MKTG 372 ch 1-2
A ________ strategy specifies the portfolio of new products that a company will try to develop. A) Product Development B) Marketing and Sales C) Supply Chain D) Finance
A
A company's competitive strategy A) defines the set of customer needs that it seeks to satisfy through its products and services. B) specifies the portfolio of new products that it will try to develop. C) specifies how the market will be segmented and how the product will be positioned, priced, and promoted. D) determines the nature of procurement and transportation of materials as well as manufacture and distribution of the product.
A
A company's partners in the supply chain determine A) the company's success. B) the scope of strategic fit. C) the relevance of sustainability initiatives. D) the need for customers.
A
A firm that is not on the cost-responsiveness efficient frontier can improve A) both responsiveness and cost performance. B) only responsiveness. C) only cost performance. D) responsiveness, but not cost performance.
A
A supply chain features a constant flow of A) information, product, and funds B) personnel, information, and policies C) processes, funds, and product D) product, processes, and support
A
Between 1993 and 2006, Dell's competitive strategy was to provide a large variety of customizable products at a reasonable price. Given the focus on customization, Dell's supply chain was designed to A) be responsive. B) provide a different product. C) operate on a low-cost basis. D) provide sustainable products.
A
Customer arrival refers to A) the point in time when the customer has access to choices and makes a decision regarding a purchase. B) the customer informing the retailer of what they want to purchase and the retailer allocating product to the customer. C) the process where product is prepared and sent to the customer. D) the process where the customer receives the product and takes ownership.
A
Increased product variety and shrinking product life cycles usually result in A) the deliberate phase-out of older products. B) a decrease in overall uncertainty for the supply chain. C) an increase in the time allowed for a supply chain to develop specific competencies. D) a deliberate proliferation in the variety of components used for all products produced.
A
Supply chain responsiveness includes the ability to do which of the following? A) Handle supply uncertainty B) Understand customers and supply chain uncertainty C) Match supply chain responsiveness with the implied uncertainty of demand D) Ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness
A
The customer order cycle occurs at the A) customer/retailer interface. B) retailer/distributor interface. C) distributor/manufacturer interface. D) manufacturer/supplier interface.
A
The key weakness of the ________ view is that different functions within a firm may have conflicting objectives. A) Intrafunctional scope B) Intraoperation scope C) Interfunctional scope D) Intercompany scope
A
The objective of customer order fulfillment is to A) get the correct orders to customers by the promised due date at the lowest possible cost. B) maintain a record of product receipt and complete payment. C) maximize the conversion of customer arrivals to customer orders. D) ensure that orders are quickly and accurately entered and communicated to other affected supply chain processes.
A
The profitability of a supply chain is impacted primarily by the A) design, planning and operation categories of decisions. B) operation category of decisions. C) design and planning categories of decisions. D) planning and operation categories of decisions.
A
The push/pull view of the supply chain is useful when considering strategic decisions relating to supply chain design, because A) it categorizes processes based on whether they are initiated in response to or in anticipation of customer orders. B) it specifies the roles and responsibilities of each member of the supply chain. C) it clearly defines the processes involved and the owners of each process. D) it focuses on processes that are external to the firm.
A
The second step in achieving strategic fit between competitive and supply chain strategies is to A) understand the supply chain and map it on the responsiveness spectrum. B) understand customers and supply chain uncertainty. C) match supply chain responsiveness with the implied uncertainty of demand. D) ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness.
A
Which element in the value chain is responsible for transforming inputs into outputs? A) Operations B) Marketing C) Distribution D) All elements of the value chain do this.
A
Which of the following defines the set of customer needs that a company seeks to satisfy through its products and services? A) Competitive strategy B) Product development strategy C) Marketing and sales strategy D) Supply chain strategy
A
Which of the following statements about push processes is accurate? A) They may also be referred to as speculative processes. B) Execution is initiated in response to customer orders. C) At the time of execution, demand is known with certainty. D) They may also be referred to as reactive processes.
A
Which of these examples ripped from the headlines of business periodicals is most accurate? A) Netflix has two content delivery systems that are inexpensive to operate. B) Blockbuster's reliance on streaming services was overwhelmed by a lack of bandwidth at the dawn of the 21st century. C) Once an increase in demanded customization seized the market, Dell was unable to rely on its retail store strategy. D) Redbox's reliance on streaming services ended Dell's run as a leader in the industry.
A
Which sequence of stages is typical for product flow in a supply chain? A) Supplier → Manufacturer → Distributor B) Retailer → Distributor → Customer C) Manufacturer → Retailer → Distributor D) Supplier → Customer → Retailer
A
Zara's supply chain strategy A) results in supply more closely matching customer demand. B) results in longer lead times for store order fulfillment, primarily due to shipping time. C) of purely online sales reduces the costs that they would incur with a brick and mortar store system. D) of high volume but low cost apparel requires production well in advance of the actual selling season for each garment type.
A
A ________ strategy specifies how the market will be segmented and how the product will be positioned, priced, and promoted. A) Product Development B) Marketing and Sales C) Supply Chain D) Finance
B
A company would decide whether to outsource or perform a supply chain function in-house during the A) planning phase. B) design phase. C) tactical phase. D) operation phase.
B
A company's product development strategy A) defines the set of customer needs that it seeks to satisfy through its products and services. B) specifies the portfolio of new products that it will try to develop. C) specifies how the market will be segmented and how the product will be positioned, priced, and promoted. D) determines the nature of procurement and transportation of materials as well as manufacture and distribution of the product.
B
A key supply chain difference between Gateway and Apple is that A) Gateway's stores currently carry a large variety of products made by other manufacturers, while Apple carries only Apple products. B) Apple has always carried product in their stores while at one time Gateway stores carried no inventory. C) Gateway has always used a push system while Apple has always used a pull system. D) Gateway has no suppliers, preferring to make everything in-house, while Apple buys many of their components from suppliers.
B
Activities involved in the Internal Supply Chain Management (ISCM) macro process include A) marketing. B) order fulfillment. C) sales. D) order management.
B
Concerns related to the environment and sustainability A) are becoming less important to the consuming public. B) are sometimes dictated by regulations and sometimes by perception. C) result in increased cost for the supply chain. D) are relevant to only the retail member of each supply chain.
B
Customer order entry is A) the point in time when the customer has access to choices and makes a decision regarding a purchase. B) the customer informing the retailer of what they want to purchase and the retailer allocating product to the customer. C) the process where product is prepared and sent to the customer. D) the process where the customer receives the product and takes ownership.
B
Each stage in a supply chain is connected through the flow of products, information, and funds. These flows ofter offer in both directions and are usually managed by A) printing department B) one of the stages C) upper management D) engineering department
B
Risks and opportunities have increased for supply chains due to A) the decreasing value of the U.S. dollar. B) increasing globalization. C) the increasing population. D) a decline in energy prices.
B
Supply chain macro processes include which of the following? A) Internal Relationship Management (IRM) B) Customer Relationship Management (CRM) C) External Relationship Management (ERM) D) Supply Chain Relationship Management (SCRM)
B
Supply chain responsiveness includes the ability to do which of the following? A) Understand customers and supply chain B) Meet a very high service level C) Match supply chain responsiveness with the implied uncertainty of demand D) Ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness
B
Supply chain surplus involves what two parts? A) Manufacturing cost and selling price B) Customer value and supply chain cost C) Customer value and high quality products D) Reliable transportation and supply chain cost
B
The cost of making and delivering a product to the customer is referred to as A) supply chain responsiveness. B) supply chain efficiency. C) cost-responsiveness efficient frontier. D) implied uncertainty.
B
The cycle view of a supply chain holds that A) the processes in a supply chain are divided into 2 categories. B) the processes in a supply chain are divided into a series of activities performed at the interface between successive stages. C) all processes in a supply chain are initiated in response to a customer order. D) all processes in a supply chain are performed in anticipation of customer orders.
B
The cycle view of the supply chain is useful when considering operational decisions, because A) it categorizes processes based on whether they are initiated in response to or in anticipation of customer orders. B) it specifies the roles and responsibilities of each member of the supply chain. C) processes are identified as either reactive or speculative. D) it focuses on processes that are external to the firm.
B
The first step in achieving strategic fit between competitive and supply chain strategies is to A) understand the supply chain and map it on the responsiveness spectrum. B) understand customers and supply chain uncertainty. C) match supply chain responsiveness with the implied uncertainty of demand. D) ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness.
B
The manufacturing and shipping process in the manufacturing cycle is equivalent to the A) order receiving process in the replenishment cycle. B) order fulfillment process in the replenishment cycle. C) order entry process in the replenishment cycle. D) order trigger process in the replenishment cycle.
B
The objective of every supply chain is to A) minimize the overall cost generated. B) maximize the overall value generated. C) minimize the cost to the manufacturer. D) maximize the profit of the manufacturer.
B
The processes involved in the manufacturing cycle include A) order trigger. B) production scheduling. C) order fulfillment. D) order entry.
B
The replenishment cycle occurs at the A) customer/retailer interface. B) retailer/distributor interface. C) distributor/manufacturer interface. D) manufacturer/supplier interface.
B
The time horizon of the operation phase is typically A) quarterly or yearly. B) weekly or daily. C) monthly or quarterly. D) over the next several years.
B
The uncertainty of customer demand for a product is the A) rate of strategic uncertainty. B) demand uncertainty. C) implied demand uncertainty. D) average forecast error.
B
The value that potential customers place on product cost and delivery time determines a company's A) customer needs. B) competitive strategy. C) supply chain surplus. D) product life cycle.
B
Walmart's supply chain features clusters of stores around distribution centers, which facilitates A) high transportation costs. B) frequent but inexpensive replenishment at the stores. C) rapid design cycles from their R&D group. D) sharing of information with suppliers.
B
Which of the following customer needs will cause implied uncertainty of demand to increase? A) Product margin B) Lead time decreases C) Average stockout rate D) Average forced season end markdown
B
Which of the following specifies the portfolio of new products that a company will try to develop? A) Competitive strategy B) Product development strategy C) Marketing and sales strategy D) Supply chain strategy
B
Which of these has the broader range? A) Intrafunctional scope B) Intercompany scope C) Interfunctional scope D) Intraoperational scope
B
Which of these services facilitates the function of the value chain but is not considered a core element of the supply chain? A) Marketing B) Information Technology C) Distribution D) Service
B
With the ________ view, firms attempt to align all operations within a function. In this view, all supply chain functions including sourcing, manufacturing, warehousing, and transportation must align their strategy to minimize total functional cost. A) Intrafunctional scope B) Intraoperation scope C) Interfunctional scope D) Intercompany scope
B
A company's marketing and sales strategy A) defines the set of customer needs that it seeks to satisfy through its products and services. B) specifies the portfolio of new products that it will try to develop. C) specifies how the market will be segmented and how the product will be positioned, priced, and promoted. D) determines the nature of procurement and transportation of materials as well as manufacture and distribution of the product.
C
A graph with two axes with implied uncertainty along the horizontal axis and responsiveness along the vertical axis is referred to as the A) implied uncertainty spectrum. B) responsiveness spectrum. C) uncertainty/responsiveness map. D) zone of strategic fit.
C
A key issue facing Toyota is A) developing an Internet marketing system. B) whether to specialize in a particular market. C) design of its global production and distribution network. D) how to implement model changes.
C
A supply chain strategy involves decisions regarding all of the following except A) inventory. B) transportation. C) new product development. D) operating facilities.
C
Activities involved in the Customer Relationship Management (CRM) macro process include A) planning of internal production and storage. B) order fulfillment. C) marketing. D) supply planning.
C
Activities involved in the Supplier Relationship Management (SRM) macro process include A) planning of internal production and storage. B) order fulfillment. C) supplier evaluation and selection. D) order management.
C
Customer order fulfillment refers to A) the point in time when the customer has access to choices and makes a decision regarding a purchase. B) the customer informing the retailer of what they want to purchase and the retailer allocating product to the customer. C) the process where product is prepared and sent to the customer. D) the process where the customer receives the product and takes ownership.
C
Customer value is A) the sum of the supply chain surplus and supply chain cost. B) the remainder after supply chain cost is subtracted from supply chain surplus. C) the remainder after supply chain surplus is subtracted from supply chain cost. D) supply chain profitability minus the supply chain cost.
C
For a company to achieve strategic fit, it must accomplish the following keys: A) All functional strategies must fit together to form a coordinated overall strategy. B) The different functions in a company must appropriately structure their processes and resources to be able to execute these strategies successfully C) The overall supply chain must operate at the lowest cost possible to achieve success. D) The design of the overall supply chain and the role of each stage must be aligned to support the supply chain strategy.
C
For any supply chain, the source of revenue is generated by A) efficient operations. B) information flows. C) the customer. D) product flows.
C
Over the past several decades A) the life cycle of products has increased. B) most firms have become more vertically integrated. C) the number of owners per supply chain has increased. D) product variety has decreased.
C
Retailing in the United States is largely A) push/pull B) profitable C) consolidated D) centralized
C
Scope of strategic fit refers to both the A) function within the firm and the satisfaction of the customer. B) satisfaction of the customer and the profits returned to the shareholders. C) function within the firm and stages across the supply chain. D) profits returned to the shareholders and the stages across the supply chain.
C
Supply chain macro processes include which of the following? A) Internal Relationship Management (IRM) B) External Relationship Management (ERM) C) Supplier Relationship Management (SRM) D) Supply Chain Relationship Management (SCRM)
C
Supply chain responsiveness includes the ability to do which of the following? A) Understand customers and supply chain B) Match supply chain responsiveness with the implied uncertainty of demand C) Meet short lead times D) Ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness
C
The curve that shows the lowest possible cost for a given level of responsiveness is referred to as the A) supply chain responsiveness curve. B) supply chain efficiency curve. C) cost-responsiveness efficient frontier. D) responsiveness spectrum.
C
The decision phases in a supply chain include A) production scheduling. B) customer relationship management. C) supply chain operation. D) supply chain orientation.
C
The drive for strategic fit should come from A) the supply chain manager. B) the strategic planning department. C) the highest levels of the organization, such as the CEO. D) middle management.
C
The final step in achieving strategic fit between competitive and supply chain strategies is to A) understand the supply chain and map it on the responsiveness spectrum. B) understand customers and supply chain uncertainty. C) match supply chain responsiveness with the implied uncertainty of demand. D) combine customer and supply chain uncertainty and map it on the implied uncertainty spectrum.
C
The functions and stages that devise an integrated strategy with a shared objective are referred to as A) competitive strategy. B) supply chain strategy. C) scope of strategic fit. D) scope of marketing strategy.
C
The manufacturing cycle occurs at the A) customer/retailer interface. B) retailer/distributor interface. C) distributor/manufacturer interface. D) manufacturer/supplier interface.
C
The objective of the customer arrival process is to A) get the correct orders to customers by the promised due date at the lowest possible cost. B) maintain a record of product receipt and complete payment. C) maximize the conversion of customer arrivals to customer orders. D) ensure that orders are quickly and accurately entered and communicated to other affected supply chain processes.
C
The preferable supply chain strategy for a firm that sells multiple products and serves customer segments with very different needs is to A) set up independent supply chains for each different product or customer segment. B) set up a supply chain that meets the needs of the highest volume product or customer segment. C) tailor the supply chain to best meet the needs of each product's demand. D) set up a supply chain that meets the needs of the customer segment with the highest implied uncertainty.
C
The processes included in the replenishment cycle include A) order arrival. B) production scheduling. C) retail trigger. D) manufacturing.
C
The production scheduling process in the manufacturing cycle is similar to the A) order receiving process in the replenishment cycle. B) order fulfillment process in the replenishment cycle. C) order entry process in the replenishment cycle. D) order trigger process in the replenishment cycle.
C
The relationship between the manufacturer and supplier during the procurement cycle is very similar to the relationship between A) customer and retailer. B) retailer and distributor. C) distributor and manufacturer.
C
The uncertainty that exists due to the portion of demand that the supply chain is required to meet is the A) rate of strategic uncertainty. B) demand uncertainty. C) implied demand uncertainty. D) average forecast error.
C
The value chain consists of direct and indirect activities. Which of the following is an indirect activity for an enterprise? A) Marketing B) Distribution C) Human Resources D) Service
C
The value chain in a company begins with A) the customer. B) marketing and sales. C) new product development. D) operations.
C
Webvan designed a supply chain with large warehouses in several major cities in the United States, from which groceries were delivered to customer homes. They failed partly because of A) low demand for their service. B) slow inventory turnover compared to industry averages. C) higher labor costs for picking orders. D) poor quality products.
C
Which of the following would be a demand and supply characteristic toward the beginning stages of a product's life cycle? A) Demand has become more certain and supply is predictable. B) Margins are lower due to an increase in competitive pressure. C) Product availability is crucial to capturing the market. D) Price becomes a significant factor in customer choice.
C
Which of these statements about Dell's supply chain is best? A) Dell's supply chain surplus was largely driven by their negative shipping model. B) Dell's initial success was largely driven by the ability to accurately forecast what customers wanted and supply those models to retail outlets that carried their computers. C) Dell's initial success was largely driven by their Assembly→Customer supply chain linkage. D) Dell's supply chain consists of only two members, Dell and the customer.
C
Which set of supply chain flows is correctly described? A) Funds flow only upstream but information flows both upstream and downstream in a supply chain. B) Product flows only downstream and information flows only upstream in a supply chain. C) Information and product both flow upstream and downstream in a supply chain. D) Funds flow both upstream and downstream but product flows only downstream in a supply chain.
C
A company's supply chain strategy A) defines the set of customer needs that it seeks to satisfy through its products and services. B) specifies the portfolio of new products that it will try to develop. C) specifies how the market will be segmented and how the product will be positioned, priced, and promoted. D) determines the nature of procurement and transportation of materials as well as manufacture and distribution of the product.
D
Company A and Company B of the same supply chain rely on market responsiveness to attract customers. Each company has access to the other company's designs, production schedules, and goals, and if Company A needs product overnight, Company B gladly ships it, knowing that in the long run it works to the benefit of both. Such an arrangement is an example of A) intrafunctional scope. B) intraoperation scope. C) interfunctional scope. D) intercompany scope.
D
Customer order receiving is A) the point in time when the customer has access to choices and makes a decision regarding a purchase. B) the customer informing the retailer of what they want to purchase and the retailer allocates product to the customer. C) the process where product is prepared and sent to the customer. D) the process where the customer receives the product and takes ownership.
D
Efficient supply chains A) respond quickly to demand. B) have higher margins because price is not a prime customer driver. C) maintain buffer inventory to deal with demand/supply uncertainty. D) maximize performance at a minimum cost.
D
For any supply chain, A) management rests solely in the hands of the manufacturer. B) management rests solely in the hands of the distributor. C) if each member focuses on profitability, the overall supply chain profit will be maximized. D) there is only one source of revenue, the customer.
D
One motivation for companies to shed noncore functions to their supply chains has been to A) increase supply chain membership and participation. B) increase supply chain complexity to ease supply chain alignment. C) maximize focus on local objectives. D) take advantage of supplier and customer competencies that they did not possess.
D
Seven-Eleven in Japan's operations and distribution strategy focuses on A) convenience in the form of easy access to stores. B) constantly adding new products and services. C) low cost for gasoline, which drives traffic to the store. D) being responsive and having an excellent information infrastructure.
D
The authors cite IKEA as achieving an intercompany scope of strategic fit which serves to A) minimize IKEA's costs. B) align the strategic fit with the consumer surplus. C) minimize the costs of all supply chain elements. D) increase the supply chain surplus.
D
The objective of customer order entry is to A) get the correct orders to customers by the promised due date at the lowest possible cost. B) maintain a record of product receipt and complete payment. C) maximize the conversion of customer arrivals to customer orders. D) ensure that orders are quickly and accurately entered and communicated to other affected supply chain processes.
D
The procurement cycle occurs at the A) customer/retailer interface. B) retailer/distributor interface. C) distributor/manufacturer interface. D) manufacturer/supplier interface.
D
The push/pull view of a supply chain holds that A) the processes in a supply chain are divided into a series of activities performed at the interface between successive stages. B) all processes in a supply chain are initiated in response to a customer order. C) all responses in a supply chain are performed in anticipation of customer orders. D) the processes in a supply chain are divided into 2 categories depending on whether they are initiated in response to or in anticipation of customer orders.
D
The relationship where increasing implied uncertainty from customers and supply sources is best served by increasing responsiveness from the supply chain is known as the A) implied uncertainty spectrum. B) responsiveness spectrum. C) uncertainty/responsiveness map. D) zone of strategic fit.
D
The supply chain strategy category would include a decision about A) which items in the warehouse will be shipped to Malibu. B) which warehouse will supply the Surf City location. C) when the order should be shipped to the little old lady from Pasadena. D) how large the warehouse in Kokomo should be.
D
Toyota's global complementation strategy A) calls for plants to be devoted to the production of vehicles for only the local market. B) dictates that parts plants be built to supply all of the needs for each vehicle production plant worldwide. C) requires that a single parts plant, for example, for brakes, export brake components to all of its vehicle assembly plants worldwide. D) mandates that plants can produce vehicles for export to markets that remain strong when the local market weakens.
D
Which of the following determines the nature of procurement of raw materials, transportation of materials to and from the company, manufacture of the product or operation to provide the service, and distribution of the product to the customer along with follow-up service? A) Competitive strategy B) Product development strategy C) Marketing and sales strategy D) Supply chain strategy
D
Which of the following statements about pull processes is accurate? A) They may also be referred to as speculative processes. B) Execution is initiated in anticipation of customer orders. C) At the time of execution, demand must be forecast. D) They may also be referred to as reactive processes.
D
Which statement about supply chains is best? A) New product development is not a supply chain function B) If a supplier uses a shipping company to send product to a customer, the shipping company is technically not a supply chain member. C) Funds in a supply chain flow upstream only. D) Flows in a supply chain may be managed by an intermediary.
D