Question 1

All of the following are reasons why manufacturers may not wish to have their own sales forces except

Accepted Answer

A)  it may not be economical for sellers to have their own sales teams. 
B)  the market may be geographically too dispersed. 
C)  it is always more efficient to have outside sales agents. 
D)  the market may consist of too many small customers. 
A)  it may not be economical for sellers to have their own sales teams. 
B)  the market may be geographically too dispersed. 
C)  it is always more efficient to have outside sales agents. 
D)  the market may consist of too many small customers.

Question 2

Which of the following companies would have the greatest disadvantage if it were to try to sell its products through an electronic exchange?

Accepted Answer

A)  A well known department store like Sears. 
B)  A well-known catalog retailer like Lillian Vernon. 
C)  A small perfume manufacturer. 
D)  A large consumer products manufacturer. 
A)  A well known department store like Sears. 
B)  A well-known catalog retailer like Lillian Vernon. 
C)  A small perfume manufacturer. 
D)  A large consumer products manufacturer.

Question 3

Which of the following observations about nonstore retailing is true?

Accepted Answer

A)  There is no way a catalog retailer can reduce the disadvantage associated with the fact that consumers can't experience the product before they buy it. 
B)  Net sales are higher for products sold through TV home shopping than for products sold through vending machines. 
C)  Net sales are higher for products sold through electronic exchanges as compared to catalogs and direct mail. 
D)  In the business-to-consumer market, electronic exchange is the fastest growing nonstore method of retailing. 
A)  There is no way a catalog retailer can reduce the disadvantage associated with the fact that consumers can't experience the product before they buy it. 
B)  Net sales are higher for products sold through TV home shopping than for products sold through vending machines. 
C)  Net sales are higher for products sold through electronic exchanges as compared to catalogs and direct mail. 
D)  In the business-to-consumer market, electronic exchange is the fastest growing nonstore method of retailing.

Question 4

All of the following are stated characteristics of perfect intermediaries except

Accepted Answer

A)  they provide services to customers-credit, delivery, installation, and product repair-and honor the product warranty conditions. 
B)  they carry adequate stocks of the manufacturer's products and a satisfactory assortment of other products. 
C)  they have access to the market that the manufacturer wants to reach. 
D)  they build product demand for these products by advertising them. 
A)  they provide services to customers-credit, delivery, installation, and product repair-and honor the product warranty conditions. 
B)  they carry adequate stocks of the manufacturer's products and a satisfactory assortment of other products. 
C)  they have access to the market that the manufacturer wants to reach. 
D)  they build product demand for these products by advertising them.

Question 5

Why would a manufacturer of health and beauty products share promotional expenditures with its intermediaries as well as provide them with the computer software needed for an inventory system?

Accepted Answer

A)  To shorten its channel of distribution. 
B)  To avoid having to perform risk-taking activities. 
C)  To avoid having to perform any sorting activity. 
D)  To maintain a degree of control over its intermediaries. 
A)  To shorten its channel of distribution. 
B)  To avoid having to perform risk-taking activities. 
C)  To avoid having to perform any sorting activity. 
D)  To maintain a degree of control over its intermediaries.

Question 6

Gateway 2000 sold computers through a variety of methods which included telemarketing, catalog selling, and cable selling, and online selling. Identify the type of channel used by Gateway 2000.

Accepted Answer

A)  Direct channel 
B)  Indirect channel 
C)  Peer to peer marketing 
D)  Indirect marketing 
A)  Direct channel 
B)  Indirect channel 
C)  Peer to peer marketing 
D)  Indirect marketing

Question 7

_____ involve independent production and distribution companies entering into formal contracts to perform designated marketing functions.

Accepted Answer

A)  Administered systems 
B)  Contractual systems 
C)  Selective systems 
D)  Corporate systems 
A)  Administered systems 
B)  Contractual systems 
C)  Selective systems 
D)  Corporate systems

Question 8

In many places much of the population has moved from inner cities to suburbs, and thus buyers make most of their purchases in shopping centers and malls. If a manufacturer had a long-term _____ dealership with retailers in the inner city, the ability to adapt to the population shift from inner cities to suburbs could have been severely limited.

Accepted Answer

A)  selective 
B)  extensive 
C)  exclusive 
D)  widespread 
A)  selective 
B)  extensive 
C)  exclusive 
D)  widespread

Question 9

In context to channels of distribution, _____ relates to the ability of the manufacturer to adapt to changing conditions.

Accepted Answer

A)  channel flexibility 
B)  design flexibility 
C)  price flexibility 
D)  product flexibility 
A)  channel flexibility 
B)  design flexibility 
C)  price flexibility 
D)  product flexibility

Question 10

Which of the following products is most likely to require a direct channel of distribution?

Accepted Answer

A)  Coal 
B)  Lighting fixtures 
C)  Tropical flowers 
D)  Wooden picture frames 
A)  Coal 
B)  Lighting fixtures 
C)  Tropical flowers 
D)  Wooden picture frames

Question 11

In the early stages of _____, executives map out elaborate channel networks only to find out later that no independent intermediaries exist for the firm's product in the geographic region.

Accepted Answer

A)  consumer research 
B)  product planning 
C)  channel design 
D)  mission statement development 
A)  consumer research 
B)  product planning 
C)  channel design 
D)  mission statement development

Question 12

Identify the incorrect conventional channel of distribution of consumer goods?

Accepted Answer

A)  Manufacturer to agent to wholesaler to retailers to consumers. 
B)  Manufacturer to retailers to wholesaler to consumers. 
C)  Manufacturer to consumers. 
D)  Manufacturer to retailers to consumers. 
A)  Manufacturer to agent to wholesaler to retailers to consumers. 
B)  Manufacturer to retailers to wholesaler to consumers. 
C)  Manufacturer to consumers. 
D)  Manufacturer to retailers to consumers.

Question 13

During the channel selection process, a manufacturer should consider all the following except the

Accepted Answer

A)  distribution coverage required by its product. 
B)  behavioral patterns of individual employees. 
C)  degree of control the manufacturer wants to have over the channel. 
D)  total distribution cost. 
A)  distribution coverage required by its product. 
B)  behavioral patterns of individual employees. 
C)  degree of control the manufacturer wants to have over the channel. 
D)  total distribution cost.

Question 14

For which method of nonstore retailing are annual retail sales greatest?

Accepted Answer

A)  Catalogs and direct mail 
B)  Electronic exchanges 
C)  Direct sales 
D)  TV home shopping 
A)  Catalogs and direct mail 
B)  Electronic exchanges 
C)  Direct sales 
D)  TV home shopping

Question 15

More recently, a new view of distribution channels has developed which recognizes that much can be gained by developing long-term commitments and harmony among channel members. This view is referred to as

Accepted Answer

A)  customer service. 
B)  team building. 
C)  relationship marketing. 
D)  conflict resolution. 
A)  customer service. 
B)  team building. 
C)  relationship marketing. 
D)  conflict resolution.

Question 16

In terms of distribution costs, a distributor of petroleum products might be able to optimize total system performance if it could minimize

Accepted Answer

A)  its inventory carrying costs . 
B)  the number of products it sells. 
C)  the number of products in the introductory stage of the product life cycle. 
D)  the time spent on personal selling. 
A)  its inventory carrying costs . 
B)  the number of products it sells. 
C)  the number of products in the introductory stage of the product life cycle. 
D)  the time spent on personal selling.

Question 17

The general considerations in channel planning include customer characteristics, company characteristics, environmental characteristics, product characteristics, competitor characteristics, and

Accepted Answer

A)  structural characteristics. 
B)  individual characteristics. 
C)  intermediary characteristics. 
D)  behavioral characteristics. 
A)  structural characteristics. 
B)  individual characteristics. 
C)  intermediary characteristics. 
D)  behavioral characteristics.

Question 18

In transactional functions of channels of distribution, contacting potential customers, promoting products, and soliciting orders is concerned with

Accepted Answer

A)  buying. 
B)  assorting. 
C)  selling. 
D)  sorting. 
A)  buying. 
B)  assorting. 
C)  selling. 
D)  sorting.

Question 19

Coca-Cola licenses wholesalers in various markets that buy its syrup concentrate and then carbonate, bottle, and sell Coke products to retailers in their local markets. Coca-Cola participates in a(an) _____ vertical marketing system.

Accepted Answer

A)  selective 
B)  administered 
C)  corporate 
D)  contractual 
A)  selective 
B)  administered 
C)  corporate 
D)  contractual

Question 20

Mass merchandisers compete with other retailers on the basis of

Accepted Answer

A)  where they are located as they have a wide geographical reach. 
B)  the sales promotion done by them, which are substantially better than other retailers. 
C)  offering a good selection in a number of different product categories. 
D)  how much personal selling is done by their retail sales forces. 
A)  where they are located as they have a wide geographical reach. 
B)  the sales promotion done by them, which are substantially better than other retailers. 
C)  offering a good selection in a number of different product categories. 
D)  how much personal selling is done by their retail sales forces.

All of the following are reasons why manufacturers may not wish to have their own sales forces except

Which of the following companies would have the greatest disadvantage if it were to try to sell its products through an electronic exchange?

Which of the following observations about nonstore retailing is true?

All of the following are stated characteristics of perfect intermediaries except

Why would a manufacturer of health and beauty products share promotional expenditures with its intermediaries as well as provide them with the computer software needed for an inventory system?

Gateway 2000 sold computers through a variety of methods which included telemarketing, catalog selling, and cable selling, and online selling. Identify the type of channel used by Gateway 2000.

_____ involve independent production and distribution companies entering into formal contracts to perform designated marketing functions.

In context to channels of distribution, _____ relates to the ability of the manufacturer to adapt to changing conditions.

Which of the following products is most likely to require a direct channel of distribution?

In the early stages of _____, executives map out elaborate channel networks only to find out later that no independent intermediaries exist for the firm's product in the geographic region.

Identify the incorrect conventional channel of distribution of consumer goods?

During the channel selection process, a manufacturer should consider all the following except the

For which method of nonstore retailing are annual retail sales greatest?

More recently, a new view of distribution channels has developed which recognizes that much can be gained by developing long-term commitments and harmony among channel members. This view is referred to as

In terms of distribution costs, a distributor of petroleum products might be able to optimize total system performance if it could minimize

The general considerations in channel planning include customer characteristics, company characteristics, environmental characteristics, product characteristics, competitor characteristics, and

In transactional functions of channels of distribution, contacting potential customers, promoting products, and soliciting orders is concerned with

Coca-Cola licenses wholesalers in various markets that buy its syrup concentrate and then carbonate, bottle, and sell Coke products to retailers in their local markets. Coca-Cola participates in a(an) _____ vertical marketing system.

Mass merchandisers compete with other retailers on the basis of

Strategic Planning and the Marketing Management Process

Marketing Research : Process and Systems for Decision Making

Consumer Behavior

Business, Government, and Institutional Buying

Market Segmentation

Product and Brand Strategy

New Product Planning and Development

Integrated Marketing Communications : Advertising, Sales Promotion, Public Relations, and Direct Marketing

Personal Selling, Relationship Building, and Sales Management

Pricing Strategy

The Marketing of Services

Global Marketing

Filters

Exam 10: Distribution Strategy

All of the following are reasons why manufacturers may not wish to have their own sales forces except

Which of the following companies would have the greatest disadvantage if it were to try to sell its products through an electronic exchange?

Which of the following observations about nonstore retailing is true?

All of the following are stated characteristics of perfect intermediaries except

Why would a manufacturer of health and beauty products share promotional expenditures with its intermediaries as well as provide them with the computer software needed for an inventory system?

Gateway 2000 sold computers through a variety of methods which included telemarketing, catalog selling, and cable selling, and online selling. Identify the type of channel used by Gateway 2000.

_____ involve independent production and distribution companies entering into formal contracts to perform designated marketing functions.

In context to channels of distribution, _____ relates to the ability of the manufacturer to adapt to changing conditions.

Which of the following products is most likely to require a direct channel of distribution?

In the early stages of _____, executives map out elaborate channel networks only to find out later that no independent intermediaries exist for the firm's product in the geographic region.

Identify the incorrect conventional channel of distribution of consumer goods?

During the channel selection process, a manufacturer should consider all the following except the

For which method of nonstore retailing are annual retail sales greatest?

More recently, a new view of distribution channels has developed which recognizes that much can be gained by developing long-term commitments and harmony among channel members. This view is referred to as

In terms of distribution costs, a distributor of petroleum products might be able to optimize total system performance if it could minimize

The general considerations in channel planning include customer characteristics, company characteristics, environmental characteristics, product characteristics, competitor characteristics, and

In transactional functions of channels of distribution, contacting potential customers, promoting products, and soliciting orders is concerned with

Coca-Cola licenses wholesalers in various markets that buy its syrup concentrate and then carbonate, bottle, and sell Coke products to retailers in their local markets. Coca-Cola participates in a(an) _____ vertical marketing system.

Mass merchandisers compete with other retailers on the basis of

Strategic Planning and the Marketing Management Process

Marketing Research : Process and Systems for Decision Making

Consumer Behavior

Business, Government, and Institutional Buying

Market Segmentation

Product and Brand Strategy

New Product Planning and Development

Integrated Marketing Communications : Advertising, Sales Promotion, Public Relations, and Direct Marketing

Personal Selling, Relationship Building, and Sales Management

Pricing Strategy

The Marketing of Services

Global Marketing

Filters