Marketing Chapter 10
Which of the following is an example of horizontal channel conflict?
A Ford dealer complaining that another Ford dealer is advertising in its territory.
_______________________ is an example of horizontal channel conflict.
A Subaru dealer complaining that another Subaru dealer is advertising in its territory
Large retailers like Walmart have enormous channel control due to their size and power. Which type of channel arrangement does this represent?
Administered VMS
What are the four steps to designing marketing channels, in the correct order?
Analyzing consumer needs, setting channel objectives, identifying major channel alternatives, and evaluating the alternatives.
Which of the following statements regarding marketing logistics is NOT TRUE?
Companies are placing less emphasis on logistics and more on constraining costs
In which of the following is vertical conflict, conflict between different levels of the same channel, common?
Franchise organizations
The ____________ concept recognizes that improved logistics requires teamwork in the form of close working relationships across functional areas inside the company and across various organizations in the supply chain.
Integrated supply chain management
Producers of a strong brand sometimes sell it to dealers only if the dealers will take some or all of the rest of its line. This is known as full-line forcing. Which of the following statements is true regarding full-line forcing?
It may or may not be legal.
______________ begins with analyzing consumer needs and setting channel objectives.
Marketing channel design
Which of the following is a reason that producers use marketing channels and channel intermediaries?
Marketing channel members are able to transform the assortments of products made by producers into the assortments wanted by consumers.
The four major functions of marketing logistics are __________________________.
Warehousing, inventory management, transportation, and logistics information management
What are the four major functions of logistics?
Warehousing, inventory management, transportation, and logistics information management
Distribution channels are complex ______________ in which people and companies interact to accomplish individual, company, and channel goals.
behavioral systems
Which of the following describes layers of intermediaries performing some of the work to bring the product and its ownership closer to the final buyer?
channel levels
To help complete transactions, channel members perform these functions: _____________________.
contact work, matching work, and negotiations
Sherwin-Williams sells its paint and other branded products exclusively through company-owned retail stores. Sherwin-Williams has established a(n) _________.
corporate VMS
Channels often involve long-term commitments, and companies have many alternatives. Each alternative should be evaluated against three general criteria. What are these?
economic, control, and adaptability
Companies such as Breitling watches and Pandora charm bracelets use which of the following types of distribution strategy?
exclusive
Companies today see channel members as ______________ and practice strong partner relationship management.
first-line partners
When selecting intermediaries, the company should evaluate each channel member's years in business, other lines carried, location, _______________________.
growth and profit record, cooperativeness, and reputation
In determining the number of channel intermediaries, there are three strategies available. These are _________________.
intensive, exclusive, and selective distribution
In managing its channels, a company must convince suppliers and distributors that they can succeed better by working together as _______________.
part of a cohesive value delivery system
Most companies see their intermediaries as first-line customers and partners. They practice strong _____________________ management to forge long-term partnerships with channel members.
partner relationship
Most companies today see their intermediaries as first-line customers and focus on ________ to forge long-term relationships with channel members.
partner relationship management
_____________________ software systems enable companies to coordinate their whole-channel marketing efforts.
partner relationship management
Other functions of marketing channel members include helping to fulfill the completed transactions by offering ____________________________.
physical distribution, financing, and risk taking
When setting marketing channel objectives, companies should state the objective in terms of ______.
targeted levels of customer service
When the company has defined its channel objectives, it should next identify its major channel alternatives in terms of the types of intermediaries, the number of intermediaries, and __________________.
the responsibilities of channel members
Most producers use intermediaries by forging a marketing channel (or distribution channel) to bring products and services to the consumer or business user. They do this because of _________, specialization, and scale of operation.
the intermediaries' contacts and experience
The second step of channel design is the identification of the major channel alternatives in terms of the _________________.
types of intermediaries, number of intermediaries, and the channel responsibilities of each member
Of the following, which most closely describes the method by which companies engage and create benefits for their customers?
value delivery network
A(n) _____ consists of producers, wholesalers, and retailers acting as a unified system.
vertical marketing system
When designing marketing channels, companies must determine the number of channel members to use at each level. The three strategies that are available to do this are ________ distribution.
intensive, selective, and exclusive
____________________ addresses not only outbound logistics, but also inbound logistics and reverse logistics.
marketing logistics
To ensure channel success, all channel firms should understand and accept their roles, _________________.
coordinate their goals and activities and cooperate to attain overall channel goals
Channels often involve long-term commitments, and companies have many alternatives. What type of criteria should be used if the company wants to keep the channel flexible so that it can respond to environmental changes?
Adaptability criteria
________________________ is the first step in marketing channel design.
Analyzing consumer needs
Marketing channels perform many key functions. Which of the following is NOT one of those key functions?
manufacturing
Many vital and key functions are performed by marketing channels. Of the following, which is NOT one of those key functions?
manufacturing and assembly
Intermediaries are used by most producers to bring products to market. These intermediaries are known as _________________________.
marketing channels
When evaluating channel member performance, companies use standards such as _______, ______, _____, treatment of damaged and lost goods, cooperation in company promotion and training programs, and services to the customer.
sales quotas, average inventory levels, customer delivery time
Which of the following indicates the length of a channel?
The number of intermediary levels in the channel
Which of the following statements is TRUE regarding the selection of qualified channel members?
Producers vary in their ability to attract qualified marketing intermediaries.