Marketing Chapter 12
A restaurateur buying produce from a grower at a farmers' market is an example of
A direct-marketing channel
Which of the following is the least expensive distribution channel for hotel rooms?
Brand.com
The chances of succeeding are the highest if you
Buy a franchise
Which of the following is not a marketing intermediary?
Concierges
Supranational, Logis de France, and Leading Hotels of the World are examples of
Consortia
Coordination and conflict management are attained through common ownership at different levels in the channel in a(n)
Corporate vertical marketing system
Franchising is an example of a corporate VMS.
False
Franchising works well in the restaurant industry but has had limited success in the hotel industry.
False
To date, the restaurant industry has had little use for the Internet as a distribution channel.
False
Vertical conflict in a channel occurs between firms at the same level in the channel.
False
________ are computerized reservation systems that serve as a product catalog for travel agents and other distributors of hospitality products.
Global distribution systems
When two or more companies at one level join to follow a new marketing opportunity, it is termed a
Horizontal Marketing System
All of the following are considered marketing intermediaries except
Independent Contractors
One function of the distribution channel is ________, which involves gathering and distributing marketing research and intelligence.
Information
Distribution specialists that serve the casino industry as intermediaries for premium players are called
Junket reps
Using sales representatives offers _____ control than building your own sales force.
Less
Which of the following is NOT a function of the distribution channel?
Linking
________ provide incentive travel for employees and distributors.
Motivational Houses
Distribution specialists that provide incentive travel offered to employees or distributors as a reward for their efforts are called
Motivations houses
When a single firm sets up two or more marketing channels to reach one or more customer segments, it is termed a
Multichannel Marketing System
Which of the following is the most expensive channel for hotel rooms?
OTA
In hotel rooms distribution channels, OTA stands for
Online Travel Agencies
A direct marketing channel has no intermediary level.
True
Alliances are informal agreements between two organizations that stand to benefit from each other's strengths.
True
Priceline is an example of a company that uses a system where the buyer cannot specify any particular brand of hotel or airline.
True
The primary reason for the use of intermediaries is their superior efficiency in making goods available and accessible to target markets.
True
There are several types of flows that connect all the institutions in the channel.
True
What is good for one member of the channel may not be good for another.
True
The first step in selecting a location for a hotel is
Understanding the target market of the company
A _______________________________ consists of producers, wholesalers, and retailers acting as a unified system.
Vertical Marketing System
In channel conflicts, conflicts between different levels of the same channel are termed
Vertical conflict
In a supply chain, "downstream" from the company is a set of firms that
Provide a connection between the firm and its customers
What is not a function of the distribution channel?
Provide consulting on feasibility of new products
In a supply chain, "upstream" from the company is a set of firms that
Provide expertise in product creation
Which of the following is not an advantage of a franchise to the franchisee?
Royalties