Question 1

Discuss the advantages and disadvantages of channel integration.Who benefits from channel integration?

Accepted Answer

The answer of Discuss the advantages and disadvantages of channel...

Question 2

The notion of physical distribution is

Accepted Answer

A) speed of delivery. 
B) used only by manufacturers. 
C) the movement of products from producers to end users. 
D) primarily the wholesaler's responsibility. 
E) an assessment of distribution costs.

Question 3

Subway sells its food items through company-owned stores and through franchises.Subway uses ____ as a channel strategy.

Accepted Answer

A) channel extension 
B) intermediary exclusion 
C) broker utilization 
D) dual distribution 
E) channel diversification

Question 4

ClearChem is a producer of chemicals used in car detailing and painting.Because of the volatility of their chemical products when exposed to dirt and heat,ClearChem operates its own facilities for storing and shipping its products.ClearChem's facilities are most likely known as

Accepted Answer

A) distribution centers. 
B) product storehouses. 
C) public warehouses. 
D) megawarehouses. 
E) private warehouses.

Question 5

In an administered vertical marketing system (VMS),interorganizational relationships are

Accepted Answer

A) achieved by informal coordination. 
B) formalized through contracts. 
C) combined under the ownership of a single organization. 
D) guided by legal agreements. 
E) achieved by clearly defining the obligations and rights of all channel members.

Question 6

What advantages do industrial distributors offer? What are some of the disadvantages of using industrial distributors?

Accepted Answer

The answer of What advantages do industrial distributors offer? What...

Question 7

Paper towels and trash-can bags are most likely to be distributed through ____ and ____.

Accepted Answer

A) selective distribution;multiple channels 
B) intensive;dual distribution 
C) strategic channel alliances;intensive 
D) exclusive;a single channel 
E) dual distribution;convenience channels

Question 8

Suppose that Jackson Distributing has been told that it cannot carry the beers made by Anheuser-Busch because it also carries the products of the competitor,Miller Brewing.Jackson is then told that it must drop the Miller brands in order to carry the Anheuser-Busch products.If this were true,Anheuser-Busch would be engaging in which of the following channel management practices?

Accepted Answer

A) Exclusive dealing 
B) Dual distribution 
C) Tying contacts 
D) Refusal to deal 
E) Restricted sales territories

Question 9

Vertical channel integration

Accepted Answer

A) results in two or more different management teams for each member of the channel. 
B) is made possible when a large corporation divests itself of smaller subsidiaries. 
C) is a shift back to the conventional channel of distribution. 
D) combines institutions at the same level of operation. 
E) is made possible by purchasing the operations of a link in the channel.

Question 10

Select Comfort,a producer of adjustable air mattresses,sells most of its products through direct mail sales and on its website.This channel would be classified as

Accepted Answer

A) direct distribution. 
B) producer,retailer,consumer. 
C) telemarketing. 
D) direct-marketing. 
E) indirect marketing.

Question 11

Cassie and Julian both are buying new iPhones this week.Cassie goes to the Apple store because she wants to actually see the phone before she makes a final decision.Julian knows that he does not need to see the phone,because he just wants to update from his older version.Cassie is purchasing her phone through_____,while Julian is purchasing his through ___.

Accepted Answer

A) an indirect-marketing channel;the most efficient channel of distribution. 
B) the most common type of marketing channel;an indirect channel. 
C) a retailer;a direct-marketing channel. 
D) a business-to-business channel;a direct-marketing channel. 
E) a retail channel;an indirect-marketing channel

Question 12

Assuming everything else equal,the most cost-efficient way for British Petroleum to transport crude oil from remote oil drilling sites in central Alaska to shipping terminals on the Alaskan coast would be

Accepted Answer

A) waterways. 
B) intermodal transportation. 
C) tanker trucks. 
D) railroads. 
E) pipelines.

Question 13

Which of the following is the most commonly used channel for distributing business products?

Accepted Answer

A) Producer,agents,industrial distributors,organizational buyers 
B) Producer,industrial distributors,organizational buyers 
C) Producer,agents,organizational buyers 
D) Producer,organizational buyers 
E) Industrial distributors,organizational buyers

Question 14

Managers and consultants at Colgate-Palmolive are meeting to discuss better ways to package its products to reduce damage and make loading more efficient.The primary function they are trying to improve is

Accepted Answer

A) warehousing. 
B) inventory management. 
C) materials handling. 
D) cycle time. 
E) containerization.

Question 15

After direct-marketing,the next slightly longer marketing channel adds a(n)

Accepted Answer

A) retailer. 
B) producer. 
C) wholesaler. 
D) agent. 
E) consumer.

Question 16

Walmart is working with its suppliers,using tools such as electronic billing,purchase order verification,and bar code technology,to integrate data used to improve overall performance.This is an example of

Accepted Answer

A) supply chain management. 
B) a vertical marketing system. 
C) a horizontal marketing system. 
D) channel conflict. 
E) dual distribution.

Question 17

Identify and describe the criteria used for selecting transportation modes.

Accepted Answer

The answer of Identify and describe the criteria used for...

Question 18

If Ralston Purina forced Kroger's grocery chain to place all of its products in the stores' most favorable locations,it would be

Accepted Answer

A) demonstrating sound channel leadership. 
B) insisting on exclusive exposure. 
C) exercising channel power. 
D) minimizing channel conflict. 
E) creating a coordinate system.

Question 19

Which of the following physical distribution functions involves design and operation of facilities for storing goods?

Accepted Answer

A) Order processing 
B) Materials handling 
C) Transportation 
D) Warehousing 
E) Inventory management

Question 20

Physical distribution activities may be performed by a producer,wholesaler,retailer or

Accepted Answer

A) not performed at all. 
B) the customer. 
C) investors in any of the previous three. 
D) solely through technology. 
E) they may be outsourced.

Exam 15: Marketing Channels and Supply-Chain Management