Question 1

At minimum,a marketing channel consists of a producer and a(n).

Accepted Answer

The answer of At minimum,a marketing channel consists of a...

Question 2

Another term for the supply chain that suggests a sense and respond view of the market is .

Accepted Answer

The term "demand chain" suggests a view of the supply chain that is focused on responding to customer demand in a timely and effective manner. It implies that the supply chain is not just about moving products from one point to another, but also about understanding and anticipating customer needs and preferences, and aligning the supply chain activities accordingly. This term emphasizes the importance of customer satisfaction and loyalty, which are critical for long-term success in any business.

Question 3

A corporate VMS has the advantage of controlling the entire distribution chain through .

Accepted Answer

A corporate VMS (Vertical Marketing System) is one where a single owner controls the entire distribution chain. This means that the owner has control over all aspects of the distribution process, which can provide advantages such as greater efficiency, consistency, and coordination. The other options (franchise agreements, profit-maximizing strategic plan, contracts among separate members, and mass distribution) may be components of a VMS, but they do not define a corporate VMS specifically.

Question 4

Through the use of ,or "smart tag" technology,a company is able to locate a product's exact position within the supply chain.

Accepted Answer

RFID (Radio Frequency Identification) technology utilizes small electronic tags that can store and transmit data wirelessly. These tags can be attached to products or packaging, and when scanned by a reader, they provide information about the product's location and other relevant data. This allows companies to track inventory and shipments in real-time, improving supply chain efficiency and reducing errors.

Question 5

The four major steps of designing a channel system are analyzing consumer needs,setting channel objectives,,and evaluating the alternatives.

Accepted Answer

The four major steps of designing a channel system are analyzing consumer needs, setting channel objectives, identifying major channel alternatives, and evaluating the alternatives. Seeking regulatory approval, establishing a budget, and seeking legal advice may be relevant to the process, but they are not among the four major steps. Measuring objectives may be part of evaluating the alternatives, but it is not one of the four major steps in designing a channel system.

Question 6

Sometimes a seller requires its dealers to abstain from handling competitors' products in an arrangement called .

Accepted Answer

Exclusive dealing is an arrangement in which a seller requires its dealers to abstain from handling competitors' products. This increases the seller's control over distribution and reduces competition. Exclusive distribution involves limiting the number of dealers authorized to sell a product, while selective distribution involves choosing specific dealers based on certain criteria. Exclusive pricing involves setting prices that are exclusive to certain dealers or customer groups. Disintermediation involves removing intermediaries from the distribution process.

Question 7

Producers benefit from using intermediaries because they .

Accepted Answer

Intermediaries, such as wholesalers or retailers, are able to efficiently distribute products to target markets, which benefits producers by freeing them from this task and allowing them to focus on production. Additionally, intermediaries may have established relationships with suppliers and buyers that can lead to increased sales for producers. The other choices are not accurate descriptions of the benefits of using intermediaries.

Question 8

When suppliers,distributors,and customers partner with each other to improve the performance of the entire system,they are participating in a _ .

Accepted Answer

A value delivery network refers to a collaboration between suppliers, distributors, and customers to optimize the entire system's performance. This partnership aims to provide value and satisfaction to the end customer. Unlike a conventional distribution channel, a value delivery network emphasizes the importance of all parties working together to deliver the best possible product or service. The other choices (A, B, C, and E) do not accurately describe this type of partnership.

Question 9

Steve's Physco Skates sells its products to Walmart,who then sells them to the consumer.This is an example of a(n).

Accepted Answer

This is an example of an indirect marketing channel, as the product passes through an intermediary (Walmart) before reaching the consumer.

Question 10

Grayville Rock and Gravel,located in a seaport town,sells rock,gravel,and sand to local markets.It has just been awarded a contract with a company 500 miles down the coast.Management should consider switching from truck to transport.

Accepted Answer

Transporting goods by water is often more cost-effective for long distances along the coast, especially for heavy materials like rock, gravel, and sand.

Question 11

logistics concerns the methods consumers use to send products to a producer for return or repair.

Accepted Answer

Reverse logistics specifically deals with the return or repair process, making it the best choice for the given scenario.

Question 12

Why is it important for manufacturers to be sensitive to the needs of their dealers?

Accepted Answer

Dealers are critical to reaching the end customer, and their support is essential for creating value for the customer. If manufacturers do not consider the needs of their dealers, they may lose their support and ultimately lose access to customers. Thus, manufacturers need to be sensitive to the needs of their dealers to maintain strong relationships and ensure ongoing success.

Question 13

UPS Supply Chain Solutions,which handles all of its clients' "grunt work" associated with logistics,is an example of .

Accepted Answer

UPS Supply Chain Solutions is a third-party logistics provider, which handles logistics management for other companies.

Question 14

The difference between distribution centers and storage warehouses is that distribution centers are designed to _.

Accepted Answer

Distribution centers are specifically designed to move goods efficiently and quickly to their final destination, such as retail stores or customers. In contrast, storage warehouses are primarily designed for long-term storage of goods, and do not have the same level of emphasis on quick movement and distribution.

Question 15

The goal of marketing logistics should be to provide a level of customer service at the least cost.

Accepted Answer

The goal of marketing logistics is to provide a targeted level of customer service that meets customer needs while minimizing costs, rather than simply aiming for the least cost or maximum service.

Question 16

Sometimes a producer chooses only a few dealers in a territory to distribute its products or services.Generally these dealers are given a right to distribution.

Accepted Answer

In exclusive distribution, a producer selects a limited number of dealers to distribute its products, granting them exclusive rights within a specific territory.

Question 17

Which of the following is an example of horizontal channel conflict?

Accepted Answer

Option A is an example of internal conflict within the same company, not horizontal conflict between competitors. Option B is an example of employee-employer conflict, not horizontal channel conflict. Option C is an example of horizontal competition and not horizontal channel conflict. Option D is an example of a dealer conflict, not horizontal channel conflict. The only option that describes horizontal channel conflict is Option E, as it involves a disagreement between two separate hotels under the same brand. The BMW dealership example is not an example of channel conflict, as both dealerships are part of the same distribution channel.

Question 18

Which of the following innovations has created opportunities for significant gains in distribution efficiency?

Accepted Answer

Web-based logistics systems have allowed for real-time tracking and communication between all parties involved in distribution, leading to increased efficiency and cost savings.

Question 19

Using ,retailers can share real- time data on sales and current inventory levels with suppliers who take responsibility for ordering and delivering products to retailers,thereby saving time and money.

Accepted Answer

Continuous inventory replenishment systems involve the sharing of real-time data between retailers and suppliers, allowing for efficient ordering and delivering of products. This can lead to cost savings and improved inventory management. The other options listed do not specifically address this capability.

Question 20

Jewels for the Rich and Famous sells very exclusive jewelry with a minimum price of $25,000 to customers around the world.Speed of delivery to distant markets is a must.Management should consider using as its main carrier.

Accepted Answer

Air transportation is the best choice for delivering exclusive and expensive jewelry to distant markets. It is fast and reliable, and offers secure handling to ensure the safe delivery of the valuable items.

Quiz 12: Marketing Channels: Delivering Customer Value

At minimum,a marketing channel consists of a producer and a(n) .