Exam 12: Marketing Channels and Supply Chain Management

ZuTech makes sensitive monitors for measuring exposure to hazardous materials.ZuTech has suffered substantial losses when moving products from the assembly line to the warehouse and shipping docks.ZuTech should consider reducing the number of times an item is moved in the warehouse by installing a(n):

Redbox Movie DVD sales represent a $16 billion market,and rentals make up another $7.5 billion.Naturally,production studios would prefer consumers purchase DVDs rather than rent them.Production studios like Twentieth-Century Fox,Warner Bros,and General Electric refused to sell new releases to Redbox,a DVD vending machine company,until almost a month after new releases arrived in stores.Redbox,the ubiquitous DVD rental red kiosks found in- and outside of convenience stores,grocery stores,drugstores,fast-food restaurants,and Wal-Mart,is cutting in on production companies' profits.These studios are tangled in lawsuits with Redbox.Sony,Paramount,and Lionsgate,on the other hand,permit distribution through Redbox,and Disney allows third-party distribution to Redbox.With more than 20,000 kiosks now in operation,Redbox ranks fifth in DVD rental revenues,which is impressive considering the rental fee is only $1.00.But Blockbuster is trying to steal vending market share by allowing NCR Corporation,known for ATM machines,to license its name to place Blockbuster Express kiosks in similar types of locations. -Refer to Redbox.Warner Bros.,Blockbuster,Redbox,Wal-Mart,and third-party DVD distributors are part of a:

List and briefly define the three basic types of channel relationships.Explain why they are described as a continuum.

All of the following are typical channel members in marketing channels for consumer products EXCEPT:

Which of the following intermediaries sell mainly to consumers?

Supply chain management is a key means of differentiation for a firm and a critical component in marketing and corporate strategy.

A manufacturer of automobile component parts that has turned over all transportation functions to an independent third party in its supply chain has engaged in:

A large automotive after-market business wanted to improve its current situation,which is characterized by excessive inventory,incomplete information,high logistics costs,slow reactions to environmental change,and lost profits at the retail level.Would supply chain management be of any help to the business?

Supply chain management is completely producer-driven.

Rolex is an expensive brand of watches.The company has a policy of only having one or two dealers within a given large geographic area.Buyers of Rolex watches will travel to acquire just the right watch.This is an illustration of which level of distribution intensity?

Imagine a European manufacturer wants to introduce its digital thermostats to the U.S.market.The thermostats are designed to reduce power usage and save energy.What are the two basic channel structures it can use? Briefly describe the advantages and disadvantages of each method.

As products move through the marketing channel,channel members provide specialization and division of labor,overcome discrepancies,and provide contact efficiency.

Which of the following types of distribution channel relationships is considered to be temporary?

Serenity is a manufacturer of outdoor fountains that are currently popular in gardens.Even though fountains represent a product category that does not sell year round due to inclement weather,Serenity's sales remain steady all year because it sells to wholesale distributors that stock the product.Serenity sells to wholesale distributors that perform _____ functions for the manufacturer.

Wal-Mart is the largest retailer in the world and many consumer package-goods manufacturers like Kraft have offices in Bentonville,Arkansas where Wal-Mart is headquartered.Wal-Mart has the ability to influence manufacturers to lower their prices so that it can deliver on its low-price guarantee to consumers.Wal-Mart possesses:

A retail clothing store in a small northwest Georgia community is the sole distributor of Spanx brand hosiery in the region.How does this form of market coverage benefit the retailer? How does it benefit the manufacturer?

Which of the following transportation modes can most easily determine the location of a package en route between shipper and receiver?

R.H.Kurt & Son R.H.Kurt & Son,Inc.,distributes rifles for both hunting and target shooting,rifle barrels,triggers,cleaning equipment,and reloading equipment to sporting equipment retailers and many large discount stores.It carries products from 41 different manufacturers.The manufacturers whose products it carries are known for producing superior products and are leaders in their industries.In addition,Kurt is able to repair damaged rifles through its gunsmith service,which is available to all of its retailers. -Refer to R.H.Kurt.Customers at retail stores only want one rifle or one scope.They do not want to buy in the quantities the manufacturers need to sell.This _____ is overcome by the marketing channels.

Paul operates Kayak.com a company that allows customers to efficiently search company databases and find the best airline and hotel deals all over the Web.Kayak does not make bookings,but rather provides recommendations for the best travel plans.Travel providers pay Kayak a commission for most customers who click through.English wants his users to have as short and sweet an experience on Kayak as possible.Time is of the essence in responding to any customer question,especially in this day where air fare can increase dramatically in just a couple of hours.Paul is devoted to:

With respect to the sorting logistical function,_____ is the combining of similar stocks into a larger homogeneous supply.