MKTG Chapter 14 Quiz

For which of the following products would exclusive distribution be most appropriate?

Rolls Royce automobile

Piggyback, fishyback, and birdyback are terms usually associated with gaining efficiency in shipping through

containerization.

A goal of logistics is to reduce ____ or how long it takes to complete a process.

cycle time

When Jennifer buys organic produce for her household using a channel with just one intermediary, that intermediary is classified as a

retailer

What is a primary difference between an industrial distributor and a manufacturers' agent?

A manufacturers' agent does not acquire title nor usually take possession of the products whereas an industrial distributor does.

Suppose that Faust Distributing has been told that it cannot carry the beers made by Anheuser-Busch because it also carries the products of the competitor, Miller Brewing Company. Faust is then told that it must drop the Miller brands in order to carry the Anheuser-Busch products. If this were true, Anheuser-Busch would be engaging in which of the following channel management practices?

Exclusive dealing

_______ involves developing and maintaining adequate assortments of products to meet customers' needs.

Inventory management

Which of the following is an advantage of using an industrial distributor?

They help reduce a producer's financial burdens by extending credit to customers.

A channel that includes both a manufacturers' agent and an industrial distributor is appropriate under which of the following circumstances?

When the marketer wishes to enter a new geographic market but does not wish to expand the existing sales force

Cassy and James both are buying new iPhones this week. Cassy goes to the Apple store because she wants to actually see the phone before she makes a final decision. James knows that he does not need to see the phone, because he just wants an upgrade from his older version. He simply orders it online from apple.com. Cassy is purchasing her phone through _____, while James is purchasing his through _____.

a retailer; a direct-marketing channel

When a single channel member manages an integrated marketing channel to achieve low-cost, effective distribution for satisfying target markets, ____ exists.

a vertical marketing system

When produce companies such as Dole Bananas bypass wholesalers and sell directly to retailers, it is likely to

create channel conflict between Dole and these wholesalers.

The driving force behind marketing channel decisions should be

customer satisfaction.

Tesco is a large U.K. supermarket. The firm's supply chain operates using a number of _______ to receive, store, and redistribute its many goods. Two of these facilities are used for frozen food. Many of the facilities are designed for the rapid flow of food products. They use automation such as forklifts and hoists to collect and move products to loading docks.

distribution centers

Companies that sell products with high profit margins are more likely to use _______. Companies selling products whose sales are directly related to product availability will most likely use _______.

exclusive distribution; intensive distribution

Aaron Whitley's company buys machine tools from large producers and sells them to several Midwestern manufacturing companies. The company Aaron works for carries inventories of the tools, which reduces capital requirements for the producers. Aaron's company is an example of a(n) ____ in a distribution channel.

industrial distributor

When Bud Light Orange beer was introduced as part of the Anheuser-Busch product line, the company most likely used ____ distribution.

intensive

Because of the significant investment many companies have in the products they sell to customers, they must develop and maintain adequate varieties of products to meet their customers' needs. This is called

inventory management.

Vertical channel integration

is made possible by purchasing the operations of a channel member.

Eliminating a wholesaler from a marketing channel will

not eliminate the functions performed by that wholesaler.

Assuming everything else is equal, the most cost-efficient way for ConocoPhillips to transport crude oil from remote oil drilling sites in central Alaska to shipping terminals on the Alaskan coast would be

pipelines.

The notion of logistics is

the activities used to move products from producers to end users.

Multichannel distribution is characterized as

the use of a variety of marketing channels to ensure maximum distribution.

The main reason a manufacturer will prohibit intermediaries from selling its products outside designated sales territories is to

tighten its control over distribution of its products.

Disney sells apparel, cookie jars, puzzles, photo albums, and other items featuring its popular characters directly through its own retail outlets. This is an example of

vertical channel integration.