Chapter 15: Distribution

Question 1

Distribution

Answer 1

Movement of goods and services from producers to customers

Question 2

Marketing Channel

Answer 2

Individuals and firms involved in the process of making a product or service available for use or consumption by consumers or industrial users

Question 3

Direct Channels

Answer 3

No middlemen

Question 4

Indirect Channel

Answer 4

Middleman/men

Question 5

Retailers

Answer 5

Indirect Channel

Most common today

Question 6

Wholesaler to Retailers

Answer 6

Indirect Channel

Classic

Question 7

Direct to Consumer Marketing Channels

Answer 7

Allow consumers to buy products by interacting with various advertising media without a face-to-face meeting with a salesperson

Question 8

Multichannel Marketing

Answer 8

Omnichannel Marketing

Blending of different communication and delivery channels that are mutually reinforcing in attracting, retaining, and building relationships who shop and buy in traditional intermediaries and online

Question 9

Dual Distribution

Answer 9

Involves an arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product

Question 10

Strategic Channel Alliances

Answer 10

One firm’s marketing channel is used to sell another firm’s products

Question 11

Intensive Distribution

Answer 11

In as many outlets as possible

Question 12

Selective Distribution

Answer 12

A limited number of outlets

Question 13

Exclusive Distribution

Answer 13

One outlet

Question 14

Buyer Requirements

Answer 14

-Information
-Convenience
-Variety
-Pre or Post Sale Service

Question 15

Channel Conflict

Answer 15

Arises when one channel member believes another channel member is engaged in behavior that prevents it from achieving its goals

Question 16

Vertical Conflict

Answer 16

Occurs among members at different levels of the channel

Question 17

Horizontal Conflict

Answer 17

Occurs among members at the same level of the channel

Question 18

First Type of Vertical Conflict

Answer 18

When a channel member bypasses another member and sells or buys products direct (disintermediation)

Question 19

Second Type of Vertical Conflict

Answer 19

When disagreements occur over how profits margins are distributed among channel members

Question 20

Third Type of Vertical Conflict

Answer 20

When manufacturers believe wholesalers/retailers are not giving their products adequate attention

Question 21

Channel Cooperation

Answer 21

Best achieved when all members of channel see themselves as equal components of the same organization

Question 22

Channel Captain

Answer 22

Dominant and controlling member of a marketing channel; channel member who coordinates, supports, directs other channel members

Question 23

Channel Influence

Answer 23

-Economic
-Expertise
-Identification
-Legitimate Right

Question 24

Logistics

Answer 24

Activities that focus on getting the right amount of the right products to the right place at the right time at the lowest possible cost

Question 25

Supply Chain

Answer 25

Firms involved in performing the activities required to create and deliver a product or service to consumers

Question 26

Reverse Logistics

Answer 26

Reclaiming recyclable and reusable materials, returns, and reworks from the point of consumption or use for repair, remanufacturing, redistribution, or disposal

Consumer to Retailer to Producer

Question 27

Benefits of Reverse Logistics

Answer 27

Ecological and Economic

Question 28

Why is Reverse Logistics growing in importance?

Answer 28

-Rising prices for raw materials
-Increasing availability of recycling facilities
-Passage of additional antipollution conservation laws