Principles of Marketing Chapter 13 Quiz

Select the greatest advantage of horizontal channel integration.

Efficiencies in advertising, marketing research, and purchasing are increased.

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

Inventory management

Which mode of transportation hauls more freight than any other?

Railroads

Marketing channel members are likely to experience misunderstandings, frustration, and poorly coordinated strategies as a result of

channel conflict caused by inefficient communication between channel members.

An important goal of physical distribution is reducing the time it takes to complete

cycle time

The main objective of physical distribution should be to

decrease costs while increasing service

Expensive, high-quality products that are purchased infrequently often reach consumers through

exclusive distribution

Convenience products typically use

intensive distribution

Vertical channel integration

is made possible by purchasing the operations of a link in the channel.

If a firm decides to contract its physical distribution functions to third parties that have no managerial authority within the marketing channel, it is using

outsourcing

Order processing, inventory management, materials handling, warehousing, and transportation are the activities that define

physical distribution

Marketing channels create four types of utility for consumers including

place, time, possession, and form

Consumers receive the benefits of place utility when

products are available in locations where consumers want to buy them.

If a company's products require differentiation at the point of purchase, it will most likely use

selective distribution

Using only some of the available outlets to distribute a product is called

selective distribution

The coordination of all the activities involved with the flow and transformation of supplies, products, and information throughout the supply chain to the ultimate consumer is called

supply-chain management

Which of the following includes activities such as manufacturing, research, sales, advertising, and shipping, as well as involving all entities that facilitate product distribution?

supply-chain management

Order processing is defined as

the receipt and transmission of sales order information.

Multichannel distribution is characterized as

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