Chapter 15 Connect Quiz

Which of the following statements is accurate regarding marketing intermediaries? a) Intermediaries add cost to products, but not real value. b) Intermediaries perform some functions cheaper and faster than manufacturers. c) The functions performed by marketing intermediaries can easily be eliminated. d) Intermediaries often perform their jobs inefficiently and are frequently eliminated.

b) Intermediaries perform some functions cheaper and faster than manufacturers.

A store that sells a huge variety of one type of product, such as books, in order to dominate the market for that product is called a _________ store. a) saturation center b) category killer c) fine-line shaper d) market mover

b) category killer

Which of the different types of utility are usually provided by producers rather than marketing intermediaries? a) content utility b) form utility c) transition utility d) value utility

b) form utility

By having its kiosks located outside grocery stores, drugstores, and other places consumers often shop, Redbox offers ______ utility to the distribution process. a) form b) place c) information d) service

b) place

Third-party logistics refers to a) bringing goods back to the manufacturers because of defects or to recycle. b) the use of outside firms to help move goods from here to there. c) managing the flow of unfinished products to business buyers and ultimate consumers. d) the movement of goods within a warehouse, from warehouses to the factory floor and from the factory floor to various workstations.

b) the use of outside firms to help move goods from here to there.

When Beck's Bicycles, Inc., started its specialty bicycle business, it became the luxury brand of world famous bikers, who competed in world-class races and were known to only pursue their sport using state-of-the-art equipment. The best distribution strategy for a brand with this image would be _________ distribution. a) intensive b) selective c) focused d) exclusive

d) exclusive

You can find Coca-Cola products in discount stores, grocery stores, convenience stores, and even vending machines. Coca-Cola practices _______________ distribution with its product lines. a) selective b) exclusive c) focused d) intensive

d) intensive

The channel of distribution consists of ___________, who assist in moving goods and services from producers to businesses and from businesses to consumers. a) refurbishers b) promotional companies c) brand managers d) marketing intermediaries

d) marketing intermediaries

Service utility is rapidly becoming the most important utility for many ________ as they face competition from direct marketing forces, such as the Internet and catalogs. a) wholesalers b) discounters c) marketers d) retailers

d) retailers

The major difference between wholesalers and retailers is that a) retailers sell only in certain parts of the country, while wholesalers are nationwide. b) wholesale organizations are generally more profitable than retail organizations. c) retailers sell goods to consumers for their personal use, and wholesalers sell primarily to government to distribute to consumers. d) retailers sell to final consumers, while wholesalers sell to another member of the channel of distribution, not final consumers.

d) retailers sell to final consumers, while wholesalers sell to another member of the channel of distribution, not final consumers.

It is important for companies to build cooperative and transparent channel systems for moving goods, supplies, and services. Well-known fast food franchises usually set up _____________ distribution systems, where individual franchise owners participate in channel cooperation through legal agreements. a) contractual b) administered c) corporate d) vending

a) contractual

The movement of information and the movement of goods is a function of which of the following? a) logistics b) CRM c) Front-line forwarding d) quality control

a) logistics

Compared to a channel of distribution, a supply chain is a) longer, because it includes links from suppliers. b) shorter, because it doesn't include the manufacturer. c) similar to a channel of distribution, but includes totally different members. d) considered multinational because it always contains global businesses.

a) longer, because it includes links from suppliers.

Agents who represent producers are known as manufacturer's agents or sales agents. As long as they do not __________, manufacturer's agents or sales agents can represent several manufacturers in a specific territory. a) represent competing products b) represent themselves as company owners or stockholders c) underreport their sales calls d) travel outside their geographic territory

a) represent competing products

Daniel Kipper is a produce farmer in northern California. His major customers are grocery stores in the Midwest. Daniel's product is a perishable item and will only last for about 2 weeks after it has been picked, so Daniel is concerned with getting his product to his customers quickly. He ships almost daily when his produce is in season. However, he also needs to be aware of the cost of shipping. Which form of shipping is Dave most likely to use? a) trucks b) ships c) air d) rail

a) trucks

Often small companies have problems with shipping costs because they cannot supply a shipment large enough to use an intermediary such as a railroad. However, they can often get good rates by using a distribution specialist called a ______________ which puts many small shipments together to create a single large one that can be transported cost-effectively by truck or train. a) supply docket specialist b) freight forwarder c) mark to marketing director d) web-based trade compliance specialist

b) freight forwarder

Brock's Bicycles, Inc., purchases its wheels from a Southeast Asian company. The supplier sends the goods via ship, with the Port of Los Angeles as its destination. From there the wheels are shipped via rail to Chicago, Illinois, where they are loaded onto a truck for their final destination to Brock's assembly plant on the East Coast. Brock's uses _________ shipping to transport its goods. a) private b) transit c) intermodal d) utility

c) intermodal

Carolyn McGee wants to get into fashion merchandising. Because of the risks involved in high fashion, and how quickly fashions go out of date, Carolyn doesn't want to start a company in which she has title to the clothing. Carolyn will have to rule out which of the following middleman classifications in her choice of business? a) broker b) agent c) merchant wholesaler d) manufacturer's agent

c) merchant wholesaler

About 80% of all wholesalers are _______________. They typically are independent companies that take title to goods that they resell to retailers. a) cash and carry wholesalers b) remark wholesalers c) merchant wholesalers d) rack jobbers

c) merchant wholesalers

Which of the following is most accurate regarding online retailing? a) Most brick-and-mortar retailers can get away without going online. b) Selling on the Internet has meant that the distribution function has gotten less complicated. c) Electronic retailers are considered to be good at handling customer complaints. d) Brick-and-mortar stores are going online so that customers can pick and choose which shopping technique suits them best.

d) Brick-and-mortar stores are going online so that customers can pick and choose which shopping technique suits them best.

One successful nonstore retailer today is called Team. This company sells MonaVie, a relatively expensive fruit juice that is packaged in a wine bottle. Salespeople for MonaVie earn commissions on their own sales, create commissions for the upliners who recruited them, and receive commissions from the downliners they have recruited. MonaVie operates in the area of a) direct selling b) direct marketing c) multilevel marketing d) a corporate distribution system

c) multilevel marketing

In multilevel marketing, salespeople have an incentive to a) perform as many of the marketing functions as possible, because each function they perform adds to their commission. b) sell the product using both direct and indirect marketing methods in order to reach different types of customers. c) recruit new salespeople, because they receive a commission on the sales made by the people they recruit. d) limit the number of salespeople in their franchise area so that they can maximize their own sales.

c) recruit new salespeople, because they receive a commission on the sales made by the people they recruit.

A convenience store is open seven days a week and remains open on holidays. The store provides its customers with _________ utility. a) service b) place c) time d) possession

c) time

Which of the following is true of supply chain management systems? a) They are shorter than the average channel of distribution. b) Virtually any company that participates has benefited from lower costs. c) They can help to make a company more responsive to market changes but at a higher cost. d) They create a more efficient method of distribution by widening the channel to include suppliers.

d) They create a more efficient method of distribution by widening the channel to include suppliers.

A(n) _______________ brings buyers and sellers together and assists in negotiating a sale, but does not take title to goods. a) retailer b) channel of distribution c) supply chain d) agent or broker

d) agent or broker