Chapter TWELVE

Question 1

What is marketing channels & supply chain management?

Answer 1

Set of interdependent organisations that help make a product/service available for use/ consumption by the consumer/business user

Question 2

What is the marketers focus?

Answer 2

Down stream supply

Question 3

What is does the term place refer to?

Answer 3

The term place refers to the distribution and physical availability of the product, in other words, where a product is sold and how it gets there

Question 4

What is the ultimate aim of the nature and importance of marketing channels?

Answer 4

The ultimate aim chosen is that channel structure should enhance customer satisfaction, support the marketing objectives of each participant and distribute the product efficiently by minimizing total distribution costs

Question 5

The different avenues available for a manufacturer to make their product available to consumers to buy are known as _______________ (or marketing) channels

Answer 5

distribution

Question 6

What do distribution channel decisions involve?

Answer 6

Distribution channel decisions often involve long-term commitments to other firms

Question 7

What does the setting up of distribution channels involve? [3]

Answer 7

1. Contracts with franchisees,
2. Independent dealers, or
3. large retailers