Exam 16: Managing Retailing, Wholesaling, and Logistics

Market logistics involves planning the infrastructure to meet demand, then implementing and controlling the physical flow of materials and final goods from points of origin to points of use, to meet customer requirements at a profit. Market logistics planning has four steps. Please list and describe the questions posed by each of these steps.

In general, wholesalers are efficient in performing specific functions. List these nine functions.

Market-logistics strategies must be derived from business strategies, rather than solely from cost considerations.

Retailers, like all marketers, must begin with their definition of their "target market." Why must retailers begin by defining their "target market" before making any other marketing decisions? Relate this step to Whole Foods Market.

Approximately ________ of everything sold in this country is bought or influenced by a woman.

Today information systems play a critical role in managing market logistics involving computers, satellite tracking, and electronic funds transfers.

Market logistics involves planning the infrastructure to meet demand, then implementing and controlling the physical flows of materials and final goods from points of origin to points of use, to meet customer requirements at a profit.

Choosing a market-logistic system calls for examining the total cost (M) associated with different proposed systems and selecting the system that minimizes it where T (total freight costs) + FW (total fixed warehouse cost + VW (total variable warehouse costs) is expressed as M = T + FW + VW.

You are interviewing for a job after graduation with a wholesaler. In your preparation for the interview, you discover that the wholesaler carries over 10 000 stock keeping units, maintains a sales force, makes store door deliveries, and provides management and research assistance to retailers. You are interviewing with a ________ wholesaler.

Nonstore retailing has not been growing as fast as traditional store retailing.

What do brands such as Shoppers Drug Mart, Benetton, and The Body Shop have in common, and why are we likely to see more brands of this type developed?

Which of the following types of limited-service wholesalers serve bulk industries such as coal, lumber, and heavy equipment?

The trucking firm hired by your transportation manager provides service between Windsor and Quebec City on a regular schedule. Hiring this shipper is available to all at standard rates. Your transportation manager has hired a

Prices are a key positioning factor to retailers and must be decided in relation to the target market.

When retailers do study the economics of product assortment, they find that two-thirds of their products contribute both sales and profits to the bottom line.

It has been suggested that the leading brand marketers should invest in heavy and continuous R&D, among other suggestions, to bring out new brands, line extensions, features, and quality improvements. Why is it necessary for such an increase in investment in R&D?

One of the advantages of corporate retailing is that corporate retail organizations achieve economies of scale, greater purchasing power, better-trained employees, and

Retailers charge for special display spaces and in-store advertising space. Retailers typically give more ________ display space to their own brands and make sure that their private label products are well stocked.

One of the up and coming trends in retailing is the growth of giant retailers, known as category killers and supercentres.

You have a manager who makes every decision based on the potential to reduce costs. Explain why the market-logistics strategies must be derived from business strategies, rather than solely from cost considerations?