Exam 15: Designing and Managing Integrated Marketing Channels

Companies should first think of the target market and then design the supply chain backward from that point. This strategy is called demand chain planning.

Unrelated companies put together resources or programs in horizontal marketing systems.

A group of entrepreneurs is planning to start a food processing company. Comment on the likely evolution of the company's marketing channels.

DMM Industries, a manufacturer of composite metal products, sells its products using a conventional marketing channel. The company decides to adopt a vertical marketing system to improve its performance. What advantages could this provide?

The Norticon Group provides and manages computers and network systems for businesses and communities. Norticon sells its products through various means-it uses its sales force to sell to large customers and telemarketing to sell to smaller customers. The company also sells its products via the Internet. Briefly explain the marketing approach being used by the company.

________ are sets of interdependent organizations participating in the process of making a product or service available for use or consumption.

Because of the acceptance that the other Broomer products have in the market, retailers are willing to stock items from the new "Inducer" line of clothing. This is an example of ________ power.

Co-optation is an effort by one organization to win the support of the leaders of another by ________.

Which of the following terms refers to the add-on services, such as credit, delivery, installation, and repairs, provided by a marketing channel?

Intensive distribution relies on only some of the intermediaries willing to carry a particular product.

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

Adding more marketing channels increases the channel cost of selling.

A manufacturer is using legitimate power when it ________.

Consumer surveys suggest that one of the most significant inhibitors of online shopping is the absence of ________.

Exclusive dealings and tying agreements are illegal and prohibited by law.

A group of small sellers take the initiative and organize a new business entity to carry on wholesaling and possibly some production. This initiative is called a(n)________.

Producers often shift some functions to intermediaries. Which of the following is the most significant benefit of doing this?

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?

Marketing channels are the set of pathways a product or service follows after production, culminating in purchase and consumption by the final end user.

Altrudex, Inc., is involved in the manufacture, distribution, and sale of consumer electronics. The company sources over half the products it sells from companies it partly or wholly owns. It also owns a large retail chain and sells its products through them. What marketing system is Altrudex using?