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WorksheetsTUTORIAL 10: MARKETING CHANNELS
Total questions: 31
Worksheet time: 15mins
When suppliers, distributors, and customers partner with each other to improve the performance of the entire system, they are participating in a ________.
value delivery network
channel of distribution
supply chain
demand chain
supply and demand chain
Producers benefit from using intermediaries because they ________.
offer greater efficiency in making goods available to target markets
bring a fresh point of view to strategy development
eliminate risk
are generally backlogged with orders
refuse to store products for longer than a few days
Which of the following is NOT a key function that intermediaries play in completing transactions?
promotion
information
negotiation
financing
matching
In marketing terms, we say that the number of intermediary levels indicates the ________ of a channel.
depth
complexity
involvement
length
width
One advantage of using a channel of distribution over selling direct to consumers is that each channel member plays a ________ in the channel.
time-saving part
specialized role
decisional role
informational role
disciplinary role
An advantage of a vertical marketing system (VMS) over a conventional distribution channel is that it acts as a ________ system.
unified
democratic
socially responsible
customer-driven
task-driven
As marketing manager for Globe Imports and Exports, you want to start reaping the benefits of a multichannel distribution system. You will likely enjoy all of the following EXCEPT which one?
expanded sales
expanded market coverage
selling at a higher gross margin
opportunities to tailor products and services to the needs of diverse segments
A and D
Due in a large part to advances in technology, ________ is a major trend whereby product and service producers are bypassing intermediaries and going directly to final buyers, or radically new types of channel intermediaries are emerging to displace traditional ones.
the vertical marketing system
the corporate marketing system
disintermediation
the corporate merger
the hostile takeover
Sometimes a producer chooses only a few dealers in a territory to distribute its products or services. Generally these dealers are given a right to ________ distribution.
exclusive
selected
intensive
administered
corporate
Marketing logistics involves getting the right product to the right customer in the right place at the right time. Which one of the following is NOT included in this process?
planning the physical flow of goods and services
implementing the plan for the flow of goods and services
controlling the physical flow of goods, services, and information
gathering customer's ideas for new products
planning the flow of logistics information to meet customer requirements at a profit
Which of the following would be considered an upstream partner in a company's supply chain?
a firm that resells a finished product and shares the net sales with the producer
a firm that provides technical expertise in the production of a product
a firm that markets a product to consumers through social media
a firm that buys products at wholesale cost from the company
a firm that exclusively markets a product to other businesses
________ are sets of interdependent organizations that help make the product or service of a company available for use by consumers or business users.
Research and development channels
Upstream channels
Marketing channels
Raw materials suppliers
Backward integration chains
Mary Kay Cosmetics and Amway sell their products through home and office sales parties, online Web sites, and social media. Both companies use a(n) ________ channel to distribute their offerings.
functional
indirect
direct
layered
behavioral
A firm that uses direct marketing would most likely sell its products through ________.
one marketing intermediary
big box retailers
large wholesalers
multiple intermediaries
the company Web site
Vertical conflicts in distribution channels are conflicts that occur between ________.
same levels in the same channel
different levels of the same channel
same levels of different channels
different levels of different channels
retailers and customers
After setting channel objectives, a company should determine the type and number of intermediaries it needs to use.
TRUE
FALSE
Judy Smith is the manager of the local McDonald's franchise in Carterville. Recently the home office did not let her participate in co-op advertising like the other McDonald's in her district. Now she is irritated and demands fairness. This is an example of horizontal conflict.
TRUE
FALSE
Disintermediation has occurred when an online marketer takes business away from traditional brick-and-mortar retailers.
TRUE
FALSE
Wholesaling includes all the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use.
TRUE
FALSE
Intensive distribution seeks many outlets in a market, while selective distribution seeks only one outlet in a given market area.
TRUE
FALSE
An administered vertical marketing system integrates successive stages of production and distribution under single ownership.
TRUE
FALSE
Which intermediary in the distribution process follows the wholesaler?
Consumer
Sales Representative
Retailer
Agent
This type of transportation is cheap and is great for bulky, non-perishable items, however, it is slow.
Truck
Rail
Ship/Water
Air
How/where a product will be distributed
Price
Place
Promotion
Product
This is the most flexible on land type of transportation
Ship
Railroad
Pipeline
Truck
A channel is any intermediary which participates in the flow of good and services from '...............' to the final '...............'
Consumer / Distributor.
Producer / Consumer.
Retailer / Distributor.
Consumer / Producer.
Retailer / Agent.
Online selling of products, which manufacturers or retailers sell their products to consumers over the internet refers to
B2B (Business to Business).
B2C (Business to Consumer).
B2G (Business to Government).
C2B (Consumer to Business).
C2C (Consumer to Consumer)
What are the key fundamentals of Channel selection ?
Select more than 1 answer.
Determination of overall strategy.
Choosing the right logistic partner.
What is your value proposition.
Identify production cost.
How to segment the customers.
What type of distribution strategy is used by Coca-Cola?
Direct Distribution
Indirect Distribution
Vertical Marketing Strategy (VMS)
Which intermediary best offers customers convenience, such as parking / finding needed products
Wholesaler
Discount store
Internet store
Spaza shop
Which intermediary has a disadvantage - unfair in dealings e.g. incorrect product / delays
Wholesaler
Discount store
Internet store
Spaza shop
