Hospitality management. subject called hospitality purchasing. t and

1)      Items that do not meet the buyer’s and receiving clerk’s expectation and, therefore,are returned to the supplier are called “returning merchandise.” T or F

2)      The purveyor salesperson’s biggest concern is to retain or keep their food service  house account!   T or F

3)      While narrowing a list of all possible supplies (vendors), the hospitality buyer is engaged in the inquiry stage of selecting a purveyor T or F

4)      The minimum-order requirement is the least amount of an item a buyer needs to purchase before a vendor will agree to sell it, it is the least amount a buyer needs to purchase before the buyer can qualify for free delivery from the supplier   T or F

5)      A cash discount is the type and amount of financing a vendor will provide, along with the prescribed type of bill paying procedure, that must be followed.  T or F

6)      When deciding on which purveyor to buy from, there is no need to consider interviewing the truck driver who will be delivering your supplies for the purveyor, since your contact interaction with this person will be extremely limited T or F

7)      When deciding on which purveyor to buy from, it is good business for you to interview the salesperson who will be serving your account. T or F

8)      While compiling a list of all possible supplies (vendors), the hospitality buyer is engaged in the survey stage of selecting a purveyor T or F

9)      The vendor’s procedure a buyer needs to follow in order to return products and receive credit for them is called the “purveyor’s returns policy” T or F

10)  An approved supplier list confirms that the vendor (supplier) possesses the identified resources, such as Product quality, AP price, Supplier services, Delivery schedule, and Support systems to meet the operation’s needs. T or F


11)  Pete Turner, Hospitality Management Alum, spoke about his current job and the role he plays in the company.  Pete described the product information material his company distributes to (and he designed) to prospective buyers/managers.  This material describes their product, how it differs from their competition, and the item number by product (skews).  This is called:

A.    Point-of-Purchase (POP)

B.     Private Brand Information (PBI)

C.     Marketing Product Sheet (MPS)        

D.    Point-of-Sale (POS)


12)  An incentive to the buyer for prompt payment, for paying in advance of the delivery, or using a cash-on-delivery (COD) bill-paying procedure

A.    promotional discounts

B.     volume discounts       

C.     cash discounts

D.    quantity discounts


13)  Which one of the following best characterizes the pull strategy?

A.    the buyer uses rebates, coupons or premiums to purchase the product        

B.     the distributors are responsible for all product marketing     

C.     the buyer has a significant ability to influence the AP prices

D.    the products are mostly generic-type products


14)  During this stage of selecting the optimal supplier, a buyer will begin to narrow the field of all possible suppliers to those meeting predetermined acceptable criteria

A.    The Survey Stage       

B.     Make the Selection & Activate the Account Stage   

C.     The Inquiry Stage      

D.    Trimming the Initial List Stage


15)  Which of the following criteria is MOST BENEFICAL for an independent restaurant owner/caterer to consider when trimming the initial list of all possible purveyors to the one they will buy from?    

A.    Current technological adoptions        

B.     Financial condition & personal references

C.     Kinds, types, and qualities of products available       

D.    Geographic location combined with transportation capabilities





16)  Which of the following criteria is least BENEFICAL for an independent restaurant owner/caterer to consider when trimming the initial list of all possible purveyors to the one they will buy from?    

A.    Do they have prompt deliveries?       

B.     Does the purveyor offer tickets to sporting events    

C.     Does the delivery schedule fit our needs?     

D.    What is the number of rejected deliveries?


17)  While Trimming the Initial List of all possible vendors to buy from, the hospitality professional may consider which of the following criterion:

A.    Kinds and qualities of products available      

B.     Geographic location and transportation capabilities  

C.     Current technological developments

D.    All of the answer stems are important for a buyer to consider


18)  Pete Turner, Hospitality Management Alum, spoke to the purchasing class about his career and his current job.  The color of Pete’s shirt that he wore for this presentation was:

A.    White 

B.     Pink    

C.     Crimson          

D.    Blue


19)  During this stage of selecting the optimal supplier, a buyer will compile a list of all possible suppliers or at least a reasonable number of potential suppliers.          

A.    The Survey Stage 

B.     The Inquiry Stage

C.     Make the Selection & Activate the Account Stage

D.    Finding Suppliers Stage


20)  An incentive for the buyer to purchase a large volume of product(s) and in return will receive from the supplier a reduced price for the lot, this is known as

A.    promotional discounts

B.     cash discounts

C.     volume discounts       


D.    quantity discounts

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