Question 1

Inbound logistics involves managing the flow of products from an intermediary to a customer.

Accepted Answer

A) True 
 B)False

Question 2

Members of the marketing channel may help a company complete transactions by performing key functions such as promotion and negotiation.

Accepted Answer

A) True 
 B)False

Question 3

Selective distribution seeks only one outlet in a given market area.

Accepted Answer

A) True 
 B)False

Question 4

In a direct marketing channel, which has no intermediary levels, the company sells directly to consumers.

Accepted Answer

A) True 
 B)False

Question 5

________ includes all activities involved in selling goods and services to those buying for resale or business use.

Accepted Answer

A) Wholesaling 
B) Retailing 
C) Franchising 
D) Discounting 
E) Disintermediation 
A) Wholesaling 
B) Retailing 
C) Franchising 
D) Discounting 
E) Disintermediation

Question 6

How do channel members add value?

Accepted Answer

Typically, intermediaries have greater e

Question 7

What is a contractual vertical marketing system? Give an example of a type of business that works as a contractual VMS.

Accepted Answer

A contractual VMS consists of independen

Question 8

Selective distribution is a strategy in which ________.

Accepted Answer

A) more than one but fewer than all willing intermediaries are used by a seller 
B) products are stocked in as many outlets as possible by a seller 
C) products are not sold through intermediaries but directly to customers from producers 
D) all willing intermediaries are given rights to sell a product 
E) common household goods are preferred over luxury products by intermediaries 
A) more than one but fewer than all willing intermediaries are used by a seller 
B) products are stocked in as many outlets as possible by a seller 
C) products are not sold through intermediaries but directly to customers from producers 
D) all willing intermediaries are given rights to sell a product 
E) common household goods are preferred over luxury products by intermediaries

Question 9

Under ________, a customer shares real-time data on sales and current inventory levels with a supplier, and the supplier then takes full responsibility for managing inventories and deliveries.

Accepted Answer

A) periodic inventory systems 
B) vendor-managed inventory systems 
C) selective-trading inventory systems 
D) manual inventory replenishment systems 
E) customer-managed inventory systems 
A) periodic inventory systems 
B) vendor-managed inventory systems 
C) selective-trading inventory systems 
D) manual inventory replenishment systems 
E) customer-managed inventory systems

Question 10

With the success of the Internet, few producers sell through intermediaries today.

Accepted Answer

A) True 
 B)False

Question 11

Intensive distribution occurs when only one intermediary is used by a producer to sell all its products.

Accepted Answer

A) True 
 B)False

Question 12

The producer and the final consumer are part of every type of marketing channel.

Accepted Answer

A) True 
 B)False

Question 13

Mary Jay, an American designer of luxury leather goods, had experienced growth by selling her goods in her own retail stores. As internet usage increased, Mary Jay did what many of her competitors did: she created a virtual online store on her company website. When the Canadian and US dollars were on par, many Canadian shoppers would purchase online through the US website since there were no retailers in Canada carrying Mary Jay goods. Eventually, Mary Jay opened her own retail stores in Canada after considering the risks and advantages of going global. She also created opportunities with major department stores to carry her goods under specific conditions.
-What is the most logical way to store and distribute product from the main warehouse in the US to the Canadian customer?

Accepted Answer

Depending on how many corporate stores a

Question 14

How can a firm benefit from involvement in a contractual VMS?

Accepted Answer

A contractual VMS consists of independen

Question 15

________ and ________ do not take title to goods, and they perform only a few channel functions.

Accepted Answer

A) Full-service wholesalers; limited-service wholesalers 
B) Brokers; agents 
C) Branches; office 
D) Power centres; independent wholesalers 
E) Independent wholesalers; off-price retailers 
A) Full-service wholesalers; limited-service wholesalers 
B) Brokers; agents 
C) Branches; office 
D) Power centres; independent wholesalers 
E) Independent wholesalers; off-price retailers

Question 16

Which of the following is true of a direct marketing channel?

Accepted Answer

A) It increases the number of channel transactions. 
B) It enables retailers to reach many customers. 
C) It does not use any intermediaries. 
D) It gives limited distribution control to producers. 
E) It creates a complex distribution channel. 
A) It increases the number of channel transactions. 
B) It enables retailers to reach many customers. 
C) It does not use any intermediaries. 
D) It gives limited distribution control to producers. 
E) It creates a complex distribution channel.

Question 17

Kevin Pinker is a freelance electrical engineer who writes computer algorithms for companies such as SoftStar and BlueHill. SoftStar and BlueHill use these algorithms to make specific programs based on online market research. These programs are then sold to the online retailer, Abundon, which then sells them to individual consumers and businesses. Which of the following is a marketing intermediary in this chain?

Accepted Answer

A) SoftStar 
B) BlueHill 
C) the consumer 
D) Abundon 
E) Kevin Pinker 
A) SoftStar 
B) BlueHill 
C) the consumer 
D) Abundon 
E) Kevin Pinker

Question 18

A(n)________ brings buyers and sellers together and assists in negotiations.

Accepted Answer

A) agent 
B) broker 
C) retailer 
D) wholesaler 
E) retail convergence 
A) agent 
B) broker 
C) retailer 
D) wholesaler 
E) retail convergence

Question 19

In a(n)________ marketing system, leadership over production and distribution is assumed through the size and power of one or a few dominant channel members.

Accepted Answer

A) direct 
B) contractual vertical 
C) horizontal 
D) corporate vertical 
E) administered vertical 
A) direct 
B) contractual vertical 
C) horizontal 
D) corporate vertical 
E) administered vertical

Question 20

________ buy mostly from producers and sell to retailers and industrial consumers.

Accepted Answer

A) Independents 
B) Factory outlets 
C) Wholesalers 
D) Discount stores 
E) Megaretailers 
A) Independents 
B) Factory outlets 
C) Wholesalers 
D) Discount stores 
E) Megaretailers

Inbound logistics involves managing the flow of products from an intermediary to a customer.

Members of the marketing channel may help a company complete transactions by performing key functions such as promotion and negotiation.

Selective distribution seeks only one outlet in a given market area.

In a direct marketing channel, which has no intermediary levels, the company sells directly to consumers.

________ includes all activities involved in selling goods and services to those buying for resale or business use.

How do channel members add value?

What is a contractual vertical marketing system? Give an example of a type of business that works as a contractual VMS.

Selective distribution is a strategy in which ________.

Under ________, a customer shares real-time data on sales and current inventory levels with a supplier, and the supplier then takes full responsibility for managing inventories and deliveries.

With the success of the Internet, few producers sell through intermediaries today.

Intensive distribution occurs when only one intermediary is used by a producer to sell all its products.

The producer and the final consumer are part of every type of marketing channel.

How can a firm benefit from involvement in a contractual VMS?

and do not take title to goods, and they perform only a few channel functions.

Which of the following is true of a direct marketing channel?

A(n)________ brings buyers and sellers together and assists in negotiations.

In a(n)________ marketing system, leadership over production and distribution is assumed through the size and power of one or a few dominant channel members.

________ buy mostly from producers and sell to retailers and industrial consumers.

Marketing: Creating and Capturing Customer Value

Company and Marketing Strategy: Partnering to Build Customer Relationships

Sustainable Marketing, Social Responsibility and Ethics

Analyzing the Marketing Environment

Managing Marketing Information to Gain Customer Insights

Understanding Consumer and Business Buyer Behaviour

Segmentation, Targeting, and Positioning

Developing and Managing Products and Services

Brand Strategy and Management

Pricing: Understanding and Capturing Customer Value

Retailing and Wholesaling

Communicating Customer Value: Advertising and Public Relations

Personal Selling and Sales Promotion

Direct, Online, Social Media, and Mobile Marketing

The Global Marketplace

Filters

Exam 11: Marketing Channels

Inbound logistics involves managing the flow of products from an intermediary to a customer.

Members of the marketing channel may help a company complete transactions by performing key functions such as promotion and negotiation.

Selective distribution seeks only one outlet in a given market area.

In a direct marketing channel, which has no intermediary levels, the company sells directly to consumers.

________ includes all activities involved in selling goods and services to those buying for resale or business use.

How do channel members add value?

What is a contractual vertical marketing system? Give an example of a type of business that works as a contractual VMS.

Selective distribution is a strategy in which ________.

Under ________, a customer shares real-time data on sales and current inventory levels with a supplier, and the supplier then takes full responsibility for managing inventories and deliveries.

With the success of the Internet, few producers sell through intermediaries today.

Intensive distribution occurs when only one intermediary is used by a producer to sell all its products.

The producer and the final consumer are part of every type of marketing channel.

How can a firm benefit from involvement in a contractual VMS?

________ and ________ do not take title to goods, and they perform only a few channel functions.

Which of the following is true of a direct marketing channel?

A(n)________ brings buyers and sellers together and assists in negotiations.

In a(n)________ marketing system, leadership over production and distribution is assumed through the size and power of one or a few dominant channel members.

________ buy mostly from producers and sell to retailers and industrial consumers.

Marketing: Creating and Capturing Customer Value

Company and Marketing Strategy: Partnering to Build Customer Relationships

Sustainable Marketing, Social Responsibility and Ethics

Analyzing the Marketing Environment

Managing Marketing Information to Gain Customer Insights

Understanding Consumer and Business Buyer Behaviour

Segmentation, Targeting, and Positioning

Developing and Managing Products and Services

Brand Strategy and Management

Pricing: Understanding and Capturing Customer Value

Retailing and Wholesaling

Communicating Customer Value: Advertising and Public Relations

Personal Selling and Sales Promotion

Direct, Online, Social Media, and Mobile Marketing

The Global Marketplace

Filters

and do not take title to goods, and they perform only a few channel functions.