Question 1

Dell has adopted a(n)__________ supply chain strategy to better serve its customers.

Accepted Answer

A) responsive 
B) reactionary 
C) efficient 
D) proficient 
E) economical 
A) responsive 
B) reactionary 
C) efficient 
D) proficient 
E) economical

Question 2

The Federal Trade Commission and the Justice Department monitor channel practices that __________,create monopolies,or otherwise represent unfair methods of competition under the Sherman Act (1890)and the Clayton Act (1914).

Accepted Answer

A) suggest patent infringement 
B) restrain competition 
C) connect channel members 
D) use coercive or suggestive advertising 
E) manipulate public opinion 
A) suggest patent infringement 
B) restrain competition 
C) connect channel members 
D) use coercive or suggestive advertising 
E) manipulate public opinion

Question 3

One consideration in choosing a marketing channel is profitability,which is determined by the margins earned for each channel member and for the channel as a whole.Based on this information,which of the following statements would be most accurate?

Accepted Answer

A) The more responsibilities a channel member takes in terms of distribution,advertising,and selling expenses,the greater the potential for manufacturer profitability. 
B) The more responsibilities the manufacturer assumes relative to its channel members,the greater the potential for profitability. 
C) The extent to which channel members share costs determines the margins received by each member and by the channel as a whole. 
D) While channel members can increase profitability by taking on distribution and selling expenses,advertising expenses should always remain with the manufacturer if a firm is looking for the greatest profitability. 
E) Profitability is not related to the length or nature of the distribution chain but determined by the manufacturer. 
A) The more responsibilities a channel member takes in terms of distribution,advertising,and selling expenses,the greater the potential for manufacturer profitability. 
B) The more responsibilities the manufacturer assumes relative to its channel members,the greater the potential for profitability. 
C) The extent to which channel members share costs determines the margins received by each member and by the channel as a whole. 
D) While channel members can increase profitability by taking on distribution and selling expenses,advertising expenses should always remain with the manufacturer if a firm is looking for the greatest profitability. 
E) Profitability is not related to the length or nature of the distribution chain but determined by the manufacturer.

Question 4

Enhancing a product or service to make it more appealing to buyers is __________ utility.

Accepted Answer

A) time 
B) place 
C) possession 
D) form 
E) transactional 
A) time 
B) place 
C) possession 
D) form 
E) transactional

Question 5

A textile artist can buy fabric,thread,and batting,create an heirloom quilt,and then sell the finished work to customers in a kiosk decorated with some of the quilts produced to entice customers who shop at the local strip mall.By designing the quilts and kiosk with aesthetic value,the artist creates __________ utility.

Accepted Answer

A) application 
B) possession 
C) time 
D) place 
E) form 
A) application 
B) possession 
C) time 
D) place 
E) form

Question 6

In the automobile industry,the supply chain manager is responsible for translating __________ into actual orders and arranging for delivery dates.

Accepted Answer

A) marketing goals 
B) customer requirements 
C) marketing information 
D) production requirements 
E) company goals 
A) marketing goals 
B) customer requirements 
C) marketing information 
D) production requirements 
E) company goals

Question 7

The combination of successive stages of production and distribution under a single ownership is referred to as a(n)__________.

Accepted Answer

A) contractual vertical marketing system 
B) corporate vertical marketing system 
C) integrated marketing system 
D) corporate horizontal marketing system 
E) contractual horizontal marketing system 
A) contractual vertical marketing system 
B) corporate vertical marketing system 
C) integrated marketing system 
D) corporate horizontal marketing system 
E) contractual horizontal marketing system

Question 8

Callaway Golf markets its products through on- and off-course golf retailers and sporting goods retailers,and also has its own online store,which makes it a full-fledged

Accepted Answer

A) cross channel marketer. 
B) multichannel marketer. 
C) industrial marketer. 
D) direct marketer. 
E) remarketer. 
A) cross channel marketer. 
B) multichannel marketer. 
C) industrial marketer. 
D) direct marketer. 
E) remarketer.

Question 9

Channels are typically designed to satisfy one or more of four consumer buying requirements.When a membership book club allows its members to use the Internet to notify the company whether they want to receive the next month's issue,the book club is appealing to which buyer requirement?

Accepted Answer

A) information 
B) convenience 
C) variety 
D) pre- or post-sale services 
E) adaptability 
A) information 
B) convenience 
C) variety 
D) pre- or post-sale services 
E) adaptability

Question 10

Dual distribution refers to

Accepted Answer

A) a level of distribution density whereby a firm selects a few retailers in a specific geographical area to carry its products. 
B) an arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product. 
C) the blending of different communication and delivery channels that are mutually reinforcing in attracting,retaining,and building relationships with consumers who shop and buy in traditional intermediaries and online. 
D) professionally managed and centrally coordinated marketing channels designed to achieve channel economies and maximum marketing impact. 
E) a practice whereby one firm's marketing channel is used to sell another firm's products. 
A) a level of distribution density whereby a firm selects a few retailers in a specific geographical area to carry its products. 
B) an arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product. 
C) the blending of different communication and delivery channels that are mutually reinforcing in attracting,retaining,and building relationships with consumers who shop and buy in traditional intermediaries and online. 
D) professionally managed and centrally coordinated marketing channels designed to achieve channel economies and maximum marketing impact. 
E) a practice whereby one firm's marketing channel is used to sell another firm's products.

Question 11

Convenience refers to the concept that

Accepted Answer

A) there should be a minimum of effort on the part of the buyer in doing business with the seller. 
B) all products or services should be available 24 hours a day,7 days a week,and 365 days a year. 
C) all tasks required to make an exchange are the sole responsibility of the seller. 
D) an exchange requires equal effort by both the buyer and seller. 
E) all logistical services are provided by a supplier network. 
A) there should be a minimum of effort on the part of the buyer in doing business with the seller. 
B) all products or services should be available 24 hours a day,7 days a week,and 365 days a year. 
C) all tasks required to make an exchange are the sole responsibility of the seller. 
D) an exchange requires equal effort by both the buyer and seller. 
E) all logistical services are provided by a supplier network.

Question 12

Which type of contractual vertical marketing system involves small independent retailers forming an organization that operates a wholesale facility cooperatively?

Accepted Answer

A) retailer-sponsored cooperative 
B) service-sponsored retail system 
C) administered cooperative system 
D) manufacturer-sponsored cooperative 
E) wholesaler-sponsored voluntary chain 
A) retailer-sponsored cooperative 
B) service-sponsored retail system 
C) administered cooperative system 
D) manufacturer-sponsored cooperative 
E) wholesaler-sponsored voluntary chain

Question 13

A wholesaler refers to

Accepted Answer

A) independent firms or individuals whose principal function is to bring buyers and sellers together. 
B) any intermediary who takes ownership of a manufacturer's products or services and then finds multiple buyers for those products or services. 
C) an intermediary who sells to other intermediaries,usually to retailers in consumer markets. 
D) an intermediary who sells to consumers. 
E) a manufacturing "matchmaker" who actively seeks out potential consumers and brings them to retailers. 
A) independent firms or individuals whose principal function is to bring buyers and sellers together. 
B) any intermediary who takes ownership of a manufacturer's products or services and then finds multiple buyers for those products or services. 
C) an intermediary who sells to other intermediaries,usually to retailers in consumer markets. 
D) an intermediary who sells to consumers. 
E) a manufacturing "matchmaker" who actively seeks out potential consumers and brings them to retailers.

Question 14

What are the three questions marketing executives consider when choosing a marketing channel and intermediaries?

Accepted Answer

Marketing executives typically consider

Question 15

Two sources of horizontal conflict are common.One is when __________.

Accepted Answer

A) a manufacturer increases its distribution coverage in a geographical area 
B) disagreements arise over how profit margins are distributed among channel members 
C) manufacturers believe wholesalers or retailers are not giving their products adequate attention 
D) a channel member bypasses another member and sells or buys products direct 
E) dual distribution causes conflict when similar types of retailers carry different brands 
A) a manufacturer increases its distribution coverage in a geographical area 
B) disagreements arise over how profit margins are distributed among channel members 
C) manufacturers believe wholesalers or retailers are not giving their products adequate attention 
D) a channel member bypasses another member and sells or buys products direct 
E) dual distribution causes conflict when similar types of retailers carry different brands

Question 16

Expenses associated with transportation,materials handling and warehousing,inventory,stockouts (being out of inventory),order processing,and return products handling are referred to as __________.

Accepted Answer

A) supplier service cost 
B) manufacturing cost 
C) total logistics cost 
D) social responsibility cost 
E) total supply chain cost 
A) supplier service cost 
B) manufacturing cost 
C) total logistics cost 
D) social responsibility cost 
E) total supply chain cost

Question 17

Customers currently link to Cisco's website to configure,price,and order its networking equipment.Cisco then sends orders back out across the Internet to producers and assemblers including Celestica,Flextronics,Jabil,and Solectron.Products are built and tested to Cisco's standards,sometimes with procedures run remotely by Cisco.Most items are then drop-shipped to buyers,untouched by Cisco's employees.This is a description of Cisco's

Accepted Answer

A) virtual logistics. 
B) supply chain. 
C) electronic data interchange. 
D) strategic information alliance. 
E) product-specific delivery system. 
A) virtual logistics. 
B) supply chain. 
C) electronic data interchange. 
D) strategic information alliance. 
E) product-specific delivery system.

Question 18

What specific decision areas are associated with the flow of goods and together make up total logistics cost?

Accepted Answer

Total logistics cost includes expenses a

Question 19

IBM is one of the world's great business success stories because of its ability to reinvent itself to satisfy shifting customer needs in a(n)__________ global marketplace.

Accepted Answer

A) stagnant 
B) dynamic 
C) inert 
D) lethargic 
E) apathetic 
A) stagnant 
B) dynamic 
C) inert 
D) lethargic 
E) apathetic

Question 20

Which of the channels shown in the UMD15: Channel Sales and Profit Marketing Dashboard above represents the MOST sales for a particular furniture manufacturer?

Accepted Answer

A) independent furniture stores 
B) furniture store chains 
C) department store chains 
D) mass merchandisers 
E) warehouse clubs 
A) independent furniture stores 
B) furniture store chains 
C) department store chains 
D) mass merchandisers 
E) warehouse clubs

Exam 15: Managing Marketing Channels and Supply Chains

Dell has adopted a(n)__________ supply chain strategy to better serve its customers.

The Federal Trade Commission and the Justice Department monitor channel practices that __________,create monopolies,or otherwise represent unfair methods of competition under the Sherman Act (1890)and the Clayton Act (1914).

One consideration in choosing a marketing channel is profitability,which is determined by the margins earned for each channel member and for the channel as a whole.Based on this information,which of the following statements would be most accurate?

Enhancing a product or service to make it more appealing to buyers is __________ utility.

In the automobile industry,the supply chain manager is responsible for translating __________ into actual orders and arranging for delivery dates.

The combination of successive stages of production and distribution under a single ownership is referred to as a(n)__________.

Callaway Golf markets its products through on- and off-course golf retailers and sporting goods retailers,and also has its own online store,which makes it a full-fledged

Channels are typically designed to satisfy one or more of four consumer buying requirements.When a membership book club allows its members to use the Internet to notify the company whether they want to receive the next month's issue,the book club is appealing to which buyer requirement?

Dual distribution refers to

Convenience refers to the concept that

Which type of contractual vertical marketing system involves small independent retailers forming an organization that operates a wholesale facility cooperatively?

A wholesaler refers to

What are the three questions marketing executives consider when choosing a marketing channel and intermediaries?

Two sources of horizontal conflict are common.One is when __________.

Expenses associated with transportation,materials handling and warehousing,inventory,stockouts (being out of inventory),order processing,and return products handling are referred to as __________.

What specific decision areas are associated with the flow of goods and together make up total logistics cost?

IBM is one of the world's great business success stories because of its ability to reinvent itself to satisfy shifting customer needs in a(n)__________ global marketplace.

Which of the channels shown in the UMD15: Channel Sales and Profit Marketing Dashboard above represents the MOST sales for a particular furniture manufacturer?

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Scanning the Marketing Environment

Ethical and Social Responsibility in Marketing

Understanding Consumer Behavior

Understanding Organizations As Customers

Understanding and Reaching Global Consumers and Markets

Marketing Research: From Customer Insights to Actions

Market Segmentation, Targeting, and Positioning

Developing New Products and Services

Managing Successful Products, Services, and Brands

Services Marketing

Building the Price Foundation

Arriving at the Final Price

Retailing and Wholesaling

Integrated Marketing Communications and Direct Marketing

Advertising, Sales Promotion, and Public Relations

Using Social Media to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Pulling It All Together: the Strategic Marketing Process

Building an Effective Marketing Plan

Financial Aspects of Marketing

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