Question 1

Indirect channels for consumer products

Accepted Answer

A) occur when one firm's marketing channels are used to sell another firm's products. 
B) include producers and end users dealing directly with each other. 
C) include intermediaries that are between the producer and consumer and perform numerous channel functions. 
D) are arrangements whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product. 
E) occur when a retailer sells its product in a store and on the Internet.

Question 2

Walmart can obtain cooperation from manufacturers in terms of product specifications,price levels,and promotional support,given its position as the world's largest retailer.Walmart is an example of a(n)

Accepted Answer

A) service-sponsored retail system. 
B) administered vertical marketing system. 
C) retailer-sponsored cooperative. 
D) administered cooperative system. 
E) manufacturer-sponsored cooperative.

Question 3

Convenience in a supply chain 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 supplier. 
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 supplier. 
D) an exchange requires equal effort by both the buyer and supplier. 
E) all logistical services are provided by a supplier network.

Question 4

Which of the following statements best describes how a supply chain differs from a marketing channel?

Accepted Answer

A) Communication is more important in the marketing channel than in the supply chain. 
B) The marketing channel places more emphasis on cost-effectiveness than the supply chain. 
C) A marketing channel includes suppliers that provide raw material inputs to a manufacturer. 
D) A supply network moves materials from producer to consumer while a marketing channel moves materials from the supplier to the producer. 
E) A supply chain includes suppliers;marketing channels do not.

Question 5

Full-line forcing is a special kind of ________.This practice involves a supplier requiring that a channel member carry its full line of products in order to sell a specific item in the supplier's line.

Accepted Answer

A) resale restriction 
B) vertical integration 
C) exclusive dealing 
D) refusal to deal 
E) tying arrangement

Question 6

The goals to be achieved by a firm's marketing strategy determine whether its supply chain needs to be more ________ in meeting customer requirements.

Accepted Answer

A) cost effective 
B) broadly expanded 
C) responsive or efficient 
D) centrally located 
E) geographically distributed

Question 7

Which statement regarding efficient supply chains is most accurate?

Accepted Answer

A) Efficient supply chains use common platforms and common components across several products. 
B) Efficient supply chains rely on large geographically dispersed inventory warehouses. 
C) Efficient supply chains traditionally use expensive,but faster,modes of transportation. 
D) Efficient supply chains may utilize cross-docking. 
E) Efficient supply chains emphasize economies of scale by increasing the variety of system configurations offered.

Question 8

What are some specific cost trade-offs that can be made in a logistics system?

Accepted Answer

The answer of What are some specific cost trade-offs that...

Question 9

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.

Question 10

When a retailer owns a manufacturing operation,it is referred to as

Accepted Answer

A) forward integration. 
B) lateral integration. 
C) a joint venture. 
D) horizontal integration. 
E) backward integration.

Question 11

Facilitating function activities include

Accepted Answer

A) buying and selling. 
B) assorting,sorting,and storing. 
C) financing,grading,and marketing information and research. 
D) risk taking. 
E) transportation.

Question 12

The most common intermediaries in the marketing channels for business products are industrial distributors and

Accepted Answer

A) manufacturers. 
B) retailers. 
C) agents. 
D) wholesalers. 
E) brokers.

Question 13

In the context of a supply chain,customer service refers to

Accepted Answer

A) adhering to the belief that the customer is always right. 
B) satisfying the customers' needs no matter what the price. 
C) accepting full liability if a product fails to meet a customer's expectations. 
D) the ability of logistics management to satisfy users in terms of time,dependability,communication,and convenience. 
E) the ability of retailers to satisfy users in terms of product,price,promotion,and place.

Question 14

When a firm tries to place its products or services in as many outlets as possible,the density of distribution is referred to as

Accepted Answer

A) intensive distribution. 
B) extensive distribution. 
C) selective distribution. 
D) exclusive distribution. 
E) concentrated distribution.

Question 15

Southern pine lumber is visually inspected and placed into categories like "Select Structural," "No.1," and "No.2." These categories reflect characteristics of the wood and are related to its suggested uses.This rating system is most closely related to which facilitating function activity performed by marketing intermediaries?

Accepted Answer

A) grading 
B) sorting 
C) risk-taking 
D) marketing 
E) assorting

Question 16

Tylenol and Advil are two brands of over-the-counter products for ailments such as colds,headaches,sore throats,arthritis aches,fever,and general pain.Both of their manufacturers seek distribution of their products through pharmacies such as Walgreens and CVS.These companies seek channels and intermediaries that will satisfy a buyer's desire for

Accepted Answer

A) variety. 
B) information. 
C) pre- or postsale service. 
D) convenience. 
E) adaptability.

Question 17

A(n)________ exists when a franchisor licenses individuals or firms to dispense a service under a trade name and specific guidelines.

Accepted Answer

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

Question 18

Firms that have designed a unique approach for performing a service and wish to profit by selling the franchise to others employ a(n)

Accepted Answer

A) customer-generated franchising system. 
B) service-sponsored retail franchise system. 
C) manufacturer-sponsored wholesale franchise system. 
D) manufacturer-sponsored retail franchise system. 
E) administered vertical marketing systems.

Question 19

John Deere manufactures and distributes industrial and farm equipment.This type of equipment is considered to be a specialty product.Which type of market coverage does John Deere most likely use?

Accepted Answer

A) intensive distribution 
B) exclusive distribution 
C) extensive distribution 
D) selective distribution 
E) private label distribution

Question 20

A(n)________ is common in the employment services and tax services industries where franchisors license individuals or firms to dispense a service under a trade name and specific guidelines.

Accepted Answer

A) service-sponsored 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

Exam 15: Managing Marketing Channels and Supply Chains