Chapter 15 | Managing Marketing Channels

Question 1

Agent or Broker

Answer 1

Any intermediary with legal authority to act on behalf of the manufacturer

Question 2

Wholesaler

Answer 2

An intermediary who sells to other intermediaries, usually to retailers; term usually applies to consumer markets

Question 3

Retailer

Answer 3

An intermediary who sells to consumers

Question 4

Marketing Channel

Answer 4

Marketing Channels make possible the flow of goods from a producer, through intermediaries to a buyer.

Question 5

3 Functions performed by Marketing Channel Intermediaries

Answer 5

1. Transactional Function
2. Logistical Function
3. Facilitating Function

Question 6

Transactional Function Activities

Answer 6

1. Buying
2. Selling
3. Risk Taking

Question 7

Logistical Function Activities

Answer 7

1. Assorting
2. Storing
3. Sorting
4. Transporting

Question 8

Facilitating Function Activities

Answer 8

1. Financing
2. Grading
3. Marketing Information and Research

Question 9

Marketing Channels for Consumer Products & Services

Answer 9

1. Direct Channel
2. Indirect Channel

Question 10

Indirect Channels -

Answer 10

Retailers, Wholesalers, Agents

Question 11

Common Marketing Channels for Consumer Offerings by the kind and number of intermediaries

Answer 11

A. Producer | Schwan Food –> CONSUMER
B. Producer | General Motors –> Retailer –> Consumer
C. Producer | Mars –> Wholesaler –> Retailer
–> Consumer
D. Producer | Mansar Products –> Agent –> Wholesaler –> Retailer –> Consumer

Question 12

3 Types of Marketing Systems

Answer 12

Corporate, Contractional (MOST POPULAR), and administered

Question 13

Factors affecting Channel Choice

Answer 13

-Environmental Factors
-Consumer Factors
-Product Factors
-Company Factors