Question 1

What are the various functions performed by members of a marketing channel? Provide examples.

Accepted Answer

Some of the functions that the members o

Question 2

The most advanced supply-distributor arrangements for ________ vertical marketing systems rely on distribution programming.

Accepted Answer

A) corporate 
B) administered 
C) contractual 
D) regulatory 
E) controlled 
A) corporate 
B) administered 
C) contractual 
D) regulatory 
E) controlled

Question 3

Hewlett-Packard is a highly respected brand.Many retailers want to be associated with the brand because of this reputation.What kind of power does Hewlett-Packard obtain due to this reputation?

Accepted Answer

A) referent 
B) functional 
C) legitimate 
D) coercive 
E) reward 
A) referent 
B) functional 
C) legitimate 
D) coercive 
E) reward

Question 4

In competitive markets with low entry barriers,the optimal channel structure will inevitably change over time.

Accepted Answer

A) True 
 B)False

Question 5

Dual compensation pays existing channels for sales made through new channels.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following is the most accurate description of a value network?

Accepted Answer

A) A system of partnerships and alliances that a firm creates to source,augment,and deliver its offerings. 
B) A system of organizations and resources involved in moving a product from supplier to customer. 
C) An arrangement whereby an organization transforms inputs into finished goods. 
D) A network that allows an organization take the finished products to the end-users. 
E) A communication network that allows an organization to transfer information to end-customers. 
A) A system of partnerships and alliances that a firm creates to source,augment,and deliver its offerings. 
B) A system of organizations and resources involved in moving a product from supplier to customer. 
C) An arrangement whereby an organization transforms inputs into finished goods. 
D) A network that allows an organization take the finished products to the end-users. 
E) A communication network that allows an organization to transfer information to end-customers.

Question 7

When economic conditions are depressed,producers want to move goods to market using longer channels.

Accepted Answer

A) True 
 B)False

Question 8

Intensive distribution is generally used for items such as tobacco products,soap,snack foods,and gum-products for which the consumer requires a great deal of location convenience.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following channel alternatives is most suited to handle complex products and transactions?

Accepted Answer

A) sales forces 
B) the Internet 
C) dealers 
D) telemarketers 
E) direct mails 
A) sales forces 
B) the Internet 
C) dealers 
D) telemarketers 
E) direct mails

Question 10

A(n)________ is a facilitator who assists in the distribution process.

Accepted Answer

A) advertising agency 
B) sales agent 
C) manufacturer's representative 
D) broker 
E) wholesaler 
A) advertising agency 
B) sales agent 
C) manufacturer's representative 
D) broker 
E) wholesaler

Question 11

Which of the following covers payment terms and producer guarantees?

Accepted Answer

A) conditions of sale 
B) pricing policies 
C) exclusive dealings 
D) mutual services 
E) territorial rights 
A) conditions of sale 
B) pricing policies 
C) exclusive dealings 
D) mutual services 
E) territorial rights

Question 12

A computer manufacturing company allows customers to place orders online,which they can later pick up from a convenient retail location.Which of the following terms best represents this practice?

Accepted Answer

A) channel integration 
B) mass customization 
C) online personalization 
D) push strategy 
E) internal marketing 
A) channel integration 
B) mass customization 
C) online personalization 
D) push strategy 
E) internal marketing

Question 13

Which of the following types of power is objectively observable?

Accepted Answer

A) coercive power 
B) legitimate power 
C) group power 
D) expert power 
E) referent power 
A) coercive power 
B) legitimate power 
C) group power 
D) expert power 
E) referent power

Question 14

eBay Inc.is an online auction and shopping company.Procter & Gamble is an American multinational corporation that manufactures a wide range of consumer goods.Both companies sell their products online.How are these companies different from a marketing channel perspective?

Accepted Answer

eBay is a pure-click company whereas Pro

Question 15

Who will most likely be willing to pay for high-value-added channels?

Accepted Answer

A) early buyers of a product 
B) internal customers of a company 
C) small and matured buyers of an industry 
D) consumers of low involvement products 
E) repeat customers of a product 
A) early buyers of a product 
B) internal customers of a company 
C) small and matured buyers of an industry 
D) consumers of low involvement products 
E) repeat customers of a product

Question 16

Which of the following entities is present in a zero-level marketing channel?

Accepted Answer

A) consumers 
B) retailers 
C) brokers 
D) jobbers 
E) wholesalers 
A) consumers 
B) retailers 
C) brokers 
D) jobbers 
E) wholesalers

Question 17

Hong Lee Motors' executives work for a short time in some dealerships,and some dealership owners work in Hong Lee Motors' dealer policy department.This strategy helps the company avoid conflicts with its dealers.This is an example of the ________ strategy.

Accepted Answer

A) employee exchange 
B) dual compensation 
C) joint membership 
D) co-optation 
E) diplomacy 
A) employee exchange 
B) dual compensation 
C) joint membership 
D) co-optation 
E) diplomacy

Question 18

RX Asia Corp.is a large manufacturer of electronic goods and sells its products through distributors and retailers.In order to keep pace with the growing use of the Internet,the company decides to start selling online.The company faces stiff opposition from its retailers as they believe that this will significantly reduce their profits.The company attempts to eliminate this resistance by offering its retailers commissions for processing and delivering orders received via the Web.This is an example of which of the following conflict resolution strategies?

Accepted Answer

A) dual compensation 
B) joint membership 
C) arbitration 
D) co-option 
E) strategic pricing 
A) dual compensation 
B) joint membership 
C) arbitration 
D) co-option 
E) strategic pricing

Question 19

Broomer manufactures fashion apparel for women, men, and children. Its products are in high demand and apparel stores are more than willing to carry and sell Broomer's garments. The company recently introduced a new clothing line named “Inducer”, targeted at the youth. However, the new line is not well-received by the market, and sales fail to take off even three months after its launch
-Broomer threatens to withdraw all its other products from the retailers' stores if they are unwilling to push products from the "Inducer" line.This is an example of ________ power.

Accepted Answer

A) reward 
B) coercive 
C) legitimate 
D) expert 
E) referent 
A) reward 
B) coercive 
C) legitimate 
D) expert 
E) referent

Question 20

An Internet service provider (ISP)is a(n)________ company.

Accepted Answer

A) pure-click 
B) brick and click 
C) brick-and-mortar 
D) m-commerce 
E) one-level 
A) pure-click 
B) brick and click 
C) brick-and-mortar 
D) m-commerce 
E) one-level

Exam 15: Designing and Managing Marketing Channels and Value Networks

What are the various functions performed by members of a marketing channel? Provide examples.

The most advanced supply-distributor arrangements for ________ vertical marketing systems rely on distribution programming.

Hewlett-Packard is a highly respected brand.Many retailers want to be associated with the brand because of this reputation.What kind of power does Hewlett-Packard obtain due to this reputation?

In competitive markets with low entry barriers,the optimal channel structure will inevitably change over time.

Dual compensation pays existing channels for sales made through new channels.

Which of the following is the most accurate description of a value network?

When economic conditions are depressed,producers want to move goods to market using longer channels.

Intensive distribution is generally used for items such as tobacco products,soap,snack foods,and gum-products for which the consumer requires a great deal of location convenience.

Which of the following channel alternatives is most suited to handle complex products and transactions?

A(n)________ is a facilitator who assists in the distribution process.

Which of the following covers payment terms and producer guarantees?

A computer manufacturing company allows customers to place orders online,which they can later pick up from a convenient retail location.Which of the following terms best represents this practice?

Which of the following types of power is objectively observable?

eBay Inc.is an online auction and shopping company.Procter & Gamble is an American multinational corporation that manufactures a wide range of consumer goods.Both companies sell their products online.How are these companies different from a marketing channel perspective?

Who will most likely be willing to pay for high-value-added channels?

Which of the following entities is present in a zero-level marketing channel?

Hong Lee Motors' executives work for a short time in some dealerships,and some dealership owners work in Hong Lee Motors' dealer policy department.This strategy helps the company avoid conflicts with its dealers.This is an example of the ________ strategy.

An Internet service provider (ISP)is a(n)________ company.

Defining Marketing for the New Realities

Developing Marketing Strategies and Plans

Gathering Information and Forecasting Demand

Conducting Marketing Research

Creating Customer Value,satisfaction,and Loyalty

Analyzing Consumer Markets

Analyzing Business Markets

Identifying Market Segments and Targets

Creating Brand Equity

Crafting the Brand Positioning

Competitive Dynamics

Setting Product Strategy

Designing and Managing Services

Developing Pricing Strategies and Programs

Managing Retailing,wholesaling,and Logistics

Designing and Managing Integrated Marketing Communications

Managing Mass Communications: Advertising, sales Promotions, events, and Public Relations

Managing Digital Communications: Online, social Media, and Mobile

Managing Personal Communications: Direct and Database Marketing and Personal Selling

Introducing New Market Offerings

Tapping Into Global Markets

Managing a Holistic Marketing Organization

Filters