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351.

SALES AND DISTRIBUTION MANAGEMENT SECTION - A (5 3 = 15)


Write short notes on any FIVE of the following. All questions carry equal marks. I. Briefly explain : a! "alesmanship. #! "ales policy. c! In$ices of salesmans performance. $! %#&ecti'es of compensation schemes. e! (istri#ution mix. f! (ealer network. g! "hifting of risk. h! "ole selling agents.

SECTION - B (3 10 = 30)
Answer any )*+EE questions. All questions carry equal marks. ,. Explain the functions of sales management. -. Is sales management a challenging profession . If so/ why . 0. *ow $o you #uil$ a goo$ training programme for sales executi'es . 1. What factors influence the channel for the air 2 con$itioners . 3. (iscuss the pros an$ cons of franchise selling in e$ucational marketing

SECTION - C (1 15 = 15)
Answer any %4E question. 5. 6"ales executi'es play a role of co2or$inators in organisations6. 2 (iscuss. 7. (iscuss the factors to #e consi$ere$ while $e'ising a goo$ sales compensation plan. 8. Explain the factors that you woul$ you weigh in allocating a sales territory to a salesman.

PART - D (1 15 = 15) ( Compu !o"# )


9:. ;ase "tu$y : +%<A=E >%)%+" =)(.

?eoff Brown ha$ recently #een appointe$ "ales (irector of +oyale >otors of @ingAs =ynn. In his first two months in his new &o#/ he ha$ con$ucte$ a thorough re'iew of the firmAs operation/ an$ this fille$ him with fore#o$ing a#out the future. )he company consiste$ of four garages an$ showrooms/ all hol$ing +o'er franchises/ in the @ingAs =ynn area. For the last three years/ the firm ha$ suffere$ #a$ly from increase$ competition/ especially from new pro$ucts #y foreign pro$ucers B the entire range/ from the >etro to the top of the range ha$ #een affecte$. 4ow/ although new stock was a'aila#le in all the showrooms/ sales were 'ery sluggish. >uch of this coul$ #e #lame$ on +o'erAs poor o'erall performance/ #ut ?eoff was not content to use this as an excuse. *e felt that the company coul$ not affor$ to simply wait for +o'er to sol'e its pro#lems : A)hat will take years/ if it happens at allA. *is sense of $isquie was ma$e worse #y a num#er of unhealthy #eha'iour patterns which he o#ser'e$ among his sales staff : "ales force turno'er was stea$ily increasing/ nota#ly among younger men B an$ a passi'e attitu$e to winning #usiness existe$ on one $ay alone he note$ se'enteen 'isitors to one showroom B of these/ only three were spontaneously approache$ #y a salesman B six calle$ into the sales office for attention/ an$ the rest left!. Also/ tra$e 2 in 'alues an$ price $iscounts were increasing as a proportion of the purchase 'alue of new an$ use$ 'ehicles sol$/ an$ increasing num#ers of ol$ an$ $ifficult 2 to 2 sell foreign cars were #eing accepte$. In contrast to this/ fewer cars from the Ama&orsA For$/ Fiat/ VW an$ the lea$ing Capanese manufacturers! were #eing tra$ing in for new +o'ers : A)he only ma&or manufacturer whose cars are tra$e$ in is +o'er/ an$ often the impression is that +o'er $ealers were the only one offering accepta#le tra$e 2 inA. )he ma&or #right spot was the relati'e strength of secon$ 2han$ sales. ?eoff put these points to the #oar$ at the first meeting after completing his re'iew. )here was some $iscussion of the scope for seeking out a new franchise. ?eoff/ along with his fellow #oar$ mem#ers/ re&ecte$ this on the groun$s in +o'erA/ an$ #esi$es/ the #etter pro$ucers For$/ VW/ 4issan/ )oyota/ Fiat etc.! were well represente$ in the area. It was generally agree$ that re'italise$ sales an$ marketing woul$ go a long way to resol'ing their pro#lems/ atleast in the short to me$ium term. ?eoff $eci$e$ upon a num#er of imme$iate steps : a! *e reorganise$ the sales force/ gi'ing each outlet far more free$om an$ responsi#ility for turno'er an$ profita#ility. *e then looke$ for a metho$ to generate a spirit of constructi'e competition #etween outlets. #! *e restructure$ the payment system. In the past the commission element ha$ #een 'ery small A+o'er cars sell themsel'esA was almost the message!. 4ow commissions allie$ to agree$ sales targets woul$ constitut a significant part of the salesmanAs income. c! =ayout of the showrooms was $rastically change$. )he sales offices were eliminate$ an$ a more open 2 plan format a$opte$ : Athey must not hi$e #ehin$ glass wallsA. $! "tricter controls o'er tra$e2ins an$ $iscounts were intro$uce$. )hese were linke$ to the commission system. e! )he sales manager in each outlet was gi'en special responsi#ility for AfleetA #usiness. )he type of AfleetA sought was closely $efine$/ i.e. small firms with se'en to ten company cars. )he managers an$ their staff were require$ to go out an$ acti'ely seek this #usiness.

f! A$'ertising an$ sales expen$iture were #ooste$/ primarily through local ra$io. g! =inks were esta#lishe$ with the East Anglia +egional >anagement ;entre for a continuing counselling relationship. h! +o'er inspectors were acti'ely in'ol'e$ in future $e'elopments. )hese were put #efore the #oar$ at the next #oar$ meeting. "ome of the #oar$ mem#ers were alrea$y aware of complaints among the sales force a#out the scale of these $e'elopments. )ask : i! +e'iew the proposals an$ relate these to the type of promotions to #e seen on offer from ri'al car $ealers. ii! (eci$e which to support an$ make specific recommen$ations to ?eoff on implementation especially in terms of winning acti'e support from the sales force.

MS-$% & SALES MANAGEMENT )ime : - hours >aximum >arks : 9:: Weightage 5:D! Note : This paper consists of two Sections A and B. Attempt any three questions from Section A. Section B is compulsory. All questions carry equal marks. SECTION A 9. a! (iscuss the scope of "ales >anagement in a manufacturing an$ marketing organisation. #! In the light of the changing role pf the salesperson/ explain the qualities of go$ sales personnel. ,. a! Explain the 'arious steps in'ol'e$ in the negotiation process. #! What are the o#&ecti'es of sales $isplay . Why is it #ecoming increasingly important for firms to effecti'ely manage the $isplays of their #ran$s . -. a! Ela#orate some of the commonly use$ parameters to monitor the performance of a firmAs salesforce. #! What is territory planning . *ow $oes territory planning. *ow $oes territory planning help a salesman in performing his $uties optimally. Explain with suita#le examples. 0. Write short notes on any three of the following:

a! Inter$epen$ence of sales an$ $istri#ution #! Interpersonal communication process c! "ales Co# Analysis $! ;entralisation 's. (ecentralisation in sales organisation e! >etho$s of "ales Bu$geting

MS-$% & SALES MANAGEMENT )ime : - hours >aximum >arks : 9:: Weightage 5:D! Note : This paper consists of two Sections A and B. Attempt any three questions from Section A. Section B is compulsory. All questions carry equal marks. SECTION A 9. (iscuss any one theory of selling in $etail. Also explain the stages or components of such a theory taking the example of $oor2to2$oor selling : a! Eureka For#es 'acuum cleaner #! In$ustrial chemicals ,. a! What inter2personal communication skills are nee$e$ in a sales professional . (iscuss #y taking specific examples. #! What is the concept ol 6)ransaction Analysis6 an$ how is it useful to a salesperson. -. a! What is 6"ales Co# Analysis6 . Briefly $escri#e each of the su#2hea$s/in which it is #eing carrie$ out. #! What are the external an$ internal sources of recruitment . If you ha'e to recruit sales professionals for a highly technical pro$uct/ what sources woul$ you consi$er an$ why . 0. What are the 'arious steps of )erritory Elanning . (o these steps remain the same irrespecti'e of the pro$uctFmarket . Explain #y taking the example of : a! "oft $rinks #! In$ustrial =u#ricants 1. Write short notes on any three of the following: a! "ignificance of Eersonal "elling #! Esychological )esting

c! "ales Guota $! "ales Au$it SECTION B 3. +ea$ the following case an$ answer the questions gi'en in the en$ : In a #i$ to expan$ the market an$ #oost sales/ =? Electronics =t$. i$entifie$ institutional sales as a focus area in the calen$ar year 9888. It plans to triple the target turno'er to +s. 91: crores from institutional sales. =? has hone$ its institutional sales strategy #y i$entifing an$ proacti'ely targeting fi'e $ifferent segments to push the =? range : #ran$ promotionsB the welfare segment factory workers an$ office staff!B go'ernment sectorB $irect users hospitals/ hotels!B an$ the canteen stores $epartments ;"(! of the arme$ forces. A $istinct strategy has #een tailore$ for each of the fi'e segments. In #ran$ promotions for example/ the percei'e$ 'alue of the pro$ucts gi'en as gifts is important/ whereas for the wellare segment aspirational 'alue/ con'enience an$ easy financing are prime factors. >eanwhile/ hotels represent a price sensiti'e segment requiring specially customiHe$ pro$ucts. '( )*"(& In this segment/ =? is targeting a consumer #ase 2 the aspirational consumer/ mostly factory staff 2 that most companies ignore/ #ut which has consi$era#le clout in terms of generating 'olumes. )his segment is #eing targete$ on the con'enience an$ easy finance platform. =? has &ust tie$ up with Birla ?lo#al Finance =t$./ part of the A$itya Birla ?roup/ for the purpose. In$er the tie2up/ =? will unit2wise co'er all the Birla companies. )his amounts to o'er two lakh employees. )his is a lucrati'e segment/ claims =?/ #ecause of the high hit2rateB out of a potential #ase of 9/::: factory workers/ there is an assure$ sale of at least 9: to ,: percent. +o,( S(-m(.,& In this segment/ =? is targeting the fi'e2star an$ mi$$le2le'el hotels 1: 2 99: rooms! #y offering customiHe$ pro$ucts. For example/ =? offers a special Ahotel2mo$e )VA mo$el with an auto 'olume le'eler/ which ensures that other guests are not $istur#e$. Another attraction for hotels is the cricket game )V mo$el that woul$ also pro'e to #e popular an$ an interacti'e option with Internet/ 'i$eoFau$io or room ser'ice menu facilities. =? claims to ha'e sent out mailers to 9/,:: hotels 2 an$ #agge$ at least 9:: or$ers/ #esi$es the AEalace on WheelsA luxury train/ for pro'i$ing )V sets in its 1, ca#ins. 4ow/ =? is rea$ing a range of interacti'e tele'isions for this segment/ offering remote2controlle$ features like : the hotel menu/ local facilities/ #illing/room se'ice/ 'i$eo on $eman$/ intenet/ multilingual options. C*.,((.! *./ ,0( Go1(".m(., S(2,o"& 6We are perhaps the only company offering our entire range of pro$ucts in ;"( canteens/6 feels the pro$uct manager/ of =?. In the go'ernment sector/ which operates through ten$ers/ significant or$ers so far inclu$e$ an or$er for ,:: )Vs for *imachal )ourism #ungalows in the "tate an$ o'er ,/::: )Vs for primary schools in rural areas in >aharashtra. )he company has a fi'e2meme#er Institutional "ales (i'ison/ with each $e'ote$ exclusi'ely to one segment. It has 1: institutional sales $ealers an$ a ring of sales representati'es when interact with the $ealers an$ con$uct $emonstrations when nee$e$. Its infrastructure

consists of ,: mo#ile 'ans wth glass win$ows to $isplay the pro$uct range. )hese 'ans co'er at least 1:: km e'ery month in #oth rural an$ ur#an markets. 3u(!,4o.! & a! (o you think such a fiel$ sales force is a$equate to harness the market potential in the Institutional market . #! Woul$ you recommen$ focuing on one or two segments out of the gi'en fi'e . Custify your answer.

MS-$% & SALES MANAGEMENT )ime : - hours >aximum >arks : 9:: Weightage 5:D! Note : This paper consists of two Sections A and B. Attempt any three questions from Section A. Section B is compulsory. All questions carry equal marks. SECTION A 9. a! Explain the 'arious steps in the personal selling process. #! *ow woul$ the selling process $iffer in the following cases: i! An "BI representati'e selling cre$it car$ to a company executi'e. ii! Eharmaceutical company salesman calling upon a $octor. iii! Jenith ;omputerAs sales engineer selling computers to an organisation. ,. a! (istinguish #etween oral communication an$ non2'er#al communication. *ow $o they help in sales interactions . ?i'e suita#le examples. #! What are the #asic components of a compensation package . Explain. -. a! What are the key functions of a "ales >anager . (iscuss taking the example of a fast Foo$ +estaurant. #! *ow an$ why are sales 'olume quotas set . (iscuss the attri#utes of a go$ sales quota plan. 0. Write short notes on any threeof the following : a! >etho$s of i$entifying )raining 4ee$s #! Erinciples of effecti'e presentation

c! +ecruitment sources $! Impro'ing territory pro$ucti'ity e! Ereparation of "ales Bu$get SECTION B 1. +ea$ the case gi'en #elow an$ answer the questions gi'en at the en$ of the case. A? +efrigerators =t$. 6)he companyAs sales forecast for the year ,::5 2 ,::7 is 8/,G::: num#ers of refrigerators6 sai$ "atish @umar/ ?eneral >anager2"ales in the #u$get meeting hel$ on Canuary ,:/ ,::5 at the companyAs hea$quarters at Bangalore. Another forecast ma$e earlier put this figure as 9:/::/::: units 6For $etermining the companyAs sales #u$get/ we also nee$ information a#out market segments/ such as the share of househol$ an$ institutional customers as well as that of rural an$ ur#an markets. Ero$uction function woul$ like to know pro$uct type share #etween frost2free n$ $irect cool/ as well as $ifferent siHes from 99: litres to -9: litres. )hese figures are a#solutely essential for working marketing an$ pro$uction plans/ an$ thereafter o'erall companyAs #u$get for the year ,::5 2 ,::7/6 inter'ene$ >r. Vino$/ Eresi$ent of the compahg/ #eforeA Vice Eresi$ent "ales an$ >arketing! coul$ say something. "atish @urnar respon$e$/ 6<es/ we can estimate the #reak2up of total ntrm#ers of refrigerators into pro$uct types an$ siHes/ as well as market segments/ #ut we ha'e to first $eci$e whether our sales liu$get woul$ #e equal to or lower than the sales forecast. 6 6l think #efore we take that $ecision/ we woul$ like to know how accurate is your sales forecast/ an$ which forecasting metho$ ha'e you use$/6 aske$ the Vice Eresi$ent "ales an$ >arketing!.6 6Well/ the metho$ use$ #y us was mo'ing a'erages an$ the accuracy of our sales forecasting is goo$ for short2term forecasting with sta#le market con$itions an$ a'aila#ility of historical $ata/6 sai$ a confi$ent "atish @umar. Guestions : a! What woul$ you $o in such a situation/ when the sales forecasts $iffer. #! )he company plans to intro$uce a new pro$uct =;( ;olour )ele'isions. *ow woul$ you go a#out in forecasting the sales for the new pro$uct. c! Explain the rationale of asking for the #reak2up of the total sales forecast figure #y pro$uct types an$ siHes/ as well as market segments.

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)ime: - hrs >ax >arks: -: 4ote : Attempt all questions. G9. Answer any four of the following in a#out ,1: wor$s each. a! Explain the concept of "ales >anagement an$ "alesmanship #! Explain the theories of Eersonal "elling c! Explain the 'arious techniques of "ales Forecasting $! What are the metho$s of $esigning the sales territories. e! what are the $ifferent approaches for setting the sales quotas. G,. Explain the $ifferent types of sales organiHational structures. how is the siHe of sales force $etermine$. %+ Explain the process of recruitment an$ selection as a$opte$ #y the sales organiHations to$ay. What are the elements of >oti'ational >ix for the sales force. G-. What metho$s $o the sales organiHations use for training the sales force . Explain

'arious types of training programs. *ow can the effecti'eness of these training programs #e measure$. %+ Explain the $iffrent types of ;ompensation plan use$ #y sales organiHations of to$ay. What are the a$'antages an$ $isa$'antages of sales contest. G0. a!What $o you un$ersatn$ #y ;hannel >anagement. "tate the importance of ;hannel >anagement. #! What are the $ifferent types of (istri#ution ;hannel explain. %+ a! What are the steps in $esigning the $istri#ution channel. #!What are the steps in managing the $istri#ution channel. G1. Write short notes on any two of the following a! ;hannel ;onflict #! "ales Bu$get c! +ole of "ales >anager $! Eersonal "elling Erocess