Question 1

Which type of marketing channel typically yields the highest margins for a manufacturer?

Accepted Answer

A) direct channel 
B) indirect channel 
C) mixed channel 
D) intermediate channel 
E) distributor channel 
A) direct channel 
B) indirect channel 
C) mixed channel 
D) intermediate channel 
E) distributor channel A

Question 2

For the consumer market,marketing channels include direct channels as well as indirect channels.

Accepted Answer

A) True 
 B)False  True

Question 3

As an operational component of channel performance,operating efficiency refers to ________.

Accepted Answer

A) cost to serve 
B) volume 
C) customer reach 
D) return on sales 
E) retention 
A) cost to serve 
B) volume 
C) customer reach 
D) return on sales 
E) retention A

Question 4

________ buy components from manufacturers and assemble them to make their own products.

Accepted Answer

A) Wholesalers 
B) Value-added resellers 
C) Original equipment manufacturers 
D) Sales agents 
E) Distributors 
A) Wholesalers 
B) Value-added resellers 
C) Original equipment manufacturers 
D) Sales agents 
E) Distributors

Question 5

Once the market share has exceeded the outlet share,the rate of market share growth ________ with further increase in outlet share.

Accepted Answer

A) becomes zero 
B) becomes infinity 
C) remains constant 
D) increases 
E) decreases 
A) becomes zero 
B) becomes infinity 
C) remains constant 
D) increases 
E) decreases

Question 6

As an operational component of channel performance,customer reach refers to ________.

Accepted Answer

A) cost to serve 
B) volume 
C) operating efficiency 
D) service quality 
E) retention 
A) cost to serve 
B) volume 
C) operating efficiency 
D) service quality 
E) retention

Question 7

Which of the following marketing channels has the most potential for expanding customer reach at the lowest cost?

Accepted Answer

A) telemarketing 
B) personal selling 
C) trade shows 
D) catalog marketing 
E) digital marketing 
A) telemarketing 
B) personal selling 
C) trade shows 
D) catalog marketing 
E) digital marketing

Question 8

Marketing channel performance is evaluated based on the operational components of ________.

Accepted Answer

A) customer reach,operating efficiency,and service quality 
B) customer value,sales revenues,and profitability 
C) return on sales,brand image,and sales margin 
D) product quality,product assortment,and product form 
E) product costs,branding strategy,and customer loyalty 
A) customer reach,operating efficiency,and service quality 
B) customer value,sales revenues,and profitability 
C) return on sales,brand image,and sales margin 
D) product quality,product assortment,and product form 
E) product costs,branding strategy,and customer loyalty

Question 9

Which of the following is true of an indirect channel system?

Accepted Answer

A) The business retains ownership of the products until delivered to customers. 
B) The cost of indirect customer sales contact is high and increasing. 
C) An indirect marketing channel system includes telemarketing and digital marketing. 
D) An indirect marketing channel system is particularly important for specialized and technological products. 
E) An indirect marketing channel system involves an intermediary that takes over ownership and sales. 
A) The business retains ownership of the products until delivered to customers. 
B) The cost of indirect customer sales contact is high and increasing. 
C) An indirect marketing channel system includes telemarketing and digital marketing. 
D) An indirect marketing channel system is particularly important for specialized and technological products. 
E) An indirect marketing channel system involves an intermediary that takes over ownership and sales.

Question 10

Which of the following factors determines that a marketing channel is an indirect channel rather than a direct channel?

Accepted Answer

A) The products are complex and require extensive after-sales service. 
B) The products are intended for business-to-business markets rather than consumer markets. 
C) At least one marketing intermediary takes ownership of the products and controls distribution. 
D) Telemarketing and digital marketing are an integral part of the distribution system. 
E) The marketing channel uses one or more intermediaries who are a part of the company. 
A) The products are complex and require extensive after-sales service. 
B) The products are intended for business-to-business markets rather than consumer markets. 
C) At least one marketing intermediary takes ownership of the products and controls distribution. 
D) Telemarketing and digital marketing are an integral part of the distribution system. 
E) The marketing channel uses one or more intermediaries who are a part of the company.

Question 11

Which of the following benefits with respect to a customer's service needs and expectations must a business consider to determine if a channel system is viable?

Accepted Answer

A) product quality 
B) product assortment 
C) availability/delivery 
D) product form 
E) image benefits 
A) product quality 
B) product assortment 
C) availability/delivery 
D) product form 
E) image benefits

Question 12

Which of the following statements is true of marketing channels?

Accepted Answer

A) A direct marketing channel removes a business from the end-user customer. 
B) A direct marketing channel offers higher margins than an indirect channel,but the company must bear the cost of marketing expenses. 
C) Customers who make small purchases are usually profitably served with a direct channel system. 
D) An indirect marketing channel is often expensive,so it limits the number of customers a business can profitably reach. 
E) Original equipment manufacturers (OEMs)are part of a direct marketing channel system. 
A) A direct marketing channel removes a business from the end-user customer. 
B) A direct marketing channel offers higher margins than an indirect channel,but the company must bear the cost of marketing expenses. 
C) Customers who make small purchases are usually profitably served with a direct channel system. 
D) An indirect marketing channel is often expensive,so it limits the number of customers a business can profitably reach. 
E) Original equipment manufacturers (OEMs)are part of a direct marketing channel system.

Question 13

A channel system should enhance customer value by increasing customer benefits,lowering customer cost of purchase,or both.

Accepted Answer

A) True 
 B)False

Question 14

Office Services Inc.uses a direct sales force to sell office equipment to its 1,000 target customers.The required rate of customer contact for sales effectiveness and customer satisfaction is two customer visits per month,translating into 24,000 customer contacts per year.Assuming that a salesperson can make three customer visits per day,has 4 days per week to make customer calls,and works 50 weeks per year,how many salespeople does Office Services Inc.need to meet its requirements?

Accepted Answer

A) 4 
B) 40 
C) 480 
D) 2,000 
E) 2,400 
A) 4 
B) 40 
C) 480 
D) 2,000 
E) 2,400

Question 15

Calculate the total number of manufacturers,if 15 transactions are made per year with 10,000 retailers.The total number of transactions is 3 million transactions per year.

Accepted Answer

A) 25 
B) 10 
C) 20 
D) 35 
E) 50 
A) 25 
B) 10 
C) 20 
D) 35 
E) 50

Question 16

Which of the following is the best example of a mixed marketing channel?

Accepted Answer

A) Wellspring Cosmetics sells its products exclusively through its monthly catalogs,mailed to a subscriber list. 
B) GTB Computers uses its own sales force to initiate sales contacts,but uses external local dealers to provide products and after-sales services. 
C) Radix Inc. ,a manufacturer of automotive parts,sells its products to a number of automobile companies. 
D) More4Less.com buys products from manufacturers and sells them to consumers through its Web site. 
E) Apparel retailer UrbanScene elected to close all its brick-and-mortar stores and sell products only through its online storefront. 
A) Wellspring Cosmetics sells its products exclusively through its monthly catalogs,mailed to a subscriber list. 
B) GTB Computers uses its own sales force to initiate sales contacts,but uses external local dealers to provide products and after-sales services. 
C) Radix Inc. ,a manufacturer of automotive parts,sells its products to a number of automobile companies. 
D) More4Less.com buys products from manufacturers and sells them to consumers through its Web site. 
E) Apparel retailer UrbanScene elected to close all its brick-and-mortar stores and sell products only through its online storefront.

Question 17

Paterson Inc.is a business that purchases computers,printers,modems,fax machines,software,and telecommunications equipment from several manufacturers and markets them as complete (bundled)customized systems to small businesses to meet their specific needs.What type of channel intermediary is Paterson Inc.?

Accepted Answer

A) wholesaler 
B) value-added reseller 
C) original equipment manufacturer 
D) sales agent 
E) distributor 
A) wholesaler 
B) value-added reseller 
C) original equipment manufacturer 
D) sales agent 
E) distributor

Question 18

If there are 20 manufacturers and 500 retailers,and each manufacturer has 15 interactions per year with each retailer at a cost of $200 per transaction,calculate the total number of transactions.

Accepted Answer

A) 100,000 transactions per year 
B) 150,000 transactions per year 
C) 200,000 transactions per year 
D) 250,000 transactions per year 
E) 300,000 transactions per year 
A) 100,000 transactions per year 
B) 150,000 transactions per year 
C) 200,000 transactions per year 
D) 250,000 transactions per year 
E) 300,000 transactions per year

Question 19

Which of the following types of marketing intermediaries assumes the selling responsibility for a business and receives a commission when a sale occurs,as part of a direct channel system?

Accepted Answer

A) retailers 
B) brokers 
C) wholesalers 
D) commercial distributors 
E) dealers 
A) retailers 
B) brokers 
C) wholesalers 
D) commercial distributors 
E) dealers

Question 20

Which of the following is an example of an indirect B2C marketing channel?

Accepted Answer

A) Wellspring Cosmetics sells its products exclusively through its monthly catalogs,mailed to a subscriber list. 
B) GTB Computers uses its own sales force to initiate sales contacts,but uses external local dealers to provide products and after-sales services. 
C) Radix Inc. ,a manufacturer of automotive parts,sells its products to a number of automobile companies. 
D) More4Less.com buys products from manufacturers and sells them to consumers through its Web site. 
E) Apparel retailer UrbanScene elected to close all its brick-and-mortar stores and sell products only through its online storefront. 
A) Wellspring Cosmetics sells its products exclusively through its monthly catalogs,mailed to a subscriber list. 
B) GTB Computers uses its own sales force to initiate sales contacts,but uses external local dealers to provide products and after-sales services. 
C) Radix Inc. ,a manufacturer of automotive parts,sells its products to a number of automobile companies. 
D) More4Less.com buys products from manufacturers and sells them to consumers through its Web site. 
E) Apparel retailer UrbanScene elected to close all its brick-and-mortar stores and sell products only through its online storefront.

Which type of marketing channel typically yields the highest margins for a manufacturer?

For the consumer market,marketing channels include direct channels as well as indirect channels.

As an operational component of channel performance,operating efficiency refers to ________.

________ buy components from manufacturers and assemble them to make their own products.

Once the market share has exceeded the outlet share,the rate of market share growth ________ with further increase in outlet share.

As an operational component of channel performance,customer reach refers to ________.

Which of the following marketing channels has the most potential for expanding customer reach at the lowest cost?

Marketing channel performance is evaluated based on the operational components of ________.

Which of the following is true of an indirect channel system?

Which of the following factors determines that a marketing channel is an indirect channel rather than a direct channel?

Which of the following benefits with respect to a customer's service needs and expectations must a business consider to determine if a channel system is viable?

Which of the following statements is true of marketing channels?

A channel system should enhance customer value by increasing customer benefits,lowering customer cost of purchase,or both.

Calculate the total number of manufacturers,if 15 transactions are made per year with 10,000 retailers.The total number of transactions is 3 million transactions per year.

Which of the following is the best example of a mixed marketing channel?

If there are 20 manufacturers and 500 retailers,and each manufacturer has 15 interactions per year with each retailer at a cost of $200 per transaction,calculate the total number of transactions.

Which of the following types of marketing intermediaries assumes the selling responsibility for a business and receives a commission when a sale occurs,as part of a direct channel system?

Which of the following is an example of an indirect B2C marketing channel?

Customer Focus, customer Performance, and Profit Impact

Marketing Metrics and Marketing Profitability

Market Potential, market Demand, and Market Share

The Customer Experience and Value Creation

Market Segmentation and Segmentation Strategies

Competitive Position and Sources of Advantage

Product Positioning, branding, and Product Line Strategies

Value-Based Pricing and Pricing Strategies

Marketing Communications, social Media, and Customer Response

Portfolio Analysis and Strategic Market Planning

Offensive Strategies

Defensive Strategies

Building a Marketing Plan

Marketing Metrics,performance,and Strategy Implementation

Market-Based Management and Financial Performance

Filters

Exam 9: Marketing Channels and Channel Mapping

Which type of marketing channel typically yields the highest margins for a manufacturer?

For the consumer market,marketing channels include direct channels as well as indirect channels.

As an operational component of channel performance,operating efficiency refers to ________.

________ buy components from manufacturers and assemble them to make their own products.

Once the market share has exceeded the outlet share,the rate of market share growth ________ with further increase in outlet share.

As an operational component of channel performance,customer reach refers to ________.

Which of the following marketing channels has the most potential for expanding customer reach at the lowest cost?

Marketing channel performance is evaluated based on the operational components of ________.

Which of the following is true of an indirect channel system?

Which of the following factors determines that a marketing channel is an indirect channel rather than a direct channel?

Which of the following benefits with respect to a customer's service needs and expectations must a business consider to determine if a channel system is viable?

Which of the following statements is true of marketing channels?

A channel system should enhance customer value by increasing customer benefits,lowering customer cost of purchase,or both.

Calculate the total number of manufacturers,if 15 transactions are made per year with 10,000 retailers.The total number of transactions is 3 million transactions per year.

Which of the following is the best example of a mixed marketing channel?

If there are 20 manufacturers and 500 retailers,and each manufacturer has 15 interactions per year with each retailer at a cost of $200 per transaction,calculate the total number of transactions.

Which of the following types of marketing intermediaries assumes the selling responsibility for a business and receives a commission when a sale occurs,as part of a direct channel system?

Which of the following is an example of an indirect B2C marketing channel?

Customer Focus, customer Performance, and Profit Impact

Marketing Metrics and Marketing Profitability

Market Potential, market Demand, and Market Share

The Customer Experience and Value Creation

Market Segmentation and Segmentation Strategies

Competitive Position and Sources of Advantage

Product Positioning, branding, and Product Line Strategies

Value-Based Pricing and Pricing Strategies

Marketing Communications, social Media, and Customer Response

Portfolio Analysis and Strategic Market Planning

Offensive Strategies

Defensive Strategies

Building a Marketing Plan

Marketing Metrics,performance,and Strategy Implementation

Market-Based Management and Financial Performance

Filters