Question 1

Your firm sells industrial cleaning products and services costing between $2000 and $5000. The cost per transaction has been estimated as $500 (using field sales people), $200 (using distributors), $50 (using telesales), and $10 (using the Internet). This demonstrates that each channel alternative needs to be evaluated against ________ criteria.

Accepted Answer

A)  economic 
B)  vertical 
C)  adaptive 
D)  distribution 
E)  control

Question 2

One of the major causes of channel conflict is goal incompatibility between the manufacturer and the channel members.

Accepted Answer

A) True 
 B)False

Question 3

Manufacturers are constantly tempted to move from exclusive or selective distribution to more intensive distribution in order to ________ coverage and sales.

Accepted Answer

A)  leave the market 
B)  decrease 
C)  enter the market 
D)  increase 
E)  control

Question 4

E-commerce means that the company or site offers to transact or facilitate the selling of products and services online.

Accepted Answer

A) True 
 B)False

Question 5

Intensive distribution consists of the manufacturer placing the goods or services in as many outlets as possible.

Accepted Answer

A) True 
 B)False

Question 6

One of the chief roles of marketing channels is to convert potential buyers into profitable

Accepted Answer

A)  sales. 
B)  customers. 
C)  marketers. 
D)  orders. 
E)  consumers.

Question 7

A winery in British Columbia is developing a channel strategy to make their wines available across the country. What elements in the "trade-relations mix" between producers and channel members should they consider?

Accepted Answer

The answer of A winery in British Columbia is developing...

Question 8

________ are companies that have launched a Web site without any previous existence as a firm.

Accepted Answer

A)  Dot.com's 
B)  Internet firms 
C)  E-tailers 
D)  Pure e-businesses 
E)  Search engines

Question 9

In adding e-commerce, an existing company need not worry about backlash from retailers, brokers, agents, or other intermediaries.

Accepted Answer

A) True 
 B)False

Question 10

Intermediaries normally achieve ________ in making goods widely available and accessible to target markets. Through their contact, experience, specialization, and scale of operation, intermediaries usually offer the firm more than it can achieve on its own.

Accepted Answer

A)  superior contacts 
B)  superior use of technology 
C)  superior distribution channels 
D)  superior effectiveness and efficiency 
E)  superior products

Question 11

In one type of contractual VMS, retailers take the initiative and organize a new business entity to carry on wholesaling and possibly some production.

Accepted Answer

A) True 
 B)False

Question 12

________ means that the company or site offers to transact or facilitate the selling of products or services online.

Accepted Answer

A)  E-commerce 
B)  E-purchasing 
C)  E-mailing 
D)  E-marketing 
E)  E-business

Question 13

Firms will try to align customers and channels to maximize demand at the lowest overall cost.

Accepted Answer

A) True 
 B)False

Question 14

Companies need not plan and implement careful training programs for their intermediaries.

Accepted Answer

A) True 
 B)False

Question 15

Designing a marketing channel involves analyzing customer needs, establishing channel objectives, and identifying cost saving channels, identifying key channel partners, and evaluating all alternatives.

Accepted Answer

A) True 
 B)False

Question 16

Exclusive distribution involves the use of more than a few but less than all of the intermediaries that are willing to carry your product.

Accepted Answer

A) True 
 B)False

Question 17

The emergence of rental car counters, hair salons, banks, and dry cleaners found in such stores as Walmart, grocery retailers, and others is an example of ________ marketing systems.

Accepted Answer

A)  partner 
B)  vertical 
C)  integrated 
D)  multichannel 
E)  horizontal

Question 18

Demand chain planning yields several insights for manufacturers who follow this view of the supply chain. Explain what these insights are and how companies can use them to their best advantage.

Accepted Answer

The answer of Demand chain planning yields several insights for...

Question 19

A vertical marketing system comprises the producer, wholesaler(s), and retailer(s) acting in their own interests.

Accepted Answer

A) True 
 B)False

Question 20

A ________ strategy involves the manufacturer using advertising and promotion to persuade consumers to ask intermediaries for the product, thus inducing the intermediaries to order it.

Accepted Answer

A)  provide 
B)  promote 
C)  retail 
D)  push 
E)  pull

Exam 15: Designing and Managing Integrated Marketing Channels

One of the major causes of channel conflict is goal incompatibility between the manufacturer and the channel members.

Manufacturers are constantly tempted to move from exclusive or selective distribution to more intensive distribution in order to ________ coverage and sales.

E-commerce means that the company or site offers to transact or facilitate the selling of products and services online.

Intensive distribution consists of the manufacturer placing the goods or services in as many outlets as possible.

One of the chief roles of marketing channels is to convert potential buyers into profitable

A winery in British Columbia is developing a channel strategy to make their wines available across the country. What elements in the "trade-relations mix" between producers and channel members should they consider?

________ are companies that have launched a Web site without any previous existence as a firm.

In adding e-commerce, an existing company need not worry about backlash from retailers, brokers, agents, or other intermediaries.

Intermediaries normally achieve ________ in making goods widely available and accessible to target markets. Through their contact, experience, specialization, and scale of operation, intermediaries usually offer the firm more than it can achieve on its own.

In one type of contractual VMS, retailers take the initiative and organize a new business entity to carry on wholesaling and possibly some production.

________ means that the company or site offers to transact or facilitate the selling of products or services online.

Firms will try to align customers and channels to maximize demand at the lowest overall cost.

Companies need not plan and implement careful training programs for their intermediaries.

Designing a marketing channel involves analyzing customer needs, establishing channel objectives, and identifying cost saving channels, identifying key channel partners, and evaluating all alternatives.

Exclusive distribution involves the use of more than a few but less than all of the intermediaries that are willing to carry your product.

The emergence of rental car counters, hair salons, banks, and dry cleaners found in such stores as Walmart, grocery retailers, and others is an example of ________ marketing systems.

Demand chain planning yields several insights for manufacturers who follow this view of the supply chain. Explain what these insights are and how companies can use them to their best advantage.

A vertical marketing system comprises the producer, wholesaler(s), and retailer(s) acting in their own interests.

A ________ strategy involves the manufacturer using advertising and promotion to persuade consumers to ask intermediaries for the product, thus inducing the intermediaries to order it.