Question 1

The Limited, which produces and retails clothing products in a coordinated channel, is an example of a(n)

Accepted Answer

A)  administered vertical marketing system (VMS). 
B)  conventional marketing channel. 
C)  channel network. 
D)  contractual marketing channel. 
E)  corporate vertical marketing system. 
A)  administered vertical marketing system (VMS). 
B)  conventional marketing channel. 
C)  channel network. 
D)  contractual marketing channel. 
E)  corporate vertical marketing system.

Question 2

Organizational buyers are especially partial to direct marketing channels when

Accepted Answer

A)  they buy cheap materials in large quantities. 
B)  they try a new product for the first time. 
C)  they are filling an order for a very important customer. 
D)  a modified rebuy type of decision is involved. 
E)  expensive and/or complex equipment is involved. 
A)  they buy cheap materials in large quantities. 
B)  they try a new product for the first time. 
C)  they are filling an order for a very important customer. 
D)  a modified rebuy type of decision is involved. 
E)  expensive and/or complex equipment is involved.

Question 3

Conflicts with the retailer may develop if the dealer decides to place too much emphasis on competing product lines.

Accepted Answer

A) True 
 B)False

Question 4

Warehousing involves designing and operating facilities to store and move goods.

Accepted Answer

A) True 
 B)False

Question 5

Netflix sells its movie services using its website while Redbox sells its movie services using vending machines. Each requires the products to be distributed through different channels. Netflix is using ____, while Redbox is using ___ to get the movies to its vending machines.

Accepted Answer

A)  multichannel distribution; digital distribution 
B)  digital distribution; just-in-time distribution 
C)  intensive distribution; selective distribution 
D)  multichannel distribution; physical distribution 
E)  digital distribution; physical distribution 
A)  multichannel distribution; digital distribution 
B)  digital distribution; just-in-time distribution 
C)  intensive distribution; selective distribution 
D)  multichannel distribution; physical distribution 
E)  digital distribution; physical distribution

Question 6

During order entry, a customer's credit rating is checked by the credit department.

Accepted Answer

A) True 
 B)False

Question 7

A commonly used computerized means of integrating order processing with production, inventory, accounting, and transportation is

Accepted Answer

A)  web-based inventory management. 
B)  just-in-time. 
C)  electronic data interchange. 
D)  universal product codes. 
E)  activity-based management. 
A)  web-based inventory management. 
B)  just-in-time. 
C)  electronic data interchange. 
D)  universal product codes. 
E)  activity-based management.

Question 8

Order processing, inventory management, materials handling, warehousing, and transportation are the activities that define

Accepted Answer

A)  wholesaling. 
B)  retailing. 
C)  physical distribution. 
D)  channel management. 
E)  drop shipping. 
A)  wholesaling. 
B)  retailing. 
C)  physical distribution. 
D)  channel management. 
E)  drop shipping.

Question 9

Some marketing channels are organized and controlled by a single leader.

Accepted Answer

A) True 
 B)False

Question 10

When one company in a marketing channel has the ability to influence another member's goal achievement, the company has

Accepted Answer

A)  channel control. 
B)  channel power. 
C)  marketing leadership. 
D)  a channel captain. 
E)  distributive influence. 
A)  channel control. 
B)  channel power. 
C)  marketing leadership. 
D)  a channel captain. 
E)  distributive influence.

Question 11

A local petrol dealer made an agreement to purchase petroleum from only one petroleum supplier. The petrol dealer was forced into the agreement because the petroleum supplier refused to do business with the dealer unless he agreed to source petroleum solely from that supplier. This is an example of

Accepted Answer

A)  refusal to deal. 
B)  restricted sales territories. 
C)  exclusive dealing. 
D)  multichannel distribution. 
E)  tying arrangements. 
A)  refusal to deal. 
B)  restricted sales territories. 
C)  exclusive dealing. 
D)  multichannel distribution. 
E)  tying arrangements.

Question 12

Possession utility is best described as

Accepted Answer

A)  products being available in places where the customers wish to purchase them. 
B)  the customer having access to the product to use now or store and use later. 
C)  having a company's products available when a customer needs them. 
D)  being able to legally own a product despite restrictions on trade. 
E)  getting the products to the consumers in as little time as possible for ownership. 
A)  products being available in places where the customers wish to purchase them. 
B)  the customer having access to the product to use now or store and use later. 
C)  having a company's products available when a customer needs them. 
D)  being able to legally own a product despite restrictions on trade. 
E)  getting the products to the consumers in as little time as possible for ownership.

Question 13

Marketing intermediaries bridge the gap between suppliers (or producers) and buyers (or consumers).

Accepted Answer

A) True 
 B)False

Question 14

Tying agreements occur when a

Accepted Answer

A)  producer distributes the same product through two or more different channels. 
B)  manufacturer forbids an intermediary to carry products of competing manufacturers. 
C)  supplier furnishes a product to a channel member with the stipulation that the channel member must purchase other products as well. 
D)  producer refuses to deal to channel members that seem unethical or illegitimate. 
E)  manufacturer prohibits intermediaries from selling its products outside designated sales territories. 
A)  producer distributes the same product through two or more different channels. 
B)  manufacturer forbids an intermediary to carry products of competing manufacturers. 
C)  supplier furnishes a product to a channel member with the stipulation that the channel member must purchase other products as well. 
D)  producer refuses to deal to channel members that seem unethical or illegitimate. 
E)  manufacturer prohibits intermediaries from selling its products outside designated sales territories.

Question 15

Air-Tech management learns that last month's production run of heaters at its Newark plant is defective and announces a recall of the specific models produced. To handle the large number of products it expects to receive for replacement of the defective thermostats, Air-Tech will probably need to add a ____ to its distribution network.

Accepted Answer

A)  distribution center 
B)  private warehouse 
C)  dispatching shipment system 
D)  public warehouse 
E)  materials handling system 
A)  distribution center 
B)  private warehouse 
C)  dispatching shipment system 
D)  public warehouse 
E)  materials handling system

Question 16

Franchising is typical of the administered vertical marketing system.

Accepted Answer

A) True 
 B)False

Question 17

A channel that includes both a manufacturers' agent and an industrial distributor is appropriate under which of the following circumstances?

Accepted Answer

A)  When the firm wants specialized personnel to follow up the work of the sales force 
B)  When the marketer wishes to enter a new geographic market but does not wish to expand the existing sales force 
C)  When only one or two channels of distribution are available for products 
D)  When the sales force is large and the marketer is thinking of cutting it down 
E)  When customers are highly concentrated in one geographic area 
A)  When the firm wants specialized personnel to follow up the work of the sales force 
B)  When the marketer wishes to enter a new geographic market but does not wish to expand the existing sales force 
C)  When only one or two channels of distribution are available for products 
D)  When the sales force is large and the marketer is thinking of cutting it down 
E)  When customers are highly concentrated in one geographic area

Question 18

What advantages do industrial distributors offer? What are some of the disadvantages of using industrial distributors?

Accepted Answer

An industrial distributor is an independ

Question 19

You are meeting with the new CEO of your company to discuss marketing channel strategies. You are delighted to learn that the CEO actually understands the importance of marketing channels in a firm's sales success. The CEO tells you that his primary concern is that the chosen marketing channel facilitates the firm's ability to make products available when customers want them, and in locations where they want them. He leaves it to you to decide on the appropriate marketing channel. Given his primary concern you should make sure the channel you choose is capable of creating lots of

Accepted Answer

A)  time and possession utility. 
B)  place and feature utility. 
C)  time and place utility. 
D)  form and possession utility. 
E)  feature and time utility. 
A)  time and possession utility. 
B)  place and feature utility. 
C)  time and place utility. 
D)  form and possession utility. 
E)  feature and time utility.

Question 20

How do marketing channels increase efficiency in exchange situations?

Accepted Answer

Marketing intermediaries facilitate exch

The Limited, which produces and retails clothing products in a coordinated channel, is an example of a(n)

Organizational buyers are especially partial to direct marketing channels when

Conflicts with the retailer may develop if the dealer decides to place too much emphasis on competing product lines.

Warehousing involves designing and operating facilities to store and move goods.

Netflix sells its movie services using its website while Redbox sells its movie services using vending machines. Each requires the products to be distributed through different channels. Netflix is using __, while Redbox is using _ to get the movies to its vending machines.

During order entry, a customer's credit rating is checked by the credit department.

A commonly used computerized means of integrating order processing with production, inventory, accounting, and transportation is

Order processing, inventory management, materials handling, warehousing, and transportation are the activities that define

Some marketing channels are organized and controlled by a single leader.

When one company in a marketing channel has the ability to influence another member's goal achievement, the company has

A local petrol dealer made an agreement to purchase petroleum from only one petroleum supplier. The petrol dealer was forced into the agreement because the petroleum supplier refused to do business with the dealer unless he agreed to source petroleum solely from that supplier. This is an example of

Possession utility is best described as

Marketing intermediaries bridge the gap between suppliers (or producers) and buyers (or consumers).

Tying agreements occur when a

Franchising is typical of the administered vertical marketing system.

A channel that includes both a manufacturers' agent and an industrial distributor is appropriate under which of the following circumstances?

What advantages do industrial distributors offer? What are some of the disadvantages of using industrial distributors?

How do marketing channels increase efficiency in exchange situations?

An Overview of Strategic Marketing

Planning, Implementing, and Evaluating Marketing Strategies

The Marketing Environment

Social Responsibility and Ethics in Marketing

Marketing Research and Information Systems

Target Markets, Segmentation and Evaluation

Consumer Buying Behavior

Business Markets and Buying Behavior

Reaching Global Markets

Digital Marketing and Social Networking

Product Concepts, Branding, and Packaging

Developing and Managing Products

Services Marketing

Retailing, Direct Marketing and Wholesaling

Integrated Marketing Communications

Advertising and Public Relations

Personal Selling and Sales Promotion

Pricing Concepts

Setting Prices

Filters

Exam 14: Marketing Channels and Supply Chain Management

The Limited, which produces and retails clothing products in a coordinated channel, is an example of a(n)

Organizational buyers are especially partial to direct marketing channels when

Conflicts with the retailer may develop if the dealer decides to place too much emphasis on competing product lines.

Warehousing involves designing and operating facilities to store and move goods.

Netflix sells its movie services using its website while Redbox sells its movie services using vending machines. Each requires the products to be distributed through different channels. Netflix is using ____, while Redbox is using ___ to get the movies to its vending machines.

During order entry, a customer's credit rating is checked by the credit department.

A commonly used computerized means of integrating order processing with production, inventory, accounting, and transportation is

Order processing, inventory management, materials handling, warehousing, and transportation are the activities that define

Some marketing channels are organized and controlled by a single leader.

When one company in a marketing channel has the ability to influence another member's goal achievement, the company has

A local petrol dealer made an agreement to purchase petroleum from only one petroleum supplier. The petrol dealer was forced into the agreement because the petroleum supplier refused to do business with the dealer unless he agreed to source petroleum solely from that supplier. This is an example of

Possession utility is best described as

Marketing intermediaries bridge the gap between suppliers (or producers) and buyers (or consumers).

Tying agreements occur when a

Franchising is typical of the administered vertical marketing system.

A channel that includes both a manufacturers' agent and an industrial distributor is appropriate under which of the following circumstances?

What advantages do industrial distributors offer? What are some of the disadvantages of using industrial distributors?

How do marketing channels increase efficiency in exchange situations?

An Overview of Strategic Marketing

Planning, Implementing, and Evaluating Marketing Strategies

The Marketing Environment

Social Responsibility and Ethics in Marketing

Marketing Research and Information Systems

Target Markets, Segmentation and Evaluation

Consumer Buying Behavior

Business Markets and Buying Behavior

Reaching Global Markets

Digital Marketing and Social Networking

Product Concepts, Branding, and Packaging

Developing and Managing Products

Services Marketing

Retailing, Direct Marketing and Wholesaling

Integrated Marketing Communications

Advertising and Public Relations

Personal Selling and Sales Promotion

Pricing Concepts

Setting Prices

Filters

Netflix sells its movie services using its website while Redbox sells its movie services using vending machines. Each requires the products to be distributed through different channels. Netflix is using __, while Redbox is using _ to get the movies to its vending machines.