Question 1

Which of the following statements best describes the difference between a corporate vertical marketing system and an administered vertical marketing system?

Accepted Answer

A)   Administered vertical marketing systems gain power through ownership while corporate vertical marketing systems gain power through contractual agreement.
B)   Administered vertical marketing systems gain power through the size and influence of one channel member and through ownership, rather than through contractual arrangement.
C)   Administered vertical marketing systems gain power through contractual agreements and ownership rather than through size.
D)   Administered vertical marketing systems are usually larger and more profitable than corporate vertical marketing systems.
E)   Administered vertical marketing systems achieve coordination at successive stages of production and distribution by the size and influence of one channel member rather than through ownership.F) B) and E)
G) None of the above

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) C) and E)
G) A) and D)

Question 3

Clothing manufacturers may compete to sell their offerings at prestigious retailer Neiman Marcus. The source of Neiman Marcus' power is ________ since distribution with this retailer may increase the status of a smaller brand.

Accepted Answer

A)   economic influence.
B)   expertise.
C)   channel members' desire for identification with Neiman Marcus.
D)   legitimate rights through contracts.
E)   longevity as an upscale retailer.F) A) and B)
G) A) and C)

Question 4

Purchasing products for resale or acting as an agent for supply of a product would be an example of ________ function.

Accepted Answer

A)   a logistical
B)   a facilitating
C)   a risk-taking
D)   a transactional
E)   an assortingF) A) and C)
G) A) and D)

Question 5

A channel member (producer, wholesaler, or retailer)  who coordinates, directs, and supports other channel members is referred to as a

Accepted Answer

A)   channel champion.
B)   channel general.
C)   channel captain.
D)   channel director.
E)   channel coordinator.F) C) and D)
G) B) and E)

Question 6

An industrial distributor is

Accepted Answer

A)   an intermediary that performs a variety of marketing channel functions involving selling, stocking, delivering a full product assortment, and financing.
B)   an intermediary that maintains its own sales force and performs all channel functions.
C)   an intermediary that deals exclusively with the selling, stocking, and delivery of raw materials used by manufacturers in the production of its products.
D)   an intermediary that deals with a single product line within a single industry.
E)   an intermediary that performs functions involving selling, stocking, and delivery of industrial goods but is unable to provide financing due to the normally large expenditures.F) A) and E)
G) B) and C)

Question 7

A commonly used indirect channel moves product from producer to retailer to consumer. Automobile manufacturers use this channel because

Accepted Answer

A)   inventory is unpredictable.
B)   the cost of inventory makes it too expensive to use a wholesaler.
C)   there is little if any seasonal demand.
D)   the risk lies solely with the manufacturer.
E)   the retail outlets are regionally located.F) A) and E)
G) All of the above

Question 8

A vendor-managed inventory system is an

Accepted Answer

A)   inventory supply system that operates with very low inventories and requires fast on-time delivery.
B)   inventory management system whereby the supplier determines the product amount and assortment a retailer needs and automatically delivers the appropriate items.
C)   inventory management system that is designed to reduce the retailer's lead time for receiving merchandise, which then lowers its inventory investment, improves customer service levels, and reduces logistic expenses.
D)   inventory supply system that relies on the judgment of individual warehouse managers based on daily reports from its retailer customers.
E)   inventory system that guarantees delivery within 48 hours, granting price reductions of 1 percent per hour if a shipment is delayed.F) B) and E)
G) A) and E)

Question 9

There are three degrees of distribution density, one of which is intensive distribution. What would best be considered opposite of this degree of distribution density?

Accepted Answer

A)   exhaustive distribution
B)   specialized distribution
C)   selective distribution
D)   concentrated distribution
E)   exclusive distributionF) A) and E)
G) A) and B)

Question 10

An even more imprecise term than distributor, ________ can mean the same as retailer, wholesaler, and more.

Accepted Answer

A)   broker
B)   order taker
C)   agent
D)   dealer
E)   wholesalerF) A) and B)
G) A) and C)

Question 11

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 12

In a supply chain setting, replenishment time refers to lead time for an item, which means the time between the ordering of an item and when it is

Accepted Answer

A)   billed to the customer.
B)   acknowledged by the customer.
C)   billed and paid for by the customer.
D)   promised for delivery.
E)   received and ready for use or sale.F) D) and E)
G) B) and D)

Question 13

Amazon.com was started with a simple idea: Use the Internet to ________ into the fastest, easiest, and most enjoyable shopping experience possible.

Accepted Answer

A)   transform book buying
B)   build web-buying services
C)   change purchases of consumer appliances
D)   change Amazon's web page
E)   ensure Amazon's retail store was transformedF) B) and C)
G) C) and D)

Question 14

Which type of distribution lies between the two distribution extremes and means that a firm selects a few retail outlets in a specific geographical area to carry its products?

Accepted Answer

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

Question 15

Mail order selling, catalog sales, telemarketing, interactive media, and televised home shopping are all examples of

Accepted Answer

A)   direct marketing channels.
B)   indirect marketing channels.
C)   multimedia marketing channels.
D)   virtual marketing channels.
E)   personal selling.F) None of the above
G) A) and B)

Question 16

All of the following sources produce channel conflict except which?

Accepted Answer

A)   A manufacturer increases its distribution coverage in a geographical area.
B)   A channel member bypasses another member and sells or buys products directly.
C)   Disagreements over how profit margins are distributed among channel members.
D)   Manufacturers believe wholesalers or retailers are not giving their products adequate attention.
E)   A channel member wants to use vendor-managed inventory.F) B) and C)
G) D) and E)

Question 17

21st Century Fox is the name for Fox's broadcast/cable TV networks and TV/movie studios. Since most of the shows produced at its TV production unit and many of the movies made at its studio are only televised on its cable TV networks, 21st Century Fox is an example of

Accepted Answer

A)   a corporate vertical marketing system.
B)   an integrated marketing system.
C)   a contractual vertical marketing system.
D)   a corporate horizontal marketing system.
E)   a contractual horizontal marketing system.F) A) and D)
G) A) and B)

Question 18

Risk-taking as a transactional function refers to

Accepted Answer

A)   unpredictable costs of transportation because of fuel prices.
B)   product liability from poorly produced products that become defective.
C)   the need to stock merchandise in anticipation of sales.
D)   trying new promotional campaigns.
E)   investments in new-product development.F) B) and C)
G) A) and E)

Question 19

Which of the following statements regarding supply chain customer service is most accurate?

Accepted Answer

A)   The output of a supply chain is measured in total units sold.
B)   Customer service must be balanced against total logistics cost factors.
C)   The output of a supply chain is measured either in total units sold or total number of customers served.
D)   A firm's goal should be to provide superior customer service regardless of costs.
E)   Customer service is the responsibility of marketing channel members and not the supplier network.F) A) and E)
G) A) and D)

Question 20

Exclusive distribution refers to

Accepted Answer

A)   the distribution of products or services in markets where there are currently no other competitors.
B)   the distribution of products or services where the producer owns the entire channel of distribution.
C)   the density of distribution whereby a firm tries to place its products or services with only one retail outlet in a specified geographical area.
D)   the density of distribution whereby a firm tries to place its products or services in as many outlets as possible.
E)   the density of distribution whereby a firm tries to place its products or services in a few retail outlets in a specific area.F) A) and B)
G) A) and C)

Exam 12: Managing Marketing Channels and Supply Chains

Purchasing products for resale or acting as an agent for supply of a product would be an example of ________ function.

Correct AnswerverifiedShow Answer

An industrial distributor is

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

A vendor-managed inventory system is an

Correct AnswerverifiedShow Answer

Amazon.com was started with a simple idea: Use the Internet to ________ into the fastest, easiest, and most enjoyable shopping experience possible.

Correct AnswerverifiedShow Answer

21st Century Fox is the name for Fox's broadcast/cable TV networks and TV/movie studios. Since most of the shows produced at its TV production unit and many of the movies made at its studio are only televised on its cable TV networks, 21st Century Fox is an example of

Correct AnswerverifiedShow Answer

An even more imprecise term than distributor, ________ can mean the same as retailer, wholesaler, and more.

Correct AnswerverifiedShow Answer

Exclusive distribution refers to

Correct AnswerverifiedShow Answer

All of the following sources produce channel conflict except which?

Correct AnswerverifiedShow Answer

Risk-taking as a transactional function refers to

Correct AnswerverifiedShow Answer

Which type of distribution lies between the two distribution extremes and means that a firm selects a few retail outlets in a specific geographical area to carry its products?

Correct AnswerverifiedShow Answer

Which of the following statements regarding supply chain customer service is most accurate?

Correct AnswerverifiedShow Answer

A channel member (producer, wholesaler, or retailer) who coordinates, directs, and supports other channel members is referred to as a

Correct AnswerverifiedShow Answer

Which of the following statements best describes the difference between a corporate vertical marketing system and an administered vertical marketing system?

Correct AnswerverifiedShow Answer

There are three degrees of distribution density, one of which is intensive distribution. What would best be considered opposite of this degree of distribution density?

Correct AnswerverifiedShow Answer

Mail order selling, catalog sales, telemarketing, interactive media, and televised home shopping are all examples of

Correct AnswerverifiedShow Answer

A commonly used indirect channel moves product from producer to retailer to consumer. Automobile manufacturers use this channel because

Correct AnswerverifiedShow Answer

Clothing manufacturers may compete to sell their offerings at prestigious retailer Neiman Marcus. The source of Neiman Marcus' power is ________ since distribution with this retailer may increase the status of a smaller brand.

Correct AnswerverifiedShow Answer

Another name for quick response systems is

Correct AnswerverifiedShow Answer

In a supply chain setting, replenishment time refers to lead time for an item, which means the time between the ordering of an item and when it is

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

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

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified