Question 1

lag from ordering an item until it is received and ready for use or sale is referred to as

Accepted Answer

A)  order cycle time. 
B)  order handling time. 
C)  order-to-ship duration. 
D)  purchase cycle. 
E)  logistics cycle.

Question 2

General Mills-Nestlé strategic channel alliance

Accepted Answer

A)  increased the ready-to-eat cereal worldwide market share of these companies. 
B)  decreased the ready-to-eat cereal worldwide market share of these companies. 
C)  increased the ready-to-eat cereal market abroad and decreased General Mills' ready-to-eat cereal market in the U.S. 
D)  served as a model for Post Cereal and Weetabix, a British firm. 
E)  resulted in a lawsuit from Kellogg's, the global leader in the ready-to-eat cereal market for unfair trade practices.

Question 3

__________ 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

Question 4

Callaway opened its "online" store,it wanted to be very careful not to ruin the good relationship it had with its loyal trade partners.To make sure this did not happen,Callaway

Accepted Answer

A)  offered its retail partners greater trade allowances. 
B)  offered its retail partners Callaway stock options. 
C)  had one of its retail stores get the credit for an online sale. 
D)  offered incentives for retailers if they encouraged their store customers to shop online. 
E)  discounted merchandise in retail outlets but not online.

Question 5

distribution is considered illegal if

Accepted Answer

A)  both channels are corporately owned. 
B)  one channel is a direct channel and the other is not. 
C)  channels are operated from two different states. 
D)  there is an attempt by a manufacturer to lessen competition by eliminating wholesalers or retailers. 
E)  the prices charged consumers differ as a result of the channel in which they were making their purchases.

Question 6

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.

Question 7

Supply chain and logistics managers play a large part in the manufacture of automobiles.It is estimated that logistics costs account for __________ percent of the retail price of a typical new car.

Accepted Answer

A)  25 to 30 
B)  40 to 45 
C)  50 to 60 
D)  60 to 70 
E)  over 70

Question 8

Activities that focus on getting the right amount of the right products to the right place at the right time at the lowest possible cost is referred to as __________.

Accepted Answer

A)  sensitivity 
B)  distribution 
C)  logistics 
D)  direct selling 
E)  warehousing

Question 9

Which of the following statements regarding communication is most accurate?

Accepted Answer

A)  Communication as a function of customer service refers to oral rather than written exchange of information. 
B)  Communication as a function of customer service refers to written rather than oral exchange of information. 
C)  Communication as a function of customer service refers exclusively to exchanges between the retailer and the ultimate consumer. 
D)  There should be little if any communication between an ultimate consumer and the manufacturer. 
E)  Improvement in transportation carrier information has improved the ability to trace information and schedule shipments.

Question 10

and briefly describe the four customer service factors that must be balanced in a logistics system.

Accepted Answer

The answer of and briefly describe the four customer service...

Question 11

Walmart is a channel captain because of its strong image,number of outlets,and purchasing volume.The source of Walmart's power is its

Accepted Answer

A)  economic influence. 
B)  expertise. 
C)  identification with a particular channel member. 
D)  legitimate rights through contracts. 
E)  political connections.

Question 12

Supply chain management refers to

Accepted Answer

A)  the integration and organization of information and logistic activities across firms in a supply chain for the purpose of creating and delivering goods and services that provide value to ultimate consumers. 
B)  organizing the cost-effective flow of raw materials, in-process inventory, finished goods, and related information from point-of-origin to point-of-consumption to satisfy customer requirements. 
C)  the integration and organization of information and logistical activities that actively bring consumers together with sellers through the express use of agents and brokers. 
D)  an inventory management system that is designed to reduce the retailer's lead time for receiving merchandise, which then lowers a retailer's inventory investment, improves customer service levels, and reduces logistic expenses. 
E)  a highly organized system that facilitates minute-to-minute communication between all members of a supply chain and ensures the producer is aware of any changes in delivery or demand for a product or service.

Question 13

choosing a marketing channel or intermediary,it is important to ask three key questions: (1)Which channel and intermediaries will provide the best coverage of the target market? (2)Which channel and intermediaries will best satisfy the buying requirements of the target market? and (3)

Accepted Answer

A)  How many of the firm's competitors will be using the same channels? 
B)  Which channels have strategic channel alliances with other resellers? 
C)  How long have the channel members and intermediaries been in business? 
D)  Who is responsible for negotiating the channel or intermediary contracts? 
E)  Which channel and intermediaries will be the most profitable?

Question 14

Hunter went to the hardware store looking for gloves to wear while refinishing a table,he bought one pair because that was all he needed.But when the hardware store purchased the gloves,it purchased a case containing 100 pairs of identical gloves.Which logistical function did the hardware store perform for Hunter and its other customers?

Accepted Answer

A)  marketing 
B)  buying 
C)  sorting 
D)  assorting 
E)  risk taking

Question 15

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

Accepted Answer

A)  insurance products 
B)  direct-to-home food products 
C)  automobiles 
D)  construction machinery 
E)  candy

Question 16

Having a product or service where consumers want it is __________ utility.

Accepted Answer

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

Question 17

There are four popular types of franchising: (1)manufacturer-sponsored retail franchise systems, (2)__________; (3)service-sponsored retail franchise systems; and (4)service-sponsored franchise systems.

Accepted Answer

A)  service-sponsored retail franchise systems 
B)  manufacturer-sponsored wholesale franchise systems 
C)  horizontal-marketing franchise systems 
D)  contractual-sponsored franchise systems 
E)  customer-oriented franchise systems

Question 18

General Motors uses a(n)_________,whereby the company license dealers in North America to sell GM 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

Question 19

Dependability is the consistency of replenishment.This is important to all firms in a supply chain and to consumers.It can be broken into three elements: consistent lead time,complete delivery,and __________.

Accepted Answer

A)  honest and accurate pricing 
B)  quality products 
C)  a well-informed delivery staff 
D)  product warranties 
E)  safe delivery

Question 20

Rather than compete with large greeting card companies for shelf space in supermarkets,several smaller card companies place their cards in pack-and-ship stores where the customer can mail a card on the spur of the moment,or in carwashes where customers are waiting and appreciate having something amusing to read.This would be an example of which type of marketing channel strategy?

Accepted Answer

A)  a strategic channel alliance 
B)  multichannel distribution 
C)  parallel distribution 
D)  dual distribution 
E)  direct distribution

Exam 15: Managing Marketing Channels and Supply Chains