Marketing 3250 Exam #2
What are two of the most meaningful measures of retailing's impact on the global economy? A. # of employees B. countries served C. products offered D. sales volume
A, D
What are the three major types of vertical marketing systems? A. corporate B. administered C. contractual D. logistical E. transactional F. facilitating
A,B,C
Which are forms of nonstore retailing? (Select all that apply) A. direct mail B. automatic vending C. hypermarkets D. category killers E. telemarketing
A,B,E
When designing a supply chain that meets customer requirements and aligns with strategy, what are the two goals that firms try to achieve? A. to be more efficient B. to be more personalized C. to be more responsive D. to be less connected
A,C
Reverse logistics is ______. A. the use of specialized firms to perform most or all logistics functions, instead of performing them in-house B. the process of reclaiming recyclable and reusable materials for repair, redistribution, or disposal C. the development of customer service standards for consumer returns D. the combining of many small shipments into larger lots that can then be transported at reduced rates
B
Compared to marketing channels for consumer products, business channels exhibit what characteristics? (Select all that apply) A. the channel is typically very long B. the channel is typically shorter C. the complexity of business transactions requires the use of many intermediaries D. the channel tends to rely on one intermediary or none at all
B, D
What are the three general types of retail ownership? A. licensing arrangements B. contractual systems C. consignment systems D. corporate chain E. independent retailer
B, D, E
As part of its integrated marketing communication strategy, Taco Bell utilized commercials aired during the Super Bowl. This form of ________ has an extremely large reach and hefty price tag.
advertising
The individuals or firms involved in the process of making products available to consumers or industrial users are referred to as a ______.
marketing channel
________ are important because they provide utilities to consumers and have a significant positive impact on the economy.
retailers
Professionally managed and centrally coordinated marketing channels that are designed to achieve channel economies and maximize marketing impact are known as ______.
vertical marketing systems
A student goes onto Amazon.com to purchase a biology textbook that was published by McGraw-Hill Higher Education and then sold to Amazon through a book wholesaler. In this marketing channel, Amazon.com would best be classified as a
virtual retailer
A(n) ________ is an intermediary who sells Hope Springs' bottled water to retailers such as The Coffee Collective.
wholesaler
In a consumer market, an intermediary who sells to other intermediaries is called a(n) ______.
wholesaler
Body Glove's social media managers have been creating a series of lifestyle videos that highlight the benefits of physical fitness and yoga through its "Create Happiness" campaign. ________ allows customers to become subscribers to ensure they never miss a new posting.
youtube
When Martha was starting The Coffee Collective, she purchased the right furniture, painted with certain colors, hired the right employees, and is now selling appropriate snacks. These are all examples of which component of the retail mix?
communication
Those activities that focus on getting right amount of the right products to the right place at the right time at the lowest possible cost are known as ______.
logistics
To improve its inventory turnover, Amazon shares purchasing forecasts and sales information with its suppliers to ensure that the right amount of the right product arrives at the right place at the lowest possible cost. When Amazon and its suppliers work together to move a product from the source of raw materials to consumption, it is an example of
logistics
Amazon and its suppliers have an intense focus on cost and efficiency in the supply chain with a goal of creating ________ for consumers.
lower prices
What statement is TRUE about marketing channels? A. indirect channels are longer than direct ones B. the more intermediaries, the shorter the channel C. more intermediaries are involved in direct channels D. every channel must have a retailer in it
A
What are the two axes on the retail positioning matrix? A. breadth of product line B. depth of product line C. value added D. number of outlets
A, C
What are two important benefits provided by retailers? A. They provide value in the form of consumer utilities. B. They lower prices for consumers by eliminating unnecessary intermediaries. C. They have a positive impact on the economy D. They ensure fair competition in consumer markets.
A, C
Which items should be considered as part of total logistics cost? (Select all that apply) A. materials handling and warehousing B. marketing research C. order processing D. sales promotion costs
A, C
What is the purpose of a marketing channel? A. It directs the flow of all of a firm's promotional efforts so that the communication message is clear. B. It brings all of a firm's retailers together in terms of what they will charge for the firm's product. C. It makes possible the flow of products and services from a producer, through intermediaries, to a buyer. D. It directs the distribution efforts of a firm's suppliers to ensure optimal delivery time frames are met.
C
What intermediary sells specifically to consumers?
retailer
What are the three common ways that retail outlets can be classified? A. # of outlets B. # of employees C. merchandise line D. form of ownership E. level of service
C, D, E
Five of the 40 largest businesses in the United States are
retailers
What is an advantage of television home shopping? A. interactive experience for the customer B. searchable; allows customers to find desired products C. imparts a sense of exclusivity to products D. broad reach possible; available in millions of homes
D
If the management team needed to hire a product manager to manage Body Glove's new line of shoes for men and women, which social media network would be the best source of leads?
The ________ of the real and digital worlds will allow both student groups to actively engage students through the increasingly popular use of mobile marketing techniques.
convergence
If Young Explorers wants to only pay for those marketing initiatives that are successful in building the size of its membership, which of the following metrics would it use?
cost per action (cpa)
If Green Team wants to understand the costs associated with simply building awareness within the student body, which of the following metrics would it use?
cost per thousand (cpm)
One goal for Body Glove's social media managers is to create content that will result in a high level of ________ which can be measured by the number of likes, comments, shares, and content interactions.
customer engagement
________, as it pertains to a supply chain, is the ability to satisfy users in terms of time, dependability, communication, and convenience.
customer service
The Coffee Collective, a(n) ________, is the most common form of retail ownership.
independent retailer
Assume that Body Glove paid Kylie Jenner to wear its 80s throwback hot pink one-piece swimsuit on her vacation in Mexico with an expectation that Kylie would be photographed in the Body Glove swimsuit and appear across social media channels. Body Glove is using ________ to promote their swim line.
influencer marketing
Taco Bell allocates its promotional budget to 70 percent traditional media, which includes television advertising; 20 percent to digital media, which includes website development; and 10 percent to new media channels. The fact that the message consumers receive is the same regardless of which channel delivers it reflects Taco Bell's dedication to
integrated marketing communications (IMC)
The highest level of distribution density in which products and services are placed in as many outlets as possible, is known as _____________ distribution.
intensive
The over 1 million ATM machines owned by Visa are an example of Visa's strategy to provide a(n) _______ distribution of cash.
intensive
Breadth and depth of _______ is a way to classify retail outlets.
merchandise
Decisions by The Coffee Collective regarding which type of organic dog biscuit to offer is an example of which retail mix component?
merchandise
To keep consumers coming to the Mall of America from around the world, mall management must ensure that the retail offerings at the mall include a mix of national department stores and specialty retail. The mix of retailers at the Mall reflects the ________ element of the retailing mix.
merchandise
Independently owned firms that take title to the merchandise they handle, are classified as either full-service or limited-service, and go by names like industrial distributor are known as ______.
merchant wholesalers
During the creative process, Taco Bell considered a number of different slogans, finally setting on Live Mas! The Live Mas! campaign reinforces Taco Bell's position as a dynamic brand whose customers enjoy experiencing the world and trying things first. Live Mas! is Taco Bell's ________ in the communication process.
message
Many logistics costs are interrelated; for example, increasing inventory costs with additional warehouses should result in ______.
reduced transportation costs
Form of ownership, level of service, and merchandise line are ways that ________ can be classified.
retail outlets
The process of reclaiming recyclable and reusable materials, returns, and reworks from the point of consumption or use for repair, remanufacturing, redistribution, or disposal is known as ______ logistics.
reverse
Given Hope Springs' focus on the environment, it actively practices ________ to support retailers' water bottle recycling initiatives by collecting their used water bottles and reusing or disposing the plastic whenever possible.
reverse logistics
In order to effectively classify social media channels and locate the right channel to increase overall influence, Green Team needs to understand the type of social interaction and the media ________, which is the degree of personal contact between the organization and potential members.
richness
To give consumers an incentive to try its new Doritos Locos tacos, Taco Bell gave out free samples of the new tacos to its customers. The free Doritos Locos tacos giveaway is an example of
sales promotion
If Young Explorers realizes that Gabby reacts better to social media than traditional marketing methods because of the ability to post relevant messages instantaneously, this would represent which difference between traditional and social media platforms?
time to delivery
Four utilities are provided by retailers in varying degrees. They are ______.
time, place, form, possession
Expenses associated with transportation, materials handling and warehousing, inventory, stockouts, order processing, and return goods handling are included in ______.
total logistics cost
When measuring the effectiveness of her retailing strategy, Martha decides to measure the sales per square foot, which is calculated by dividing ________ by selling area in square feet.
total sales
When communicating with its target audience, Taco Bell considered each of its ________, including social media channels, packaging, point of purchase displays, and advertising. These places of contact between a firm and its customers are critical elements for building an integrated marketing communication plan.
touch points
Channel conflict occurs between ______.
two different channel members
The ______ provided by retailers that create value for consumers are time, place, form, and possession
utilities
Food and beverage make up the bulk of merchandise sold through which form of nonstore retailing?
automatic vending
In the retail positioning matrix, the Mall of America would be positioned in the ________ breadth of product line, and ________ value added quadrant.
broad; high
Shoppers on Amazon.com have differing needs that must be satisfied during the exchange, which often include the need for information, convenience, variety, and/or pre- or postsale services. These needs are collectively referred to as
buyer requirements
What are the two major types of agents used by producers?
selling; manufacturers
In the context of a supply chain, customer ____________ is the ability of logistics management to satisfy users in terms of time, dependability, communication, and convenience.
service
Twitter, Facebook, Vine, Instagram, and Snapchat were all utilized to engage customers during the Doritos Locos tacos introduction as part of the ________ component of the campaign.
social media
To accomplish a successful repositioning of the brand, Taco Bell needed to inform its consumers that Taco Bell food should be thought of as an experience rather than as just fuel. In the communication process, Taco Bell would be the ________ and the consumer would be the ________.
source; receiver
European Foods Inc is a full-service wholesaler that serves the greater metropolitan area of a large U.S. city. It specializes in high-end food imported from Europe. European Foods is a ______ merchandise wholesaler.
specialty
Carlos' firm manufactures custom-made furniture that is sold through various furniture retailers. Carlos sources the wood he needs from various lumber manufacturers and uses a distributor to get his products to the retail stores for sale. The suppliers of the wood, the distributor, and the retail stores are all part of a ______.
supply chain
________ are typically designed to be either responsive or efficient, depending upon a firm's strategy to meet customer requirements.
supply chains
When one channel member believes another channel member is engaged in behavior that prevents it from achieving its goals, ________ arises.
channel conflict
Defining retail strategy helps a firm to set which two of the following? A. store positioning B. retail mission C. corporate strategy D. retailing mix
A, D
What are two benefits associated with reverse logistics? A. improved customer service B. reduced waste in landfills C. lowered operating costs for companies D. improved cooperation of channel intermediaries
B,C
A retailer is an intermediary that sells to ______.
consumers
One of the major drawbacks of online shopping is the lack of instant gratification because consumers must wait for their products to be delivered. One of Amazon's recent innovations is the development of unmanned aerial drones that allow Amazon to provide its customers with faster delivery service—in some cases, 30-minute delivery. This innovation in supply chain management serves as an example of innovation driven by an understanding of the
customer
Retail store positioning begins with a clearly defined ______.
customer value proposition
What has been described as the "new science of retailing"?
data analytics
By satisfying the customer service factor of ________, the distributor will ensure that deliveries of Hope Springs' bottled water to The Coffee Collective are consistent in lead-time, will arrive safely, and are complete.
dependability
Retailers can be categorized in terms of the ________ and ________ of the product lines they carry.
depth; breadth
Amazon and Orbitz are both part of _______ marketing channels.
digital
Opentable.com is a reservation mechanism for restaurants. It uses the Internet to allow consumers to reserve tables in many establishments throughout the United States. It is an example of a ______.
digital marketing channel
When Jeff Bezos founded Amazon.com in 1994, he was laying the foundation for the world's largest ________, because Amazon.com uses the Internet to make its products and services available to its consumers.
digital marketing channel
________ selling involves sales of goods and services to consumers through personal interactions and demonstrations in their home or office.
direct
What are the two types of marketing channels?
direct and indirect
What marketing channel allows consumers to buy products by interacting with various print or electronic media instead of a face-to-face meeting with a salesperson?
direct to consumer marketing
An arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product is known as ______.
dual distribution
GE sells its large appliances directly to home and apartment builders but uses retail stores like Lowe's to sell to consumers, in a strategy known as ______.
dual distribution
Level of service is one method of classifying retail outlets; the highest level is known as __________ service, and the lowest level is called _______ service.
full; self
Amazon.com is an Internet retailer used by many consumers. Which of the following represents the BEST advantage it has over an in-store retailer?
greater variety
The retail life cycle describes the stages of ________ and ________ for a retail outlet.
growth; decline
One advantage of using the ______ to shop compared to ______ is that it is much easier to comparison shop for the best price.
internet; retail
The ________ function represents the role that Hope Spring's distributors have in storing, sorting, and transporting bottled water to the Coffee Collective.
logistical
Glenda's Gift Baskets has several retail stores located in the Midwest. The company also sells gift baskets on its website and during the holidays, it sends out catalogs to its target market. What type of retailer is Glenda's Gift Baskets?
multichannel retailer
Direct selling is a form of _______ retailing.
non store
Selling brand name merchandise at lower than regular prices by buying excess inventory at prices below wholesale prices is known as ______ retailing.
off-price
Amazon creates many utilities for its customers, but perhaps the most valuable utility for consumers is ________, the utility created by having the offerings available where consumers need it, on Amazon.com.
place
The Mall of America, while located in chilly Minneapolis, MN, is located at the intersection of major freeways, with easy access to a major airport in a thriving metropolitan area. Store location is to the retailing mix as ________ is to the marketing mix.
place
To create ________ utility for her customers, Martha decides to open The Coffee Collective close to the college campus.
place
To compete with the convenience of online retail, the Mall of America offers a mix of sit-down dining, fast casual, and fast food dining choices. The various dining experiences are a ________ for Mall of America as compared to online malls.
point of differentiation
An off-________ retailer is one that offers an inconsistent assortment of brand name merchandise at low prices.
price
The Mall of America is currently more than 4.87 million square feet and has more than 400 stores—with plans for expansion. With its large size and diverse retail offerings, the Mall of America would best be classified as a
regional shopping center
The Mall of America utilizes ________ because it combines the traditional elements of promotion (including advertising, social media, and personal selling) with functional and psychological elements to position the mall and create its high-end image.
retail communication
Independent ownership, corporate chain, and contractual systems are the three general forms of ______.
retail ownership
The set of activities involved in selling, renting, and providing products and services to ultimate consumers for personal, family, or household use is referred to as ______.
retailing
Retailing includes all activities involved in selling, renting, and providing product and services to ______.
ultimate consumers
Body Glove encourages its consumers to post photographs and videos of themselves enjoying their Body Glove products on social media websites with the hashtag #bodyglove. These images and videos would be classified as ________.
user generated content
