Chapter 12 Marketing Channels: Delivering Customer Value

3) Which of the following terms refers to the wholesalers and retailers that form a vital link between the firm and its customers? A) factory-supply networks (B) downstream partners C) resource banks D) upstream partners E) supply channels

(B) downstream partners

8) Which of the following is most likely true of marketing channel decisions? A) They often involve long-term commitments to other firms. B) They have minimal influence on the prices of products offered to customers. C) They increase the amount of time a company spends connecting with customers. D) They increase the amount of effort a company puts in to distribute goods. E) They are easily altered, replaced, or discarded.

A) They often involve long-term commitments to other firms.

5) A _________ is made up of the company, suppliers, distributors, and customers who partner to improve the performance of the entire system. A) value delivery network B) horizontal channel C) consumer base D) product delivery network E) product line

A) value delivery network

6) ______________ play an important role in matching supply and demand by providing consumers with a broad assortment of products in small quantities. A) Virtual banks B) Intermediaries C) Price consultants D) Uniform-delivery networks E) Upstream partners

B) Intermediaries

4) The term supply chain is considered limited because it A) ignores the make-and-sell aspect of the market B) suggests that planning begins with raw materials and factory capacity C) takes a step-by-step, linear view of purchase-production-consumption activities D) takes a sense-and-respond view of the market E) suggests that planning starts with identifying the needs of target customers

B) suggests that planning begins with raw materials and factory capacity

2) The sets of firms that supply companies with the raw materials, components, parts, information, finances, and expertise needed to create products or services are known as __________ A) retailers B) upstream partners C) distributors D) downstream partners E) distribution channels

B) upstream partners

7) A _________ is a set of interdependent organizations that help make a product or service available for use or consumption by the consumer or business user. A) product line B) product delivery network C) marketing channel D) consumer base E) resource bank

C) marketing channel

9) Distribution channel decisions frequently require long-term commitments between firms. A primary reason is that __________ A) advertising is not easy to change B) old products are difficult to discard and new products are difficult to introduce C) when they set up distribution through franchisees, independent dealers, or large retailers, they cannot readily replace these channels with company-owned stores or Internet sites if conditions change D) changing the manufacturing requirements is expensive and takes significant time E) management does not want to be constantly changing the method of selling and distributing its products

C) when they set up distribution through franchisees, independent dealers, or large retailers, they cannot readily replace these channels with company-owned stores or Internet sites if conditions change

1) Producing a product or service and making it available to buyers requires building relationships not only with customers but also with key suppliers and resellers in the company's _________ A) upstream partnerships B) marketing channels C) inventory providers D) supply chain E) downstream partnerships

D) supply chain

10) At its most basic form, a marketing channel consists of the producer and the ________ A) retailer B) sales agent C) competitor D) processor E) consumer

E) consumer