Exam 10: Channels of Distribution

Buyers and sellers usually come to the table as equals when bargaining.

PizzaPie Company plans for explosive growth over the next five years. The company might consider creating a franchise system to enable multi-site expansion.

If Sony opened its own retail stores, that would be "backward integration."

The determination of the size of a sales force is usually done via some estimation of expected .

Coupons are an example of pull marketing.

Discuss the role of catalog sales in the current world of e-commerce.

Tech Gadgets Co. is revamping its distribution strategy. If the goods manufactured by Tech Gadgets Co. are simple, inexpensive, easily transported, it is typical that they would be distributed widely and .

Company ABC is trying to determine which products it should introduce. It is more efficient for Company ABC to produce a large quantity of a limited number of goods.

Many consumer packaged goods are distributed intensively. Why?

In push marketing, the manufacturer targets rather than .

If a pharamacy and a department store are competing, it would be vertical competition.

Describe three possible growth strategies for retailers.

Executives at Inspiron Company disagree as to which channel partners are the best fit for their business. One executive says that a particular channel partner's interactions with customers is not in sync with Inspiron Company's vision and mission statement. When channel partners differ in their opinions on how to please customers and maximize profit, such as the case between Inspiron Company and its channel partner, conflict can arise.

The types of goods that require a sales force are less expensive than those that don't.

"Push" and "pull" refer simply to whether the manufacturer targets consumers or channel partners with its marketing communications.

Companies cannot succeed without distribution partners.

The extensiveness of distribution channels is related to the brand's life cycle or the company's maturity in the marketplace.

Everyone in the distribution network is involved with customer-oriented activities.

Network Supplies, Inc. manufactures and sells an undifferentiated product line. Its products are very similar to others available in the marketplace. Thus, the quality of the company's sales force is likely to be the most significant means of differentiation for the firm.

An important form of international channel support these days is "global outsourcing."