Marketing Channels: Delivering Customer Value
50 questions available
Questions
What is the primary role of members in a marketing channel?
View answer and explanationWhat is a major advantage of using intermediaries in a distribution channel, as illustrated by the example of three manufacturers and three customers?
View answer and explanationWhat type of conflict occurs when Ford dealers in a specific city complain that other dealers in the same city are pricing too low or advertising outside their assigned areas?
View answer and explanationWhich of the following describes a vertical marketing system (VMS)?
View answer and explanationItalian eyewear maker Luxottica produces many famous brands and also controls their distribution through some of the world’s largest optical chains which it also owns, such as LensCrafters and Sunglass Hut. What type of vertical marketing system does this represent?
View answer and explanationWhat is the term for the business practice where product or service producers cut out intermediaries and go directly to final buyers, or when new types of channel intermediaries displace traditional ones?
View answer and explanationWhich of the following is an example of disintermediation?
View answer and explanationWhat is the first step in designing a marketing channel?
View answer and explanationA distribution strategy in which producers of convenience products and common raw materials stock their products in as many outlets as possible is known as what?
View answer and explanationWhy did CVS Health's decision to stop selling cigarettes, which resulted in a loss of over 2 billion dollars in annual sales, present a channel management challenge for tobacco companies?
View answer and explanationWhat is the core idea behind marketing logistics, also known as physical distribution?
View answer and explanationAccording to the chapter, American companies spend approximately what percentage of GDP on wrapping, bundling, loading, unloading, sorting, reloading, and transporting goods?
View answer and explanationWhat are distribution centers primarily designed to do, in contrast to older storage warehouses?
View answer and explanationWhat is the primary goal of integrated logistics management?
View answer and explanationWhat percentage of cargo ton-miles in the United States is transported by trucks?
View answer and explanationCombining two or more modes of transportation, such as using rail and trucks (piggyback), is known as what?
View answer and explanationWhat does a vertical marketing system (VMS) provide that a conventional distribution channel historically lacks?
View answer and explanationWhat type of channel conflict is exemplified by the recent disputes between McDonald's and its independent franchisees over issues like aggressive discounting and costly restaurant upgrades?
View answer and explanationWhat is the most common type of contractual VMS, where a channel member called a franchisor links several stages in the production-distribution process?
View answer and explanationWhen a company like John Deere sells its products through John Deere retailers, Lowe's stores, and online, it is using what kind of system?
View answer and explanationA public policy that prohibits a producer from dropping a dealer just because the dealer takes independent pricing action is related to which concept?
View answer and explanationThe logistics concept that emphasizes teamwork both inside the company and among all the marketing channel organizations to maximize the performance of the entire distribution system is called what?
View answer and explanationWhat is a major reason for companies to develop sustainable or 'green' supply chains?
View answer and explanationAmazon’s use of teams of day-glo orange Kiva robots in its fulfillment centers to bring merchandise to workers is an example of advanced technology in which major logistics function?
View answer and explanationLogistics systems where producers and retailers carry only small inventories of parts or merchandise, with new stock arriving exactly when needed, are known as what?
View answer and explanationWhat is the term for an independent logistics provider that performs any or all of the functions required to get a client’s product to market?
View answer and explanationWalmart requiring its suppliers to use electronic data interchange (EDI) through its Retail Link sales data system is an example of managing which major logistics function?
View answer and explanationWhat does a demand chain view of a business emphasize as the starting point for market planning?
View answer and explanationIn a contractual VMS, what is the primary difference between franchise organizations and other contractual systems like voluntary chains and retailer cooperatives?
View answer and explanationWhat distribution strategy is employed by luxury brands like Breitling watches, which are sold by only a few authorized dealers in any given market area?
View answer and explanationApproximately how many years did it take for warehouse stores to reach the mature stage of their life cycle?
View answer and explanationWhat is the term for the common practice where shoppers check out merchandise at physical-store showrooms but then buy it online?
View answer and explanationWhich transportation mode accounts for the largest share of cargo ton-miles in the United States?
View answer and explanationThe fact that services are produced and consumed at the same time and cannot be separated from their providers is known as what?
View answer and explanationWhat type of wholesaler is an independently owned business that takes title to the merchandise it handles?
View answer and explanationWhat is the primary function of a drop shipper?
View answer and explanationWhat percentage of Fortune 500 companies use third-party logistics (3PL) services?
View answer and explanationWhich of the following is NOT one of the channel functions that helps to complete transactions?
View answer and explanationA direct marketing channel is defined as a channel that has what characteristic?
View answer and explanationIn an administered VMS, how is channel leadership established?
View answer and explanationWhich of the following is a major drawback of multichannel distribution systems?
View answer and explanationWhat are the three criteria that a company should use when evaluating its major channel alternatives?
View answer and explanationWhich of the following is NOT a major logistics function?
View answer and explanationWhat is the key idea behind the service profit chain in service marketing?
View answer and explanationWhat is the primary reason large retailers like Walmart can exert strong influence in an administered VMS?
View answer and explanationIn the chapter, what is described as a major legal issue regarding exclusive territorial agreements?
View answer and explanationWhat is the marketing term for a retailer whose product line is actually a service, such as a hotel, bank, or airline?
View answer and explanationFranchise organizations are a type of which vertical marketing system?
View answer and explanationWhat is the primary difference between a retailer and a wholesaler?
View answer and explanationWhen a single firm sets up two or more marketing channels to reach one or more customer segments, such as selling through both its own stores and online, what is this system called?
View answer and explanation