator, campaign management, cross-selling and up-selling
Answer: D Level: Easy Page: 265
Response: List generator, campaign management, and cross-selling and up-selling is generally used by
marketing departments.
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Test Bank, Chapter B4
10. Which of the following operational CRM technologies does the customer service department
typically use?
A) Contact center, Web-based self-service, call scripting
B) Sales management, contact management, opportunity management
C) List generator, opportunity management, cross-selling and up-selling
D) List generator, campaign management, cross-selling and Up-selling
Answer: A Level: Easy Page: 268
Response: Contact center, Web-based self-service, and call scripting is generally used by customer
service departments.
11. What compiles customer information from a variety of sources and segments the information for
different marketing campaigns?
A) Campaign management system
B) Cross-selling
C) Up-selling
D) List generator
Answer: D Level: Easy Page: 265
Response: This is the definition of list generator.
12. What guides users through marketing campaigns performing such tasks as campaign definition,
planning, scheduling, segmentation, and success analysis?
A) Campaign management system
B) Cross-selling
C) Up-selling
D) List generator
Answer: A Level: Easy Page: 265
Response: This is the definition of campaign management system.
13. What is McDonald's performing when it asks its customers if they would like to super-size their
meals?
A) Campaign management
B) Cross-selling
C) Up-selling
D) All of the above
Answer: C Level: Easy Page: 265
Response: Up-selling is increasing the value of the sale.
14. Which of the following represents sales force automation?
A) Helping an organization identify its customers across applications
B) Selling additional products or services to a customer
C) A system that automatically tracks all of the steps in the sales process
D) All of the above
Answer: C Level: Easy Page: 266
Response: This is the definition of sales force automation.
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15. What automates each phase of the sales process, helping individual sales representatives coordinate
and organize all of their accounts?
A) Sales management systems
B) Contact management systems
C) Opportunity management systems
D) None of the above
Answer: A Level: Easy Page: 266
Response: This is the definition of sales management systems.
16. What maintains customer contact information and identifies prospective customers for future sales?
A) Sales management systems
B) Contact management systems
C) Opportunity management systems
D) None of the above
Answer: B Level: Easy Page: 267
Response: This is the definition of contact management systems.
17. What targets sales opportunities by finding new customers or companies for future sales?
A) Sales management systems
B) Contact management systems
C) Opportunity management systems
D) None of the above
Answer: C Level: Easy Page: 267
Response: This is the definition of opportunity management systems.
18. Which of the following was one of the first CRM components built to address the issues that sales
representatives were struggling with the overwhelming amount of customer account information they
were required to maintain and track?
A) Sales management systems
B) Contact management systems
C) Opportunity management systems
D) None of the above
Answer: D Level: Hard Page: 266
Response: One of the first CRM components built to help address sales issues was the sales force
automation system.
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Test Bank, Chapter B4
19. What is the primary difference between contact management and opportunity management?
A) Contact management deals with new customers, opportunity management deals with existing
customers
B) Contact management deals with existing customers, opportunity management deals with existing
customers
C) Contact management deals with new customers, opportunity management deals with new customers
D) Contact management deals with existing customers, opportunity management deals with new
customers
Answer: D Level: Medium Page: 267
Response: Contact management deals with existing customers, opportunity management deals with new
customers.
20. Which of the following is where customer service representatives answer customer inquiries and
respond to problems through a number of different customer touchpoints?
A) Contact center
B) Web-based self-service
C) Call scripting
D) None of the above
Answer: A Level: Medium Page: 268
Response: This is the definition of contact center.
21. What allows customers to use the Web to find answers to their questions or solutions to their
problems?
A) Contact center
B) Web-based self-service
C) Call scripting
D) None of the above
Answer: B Level: Easy Page: 269
Response: This is the definition of Web-based self-service.
22. What accesses organizational databases that track similar issues or questions and automatically
generate the details to the CSR who can then relay them to the customer?
A) Contact center
B) Web-based self-service
C) Call scripting
D) None of the above
Answer: C Level: Easy Page: 269
Response: This is the definition of call scripting.
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23. What is automatic call distribution?
A) Automatically dials outbound calls and when someone answers, the call is forwarded to an available
agent
B) Directs customers to use touch-tone phones or keywords to navigate or provide information
C) A phone switch routes inbound calls to available agents
D) None of the above
Answer: C Level: Easy Page: 269
Response: This is the definition of automatic call distribution.
24. What is interactive voice response (IVR)?
A) Automatically dials outbound calls and when someone answers, the call is forwarded to an available
agent
B) Directs customers to use touch-tone phones or keywords to navigate or provide information
C) A phone switch routes inbound calls to available agents
D) None of the above
Answer: B Level: Easy Page: 269
Response: This is the definition of interactive voice response.
25. What is predictive dialing?
A) Automatically dials outbound calls and when someone answers, the call is forwarded to an available
agent
B) Directs customers to use touch-tone phones or keywords to navigate or provide information
C) A phone switch routes inbound calls to available agents
D) None of the above
Answer: A Level: Easy Page: 269
Response: This is the definition of predictive dialing.
26. Which of the following is not considered a feature in a contact center?
A) Automatic call distribution
B) Interactive voice response
C) Predictive dialing
D) Automatic predictive dialing
Answer: D Level: Medium Page: 269
Response: Automatic predictive dialing does not exist.
27. What focuses on keeping suppliers satisfied by evaluating and categorizing suppliers for different
projects, which optimizes supplier selection?
A) Supplier relationship management
B) Partner relationship management
C) Employee relationship management
D) None of the above
Answer: A Level: Easy Page: 271
Response: This is the definition of supplier relationship management.
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Test Bank, Chapter B4
28. What focuses on keeping vendors satisfied b y managing alliance partner and reseller relationships
that provide customers with the optimal sales channel?
A) Supplier relationship management
B) Partner relationship management
C) Employee relationship management
D) None of the above
Answer: B Level: Easy Page: 271
Response: This is the definition of partner relationship management.
29. What provides employees with a subset of CRM applications available through a Web browser?
A) Supplier relationship management
B) Partner relationship management
C) Employee relationship management
D) None of the above
Answer: C Level: Easy Page: 272
Response: This is the definition of employee relationship management.
30. What industries will want to keep using CRM as a major strategic focus in the future?
A) Industries whose products are unique
B) Industries whose products are difficult to differentiate
C) Industries whose products are exclusive
D) Industries whose products are distinctive
Answer: B Level: Hard Page: 272
Response: Industries whose products are difficult to differentiation will want to continue to focus on
building strong customers relationships in the future.
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