Question 1

Discuss the major issues in deciding distribution intensity.

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Question 2

The process of replacing distributors with direct manufacturer-owned channels is referred to as _____.

Accepted Answer

Disintermediation is the process of bypassing intermediaries, such as distributors, to establish direct manufacturer-owned channels. E-procurement refers to the use of electronic systems to manage purchasing processes. Channel invasion is not a commonly used term in marketing. Channel audit is a process of analyzing the efficiency and effectiveness of a company's distribution channels.

Question 3

Discuss the impact of e-procurement in business-to-business marketing.

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Question 4

In _____ VMS,a single firm does not exert substantial control over other channel members but involves close collaboration and sharing of information.

Accepted Answer

In a relationship VMS, there is no single firm that dominates the other channels, but rather a close collaboration and sharing of information among all members. Therefore, option D is the best choice.

Question 5

Discuss the emerging issue of the digital distribution channel occurring in markets in which the product can be converted to digital format.

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Question 6

Which of the following is the final step in selecting the distribution strategy?

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Question 7

The _____ supply chain mandates fluid and market-based relationships to enhance responsiveness to the market and capacity for rapid change.

Accepted Answer

The term "agile" in the question refers to a supply chain strategy that prioritizes flexibility and adaptability to changes in the market. This is achieved through market-based relationships and a willingness to change course quickly. Therefore, the answer is D - agile.

Question 8

If a company decides to distribute its products in many of the retail outlets in a trading area that might normally carry such a product,it is using a(n) _____ distribution approach.

Accepted Answer

Intensive distribution approach involves a company distributing its products in as many retail outlets as possible in a trading area. This approach is suitable for products with high demand and widespread consumer acceptance.

Question 9

The _____ supply chain seeks to remove waste and manage volatility out of the supply chain by leveling demand.

Accepted Answer

The concept of a "lean" supply chain is based on removing waste and variability, while also focusing on reducing lead times and increasing efficiency. This is achieved through techniques such as just-in-time (JIT) inventory management, continuous improvement, and leveling demand. The other options, such as a fluid or agile supply chain, do not necessarily focus on removing waste and volatility in the same way that lean does.

Question 10

If a company decides to distribute its products through one retailer or dealer in the trading area,then the company is following a(n) _____ distribution strategy.

Accepted Answer

An exclusive distribution strategy involves limiting the number of intermediaries handling a product, often to only one retailer or dealer in a given trading area. This helps maintain control over the product and its distribution while ensuring a focused and consistent brand image. Therefore, the best choice is C.

Question 11

Channel _____ refers to the strategic shift from one channel to another.

Accepted Answer

Channel migration refers to the process of shifting from one marketing channel to another, with a focus on reaching a larger or more profitable customer base. This may involve moving from traditional media like print or broadcast to digital channels, or from one e-commerce platform to another. It can also involve changes to the way products are distributed, such as shifting from brick-and-mortar retail stores to online marketplaces. Channel migration is often driven by changes in consumer behavior and the availability of new technologies, and it requires careful planning and execution to ensure a smooth transition.

Question 12

_____ marketing system exists when two or more unrelated companies put together resources or programs to exploit a marketing opportunity.Its characteristics are close to the partnering,joint venture,and strategic alliance arrangements.

Accepted Answer

A Horizontal marketing system involves collaboration between two or more companies at the same level in the supply chain, often from different sectors, to pursue a new market opportunity. This approach shares similarities with partnerships, joint ventures, and strategic alliances, as it involves pooling resources and capabilities to achieve a common goal.

Question 13

What is channel migration? List the issues to be considered when opting for migration.

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Question 14

Often customers shop for information in one channel,then defect from that channel to make the purchase in another medium.This process is referred to as _____.

Accepted Answer

Channel surfing refers to the process where customers will seek information about a product or service in one channel, but then leave that channel to make a purchase in another medium. This could occur when a customer researches a product online, but ultimately chooses to purchase it in-store, or vice versa.

Question 15

Discuss the factors that influence distribution decision.

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Quiz 10: Value Chain Strategy