A VMS that coordinates channel activities through formal agreements among participants is called a(n)_____ marketing system.

Question

Quizplus · Accepted Answer

A VMS that coordinates channel activities through formal agreements among participants is called a contractual marketing system. In a contractual marketing system, independent firms at different levels of the supply chain agree to work jointly and use contractual agreements to coordinate their activities. This type of marketing system can include franchises, wholesaler-sponsored chains, and retailer cooperatives. The other options (A) corporate, (B) community, and (C) administered are not as specific to this type of coordination through formal agreements.

A VMS That Coordinates Channel Activities Through Formal Agreements Among