Solution Manual For Selling Today 12 e 12th Edition 013325092x

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Solution Manual for Selling Today, 12/E 12th Edition : 013325092X

Part V

ETHICS GAME
INTRODUCTION

Gray Issues – Ethical Decision Making in Personal Selling is an instructional game


designed to help students make more informed ethical decisions. Many of the ethical
issues included in this game will be faced by students who apply for and obtain a
personal selling position. Participation in the game will provide students with an
introduction to a wide range of real-life ethical dilemmas. It will stimulate in-depth
thinking about the ethical consequences of their decisions and actions.

FORMAT

Gray Issues – Ethical Decision Making in Personal Selling is a two-part game. Part I
includes five mini-cases that introduce ethical dilemmas that a student is likely to face
when applying for a sales position. Part II includes seven ethical dilemmas that a
salesperson is likely to encounter in a typical sales position. Each mini-case poses four
solutions. In some cases, only one solution is the correct choice; in others, more than one
choice has merit. Keep in mind, however, that one solution will be the best selection from
the options listed. The answer key provides a point total for each solution and a solution
rationale.

STUDENT PREPARATION

To maximize interest and involvement, schedule the game after students have read
Chapter 2, Career Opportunities in Selling Today, and Chapter 5, Ethics – The
Foundation for Relationships in Selling. During Part I, each student will assume the role
of candidate for the position of account executive at the Park Inn Convention Center.
Students should read the position description on page 415 of Appendix 3 prior to class
time. Preparation for Part II requires nothing more than a careful reading of Chapter 4.

HOW TO PLAY

Team competition adds an extra dimension of excitement to the game. Organize the class
into teams of 3–4 students, and appoint a group spokesperson. Then give a copy of the
mini-cases to each class member. Working alone, class members should select the best
solution for each case prior to meeting with members of their group. The selection of
solutions will require about 5–7 minutes. Once the students have selected a solution for
each case, they should join their team for a discussion of their choices. Instruct teams to
reach a consensus, if possible, regarding the best solution. Teams should be given 12–15
minutes to discuss the solution options for each mini-case. After each team has completed
its deliberations, begin posting the solution choices on the board or flip chart. Post all of

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the team choices for the first mini-case and then encourage team members to discuss the
rationale for their choice. After each team has presented support for its choice, post the
points earned for the mini-case. For example:

Case #1 Team #1 Team #2 Team #3 Team #4


A (5 points) B (10 points) B (10 points) C (0 points)

After all mini-cases have been discussed and the points have been posted, total the points
and announce the winning team. Keep in mind that the most essential ingredient to
successful administration of the game is complete discussion of each ethical dilemma.
Margaret Gredler, Professor of Educational Psychology at the University of South
Carolina, says after you play a game, talk about it. “This is where the real learning should
take place.”

Parts I and II of Gray Issues – Ethical Decision Making in Personal Selling will each
require one class period. To provide more time for discussion of each ethical dilemma,
you may want to instruct students to select the best solution for each mini-case prior to
class.

Note: If you would like to use just one class period for the entire ethics game, instruct
students to study all of the mini-cases (Part I and Part II) and select the best
solution for each case before attending class. This approach, of course, will not
permit as much time for discussion of each mini-case.

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 159


PART I

Mini-Case 1

Prior to the interview, T. J. McKee requests a personal resume. Your current grade point
average is 2.9, but it will very likely increase to 3.0 or higher at the end of the current
semester. What should you do?

A. Indicate that your current grade point average is 3.0.


B. Indicate that your current grade point average is 3.0, but make a mental note to
explain (during the interview) that it is currently 2.9 but will likely increase to 3.0 or
higher at the end of the semester.
C. Indicate that your current grade point average is 2.9.
D. Omit this information from the resume.

Mini-Case 2

Recently you received an invitation to become a member of Alpha Phi Omega, a


fraternity that honors students who have a record of outstanding service to the
community. Very few students are invited to join and the membership committee, that
screens applications, occasionally rejects applications. Should you list membership in
Alpha Phi Omega on your resume?

A. Do not list this membership on your resume.


B. List this membership on your resume but indicate that approval is pending.
C. Do not list this membership on the resume, but describe your community service
activities.
D. List the membership on the resume without any additional information.

Mini-Case 3

During the interview, T. J. McKee requests salary information for your most recent full-
time position. You believe this information may influence the starting salary offer, should
you be offered the job. The Park Inn uses a commission plan with a guaranteed salary.
What should you do?

A. Tactfully tell Mr. McKee that this information is personal and you would rather not
discuss past earnings.
B. Provide the information as requested.
C. Provide an inflated figure in hope of receiving a higher initial salary offer.
D. Refuse to provide the information, but do tell him the amount you hope to earn if
hired.

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Mini-Case 4

Prior to visiting Rockport, Illinois, for the interview, you receive a letter from T. J.
McKee that explains that you will be reimbursed for all travel and meal expenses. You
will stay in a complimentary room at the Park Inn Hotel and Convention Center. The
letter states that the daily meal expense (per-diem) is $35. The early morning flight to
Rockport includes a complimentary snack. You have lunch with Sara Millen, manager of
the hotel, and she pays the bill. That evening you have dinner on your own at a restaurant
near the hotel. The bill, including tip, is $16.25. The next morning you take an early
morning flight home and once again enjoy a complimentary snack on the plane. When
you turn in your expenses, what amount of meal reimbursement should you request?

A. Request $16.25 for the evening meal.


B. Request $35, which is the amount available for meals.
C. Request $21.50 in order to cover the cost of the evening meal and snacks you
purchased at the hotel gift shop.
D. Turn in no meal expenses because the amount spent was quite small.

Mini-Case 5

A large hotel and conference center in Orlando, Florida, has invited you to interview for a
sales position. All expenses will be paid. You have no interest in moving to Florida, but
you would enjoy visiting Orlando and having an opportunity to visit Disney World. What
should you do?

A. Accept the invitation. You need the experience that only a real interview can provide.
B. Do not accept the invitation because you have no interest in relocating to Florida.
C. Accept the invitation because you will have an opportunity to visit Disney World.
D. Accept the invitation and approach the interview with an open mind. Do not close the
door on a job opportunity.

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 161


ANSWER KEY – PART I

Mini-Case 1

Answer A (–10 points) This is a misrepresentation of the facts.


Answer B (–5 points) This is a misrepresentation of the facts, but at least you
intend to clarify the information during the interview.
Answer C (+10 points) This is accurate information.
Answer D (+5 points) Listing your grade point average on the resume is an
option, not a requirement.

Mini-Case 2

Answer A (+5 points) Membership is pending, so this is a good choice.


Answer B (0 points) If for some reason the membership is not approved, this
option might later prove to be embarrassing.
Answer C (+10 points) An accurate description of community service activities
will enhance your employment prospects.
Answer D (–10 points) This would be a misrepresentation of the facts.

Mini-Case 3

Answer A (–5 points) This response would likely weaken your chances of getting
the job.
Answer B (+10 points) The best option is to provide an accurate history of your
earnings. The starting salary will, very likely, be subject to
negotiation.
Answer C (–10 points) It would be a mistake to provide false information.
Answer D (–5 points) This response, like answer A, will not enhance your
chances of being hired.

Mini-Case 4

Answer A (+10 points) The Park Inn expects to reimburse you for actual meal
expenses. You may enhance your professional image by
demonstrating that you are willing to travel as
economically as possible.
Answer B (–10 points) It would be wrong to request money for expenses you did
not incur.
Answer C (–5 points) Although the $21.50 may cover actual out-of-pocket
expenses, the Park Inn is committed to paying for actual
meal expenses.
Answer D (+5 points) There is nothing wrong with this solution.

162 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall


Mini-Case 5

Answer A (-10 points) Accepting the invitation implies you are interested in
working for this company.
Answer B (+10 points) Do not accept the free trip unless you are willing to
consider a job offer.
Answer C (–10 points) You should not accept the free trip unless you are willing to
consider a possible job offer.
Answer D (–10 points) This rationale may seem logical, but it does not justify
accepting travel expenses under false pretensions.

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 163


PART II

Mini-Case 1

On November 18, a customer requests a price quotation for a conference that will be held
on March 22. This customer has scheduled two previous conferences at the Park Inn
International. You know that on December 1 the hotel will announce a special conference
“package plan” that will provide this customer with a lower rate. The new rate schedule
will extend from December 1 to April 1. What action should you take at this time?

A. Prepare a price quotation for the current rate.


B. Delay preparing the price quotation until December 1.
C. Prepare a price quotation using the rates that will be announced December1.
D. Prepare a price quotation at the current price, but make a mental note to send the
customer a revised quotation on December 1.

Mini-Case 2

Throughout the past several weeks, you have met with a representative of Follett
Corporation on several occasions. You are anxious to book a large conference that will
involve over 200 Follett employees. Every detail of the proposal has been negotiated, but
the prospect seems reluctant to sign the contract. One option available is to tell the
customer that room availability is limited, and any additional delays may create
scheduling problems during the time period requested. In reality, business is usually very
slow during the time period requested, so room availability should not be a problem.
What should you do?

A. Stop making contact with the prospect and wait for a decision.
B. Continue to make an effort to close the sale, but do not provide any information that
is not accurate.
C. Make another call on the customer and point out that scheduling problems will likely
arise if the contract is not signed now.
D. Make another call on the customer and this time offer a significant price reduction.

Mini-Case 3

After closing a sale with a very difficult customer (the “customer from hell”), you
indicated that you would follow up on a special room layout request and a minor menu
substitution. During negotiations, you developed a strong dislike and distrust for this
customer because of the unethical negotiation techniques he used. Because of the
demands made during negotiations, and the fact that these requests were talked about
after the customer signed the contract, you are thinking about forgetting the special
requests and providing only the services specifically outlined in the contract. What
should you do?

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A. Provide all items specified in the contract and take care of the special requests.
B. Follow up on the special request and add additional fees to the final bill.
C. Provide only those items specified in the contract.
D. Contact the customer a few days before the scheduled meeting and tell him you will
be unable to fulfill his special requests.

Mini-Case 4

The Park Inn International has offered a special bonus to any salesperson who develops
10 new accounts during the current fiscal year. You need one more account to earn the
bonus. Apco Equipment Corporation is considering your hotel and conference center for
an upcoming business meeting. Your contact at Apco says the meeting is tentative and
may not be scheduled. One option is to offer Apco a contract with major price
concessions and a liberal cancellation clause. The signed contract will qualify you for the
bonus. What should you do?

A. Make the special offer to Apco, but search for another new account in case the Apco
deal falls through.
B. Make the special offer to Apco and make every effort to close the sale.
C. Give up the search for new accounts and enjoy a less stressful life.
D. Pursue the Apco account, and other new accounts, but offer Apco a standard contract
and no special concessions.

Mini-Case 5

When you accepted a sales position at the Park Inn International, you signed a non-
compete agreement. This agreement states that information acquired while representing
the Park Inn cannot be taken to a new employer. With the press of a button on your
computer keyboard you can download a profile of all established accounts you were
given at the time you started working for the Park Inn, a profile of each new account you
have developed, and the name and address of all prospects that you have identified. You
have been offered a sales position at a competing hotel and you are tempted to take this
information with you. What should you do?

A. Take all of this information home so it will be available when you start the new job.
B. Take only the list of prospects you identified.
C. Do not take any of the information because it would be covered by the non-compete
agreement.
D. Request the permission to take this information home.

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 165


ANSWER KEY - PART II

Mini-Case 1

Answer A (–5 points) The customer will schedule the conference during the
period when the lower rates are in effect, so it’s best to use
the special package rate now.
Answer B (–10 points) A major delay in providing the price quotes may result in
loss of the customer.
Answer C (+10 points) The conference will be held during the time period when
the lower rates are in effect. A well-established customer
would likely be upset if you withheld information regarding
the new rate schedule.
Answer D (–5 points) The customer should be given the accurate rate information
at the time of the initial request.

Mini-Case 2

Answer A (–5 points) There is likely some reason why you have been unable to
close the sale. To discover the reason, you must make
additional contacts with the customer.
Answer B (+10 points) You should make additional efforts to close the sale, but do
not provide information that is not accurate.
Answer C (–10 points) It would be unethical to provide information that is not
accurate.
Answer D (–5 points) Price has already been negotiated. There are many other
closing methods that should be used before considering
price reduction.

Mini-Case 3

Answer A (+10 points) You agreed to provide the special room arrangement and
the menu substitution. It would be unethical to neglect
these special requests.
Answer B (–5 points) It would be inappropriate to do this unless you first obtain
the customer’s approval for the added fees.
Answer C (–5 points) This action will likely create a customer relations problem
and may eliminate any chance of repeat business.
Answer D (–10 points) This option is not only unprofessional, but will likely put
an additional strain on relations with the customer.

Mini-Case 4

Answer A (–10 points) It would be unethical to offer special concessions in order


to win a bonus.
Answer B (–10 points) This action is very similar to Answer A.

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Solution Manual for Selling Today, 12/E 12th Edition : 013325092X

Answer C (–5 points) You are very close to winning the bonus, so you should not
give up.
Answer D (+10 points) If Apco decides to schedule the meeting, you will have won
the bonus. If you do not sign a contract with Apco, you
may sign another new account.

Mini-Case 5

Answer A (–10 points) All of this information would be covered under a standard
non-compete agreement. Therefore, it would be unethical
to remove it for future use.
Answer B (–5 points) During the time this information was collected, you were
on the Park Inn payroll. Therefore, the prospect list is not
your property.
Answer C (+10 points) This is the most ethical course of action because all of the
information is the property of the Park Inn.
Answer D (0 points) This request would be denied, so it does not have merit.

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