Question 1

A ________ is highly automated and designed to receive goods from various plants and suppliers,take orders,fill them efficiently,and deliver goods to customers as quickly as possible.
A) distribution center
B) storage warehouse
C) cold storage unit
D) controlled-atmosphere unit
E) storage silo

Accepted Answer

The given description matches that of a distribution center, which is designed to efficiently receive, store and distribute goods to customers. The other options like storage warehouse, cold storage unit, controlled-atmosphere unit, and storage silo are designed for specific purposes like storing goods under controlled temperature, pressure or atmosphere conditions, whereas a distribution center is a more general facility designed for the entire supply chain process from receiving to delivering goods.

Question 2

________ is a practice whereby a producer agrees to sell a brand to a dealer only if the dealer agrees to sell some or all of the rest of its products.
A) Horizontal price fixing
B) Horizontal integration
C) Full-line forcing
D) Direct marketing
E) Disintermediation

Accepted Answer

Full-line forcing is the practice whereby a producer agrees to sell a brand to a dealer only if the dealer agrees to sell some or all of the rest of its products. This is done to ensure that the producer's entire line of products is being represented and to increase sales of other products.

Question 3

In supply chain management,moving products and materials from suppliers to the factory is known as ________ logistics.
A) outbound
B) reverse l
C) inbound
D) downstream
E) inventory

Accepted Answer

Inbound logistics refers to the movement of raw materials, parts or finished goods from suppliers to the manufacturing facility. Outbound logistics refers to the movement of finished goods from the factory to the customer, reverse logistics refers to the movement of products from customers back to the manufacturer or supplier, downstream logistics refers to the movement of products from the factory to distribution centers, and inventory logistics refers to the management of inventory within the supply chain. Therefore, the best choice for moving products and materials from suppliers to the factory is inbound logistics.

Question 4

Bateman Gray Motors sells the cars it produces using dedicated dealers who only sell Bateman Gray's products at their outlets.What kind of marketing strategy has Bateman Gray adopted with its car dealers?
A) direct marketing
B) exclusive dealing
C) disintermediation
D) horizontal integration
E) vertical integration

Accepted Answer

Bateman Gray has adopted an exclusive dealing marketing strategy with its car dealers as they only sell Bateman Gray's products and are therefore 'exclusive' to the company's products.

Question 5

In a logistics system,minimizing distribution costs most likely involves ________.
A) flexible assortments
B) large shipping lots
C) rapid delivery
D) large inventories
E) liberal return policies

Accepted Answer

Large shipping lots often lead to lower transportation costs per unit, which can help reduce overall distribution costs in a logistics system. The other options may not necessarily result in cost savings and could actually increase costs.

Question 6

Reverse logistics refers to moving ________.
A) unwanted, excess products from resellers to producers
B) raw materials from suppliers to the factory
C) excess materials from the factory to suppliers
D) finished products from the factory to customers
E) finished products from producers to resellers

Accepted Answer

Reverse logistics specifically refers to the movement of unwanted or excess products from resellers back to producers.

Question 7

Which of the following is an advantage of exclusive dealing between a seller and a dealer?
A) The seller gains more shelf power compared to competitors' products.
B) The seller can avoid using any intermediary and sell the product directly to customers.
C) Customers get more loyal and dependable outlets.
D) The dealer obtains a steady source of supply and more support from the seller.
E) The dealer can freely choose what products to sell without any interference from the seller.

Accepted Answer

Exclusive dealing provides the dealer with a steady source of supply and usually leads to more support from the seller, such as cooperative advertising and training programs. This can help the dealer be more successful and profitable.

Question 8

In a just-in-time logistics system,________.
A) retailers carry small inventories of merchandise to last for only a few days
B) retailers store products for long periods to avoid an interruption in supply
C) producers supply products to resellers before customers place their orders
D) producers that are geographically far from their retailers use an express-delivery system
E) retailers incur high inventory-carrying and inventory-handling costs

Accepted Answer

In a just-in-time logistics system, retailers carry small inventories of merchandise to last for only a few days. This helps in reducing inventory-carrying and inventory-handling costs and ensures that products are delivered to customers on time.

Question 9

Which of the following is a difference between storage warehouses and distribution centers?
A) Storage warehouses are used to store agricultural products, while distribution centers are used to store nonagricultural products.
B) Storage warehouses store goods for moderate to long periods, while distribution centers are used to move goods rather than just store them.
C) Storage warehouses are always owned by a producer, while distribution centers are rented.
D) Storage warehouses are more likely to use newer, computer-controlled systems, while distribution centers generally use outdated materials-handling methods.
E) Storage warehouses are exclusively used by government agencies, while distribution centers are exclusively used by private businesses.

Accepted Answer

The main difference between storage warehouses and distribution centers is their purpose. Storage warehouses are mainly used to store goods for a moderate to long period, while distribution centers are used to move goods rather than just store them. In a distribution center, goods are received, sorted, and quickly shipped out to their intended destinations, while in a storage warehouse, goods are stored until they are needed.

Question 10

________ involves combining two or more systems of transportation to move products.
A) Vertical transportation
B) Disintermediation
C) Just-in-time management
D) Vertical integration
E) Multimodal transportation

Accepted Answer

Multimodal transportation involves using different modes of transportation, such as rail, truck, and sea, to move products efficiently. It allows for more flexibility and cost savings compared to relying on a single mode of transportation.

Question 11

The Memphis Rock chain of restaurants has a deal with WestEnd Cola,according to which it will serve only WestEnd sodas at its restaurants.What strategy has most likely been adopted by WestEnd Cola?
A) horizontal price fixing
B) disintermediation
C) exclusive dealing
D) selective distribution
E) horizontal integration

Accepted Answer

WestEnd Cola has adopted the strategy of exclusive dealing, in which it has an agreement with Memphis Rock chain of restaurants to serve only its sodas. This strategy ensures that the restaurants do not serve any other brand of soda, giving WestEnd Cola exclusive access to these outlets.

Question 12

PinWheel,a renowned electronics company,has an arrangement with SoundBite,an audio equipment retailer.Through the agreement,Soundbite is to promote and sell PinWheel's audio electronics and give PinWheel products better shelf space than competitors' products.The agreement also requires that SoundBite sell additional non-audio PinWheel products at all SoundBite stores.Which term best describes PinWheel's strategy?
A) horizontal price fixing
B) horizontal integration
C) full-line forcing
D) direct marketing
E) disintermediation

Accepted Answer

The strategy being described is full-line forcing, which involves a supplier requiring a retailer to carry its entire line of products in order to be able to purchase any of them. PinWheel is requiring that SoundBite sell not only its audio products, but also other non-audio products in order to promote the full range of PinWheel's offerings.

Question 13

The use of both rail and trucks for transporting goods is called ________.
A) trainshipping
B) fishybacking
C) piggybacking
D) airtrucking
E) autoracking

Accepted Answer

The term for using both rail and trucks for transporting goods is "piggybacking." None of the other answer choices are correct.

Question 14

Outbound logistics refers to moving ________.
A) unwanted, excess products from resellers to producers
B) raw materials from suppliers to the factory
C) excess materials from the factory to suppliers
D) products from the factory to resellers
E) broken, damaged products from customers to producers

Accepted Answer

Outbound logistics refers to the movement of finished products from the factory to resellers.

Question 15

Which mode of transportation is best for carrying perishable goods to distant markets?
A) railroads
B) water carriers
C) trucks
D) air carriers
E) pipelines

Accepted Answer

Air carriers are the best mode of transportation for carrying perishable goods as they offer fast delivery and can maintain controlled temperatures throughout the journey. This is especially important for goods such as fresh produce, seafood, and flowers where time and temperature control are critical for maintaining their quality and value. Other modes of transportation may take longer and be subject to temperature fluctuations that can damage the goods.

Question 16

Which of the following is most efficient for short hauls of high-value merchandise and is highly flexible in its routing and time schedules?
A) water carriers
B) pipeline
C) trucks
D) air carriers
E) railroads

Accepted Answer

Trucks are the most efficient for short hauls of high-value merchandise as they are highly flexible in their routing and time schedules. They can reach any destination regardless of the terrain and can make multiple stops along the way, which makes them ideal for transporting small quantities of goods. Additionally, they provide faster delivery times than other modes of transportation, which is crucial for high-value merchandise. Water carriers and pipelines are more suitable for long-distance transportation, while air carriers and railroads are more expensive and have less flexibility in their routing and time schedules.

Question 17

Which of the following is a cost-effective mode for shipping large amounts of bulk products-coal,sand,minerals,and forest products-over long distances?
A) air carriers
B) water carriers
C) pipelines
D) trucks
E) railroads

Accepted Answer

Railroads are the most cost-effective mode for shipping large amounts of bulk products over long distances. They have a lower cost per ton mile than other modes of transportation such as trucks or air carriers. Additionally, they are able to carry large amounts of freight at once, making them a practical choice for bulk items such as coal, sand, minerals, and forest products.

Question 18

Under ________,a customer shares real-time data on sales and current inventory levels with a supplier,and the supplier then takes full responsibility for managing inventories and deliveries.
A) periodic inventory systems
B) vendor-managed inventory systems
C) selective-trading inventory systems
D) manual inventory replenishment systems
E) customer-managed inventory systems

Accepted Answer

Vendor-managed inventory systems allow for customers to share real-time data on sales and inventory levels with a supplier, who then takes responsibility for managing inventories and deliveries. This can help to streamline the supply chain and ensure that the right inventory is in the right place at the right time. The other options listed do not involve the same level of collaboration between customers and suppliers.

Question 19

Which of the following is true of RFID or "smart tag" technology?
A) "Smart tag" technology eliminates the need for intermediaries and facilitates a direct marketing system.
B) "Smart tag" technology can de-automate the entire supply chain.
C) The use of "smart tag" technology makes it difficult to know where a product is located physically within the supply chain.
D) Retailers and suppliers using "smart technology" have higher risks of shoplifting and robbery.
E) "Smart shelves" can tell when it is time to reorder and can place orders automatically.

Accepted Answer

"Smart shelves" can use RFID technology to automatically detect when inventory levels are low and place orders for restocking. This can help streamline the supply chain and improve inventory management. The other options are incorrect: A is not necessarily true, as intermediaries may still be involved in the marketing system; B is not a benefit of RFID technology; C is incorrect, as RFID technology can actually improve visibility and tracking of product locations; and D is not necessarily true, as security measures can be put in place to prevent theft.

Question 20

Which of the following is true of an exclusive dealing arrangement between a producer and a dealer?
A) It prohibits the producer from selling outside the dealer's territory.
B) It prevents the producer from using any other dealer to sell its products regardless of geographical area.
C) It gives the producer's products more shelf power compared to a competitor's products being sold by the dealer.
D) It can be considered illegal if it increases competition substantially.
E) It does not allow other producers to sell to that dealer.

Accepted Answer

The answer of Which of the following is true of...

Quiz 10: Marketing Channels: Delivering Customer Value

A ________ is highly automated and designed to receive goods from various plants and suppliers,take orders,fill them efficiently,and deliver goods to customers as quickly as possible.

________ is a practice whereby a producer agrees to sell a brand to a dealer only if the dealer agrees to sell some or all of the rest of its products.

In supply chain management,moving products and materials from suppliers to the factory is known as ________ logistics.

Bateman Gray Motors sells the cars it produces using dedicated dealers who only sell Bateman Gray's products at their outlets.What kind of marketing strategy has Bateman Gray adopted with its car dealers?

In a logistics system,minimizing distribution costs most likely involves ________.

Reverse logistics refers to moving ________.

Which of the following is an advantage of exclusive dealing between a seller and a dealer?

In a just-in-time logistics system,________.

Which of the following is a difference between storage warehouses and distribution centers?

________ involves combining two or more systems of transportation to move products.

The Memphis Rock chain of restaurants has a deal with WestEnd Cola,according to which it will serve only WestEnd sodas at its restaurants.What strategy has most likely been adopted by WestEnd Cola?

The use of both rail and trucks for transporting goods is called ________.

Outbound logistics refers to moving ________.

Which mode of transportation is best for carrying perishable goods to distant markets?

Which of the following is most efficient for short hauls of high-value merchandise and is highly flexible in its routing and time schedules?

Which of the following is a cost-effective mode for shipping large amounts of bulk products-coal,sand,minerals,and forest products-over long distances?

Under ________,a customer shares real-time data on sales and current inventory levels with a supplier,and the supplier then takes full responsibility for managing inventories and deliveries.

Which of the following is true of RFID or "smart tag" technology?

Which of the following is true of an exclusive dealing arrangement between a producer and a dealer?