Question 1

A variety of terms are used for marketing intermediaries.According to Figure 15-1 above,"F" represents a(n)__________.

Accepted Answer

A) dealer 
B) retailer 
C) middleman 
D) wholesaler 
E) agent or broker 
A) dealer 
B) retailer 
C) middleman 
D) wholesaler 
E) agent or broker

Question 2

Exclusive distribution refers to

Accepted Answer

A) the distribution of products or services in markets where there are currently no other competitors. 
B) the distribution of products or services where the producer owns the entire channel of distribution. 
C) the density of distribution whereby a firm tries to place its products or services with only one retail outlet in a specified geographical area. 
D) the density of distribution whereby a firm tries to place its products or services in as many outlets as possible. 
E) the density of distribution whereby a firm tries to place its products or services in a few retail outlets in a specific area. 
A) the distribution of products or services in markets where there are currently no other competitors. 
B) the distribution of products or services where the producer owns the entire channel of distribution. 
C) the density of distribution whereby a firm tries to place its products or services with only one retail outlet in a specified geographical area. 
D) the density of distribution whereby a firm tries to place its products or services in as many outlets as possible. 
E) the density of distribution whereby a firm tries to place its products or services in a few retail outlets in a specific area.

Question 3

Logistics is most closely related to which element of the marketing mix?

Accepted Answer

A) product 
B) place 
C) production 
D) promotion 
E) price 
A) product 
B) place 
C) production 
D) promotion 
E) price

Question 4

Figure 15-3 above depicts four common marketing channels for consumer products and services that differ by the kind and number of intermediaries.Channel "C" would be an appropriate marketing channel for __________.

Accepted Answer

A) Hershey's candy 
B) Toyota automobiles 
C) State Farm car insurance 
D) Aspen dental services 
E) Ticketmaster tickets to a rock concert 
A) Hershey's candy 
B) Toyota automobiles 
C) State Farm car insurance 
D) Aspen dental services 
E) Ticketmaster tickets to a rock concert

Question 5

Jaffar (Jeff)Tabrizi is the owner and president of Tabrizi Oriental Rugs located in Toronto,Canada.He personally shops the world over,handpicks,and orders authentic and beautiful handmade rugs.He has them shipped to Canada,where he sells them through his brick-and-mortar stores and his www.tabrizi.com website.In terms of the marketing channel,Jeff is acting as a(n)__________.

Accepted Answer

A) consumer 
B) agent 
C) wholesaler 
D) brokerage firm 
E) middleman 
A) consumer 
B) agent 
C) wholesaler 
D) brokerage firm 
E) middleman

Question 6

A commonly used indirect channel moves product from producer to retailer to consumer.This channel is used when

Accepted Answer

A) the cost of maintaining inventory is low. 
B) the cost of inventory makes it too expensive to use a wholesaler. 
C) there is little if any seasonal demand. 
D) the risk lies solely with the manufacturer. 
E) the retail outlets are regionally located. 
A) the cost of maintaining inventory is low. 
B) the cost of inventory makes it too expensive to use a wholesaler. 
C) there is little if any seasonal demand. 
D) the risk lies solely with the manufacturer. 
E) the retail outlets are regionally located.

Question 7

A firm becomes a channel captain because it is the channel member with the ability to influence the behavior of other members.Influence can take four forms,one of which is

Accepted Answer

A) stakeholder position. 
B) familial ties to other channel members. 
C) longevity in the industry. 
D) identification with a particular channel member. 
E) geographic proximity to the manufacturing plant. 
A) stakeholder position. 
B) familial ties to other channel members. 
C) longevity in the industry. 
D) identification with a particular channel member. 
E) geographic proximity to the manufacturing plant.

Question 8

Resale restrictions refer to when a supplier

Accepted Answer

A) requires a channel member to sell only its products. 
B) requires a channel member to finance all loans through the supplier's bank. 
C) requires to whom distributors may resell the supplier's products and in what specific geographical areas or territories they may sell. 
D) attempts to sell used or pre-owned products as new. 
E) attempts to sell used products that have expired or will soon become obsolete without informing the buyer. 
A) requires a channel member to sell only its products. 
B) requires a channel member to finance all loans through the supplier's bank. 
C) requires to whom distributors may resell the supplier's products and in what specific geographical areas or territories they may sell. 
D) attempts to sell used or pre-owned products as new. 
E) attempts to sell used products that have expired or will soon become obsolete without informing the buyer.

Question 9

Butler-McDonald,an Indianapolis firm,recycles outdated computers to reclaim reusable materials such as plastics,copper,zinc,silver,and gold.Butler-McDonald is implementing

Accepted Answer

A) salvage marketing. 
B) materials transformation. 
C) cyclical materials handling. 
D) reverse logistics. 
E) cause-related marketing. 
A) salvage marketing. 
B) materials transformation. 
C) cyclical materials handling. 
D) reverse logistics. 
E) cause-related marketing.

Question 10

Bombardier is the leading marketer of corporate jets.Its brand name is well known and respected in the corporate jet market.The aircraft company relies on outside suppliers for design support and to share development costs and market risks,but Bombardier is considered the leader in determining design and marketing of its planes.For its newest plane,Bombardier has about 30 prime suppliers-about 10 of those have been involved since the initial design phase.Bombardier is an example of a __________.

Accepted Answer

A) product champion 
B) channel general 
C) channel director 
D) channel coordinator 
E) channel captain 
A) product champion 
B) channel general 
C) channel director 
D) channel coordinator 
E) channel captain

Question 11

Conflict occurring between intermediaries at the same level in a marketing channel,such as between two or more retailers that carry the same manufacturer's brands,is referred to as __________.

Accepted Answer

A) horizontal conflict 
B) corporate conflict 
C) vertical conflict 
D) lateral conflict 
E) contractual conflict 
A) horizontal conflict 
B) corporate conflict 
C) vertical conflict 
D) lateral conflict 
E) contractual conflict

Question 12

The __________ has been used to prosecute resale restrictions,which are a supplier's attempt to stipulate to whom distributors may resell the supplier's products and in what specific geographical areas or territories they may be sold.

Accepted Answer

A) Sherman Act 
B) Robinson-Patman Act 
C) Federal Trade Commission Act 
D) Clayton Act 
E) Consumer Goods Pricing Act 
A) Sherman Act 
B) Robinson-Patman Act 
C) Federal Trade Commission Act 
D) Clayton Act 
E) Consumer Goods Pricing Act

Question 13

An arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product is referred to as __________.

Accepted Answer

A) a strategic channel alliance 
B) multiple level selling 
C) parallel distribution 
D) dual distribution 
E) recursive distribution 
A) a strategic channel alliance 
B) multiple level selling 
C) parallel distribution 
D) dual distribution 
E) recursive distribution

Question 14

Ford uses a(n)__________,whereby the company license dealers in North America to sell Ford automobiles subject to various sales and service conditions.

Accepted Answer

A) service-sponsored producer franchise system 
B) service-sponsored retail franchise system 
C) manufacturer-sponsored wholesale franchise system 
D) manufacturer-sponsored retail franchise system 
E) administered vertical marketing system 
A) service-sponsored producer franchise system 
B) service-sponsored retail franchise system 
C) manufacturer-sponsored wholesale franchise system 
D) manufacturer-sponsored retail franchise system 
E) administered vertical marketing system

Question 15

In terms of target market coverage,density refers to the number of __________ in a geographical area.

Accepted Answer

A) target market customers 
B) competitors 
C) wholesalers 
D) retail stores 
E) stakeholders 
A) target market customers 
B) competitors 
C) wholesalers 
D) retail stores 
E) stakeholders

Question 16

A refusal to deal with existing channel members may be illegal under the __________.

Accepted Answer

A) Robinson-Patman Act 
B) Sherman Act 
C) Federal Trade Commission Act 
D) Consumer Goods Pricing Act 
E) Clayton Act 
A) Robinson-Patman Act 
B) Sherman Act 
C) Federal Trade Commission Act 
D) Consumer Goods Pricing Act 
E) Clayton Act

Question 17

Questions of legality regarding tying arrangements and exclusive dealing would most likely occur in

Accepted Answer

A) corporate vertical marketing systems. 
B) administered vertical marketing systems. 
C) franchises. 
D) horizontal marketing systems. 
E) retail-sponsored cooperatives. 
A) corporate vertical marketing systems. 
B) administered vertical marketing systems. 
C) franchises. 
D) horizontal marketing systems. 
E) retail-sponsored cooperatives.

Question 18

The three major types of vertical marketing systems are administered,corporate,and __________.

Accepted Answer

A) integrated 
B) cooperative 
C) delegated 
D) manufacturer-dominated 
E) contractual 
A) integrated 
B) cooperative 
C) delegated 
D) manufacturer-dominated 
E) contractual

Question 19

A retailer-sponsored cooperative refers to

Accepted Answer

A) small,independent retailers forming an organization that operates a wholesale facility cooperatively. 
B) a vertical marketing system that involves a contractual relationship between a wholesaler and small independent retailers to standardize and coordinate buying practices,merchandising programs,and inventory management. 
C) an agreement among small,privately owned manufacturers to pool their resources by sharing installations,heavy equipment,and warehousing that they would be unable to afford on their own. 
D) an agreement among retailers to pool their resources by purchasing services such as signage,snow removal,and trash removal that affects the physical space (strip mall,etc. )they all share. 
E) small,independent retailers that pool their resources to fiancé store expansion programs. 
A) small,independent retailers forming an organization that operates a wholesale facility cooperatively. 
B) a vertical marketing system that involves a contractual relationship between a wholesaler and small independent retailers to standardize and coordinate buying practices,merchandising programs,and inventory management. 
C) an agreement among small,privately owned manufacturers to pool their resources by sharing installations,heavy equipment,and warehousing that they would be unable to afford on their own. 
D) an agreement among retailers to pool their resources by purchasing services such as signage,snow removal,and trash removal that affects the physical space (strip mall,etc. )they all share. 
E) small,independent retailers that pool their resources to fiancé store expansion programs.

Question 20

Multichannel marketing

Accepted Answer

A) creates greater elasticity of demand for its products. 
B) can leverage the value-adding capabilities of different channels. 
C) creates greater inelasticity of demand for its product. 
D) allows firms to legally circumvent paying taxes on revenue generated by online sales. 
E) allow customers to avoid shipping and handling charges. 
A) creates greater elasticity of demand for its products. 
B) can leverage the value-adding capabilities of different channels. 
C) creates greater inelasticity of demand for its product. 
D) allows firms to legally circumvent paying taxes on revenue generated by online sales. 
E) allow customers to avoid shipping and handling charges.

Exam 15: Managing Marketing Channels and Supply Chains

A variety of terms are used for marketing intermediaries.According to Figure 15-1 above,"F" represents a(n)__________.

Exclusive distribution refers to

Logistics is most closely related to which element of the marketing mix?

Figure 15-3 above depicts four common marketing channels for consumer products and services that differ by the kind and number of intermediaries.Channel "C" would be an appropriate marketing channel for __________.

A commonly used indirect channel moves product from producer to retailer to consumer.This channel is used when

A firm becomes a channel captain because it is the channel member with the ability to influence the behavior of other members.Influence can take four forms,one of which is

Resale restrictions refer to when a supplier

Butler-McDonald,an Indianapolis firm,recycles outdated computers to reclaim reusable materials such as plastics,copper,zinc,silver,and gold.Butler-McDonald is implementing

Conflict occurring between intermediaries at the same level in a marketing channel,such as between two or more retailers that carry the same manufacturer's brands,is referred to as __________.

The __________ has been used to prosecute resale restrictions,which are a supplier's attempt to stipulate to whom distributors may resell the supplier's products and in what specific geographical areas or territories they may be sold.

An arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product is referred to as __________.

Ford uses a(n)__________,whereby the company license dealers in North America to sell Ford automobiles subject to various sales and service conditions.

In terms of target market coverage,density refers to the number of __________ in a geographical area.

A refusal to deal with existing channel members may be illegal under the __________.

Questions of legality regarding tying arrangements and exclusive dealing would most likely occur in

The three major types of vertical marketing systems are administered,corporate,and __________.

A retailer-sponsored cooperative refers to

Multichannel marketing

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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