Question 1

Logistics is most closely related to which element of the marketing mix?

Accepted Answer

A)  product
B)  place
C)  production
D)  promotion
E)  price

Question 2

A(n)  __________ exists when a franchisor licenses individuals or firms to dispense a service under a trade name and specific guidelines.

Accepted Answer

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

Question 3

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.

Question 4

An inventory-management system whereby the supplier determines the product amount and assortment a retailer needs and automatically delivers the appropriate items is referred to as

Accepted Answer

A)  supplier-managed inventory.
B)  supply chain inventory.
C)  logistics-managed inventory.
D)  just-in-time inventory management.
E)  vendor-managed inventory.

Question 5

A vertical marketing system that involves a contractual relationship between a wholesaler and small independent retailers to standardize and coordinate buying practices, merchandising programs, and inventory management efforts is referred to as

Accepted Answer

A)  a service-sponsored retail franchise system.
B)  a retailer-sponsored cooperative.
C)  an administered vertical marketing system.
D)  a manufacturer-sponsored retail franchise system.
E)  a wholesaler-sponsored voluntary chain.

Question 6

Distributor is

Accepted Answer

A)  an imprecise term for intermediaries that perform a variety of distribution functions, including selling, maintaining inventories, extending credit, and so on.
B)  the term for an intermediary that sells only to manufacturers.
C)  the term for an intermediary that takes possession of a product, alters it in some way, and then sells it to the ultimate consumer.
D)  the term for an intermediary that sells only to consumers.
E)  the term for an intermediary that sells only to other intermediaries.

Question 7

Breath mints, bottled water, and newspapers most likely would use which type of distribution density?

Accepted Answer

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

Question 8

Extending credit to customers is an example of a __________ function.

Accepted Answer

A)  transactional
B)  logistical
C)  facilitating
D)  buying
E)  risk-taking

Question 9

There are four types of franchising arrangements. List the arrangements and provide a brief description of each.

Accepted Answer

Franchising is a contractual arrangement...

Question 10

A small electronics company has begun production of a small line of high-quality, professional studio-model components targeted at audiophiles who shop at thousands of specialty stores across the United States. How should the small electronics company best distribute its new products?

Accepted Answer

A)  Use its established indirect marketing channel.
B)  Distribute directly to mass market consumers.
C)  Distribute through agents that sell to specialty electronics stores that will feature the new line.
D)  Sell directly to specialty electronics stores that will feature the new line.
E)  Establish its own chain of electronics retail stores.

Question 11

Using the Internet to make products and services available for consumption or use by consumers or organizational buyers is referred to as

Accepted Answer

A)  electronic distribution channels.
B)  virtual marketing channels.
C)  World Wide Web networks.
D)  Internet marketing channels.
E)  Web 3.0 marketing channels.

Question 12

__________ is a special kind of tying arrangement. This practice involves a supplier requiring that a channel member carry its full line of products in order to sell a specific item in the supplier's line.

Accepted Answer

A)  Resale restriction
B)  Full-line forcing
C)  Vertical integration
D)  Exclusive dealing
E)  Refusal to deal

Question 13

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.

Question 14

Franchising refers to

Accepted Answer

A)  a contractual agreement between multiple retailers sharing the same business mission to operate with a consistent business model to not only achieve enhanced buying power but also increase customer loyalty.
B)  a contractual arrangement between a parent company and an individual or firm that allows the latter to operate a certain type of business under an established name and according to specific rules.
C)  purchasing the name, branding, and raw materials from one organization and transferring it to another.
D)  a practice whereby one firm's marketing channel is used to sell another firm's product.
E)  selling an idea to a larger company and letting it do all the manufacturing, distribution, and marketing.

Question 15

Resale restrictions have been prosecuted under the

Accepted Answer

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

Question 16

The three major types of vertical marketing systems are corporate, contractual, and

Accepted Answer

A)  administered.
B)  integrated.
C)  cooperative.
D)  delegated.
E)  manufacturer-dominated.

Question 17

Schwan's Sales Enterprises of Marshall, Minnesota, markets a full line of frozen foods in 49 states and parts of Canada using door-to-door salespeople who sell from its refrigerated trucks. This particular method of distribution is referred to as

Accepted Answer

A)  an indirect channel.
B)  a direct channel.
C)  a facilitated channel.
D)  a customer-service channel.
E)  a truck-jobber channel.

Question 18

You probably own several pairs of shoes. Further, it is likely you purchased those shoes at retail stores located in a shopping mall and not directly from the manufacturer. In fact, most products are brought to you from a series of other individuals or firms known as a

Accepted Answer

A)  marketing network.
B)  distribution hierarchy.
C)  marketing chain.
D)  distribution matrix.
E)  marketing channel.

Question 19

Creating product assortments from several sources to serve customers is an example of a __________ function.

Accepted Answer

A)  transactional
B)  facilitating
C)  selling
D)  logistical
E)  risk-taking

Question 20

The output of a supply chain is the

Accepted Answer

A)  units of products delivered.
B)  total generated revenue.
C)  service delivered to customers.
D)  total number of customers served.
E)  total profits realized.

Exam 15: Managing Marketing Channels and Supply Chains

Logistics is most closely related to which element of the marketing mix?

Correct AnswerverifiedShow Answer

A vertical marketing system that involves a contractual relationship between a wholesaler and small independent retailers to standardize and coordinate buying practices, merchandising programs, and inventory management efforts is referred to as

Correct AnswerverifiedShow Answer

Creating product assortments from several sources to serve customers is an example of a __________ function.

Correct AnswerverifiedShow Answer

A small electronics company has begun production of a small line of high-quality, professional studio-model components targeted at audiophiles who shop at thousands of specialty stores across the United States. How should the small electronics company best distribute its new products?

Correct AnswerverifiedShow Answer

The three major types of vertical marketing systems are corporate, contractual, and

Correct AnswerverifiedShow Answer

A(n) __________ exists when a franchisor licenses individuals or firms to dispense a service under a trade name and specific guidelines.

Correct AnswerverifiedShow Answer

Schwan's Sales Enterprises of Marshall, Minnesota, markets a full line of frozen foods in 49 states and parts of Canada using door-to-door salespeople who sell from its refrigerated trucks. This particular method of distribution is referred to as

Correct AnswerverifiedShow Answer

Extending credit to customers is an example of a __________ function.

Correct AnswerverifiedShow Answer

__________ is a special kind of tying arrangement. This practice involves a supplier requiring that a channel member carry its full line of products in order to sell a specific item in the supplier's line.

Correct AnswerverifiedShow Answer

You probably own several pairs of shoes. Further, it is likely you purchased those shoes at retail stores located in a shopping mall and not directly from the manufacturer. In fact, most products are brought to you from a series of other individuals or firms known as a

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Distributor is

Correct AnswerverifiedShow Answer

There are four types of franchising arrangements. List the arrangements and provide a brief description of each.

Correct AnswerverifiedFranchising is a contractual arrangement...View AnswerShow Answer

Breath mints, bottled water, and newspapers most likely would use which type of distribution density?

Correct AnswerverifiedShow Answer

Resale restrictions have been prosecuted under the

Correct AnswerverifiedShow Answer

The output of a supply chain is the

Correct AnswerverifiedShow Answer

Franchising refers to

Correct AnswerverifiedShow Answer

A direct channel exists when

Correct AnswerverifiedShow Answer

An inventory-management system whereby the supplier determines the product amount and assortment a retailer needs and automatically delivers the appropriate items is referred to as

Correct AnswerverifiedShow Answer

Using the Internet to make products and services available for consumption or use by consumers or organizational buyers is referred to as

Correct AnswerverifiedShow Answer

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Franchising is a contractual arrangement...
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