Question 1

Marketers know that ________ may be the only one of the four Ps to offer an opportunity for competitive advantage.

Accepted Answer

C

Question 2

________ activities handle advertising,promotion,channel selection and pricing.

Accepted Answer

Marketing activities handle advertising, promotion, channel selection, and pricing. Inbound raw materials involve the process of procuring raw materials from suppliers, production involves the actual manufacturing process, outbound finished products include the activities related to delivering the finished products to customers, and customer service focuses on providing after-sales services to customers.

Question 3

Hewlett-Packard uses hundreds of suppliers in manufacturing its computers and it sells those items through hundreds of online and off-line retailers worldwide.How is this a channel of distribution?

Accepted Answer

A channel of distribution is when a series of firms or individuals facilitate the movement of a product from the producer to the final customer.Hewlett-Packard is working with companies who make parts that are integrated to become computers that are sold to customers.

Question 4

The difference between a supply chain and a channel of distribution is that ________.

Accepted Answer

A supply chain includes all the activities involved in getting a product from the raw materials stage, through production, and finally to the end consumer. This includes companies that supply materials for production, as well as transport and logistics companies that help move the product through the supply chain. A channel of distribution, on the other hand, refers to the network of intermediaries through which a product moves from the manufacturer to the end consumer. While some members of the channel of distribution may be part of the supply chain, not all of them necessarily are. Additionally, members of a channel of distribution may sell different products, use different pricing methods, and employ different promotion methods, whereas supply chain members are all working toward the same goal of getting the product to the end consumer.

Question 5

Distribution channels create efficiencies by reducing the number of transactions necessary for goods to flow from different manufacturers to large numbers of customers.One of the ways this occurs is through ________.

Accepted Answer

Creating assortments refers to the process of selecting and offering a variety of products to customers through a single point of contact, such as a retail store or online marketplace. By combining products from different manufacturers, distribution channels can increase the convenience for customers and reduce the number of transactions necessary for goods to reach their destinations. This can result in cost savings and increased efficiencies for manufacturers and distributors, as well as greater customer satisfaction.

Question 6

A channel of distribution may include ________.

Accepted Answer

A channel of distribution may include channel intermediaries such as wholesalers, retailers, and agents (indirect channels), as well as direct channels such as e-commerce websites, catalog sales, or manufacturer-owned stores. Therefore, options A, B, and C are all correct, and the best choice is E, as it includes all possible options.

Question 7

________ functions such as providing parts and repairs make the purchase process easier for consumers and manufacturers.

Accepted Answer

Facilitating functions help in making the purchase process easier by providing services like parts and repairs, which support both consumers and manufacturers.

Question 8

A/n ________ is a series of companies or individuals that facilitate the movement of a product from the producer to the final customers.

Accepted Answer

Channel of distribution refers to the network of companies or individuals who help in moving the product from the producer to the final customers. It includes intermediaries such as wholesalers, distributors, retailers who facilitate the distribution process. Therefore, option D, channel of distribution, is the most appropriate choice.

Question 9

________ are the firms and individuals who help move the product to the consumer or the business user.

Accepted Answer

Channel intermediaries, also called middlemen or intermediaries, are firms and individuals who help move the product to the consumer or business user. They can include wholesalers, retailers, agents, brokers, and distributors, among others. These intermediaries play an important role in the distribution process by bridging the gap between producers and end users, and adding value in terms of convenience, efficiency, and expertise.

Question 10

Waverly is a manufacturer of wallpaper and matching fabrics that can be used to make curtains,bedspreads,tablecloths,and chair coverings.Wholesalers buy the Waverly products and distribute them to leading department stores,major specialty stores,and independent paint and wallpaper stores.This is an example of a/n ________.

Accepted Answer

The scenario describes the flow of products from the manufacturer, Waverly, to wholesalers who then distribute them to various retail outlets. This process is an example of a channel of distribution.

Question 11

________ transforms the materials into final product form,such as by machining,packaging,and assembly.

Accepted Answer

Production transforms raw materials into finished products through various processes like machining, packaging, and assembly. Therefore, option B is the correct choice. The other options, inbound raw materials, outbound finished products, marketing, and customer service, are related to different stages of the supply chain and are not directly involved in the transformation of raw materials into final products.

Question 12

The ________ encompasses all the activities a firm does to create products and services that in turn create value for the consumer and make a profit for the company.

Accepted Answer

The concept of value chain was introduced by Michael Porter and it encompasses all the activities a firm does to create products and services that in turn create value for the consumer and make a profit for the company. It includes activities such as inbound logistics, operations, outbound logistics, marketing and sales, and after-sales service. Channels of distribution, goods supplying chain, industrial network, and retailer chain are all part of the value chain, but they do not fully encompass all the activities involved in creating value.

Question 13

Which of the following is the best example of a direct channel?

Accepted Answer

In this scenario, the farmer is selling directly to the end consumer, the Hughes household.

Answer: E
 Although there is an intermediary (The Design Centre), the end consumer still purchases the product directly from the retailer, making it a direct channel.

Question 14

Channels of distribution ________.

Accepted Answer

Channels of distribution create time, place, and ownership utility by ensuring products are available when and where consumers want them and facilitating the transfer of ownership.

Question 15

Compare and contrast the value chain,the supply chain and the channel of distribution and indicate the importance of each.

Accepted Answer

The answer of Compare and contrast the value chain,the supply...

Question 16

Intermediaries also ________.

Accepted Answer

Intermediaries provide a range of services to manufacturers and customers, including providing information about customer complaints, changing preferences, and new competitors; providing the sales force with marketing communications; purchasing products to make available to retailers who manage transactions with customers; and providing two-way communication for manufacturers. Therefore, all of the above options are correct.

Question 17

Wholesalers and retailers purchase large quantities of goods from manufacturers but sell only a limited number of items at a time to many different customers.This process is called ________.

Accepted Answer

Bulk-breaking is the process of purchasing goods in large quantities and breaking them down into smaller units for resale to individual consumers. This is a common practice for wholesalers and retailers who purchase goods in bulk from manufacturers and then sell them in smaller quantities to individual customers.

Question 18

Which of the following are examples of facilitating functions that might be performed by a retailer of large appliances?

Accepted Answer

All of the above options are examples of facilitating functions that a retailer of large appliances might perform. Providing a repair service and stocking repair parts help customers maintain their appliances and keep them in good working order. Offering refunds and credit helps customers feel more confident about making a purchase and can increase sales for the retailer.

Question 19

________ activities such as installation or repair enhance or maintain the value of the product.

Accepted Answer

Customer service activities, such as installation or repair, aim to enhance or maintain the value of the product for the customer, which can lead to increased customer satisfaction and repeat business. Inbound raw materials are not relevant as they pertain to the sourcing of materials for production. Production activities involve the creation of the product itself, but may not necessarily enhance or maintain its value. Outbound finished products involve the delivery and distribution of the product, but may not necessarily involve activities that enhance or maintain value. Marketing activities focus on promoting the product and may not necessarily involve direct actions that enhance or maintain the value of the product.

Question 20

During the ________ activity in the value chain stage,the company receives materials it needs to manufacture its products.

Accepted Answer

Inbound raw materials is the specific activity in the value chain stage where the company receives materials necessary for producing its products. Production is the stage where the materials are used to manufacture the product, so it does not fit the description given in the question. Outbound finished product refers to the stage where the company ships the finished product to customers, while marketing and customer service are not part of the value chain stage but rather support activities.

Quiz 14: Delivering Value Through Supply Chains and Logistics