MKT test 4

Which of the following is a difference between a retailer channel and a wholesaler channel?

A retailer channel is most common when the retailer is large and can buy in large quantities, while a wholesaler channel is commonly used for low-cost items that are frequently purchased.

By working closely with its clients and understanding their needs, A Plus Z has improved its service encounter to a level that was not thought possible in mass retailing. Which of the eight critical business processes performed by supply chain managers does this best illustrate?

Customer service management

Which of the following is a difference between direct retailing and direct marketing?

Direct retailing representatives sell products door-to-door, while direct marketing allows consumers to shop from home

Which of the following is a primary function of the product development and commercialization process?

It INCLUDES the group of activities that facilitates the joint development and marketing of new offerings among a group of supply chain partner firms

Which of the following is a primary function of relationship integration in providing top-level service to customers?

It INCLUDES the ways in which two or more companies will collaborate on activities or projects so that a customer gains the maximum amount of total value possible from the supply chain.

Which of the following is an advantage of using customer care software?

It enables companies to enhance their customer service management process.

Which of the following is a primary function of materials management?

It encompasses the sourcing and procurement operations, signaling when raw materials will need to be replenished for the production of more goods

Which of the following is true of supplier relationship management?

It supports manufacturing flow by identifying and maintaining relationships with highly valued suppliers.

An effective materials-handling system:

MOVES inventory into, within, and out of a warehouse quickly with minimal handling.

Which of the following is a difference between off price retailers and specialty shops?

Off-price retailers focus on lean inventory management, while specialty shops are supported by an agile approach to inventory

Which of the following is a difference between online retailing and the click and collect process?

Online retailing enables customers to have items directly delivered to their doors; whereas in the click-and-collect process, customers travel to a physical store location to take delivery of the merchandise.

Specialty Blades designs precision cutting devices for varied applications. A recent project involved the company working closely with a medical device company to develop a combination scalpel and stapler that makes precise cuts on the tissue and staples closely, which results in less traumatic procedures and quicker patient recoveries. This is an example of which of the eight critical processes performed by supply chain managers?

Product development and commercialization

Which of the following is a difference between vertical conflict and horizontal conflict?

Vertical conflict occurs between different levels in a marketing channel, while horizontal conflict occurs among channel members on the same level

A large firm in the automotive aftermarket business wants to improve its current situation, which is characterized by excess inventory, incomplete information, high logistics costs, slow reactions to environmental change, and loss of profits at the retail level. Will supply chain management be of any help to the business?

Yes, supply chain management is designed to coordinate and integrate all the activities from raw materials to product consumption.

Choosing the right distribution channel for a service:

adds to customer convenience

To increase its revenues, an airline company decides to sell space on airsickness bags to companies that would like to use this unique channel for their promotional messages. In terms of the promotional strategy, the airsickness bags are being used for:

advertising

When a product is in the growth stage of its product life cycle, it is necessary to ensure that:

advertising and public relations continue to remain important

A freestanding store can become successful by:

becoming a destination store

Zeta is an American multinational retail corporation. To move ahead of its competitors and increase revenue, Zeta began to employ a system to determine which products to stock and at what prices, and how to advertise to draw target customers. The process employed by Zeta is called _____.

big data analytics

In the context of the several criteria based on which supply chain managers choose an appropriate mode of transportation, _____ is the ability of a carrier to provide the appropriate equipment and conditions for moving specific kinds of goods, such as those that must be transported in a controlled environment.

capability

_____ negotiate with one another, buy and sell products, and facilitate the change of ownership between buyer and seller in the course of moving a product from the manufacturer into the hands of the final consumer.

channel members

Asif wanted to buy a football immediately. He placed an order on Duke.com, an online portal for sports goods, and dropped in at its nearest physical store to collect it. This scenario is an example of _____.

click and collect

-- -- is the process by which meanings are exchanged or shared through a common set of symbols.

communication

The advertisements for ground coffee sold by Khokho's Inc. state, "The highest quality coffee doesn't have to be expensive." This is an example of how a product communicates its

competitive advantage

The fishing lures produced by Fun Lite Corporation are unique in that they are handcrafted. Advertising by the company emphasizes the point that how its lures, unlike others, are all handcrafted. This feature is the company's:

competitive advantage

Treat Bytes Inc., a food product manufacturing company, introduces a new range of protein-rich snacks targeted at vegetarians. The products have very low levels of fat and cholesterol that make them a healthy source of protein for vegetarians. These products are unique, and people consider them to be of the highest quality. These unique features of the products present Treat Bytes Inc. with a _____.

competitive advantage

Phoenix Automated Retail Services specializes in DVD rentals via automated retail kiosks. If consumers want a particular DVD, they can rent it from Phoenix instead of searching for it in various production studios. Phoenix therefore provides ___ for both consumers and the production studios.

contact efficiency

Retailers play a role in making distribution simpler by reducing the number of transactions required by consumers to make a purchase and by making an assortment of goods available in one location. This is called _____.

contact efficiency

Delta Company recruits and trains college students to sell educational reference books, software, and children's books door-to-door. This form of retailing is called:

direct retailing

-- -- compete on the basis of low prices, high turnover, and high volume.

discount stores

The AIDA concept

does not explain how all promotions influence purchase decisions

Future Market, a supermarket chain, uses bar codes for all its products. As soon as a product is sold, the information is electronically transferred to the firm's warehouse and the product's supplier. In addition, changes are automatically made to the firm's sales account and stock ledger. This helps the firm reduce its paperwork and makes managing inventory easier. This is an example of _____.

electronic data interchange

Lina and her friends decide to watch a movie at Lina's house. They watch the movie online on MovieStop.com. This business model is an example of _____.

electronic distribution

In a build-to-order environment, the transportation network:

eliminates the expense of storing inventories

Arise Food Corporation displays posters in supermarkets to promote its new range of pasta sauces. Which of the following stages of the communication process is the company engaged in during the course of promoting its products?

encoding

-- -- are inventories displayed for sale to customers.

floor stock

A(n) _____ refers to the originator of a trade name, product, methods of operation, and the like that grants operating rights to another party to sell its product.

franchisor

Wild Plus, a television channel dedicated to wildlife, organizes promotional events in several shopping malls across the city to promote its new wildlife adventure series. Articles about the new program are also published in local newspapers. Therefore, Wild Plus is engaged in:

generating publicity

Red Chilly Productions, a production studio based in the United States, decides to make a major change in its distribution strategy. It withdraws contracts from its retail partners and begins to operate its own rental store. This results in its retail partners filing several lawsuits against the company. This scenario is an example of _____.

horizontal conflict

Which of the following statements is true of the characteristics of the elements in a promotional mix?

important promotional ingredients tend to receive the most funding

Which of the following is an advantage of supply chain management to companies?

improved customer service

Which of the following statements is true of a promotional mix?

in advertising, the sponsor or company is identified

Which of the following is a disadvantage of using a manual, non-automated materials handling system?

increase risk of damage

Strategic retailing goals typically focus on:

increasing total sales

When Dernz Inc. introduced its ketchup globally, it first had to deal with the fact that ketchup is not a household staple outside the United States. The company had to show foreign users how ketchup can be used. In this case, Dernz had to rely primarily on _____ advertising to reach out to consumers.

informative

Two popular beverage manufacturing companies in different countries merge together to gain strategic advantages. The merger gives each brand access to a significantly larger market. To effectively reach both markets, the merged company needs to coordinate its promotional mix to produce a consistent, unified, and customer-focused message. In other words, the company needs to use:

integrated marketing communications

A television channel promotes its new reality show through print and broadcast advertising as well as personal appearances by show participants in promotional events, Web sites, and merchandise signed by the participants. To make sure that all of the promotional messages are coordinated, the television channel should use the:

integrated marketing communications approach (IMC)

Which of the following is true of supply chain agility?

it allows companies to adapt quickly and easily to customer needs

Which of the following is true of retail channel omnification?

it allows retailers to offer competitive prices across various outlets

Which of the following statements is true of the AIDA model?

it discusses how consumers respond to marketing messages.

Which of the following is true of click and collect?

it enables consumers to make their purchases online and pick up their orders from physical stores

Which of the following is true of the facilitating function performed by intermediaries?

it includes research and financing

Which of the following is true of channel conflict?

it is often cause by an unwillingness of traditional channel members to keep up with the changing times

Which of the following is true of a target market characterized by widely scattered potential customers, highly informed buyers, and brand-loyal repeat purchasers?

it requires a promotional mix with more ADVERTISING and less PERSONAL selling

Which of the following is true of a franchise?

it sells products under the brand name of a larger supporting organizational structure

Mezjo Inc. is a video store that sells DVDs and also sells popcorn, candy, soft drinks, and entertainment publications. It stores all of these products in separate warehouses and uses different modes of transportation to deliver them. Which of the following functions is described in this scenario?

logistical functions

The technique used to sift through data collected by point of purchase scanning equipment is called -- --.

market basket analysis

A _____ is a business structure of interdependent organizations that reaches from the point of production to the consumer and facilitates the downstream physical movement of goods through the supply chain.

marketing channel

ABC television network uses billboard, television, magazine, and newspaper advertising to inform viewers about new episodes of a popular television program. Therefore, ABC television network uses _____ communication to promote the television program.

mass

Soul Tech, a consumer electronics company, has suffered substantial losses while moving products from the assembly line to the warehouse and shipping docks. Soul Tech should consider reducing the number of times an item is moved in the warehouse by installing a(n):

materials-handling system

A proper promotional mix is one that -- --.

meets the needs of the target market

Indigo Blue Inc. is a distributor of equipment, component parts, and supplies in the United States. It has an ownership title to all its products.These products are stocked in both national and regional warehouses to guarantee product availability and quick service to the many manufacturers who are its customers. Based on this information, Indigo Blue Inc. is an example of a(n) _____.

merchant wholesaler

The goal of inventory management is to:

minimize inventory levels while maintaining an adequate supply of goods to meet customer demands.

Serena wants to buy a pair of sunglasses. She decides to buy it from Seekart, an online retail store. Seekart uses an automated system to process its customers' purchases and sends the information to the manufacturer's warehouse, which directly ships the required products to the customers. This system employed by Seekart is called a(n) _____.

order processing system

A manufacturer's or supplier's use of an independent third party to manage an entire function of the logistics system, such as transportation, warehousing, or order processing, is called:

outsourcing

-- -- occurs when a firm refuses to meet specific obligations or fails to change when new situations arise.

passive opportunism

Cover Board Inc. is a company that designs and prints advertisements on coffee sleeves used on cups sold in coffee shops. To find clients to advertise on the coffee cup sleeves, the company sends a representative to other companies to explain them the benefits of advertising on these sleeves. In this case, which of the following promotional strategies is used by Cover Board Inc.?

personal selling

The promotional mix elements that should be emphasized for products moving into the growth stage of the product life cycle are:

personal selling and persuasive advertising

-- -- promotion is designed to stimulate a purchase or an action.

persuasive

_____ refers to communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence an opinion or elicit a response.

promotion

A(n) _____ is the combination of advertising, personal selling, sales promotion, social media, and public relations that are used to reach the target market and fulfill an organization's overall goals.

promotional mix

In 2008, the NBC television network used marketing tools such as advertising, personal selling, public relations, and sales promotion to communicate with its target audience about its new reality show. The television network's _____ described its plan on how to use these tools most effectively.

promotional strategy

The National Pork Board of the United States wants to create more consumer demand for pork products. The board decides on how to use advertising, public relations, personal selling, sales promotion, and social media to create a coordinated plan that will become an integral part of its marketing functions. Thus, the board is developing a _____.

promotional strategy

A similarity between the customer relationship management process and supplier relationship management process is that both:

provide structural support for developing and maintaining relationships with their respective supply chain partners

A beverage company plans to launch a new energy drink. It decides to partly sponsor a marathon in the city. It places billboards and posters describing the new drink throughout the marathon route. Company representatives distribute flyers to people arriving to watch the marathon. The company also issues press releases as part of the product launch. Therefore, the company is executing a:

public relations strategy

The goal of most supply management activities is to:

reduce the cost of raw materials and supplies

Roubov Inc. is a chain of American department stores that sells clothing, furniture, home appliances, and toys.It buys its goods in large quantities directly from a manufacturer. Based on this information, Roubov Inc. most likely makes use of a(n) _____.

retailer channel

Which of the following is a difference between a push and a pull strategy?

retailers are targeted in a push strategy, while opinion leaders are targeted in a pull strategy

A -- -- channel enables a consumer to return a product when it reaches the end of its useful life

reverse

_____ consists of all marketing activities that stimulate consumer purchasing, such as coupons, contests, free samples, and trade shows

sales promotion

Which of the following is true of sales promotions?

sales promotions include experiential marketing whereby marketers create events that enable customers to connect with brands

Advent Automobiles Inc. launches a new sport utility vehicle. The company places advertisements in leading newspapers and social media sites to reach out to consumers. In the context of the communication process, Advent Automobiles Inc. is the _____.

sender

-- -- is an emerging trend that employs market data to best serve customers as they prepare to make a purchase.

shopper marketing

Tipplers Delight is a liquor store that sells a wide assortment of alcoholic beverages. Tipplers Delight is an example of a _____.

specialty store

Alpha Beta Inc. is a self-service shop that offers a wide variety of foods and household products, organized into aisles. Alpha Beta is a _____.

supermarket

A company's _____ includes all of the companies involved in all of the upstream and downstream flows of products, services, finances, and information, from initial suppliers to the ultimate consumer.

supply chain

Grand Tree Doors does not make a door until an order is received. It promises product delivery within five working days because of the excellent relationship it has established with its suppliers. The partnering relationship that Grand Tree Doors shares with its suppliers and its ability to promptly serve its customers indicate that it has an efficient _____.

supply chain management

_____ is any potential disruption that threatens a supply chain's efficient and effective operations.

supply chain risk

A(n) _____ is best described as an entire group of individuals who orchestrate the movement of goods, services, and information from the source to the consumer.

supply chain team

Brewdom, a leading multinational beverage corporation, has teamed up with Wealth from Waste to develop a plan to improve the reverse logistics of used beverage bottles for recycle and reuse. Together, Brewdom and Wealth from Waste have plans to deploy thousands of "Recycle Machines" in both permanent and temporary locations that will take empty bottles and provide rewards to consumers who participate. These companies are practicing _____.

sustainable supple chain management

The major characteristic that is used to differentiate intermediaries from one another is whether they:

take title to the products they sell

Through the use of computer-generated shipping notices, AllCare Hardware successfully removes unnecessary costs in its supply chain. According to its vice president of inventory for the retailer, "Information that had to be gathered through three or four phone calls before is now just one click away." This is an example of the use of _____.

technology and planning integration

Which of the following statements is true of advertising?

the cost per contact in advertising is low

Sustainable supply chain management primarily involves:

the integration and balancing of environmental, social, and economic thinking into all phases of the supply chain management process

Which of the following is true of specialty stores?

they carry a deeper but narrower assortment of merchandise within a single category of interest

Which of the following is true of non traditional channels?

they help differentiate a firm's product from the competition

DutiLog is a firm that specializes in providing warehousing, order processing, and transporting solutions to a diverse group of firms. Firms contract DutiLog to manage a part or most of their order fulfillment process. Thus, DutiLog is an example of a:

third-party logistics company

-- -- means persuading customers to buy a higher priced item than they originally intend to purchase.

trading up

A similarity between materials requirement planning (MRP) and distribution resource planning (DRP) is that both inventory systems:

use various inputs, such as sales forecasts, available inventory, and so on, to determine what needs to be done to replenish goods at all points in the supply chain

_____ reflects inventory that is being assembled or manufactured from its raw state into finished goods for sales.

work in process inventory