Question 1

When a firm tries to place its products in a few retail outlets in a specific geographical area, it is referred to as which level of distribution density?

Accepted Answer

A)   intensive distribution
B)   extensive distribution
C)   selective distribution
D)   exclusive distribution
E)   concentrated distributionF) D) and E)
G) A) and B)

Question 2

Another name for quick response systems is

Accepted Answer

A)   order replenishment systems.
B)   customer logistics factors.
C)   minimum-inventory systems.
D)   web-based response systems.
E)   efficient consumer response systems.F) A) and B)
G) A) and E)

Question 3

________ is common in the soft drink industry where the manufacturer sells its concentrate to wholesalers, that carbonate it and market the finished product to retailers.

Accepted Answer

A)   A service-sponsored franchise system
B)   A service-sponsored retail franchise system
C)   A manufacturer-sponsored wholesale franchise system
D)   A manufacturer-sponsored retail franchise system
E)   An administered vertical marketing systemF) B) and E)
G) B) and D)

Question 4

Pharmaceutical companies sell some of their products to hospitals and clinics directly. They also market other products to large retail chains such as Walgreens that distribute them to their stores across the nation. In addition, they sell products to drug wholesalers that sell to the remaining independent drugstores in the United States. What method of distribution best describes the method used by pharmaceutical companies in this example?

Accepted Answer

A)   dual distribution
B)   vertical distribution
C)   horizontal distribution
D)   direct distribution
E)   exclusive distributionF) D) and E)
G) A) and E)

Question 5

What specific decision areas are associated with the flow of goods and together make up total logistics cost?

Accepted Answer

Total logistics cost includes expenses a...

Question 6

Corporate vertical marketing systems are

Accepted Answer

A)   small, independent retailers that form an organization that operates a wholesale facility cooperatively.
B)   professionally managed geographically dispersed marketing channels that are controlled through strategic channel alliances.
C)   the combination of successive stages of production and distribution under a single ownership.
D)   professionally managed and centrally coordinated marketing channels designed to achieve channel economies and maximum marketing impact.
E)   a contractual arrangement between a parent company and an individual or firm that allows the individual or firm to operate a certain type of business under an established name and according to specific rules.F) C) and E)
G) A) and D)

Question 7

Dependability is the consistency of replenishment. This is important to all firms in a supply chain and to consumers. It can be broken into three elements: consistent lead time, safe delivery, and

Accepted Answer

A)   honest and accurate pricing.
B)   quality products.
C)   complete delivery.
D)   a well-informed delivery staff.
E)   product warranties.F) A) and B)
G) None of the above

Question 8

Any intermediary between a manufacturer and end-user markets can be called a

Accepted Answer

A)   retailer.
B)   middleman.
C)   wholesaler.
D)   broker.
E)   distributor.F) A) and B)
G) B) and C)

Question 9

Cross-docking refers to

Accepted Answer

A)   the practice of organizing the cost-effective flow of raw materials, in-process inventory, finished goods, and related information from point of origin to point of consumption to satisfy customer requirements.
B)   the practice of storing finished goods in the same trucks from which they will be dispensed and sold to consumers.
C)   using large cargo containers that will be loaded onto trucks and then barges or ships that sail from port to port and then unloaded back onto trucks for final transport and delivery.
D)   a practice that involves unloading products from suppliers, sorting products for individual stores, and quickly reloading products onto trucks for a particular store.
E)   the practice of transporting retail goods from a centralized warehouse to the loading docks of regionally located satellite warehouses.F) B) and D)
G) All of the above

Question 10

Tylenol and Advil are two brands of over-the-counter products for ailments such as colds, headaches, sore throats, arthritis aches, fever, and general pain. Both of their manufacturers seek distribution of their products through pharmacies such as Walgreens and CVS. These companies seek channels and intermediaries that will satisfy a buyer's desire for

Accepted Answer

A)   variety.
B)   information.
C)   pre- or postsale service.
D)   convenience.
E)   adaptability.F) B) and D)
G) All of the above

Question 11

Which of these statements best describes how a supply chain differs from a marketing channel?

Accepted Answer

A)   Communication is more important in the marketing channel than in the supply chain.
B)   The marketing channel places more emphasis on cost-effectiveness than the supply chain.
C)   A marketing channel includes suppliers that provide raw material inputs to a manufacturer.
D)   A supply network moves materials from producer to consumer while a marketing channel moves materials from the supplier to the producer.
E)   A supply chain includes suppliers; marketing channels do not.F) A) and D)
G) B) and C)

Question 12

Which of these is an example of communication between buyer and supplier?

Accepted Answer

A)   disintermediation
B)   selective distribution
C)   reverse logistics
D)   forward integration
E)   order status reportsF) B) and D)
G) None of the above

Question 13

Members of a high-school glee club sold home-baked cupcakes at school to raise money. The students selling their cupcakes to classmates would be an example of

Accepted Answer

A)   a personalized distribution.
B)   a nonpermanent distribution.
C)   an informal channel of distribution.
D)   a direct channel of distribution.
E)   an indirect channel of distribution.F) A) and B)
G) A) and E)

Question 14

A direct channel exists when

Accepted Answer

A)   producers and end users deal with each other on a one-on-one basis.
B)   the producer and consumer perform numerous channel functions.
C)   a firm reaches different buyers by employing two or more different types of channels for the same basic product.
D)   an intermediary sells to other intermediaries, usually to retailers in consumer markets.
E)   an agent or broker brings ultimate consumers to manufacturers.F) C) and D)
G) A) and E)

Question 15

An arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product is referred to as

Accepted Answer

A)   a strategic channel alliance.
B)   multiple level selling.
C)   parallel distribution.
D)   dual distribution.
E)   recursive distribution.F) C) and D)
G) B) and E)

Question 16

The ________ has been used to prosecute resale restrictions, which are a supplier's attempt to stipulate to whom distributors may resell the supplier's products and in what specific geographical areas or territories they may be sold.

Accepted Answer

A)   Sherman Act
B)   Robinson-Patman Act
C)   Federal Trade Commission Act
D)   Clayton Act
E)   Consumer Goods Pricing ActF) A) and B)
G) C) and D)

Question 17

When only one retailer in a geographical area carries a firm's products, the density of distribution is referred to as

Accepted Answer

A)   intensive distribution.
B)   extensive distribution.
C)   selective distribution.
D)   concentrated distribution.
E)   exclusive distribution.F) C) and D)
G) A) and E)

Question 18

IBM built a single ________ that would handle raw material procurement, manufacturing, logistics, customer support, order entry, and customer fulfillment across all of IBM.

Accepted Answer

A)   integrated supply chain
B)   extranet computer system
C)   customer service department
D)   intranet supply network system
E)   global procurement networkF) C) and E)
G) A) and D)

Question 19

Corporate vertical marketing systems

Accepted Answer

A)   can use either forward integration or backward integration but not both.
B)   increase distribution costs.
C)   increase investment but decrease fixed costs.
D)   are only effective with low-end consumer products.
E)   offer more control over supply sources or resale of products.F) A) and E)
G) B) and C)

Question 20

During a recent year, Solectron, a California electronics contractor, made half of its purchases under vendor-managed inventory programs. Solectron

Accepted Answer

A)   had its suppliers perform all materials handing activities.
B)   authorized its suppliers to eliminate as many wholesaling functions as possible from the supply chain.
C)   used a system in which its suppliers determined the product amount and assortment that should be replenished.
D)   authorized the use of distribution centers to provide quicker customer response times.
E)   balanced its total logistics cost by eliminating the convenience service factor.F) A) and D)
G) B) and D)

Exam 15: Managing Marketing Channels and Supply Chains

During a recent year, Solectron, a California electronics contractor, made half of its purchases under vendor-managed inventory programs. Solectron

Correct Answer
verified

Any intermediary between a manufacturer and end-user markets can be called a

Correct Answer
verified

When only one retailer in a geographical area carries a firm's products, the density of distribution is referred to as

Correct Answer
verified

Corporate vertical marketing systems are

Correct Answer
verified

Which of these is an example of communication between buyer and supplier?

Correct Answer
verified

Correct Answer
verified

Members of a high-school glee club sold home-baked cupcakes at school to raise money. The students selling their cupcakes to classmates would be an example of

Correct Answer
verified

Dependability is the consistency of replenishment. This is important to all firms in a supply chain and to consumers. It can be broken into three elements: consistent lead time, safe delivery, and

Correct Answer
verified

The ________ has been used to prosecute resale restrictions, which are a supplier's attempt to stipulate to whom distributors may resell the supplier's products and in what specific geographical areas or territories they may be sold.

Correct Answer
verified

A direct channel exists when

Correct Answer
verified

An arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product is referred to as

Correct Answer
verified

What specific decision areas are associated with the flow of goods and together make up total logistics cost?

Correct Answer
verified
Total logistics cost includes expenses a...
View Answer

Correct Answer
verified

Another name for quick response systems is

Correct Answer
verified

Which of these statements best describes how a supply chain differs from a marketing channel?

Correct Answer
verified

Corporate vertical marketing systems

Correct Answer
verified

________ is common in the soft drink industry where the manufacturer sells its concentrate to wholesalers, that carbonate it and market the finished product to retailers.

Correct Answer
verified

IBM built a single ________ that would handle raw material procurement, manufacturing, logistics, customer support, order entry, and customer fulfillment across all of IBM.

Correct Answer
verified

When a firm tries to place its products in a few retail outlets in a specific geographical area, it is referred to as which level of distribution density?

Correct Answer
verified

Cross-docking refers to

Correct Answer
verified

Exam 15: Managing Marketing Channels and Supply Chains

During a recent year, Solectron, a California electronics contractor, made half of its purchases under vendor-managed inventory programs. Solectron

Correct AnswerverifiedShow Answer

Any intermediary between a manufacturer and end-user markets can be called a

Correct AnswerverifiedShow Answer

When only one retailer in a geographical area carries a firm's products, the density of distribution is referred to as

Correct AnswerverifiedShow Answer

Corporate vertical marketing systems are

Correct AnswerverifiedShow Answer

Which of these is an example of communication between buyer and supplier?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Members of a high-school glee club sold home-baked cupcakes at school to raise money. The students selling their cupcakes to classmates would be an example of

Correct AnswerverifiedShow Answer

Dependability is the consistency of replenishment. This is important to all firms in a supply chain and to consumers. It can be broken into three elements: consistent lead time, safe delivery, and

Correct AnswerverifiedShow Answer

The ________ has been used to prosecute resale restrictions, which are a supplier's attempt to stipulate to whom distributors may resell the supplier's products and in what specific geographical areas or territories they may be sold.

Correct AnswerverifiedShow Answer

A direct channel exists when

Correct AnswerverifiedShow Answer

An arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product is referred to as

Correct AnswerverifiedShow Answer

What specific decision areas are associated with the flow of goods and together make up total logistics cost?

Correct AnswerverifiedTotal logistics cost includes expenses a...View AnswerShow Answer

Correct AnswerverifiedShow Answer

Another name for quick response systems is

Correct AnswerverifiedShow Answer

Which of these statements best describes how a supply chain differs from a marketing channel?

Correct AnswerverifiedShow Answer

Corporate vertical marketing systems

Correct AnswerverifiedShow Answer

________ is common in the soft drink industry where the manufacturer sells its concentrate to wholesalers, that carbonate it and market the finished product to retailers.

Correct AnswerverifiedShow Answer

IBM built a single ________ that would handle raw material procurement, manufacturing, logistics, customer support, order entry, and customer fulfillment across all of IBM.

Correct AnswerverifiedShow Answer

When a firm tries to place its products in a few retail outlets in a specific geographical area, it is referred to as which level of distribution density?

Correct AnswerverifiedShow Answer

Cross-docking refers to

Correct AnswerverifiedShow Answer

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Total logistics cost includes expenses a...
View Answer

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