Wee 8 - placement

Question 1

define place management (supply chain management)

Answer 1

management involves the process of procuring the right inputs, converting them efficiently into finished products and dispatching them to the final destinations.

Question 2

define supply chain

Answer 2

System of effectively and efficiently producing making and feting products to end users

Question 3

define marketing logistics (physical distribution)

Answer 3

tasks involved in planning, implementing and controlling the physical flow of materials and final goods from points of origin to meet the needs of customers at a profit

Question 4

define value delivery network

Answer 4

the company, suppliers, distributors and ultimately customers who ‘partner’ with each other to improve the performance of the entire system

Question 5

Define service marketing logistics

Answer 5

coordinating non-material activities needed to provide a service in a cost-effective way and with the quality expected

Question 6

Define supply chain trade offs

Answer 6

the trade offs in costs areas involved when deciding on the service level the organisation will offer customers

Question 7

explain the supply chain elements (trade offs)

supply chain functions

Answer 7

TOWIC

transportation costs

order processing and information costs

warehousing throughput costs

inventory carrying costs

conversion lot quantity costs

Question 8

Define distribution centres

Answer 8

Large and highly automated warehouse designed to receive goods from various plants and suppliers, take orders and deliver goods to retail owner of centres as quickly as possible

Question 9

main form of transportation

Answer 9

trucks
rail
sea-carriers
pipelines
air carriers
internet

Question 10

define intermodal transportation

Answer 10

combining two or more modes of transportation

Question 11

main functions of marketing channels

Answer 11

information - gather and distribute marketing research and info about actors and forces in the marketing environment

Promotion - developing and spreading persuasive communication about offer

Contact - finding and communicating with prospective buyers

physical - storing, transporting and holding of goods

financing - acquiring funds and using them to cover costs of channel work

Question 12

Define channel level

Answer 12

layer of people who perform some work in bringing the product and ownership closer to the final buyer

Question 13

Define direct marketing chanel

Answer 13

marketing channel that has no intermediary levels

Question 14

define channel conflict

Answer 14

Disagreements among marketing channel member on goals, roles and rewards regarding who should do what and for what rewards

Question 15

types of channel conflict

Answer 15

horizontal

vertical

Question 16

define horizontal conflict

Answer 16

between firms at the same level of channel e.g. franchises

Question 17

define vertical conflict

Answer 17

conflict between different levels of the same channel and is more common
e.g. having the same supplier of vw and audi could create conflict

Question 18

define conventional marketing channel

Answer 18

channel consisting of one or more independent producers, wholesalers and retailers, each seperate businesses seeking to max profits

e.g:
manufacturer

wholesaler

retailer

consumer

Question 19

define Vertical marketing network (VWN)

Answer 19

distribution channel in which, producers, wholesalers and retailers act as a unified network; one channel member owns the others has contracts with them or so much power they cooperate

Question 20

define cooperate Vertical marketing networks

Answer 20

vertical marketing network that combines successive stages of production and distribution under single ownership

Question 21

Define contractual vertical marketing networks

Answer 21

VMN in which independent firms at different levels of production and distribution join together through contracts

Question 22

3 forms of franchise

Answer 22

manufacturer sponsored retailer networks

manufacturer sponsored wholesaler networks

service firm sponsors retail networks

Question 23

define administered vertical marketing networks

Answer 23

A VMN that coordinates successive stages of production and distribution not through common ownership or contract ties but through size and power of one party

Question 24

define Horizontal marketing networks

Answer 24

channel arrangement in which 2 or more companies at one level join together to follow a new marketing opportunity
e.g. telstra and foxtel

Question 25

define multichannel distribution network

Answer 25

firms set up 2 or more marketing channels to read one or more marketing segments

Question 26

define disintermediation

Answer 26

removal of marketing channels by good or service producers

Question 27

define retailing

Answer 27

all activities involved in selling goods or services directly to final consumers for personal use (not business)

Question 28

explain major store retailer types

Answer 28

speciality stores - narrow product line with deep assortment in that line

Department stores - Retail organisations that carry wide variety of product lines e.g. home furnishing each line is operated as a seperate department

Supermarkets - large low cost, low margin, high volume self service store carries wide variety

Convince stores

Discount stores

off price retailers

superstores - giant speacilty store that carries a very deep assortment of a particular line (IKEA)

Question 29

define mass merchant

Answer 29

store carrying large assortment of merchandise e.g. bunnies/harvy norman

Question 30

define superstore

Answer 30

twice the size of normal supermarket

Question 31

define hypermarket

Answer 31

huge store combining supermarket, warehouse and discount retailing
caring; furniture, appliances and clothing

Question 32

well of recalling concept

Answer 32

new organisations/retailers start as low-margin, low-price operations but later evolve into high margin and price

Question 33

define wholesaling

Answer 33

All activités involved in selling goods and services to those buying for resale or business use

Question 34

explain wholesaler functions

Answer 34

finance
transportation
selling + promoting
market information 
warehousing

Question 35

type of wholesalers

Answer 35

merchant wholesaler - independent owned business has title to use merchandise it handles

broker - person who does not take title to goods and whose function is to bring buyers and sellers together assisting negotiations

Agent - person or business who represents buyers and sellers on a more permeant basis (does not take title of goods)

manufacturers sales branches and offices = wholesaling by sellers or buyers themselves rather than through independent wholesalers