B116 - Ch.12 Flashcards
Which of the following represents the most direct distribution channel?
Select one:
a.
A consumer purchases Nike running shoes from the corporate-owned Nike retailer at the local outlet mall.
b.
The manufacturer sells to an online intermediary who sells to consumers via the Internet.
c.
An agent who represents many manufacturers sells products to a retailer for sale to consumers.
d.
An importer purchases from a manufacturer, sells to a wholesaler, who sells to a retailer.
e.
A final user purchases from a retailer.
a.
A consumer purchases Nike running shoes from the corporate-owned Nike retailer at the local outlet mall.
The objective of a vertical marketing system is channel control by one member of the channel of distribution.
Select one:
True
False
True
When consumers physically review a product in a retail store and then search online for the best deal, this is known as
Select one:
a.
showboating.
b.
comparison shopping.
c.
showrooming.
d.
consumer control.
e.
retail spillover.
c.
showrooming.
Intensive distribution is most likely to be used by a manufacturer of
Select one:
a.
household cleaning products.
b.
jet skis.
c.
diamond rings.
d.
automobiles.
e.
expensive silverware.
a.
household cleaning products.
Convenience goods such as bread and milk have wide channels; specialty goods such as luxury European sports cars have a narrow channel.
Select one:
True
False
True
Checking credit ratings of customers, recording transactions, performing accounting functions, and locating the item for shipment is called
Select one:
a.
shipment processing.
b.
order processing.
c.
just in time (JIT).
d.
inbound and outbound decision making.
e.
transaction management.
b.
order processing.
Independent retailers that join together to buy from an agreed upon wholesaler is known as a
Select one:
a.
retail cooperative.
b.
voluntary chain.
c.
partnership.
d.
franchise.
e.
wholesale cooperative.
b.
voluntary chain.
The Bay and Sears are selling the same make of kitchen knives. If The Bay constantly has the lower price, Sears may begin to question whether or not The Bay is getting a cost break from the manufacturer. This is an example of
Select one:
a.
price conflict.
b.
operational conflict.
c.
horizontal conflict.
d.
vertical conflict.
e.
supply conflict.
c.
horizontal conflict.
Software companies sell their products online. They use a(n) ________ channel of distribution.
Select one:
a.
indirect
b.
complex
c.
mixed
d.
long
e.
direct
e.
direct
The addition of a(n) ________ is common in industries where products are sold through many types of retail outlets.
Select one:
a.
channel consultant
b.
manufacturer’s representative
c.
wholesaler
d.
agent
e.
broker
Feedback
c.
wholesaler
When a(n) ________ distribution strategy is used, the product is available in only a few outlets in a particular market.
Select one:
a.
minimized
b.
selective
c.
intensive
d.
reduced
e.
exclusive
b.
selective
Manufacturers who supply the Canadian grocery industry are under constant pressure to provide deep discounts to retain distribution and secure shelf space in stores. Which channel member is exerting control in this industry?
Select one:
a.
wholesalers
b.
brokers
c.
agents
d.
retailers
e.
manufacturers
d.
retailers
An air carrier would be the transportation mode of choice for emergency medical supplies.
Select one:
True
False
True
It is never appropriate to employ the same channels as competitors.
Select one:
True
False
False
An organization like Loblaw Companies Limited, with divisions including Shoppers Drug Mart, Real Canadian Superstore, and Joe Fresh, has significant control at the retail level and consequently purchases a large portion of many of its suppliers’ output. This is an example of ________ vertical marketing system.
Select one:
a.
an exclusive
b.
an administered
c.
a retail cooperative
d.
a contractual
e.
a corporate
b.
an administered
The manufacturer of a high-priced specialty good like a baby grand piano that offers the purchaser a unique value is likely to use ________ distribution system.
Select one:
a.
an intensive
b.
a selective
c.
an exclusive
d.
an administered
e.
a multiple
c.
an exclusive
Which of the following products is likely to be marketed through the shortest distribution channel?
Select one:
a.
prescription medication
b.
patio furniture
c.
an industrial carpet loom
d.
an MP3 file of an album
e.
a car
c.
an industrial carpet loom
Ford and General Motors are examples of companies that achieve cooperation in the channel through
Select one:
a.
cooperative control.
b.
manufacturer control.
c.
retailer control.
d.
consumer control.
e.
wholesaler control.
b.
manufacturer control.
The difference between a storage warehouse and a distribution warehouse is that the distribution warehouse typically stores items for a shorter period of time.
Select one:
True
False
True
RFID technology enables supply chain members to monitor the flow of goods from raw materials through to finished product, and from manufacturer to consumer.
Select one:
True
False
True
