Exam 15: Distributing Products

________ utility adds value to goods by having them available where people want them.

________ may represent several producers in a specific territory, as long as they do not represent competing products.

________ is the value or want-satisfying ability that is added to products by organizations that make the product more useful or accessible to consumers.

The part of logistics that is most concerned with the flow of goods as well as work in process within the manufacturing firm is

Retail organizations employ more than 40 million people in the U.S.

Producers of shopping goods such as furniture, appliances, and clothing usually rely on an exclusive distribution strategy.

Discount stores compete in the retail market mainly on the basis of price.

Marshall Manufacturing has recently reached an agreement with an intermodal marketing company to significantly reduce the cost of shipping its finished goods to some major business customers. This agreement will help Marshall reduce the costs associated with outbound logistics.

A retail sale is a sale to a consumer of products for his or her own use.

Marketing managers at Focal Point Cameras are looking for ways to cut costs as the company is facing intense competitive pressure. They are considering a plan to cut distribution costs by eliminating marketing intermediaries from the channel of distribution. If Focal Point does this, it is likely to find that

A(n) ________ distribution strategy distributes a product through only a preferred group of retailers in a given area.

For a supply chain to be efficient, all of the activities must be performed by organizations that are owned by the manufacturer.

In retail cooperatives, the members of the distribution system are bound to cooperate by a contractual agreement.

A major advantage of direct marketing is that it is a very convenient way for consumers to shop.

Mall owners like to have ________ located along the walkways of their malls, because they create a marketplace type of atmosphere.

Currently, Lite Bite uses a lot of intermediaries to help distribute its products. Collectively, the organizations that participate in getting finished goods from Lite Bite to the ultimate consumers of its products are all part of the

Marketing intermediaries

Caitlin, owner of a card shop in a small shopping center, sells cards produced by a national company. Caitlin sells to final customers, so she is a

Marketers claim that intermediaries add value to the channel of distribution that outweighs the cost.

Discount stores owe much of their success to a competitive strategy based on