Exam 14: Marketing Channels and Supply Chain Management

The term "suboptimization" refers to a condition that results when individual operations achieve their objectives but interfere with progress toward broader organizational goals.

Distributors adjust for discrepancies in the market's assortment of goods and services via a process known as suboptimization.

When a beverage company acquires a water purification plant,it is an example of backward integration of distribution channels.

Designers of a physical distribution system begin by establishing acceptable levels of customer service.

The term _____ refers to the process of coordinating the flow of information,goods,and services among members of the marketing channel.

A marketing channel is an organized system of marketing institutions and their interrelationships that enhances the physical flow and ownership of products from producer to consumer or business user.

Define marketing intermediaries.Give two examples.

Which of the following marketing intermediaries will most economically cover the markets for products sold in small units?

When a producer grants exclusive rights to a wholesaler or retailer to sell its products in a specific geographic region it practices intensive distribution.

Large facilities offer economies of scale in facilities and materials handling systems; per-unit costs for these systems decrease as volume increases.

Controlling part of the supply chain that involves finished product storage,outbound logistics,marketing and sales,and customer service is called _____.

Marketing channels increase the number of marketplace contacts necessary to make a sale.

_____ refers to the movement of products through more than one channel to reach the firm's target market.

Physical distribution refers to a broad range of activities aimed at efficient movement of finished goods from the end of the production line to the consumer.

What is the advantage of intermodal transportation? Give examples of intermodal coordination.

Pipelines can accommodate shipments of a large number of products.

A VMS that achieves channel coordination when a dominant channel member exercises its power is called a(n)_____ marketing system.

Which of the following types of services involves an intermodal coordination system between motor carriers and water carriers?

Relatively standardized items that are also nonperishable and products with low unit costs pass through comparatively long channels of distribution.

Distribution of a product through all available channels is called _____.