Exam 15: Distribution Channels and Supply Chain Management

In addition to traditional drug stores, Dr Scholl's foot care company sells its products through convenience stores as well as through telemarketing to podiatrists. Which of the following is being employed by Dr Scholl's foot care company to sell its products?

Which of the following distribution strategies seeks to distribute a product through all available retailers in a trade area?

As the marketing director for Adobe, a company that makes software for design and business professionals, it's your job to get your company's software into the hands of millions of customers the world over. Which type of distribution channel will work best for your objectives, and why?

Marketers usually adopt a dual distribution strategy either to maximize their firm's coverage in the marketplace or to increase the cost effectiveness of the firm's marketing effort.

A direct channel is the simplest and shortest marketing channel, but most channels involve at least one intermediary. Which statement below describes a marketing intermediary? ​

Bremer Jewelry has two locations in Illinois within 60 miles of each other and is the only jewelry store to carry the Hearts on Fire diamond jewelry line. Bremer has negotiated with Hearts on Fire to be the only retailer within a 150-mile radius of both store locations and believes that this arrangement provides a competitive advantage to the store. What type of distribution does Bremer Jewelry have with Hearts on Fire?

When a logistics manager combines several unitized loads into a single, well-protected load for shipment, it is called:

Oh, no! The place where you've been holding your company's novelty screen-printed t-shirts while waiting to be shipped out to fill incoming orders is going out of business. As the production manager, it's up to you to find a new facility to use instead. Of the following, which seems like the best fit for your needs?

A(n) _____ is an intermediary that takes title to the goods it handles and then distributes these goods to retailers, other distributors, or sometimes end consumers.

An agent, who connects small companies with the consumers, always takes possession of the goods as well as the title.

Rising prices for raw materials, the increasing availability of recycling facilities, and a move toward increased environmental sustainability have all diminished the importance of reverse channels.

The simplest and shortest marketing channel is a direct channel.

Service firms market primarily through long distribution channels.

You've just landed a new job as the chief marketing officer for John Deere, manufacturer of agricultural, construction, and gardening equipment. You want to make sure you're using the best distribution channel strategy for reaching both B2B and B2C sales. In evaluating your company's needs, what do you decide is the best approach?

You're the marketing arm of your family's business, Happy Valley Farms, where you raise organic beef, pork, and lamb. Up until last year, you used a very short distribution channel - you were marketing and selling directly to your local customers. But now you've doubled the size of your farm and intend to sell to customers throughout the state, and you're not sure this approach still works for you. Which type of distribution channel will work best for your current and future needs, and why?

The first thing to do in selecting a marketing channel is to determine which type of channel will best meet both the seller's objectives and the distribution needs of customers.

A distribution warehouse holds goods for moderate to long periods in an attempt to balance supply and demand for producers and purchasers.

Sales of Kathleen's baked goods have begun to increase dramatically. She is selling online, but many customers in her core region are asking about local outlets where they can make immediate purchases. Kathleen has no desire to open and operate a retail outlet herself, but she also does not want her product sold beside a generic cookie in a supermarket. What type of distribution will Kathleen investigate for her premium baked goods?

Discuss the two categories of channel conflict. Give an example of each.

Define reverse channels. List some factors that have contributed to the increasing importance of reverse channels. How do firms operate reverse channels?