Distribution

Question 1

upstream partners

Answer 1

raw materials, components, finances

Question 2

downstream partners

Answer 2

wholesales and retailers

Question 3

marketing channel

Answer 3

a set of interdependant organisations involved in the process of making a product or sevice availible to users

Question 4

why are marketing intermediaries used

Answer 4

1. intermediaries are more efficient in getting products to the targett market
2. they facilitate mass distribution

Question 5

maketing channel functions

Answer 5

1. infomation
2. promotion
3. contact
4. matching
5. negotiation
6. physical distribution
7. financing
8. risk taking

Question 6

information function

Answer 6

gathering and distributing maketing research and infoormation that a company needs for planning and facilitating exchange

Question 7

promotion function

Answer 7

developing and communicating info about a product or service

Question 8

contact function

Answer 8

finding and communicating with prospective buyers

Question 9

matching functioon

Answer 9

shaping and fitting the offer oo the buyer’s needs in manufacturing, importing, assembling and packaging

Question 10

negotiation functiooon

Answer 10

reaching an agreementt on prrice and oother terms of the offer so that ownership or possesion can be transferred

Question 11

vertical marrketing networrks

Answer 11

a distribution channel in which producers, wholesalers, and retailers act as a unified network

Question 12

why are verticle marketing networks used

Answer 12

to control channel behaviou and manage channel conflict

Question 13

different types of verticle maketing nettworks

Answer 13

1. corporate
2. contractual
3. administered

Question 14

coperate VMN

Answer 14

integrrrates sucessive stages of production/distribution under single ownership

Question 15

contractual VMN

Answer 15

independant firms at different levels of production and distribution who join together through contracts to obtain more economies of scale than they could on their own

Question 16

Administered VMN

Answer 16

coordinates successive stages of production and distribution through the size and power of one of the partiess

Question 17

horizontal marketing network

Answer 17

two or moe companies at oone level join together to follow a new marketing opportunity

Question 18

multtichannel network

Answer 18

a single firm sets up two or more marketing channels to reach one or more marketing segments

Question 19

logistics

Answer 19

the strategic management of thee flow of materials and associated information between suppliers and customers with the aim of maximizing customer value in the long term at the lowest possible cost

Question 20

how does logistics add value

Answer 20

1. product deisng, manufacturing and orderring
2. warehousing
3. transport
4. information

Question 21

why is inventorry needed

Answer 21

1. prorduction economies
2. seasonality
3. contingencies
4. transport savings

Question 22

channel design

Answer 22

designing effective marrketng channels by analysis of customer needs, setting channel objectives, identifying major channel alternatives and evaluating them

Question 23

how to identify major channel alterrnatives

Answer 23

1. types of intermedaries

2. number of intemediaries

Question 24

how to evaluate major channel alternatives

Answer 24

1. economic criteria
2. control criteria
3. adaptive criteria
4. intenational marketing channels

Question 25

economic critteria

Answer 25

1. levels of sales and costs

2. estimate the cost of selling different volumes through each channel

Question 26

different channel management decisiomns

Answer 26

1. selecting channel members
2. motivating channel members
3. evaluating channel membes
4. rrisk
5. power
6. conflict