Exam 12: Marketing Channels: Delivering Customer Value

Refer to the scenario below to answer the following questions. Miller Meat Company contracts with several Midwestern farmers to raise beef and pork for its meat processing center.To guarantee freshness,Miller Meat Company relies on a vast distribution network.For delivery to local grocers in Indiana,Miller Meat uses its own fleet of refrigerated trucks;delivery to these Indiana grocers constitutes 65 percent of Miller Meat's business.For deliveries in Illinois,Wisconsin,and points directly west of the Mississippi River,Miller Meat Company contracts with a refrigerated fleet that specializes in expediting smaller shipments.For faster delivery during peak times,Miller Meat Company often uses its own trucks to deliver to the expedited fleet's consolidation point from its distribution warehouse in Indiana.During the holiday season,however,several specialty distributors contract with Miller Meat Company to package specialty meats in gift boxes,then ship them directly to the recipients.For these specialty shipments within Indiana,Illinois,and Wisconsin,Miller uses its normal delivery mode.For all other specialty shipments,Miller ships from its distribution warehouse via air,then contracts with expedited carriers in various cities to deliver to the recipients. -Management at a chain of Indiana grocery stores with a long history of purchasing products from Miller Meat is unhappy with the timing of deliveries.In fact,the grocery store's management is considering switching to another meat supplier who will delivery more frequently.This is an example of a(n)_ _ conflict.

When the NewWay Dry Cleaners and The Easy Laundromat in your hometown join forces to follow a new marketing opportunity,they are forming a horizontal marketing system.

Under the strategy of exclusive distribution,a seller allows only certain retail outlets to carry its products.

logistics controls the movement of products from points of production to consumers.

What is the role of marketing intermediaries?

To reduce inventory management costs,many companies use a system called ,which involves carrying only small inventories of parts or merchandise,often only enough for a few days of operation.

Give two examples of multichannel distribution systems.

Which of the following is NOT an area of responsibility for a logistics manager?

When determining the number of channel members to use at each level,three strategies are available: intensive,exclusive,and distribution.

Proud Pets,a producer of clothing and accessories for pets,has recently partnered with a regional chain of pet stores.Which of the following would Proud Pets be LEAST likely to expect from its new channel member?

In marketing terms,we say that the number of intermediary levels indicates the _ of a channel.

Due in a large part to advances in technology,is a major trend whereby product and service producers are bypassing intermediaries and going directly to final buyers,or radically new types of channel intermediaries are emerging to displace traditional ones.

Historically,_ have lacked the leadership to assign member roles and manage conflict.

Sometimes a producer chooses only a few dealers in a territory to distribute its products or services.Generally these dealers are given a right to distribution.

The difference between distribution centers and storage warehouses is that distribution centers are designed to _.

Compare and contrast a conventional distribution channel with a vertical marketing system (VMS).

An advantage of a vertical marketing system (VMS)is that it acts as a system.

Evaluate how public policy affects distribution decisions.

The key to managing inventory is to balance the costs and benefits of holding larger inventories with the costs and benefits of holding less.

What types of products are exclusively distributed?