Deck 9: Managing Channels and Distribution

Question 1

This type of retail outlet is designed to kill off the competition and is characterized by narrow but very deep product assortment, low prices and few to moderate customer services.

A) Department stores.
B) Supermarket.
C) Speciality.
D) Category killer stores.

Answer 1

D

Question 2

Which of the following is not one of the activities of Supply Chain Management (SCM)?

A) Transportation
B) Relationship management
C) Warehousing
D) Fulfilment

Answer 2

B

Question 3

The business processes associated with the movement of parts, raw materials, work-in-progress and finished goods are referred to as:

A) Integrated communication marketing
B) Integrated SCM
C) Integrated functions
D) Integrated distribution

Answer 3

B

Question 4

This type of retailing is a large-scale retailing institution that has a very broad and deep product assortment (both hard and soft goods), with the provision of a wide array of customer service facilities for store customers.

A) Department stores.
B) Limited line retailers.
C) Category killer stores.
D) Convenience stores.

Question 5

This is where intermediaries are given exclusive rights to market the good or service within a defined 'territory', and thus you use a very limited number of intermediaries.

A) Exclusive distribution.
B) Intensive distribution.
C) Selective distribution.
D) Specific distribution.

Question 6

This occurs where a company offers a complete brand concept, supplies and logistics, and a partner invests an initial lump sum and thereafter pays regular fees to continue the relationship.

A) Merchandise.
B) Distribution.
C) Retailing.
D) Franchising.

Question 7

This is the provision of information about the product offering before and after sales, and can further provide information about those purchasing it.

A) Time utility.
B) Information utility.
C) Ownership utility.
D) Accessibility utility.

Question 8

This can occur vertically between sequential members in a distribution network such as producers, distributor, and retailers.

A) Vertical conflict.
B) Horizontal conflict.
C) Hybrid conflict.
D) Network conflict.

Question 9

This is when goods are available immediately from the intermediary's stocks, thus ownership passes to the purchaser.

A) Time utility.
B) Information utility.
C) Ownership utility.
D) Product utility.

Question 10

Collectively organizations that combine to enable offerings to reach end users quickly and efficiently, constitute a marketing channel, sometimes referred to as:

A) Distribution channels.
B) Retailing channels.
C) Media channels.
D) Consumer channels.

Question 11

The decision about the number of intermediaries is often driven by place considerations.

Question 12

A hybrid channel structure is where the product goes only directly from the producer to the final customer.

Question 13

Sometimes referred to as channel coverage, intensity refers to the number and dispersion of outlets an end-user customer can use to buy a particular offering.

Question 14

Retailers stock goods before the next level of distribution and take both legal title and physical possession of the goods. Examples include Costco Wholesalers in the USA, and Makro in Europe.

Question 15

Information utility is the provision of information about the product offering before and after sales, and can further provide information about those purchasing it.

Question 16

This means placing your product or service in as many outlets or locations as possible, in order to maximise the opportunity for customers to find the good or service.

A) Exclusive.
B) Intensive.
C) Selective.
D) Direct.

Question 17

This is an independent business concern that operates as a link between producers and ultimate consumers or end industrial users.

A) Producers.
B) Suppliers.
C) Customers.
D) Intermediaries.

Question 18

This is concerned with the value creation chain of all of the activities associated with physical distribution.

A) Supply chain management.
B) Distribution management.
C) Channel value.
D) Transportation value.

Question 19

This is when goods are available immediately from the intermediaries stocks, thus ownership passes to the purchaser.

A) Time utility.
B) Ownership utility.
C) Accessibility.
D) Information utility.

Question 20

This is where you would use some, but not all, available outlets for the good or service.

A) Selective distribution.
B) Intensive distribution.
C) Exclusive distribution.
D) Niche distribution.