Exam 10: Channels of Distribution

Archie and Betty are examining how their firm manages the sales process, and they are considering selling directly to consumers without maintaining a sales force.In making their decision, they should consider the complexity of their product.

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.

General merchandise retailers may carry depth, but they do not carry breadth, and the product assortment is broader at specialty stores.

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

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

Apple used to be in the business of manufacturing only, but then it opened Apple stores.This is an example of which of the following?

Companies cannot succeed without distribution partners.

Some cost is associated with each link in a distribution channel so all links should contribute value.

__________ strategies are incentives a manufacturer offers to its distribution partners such as dealers, wholesalers, retailers, and the like to sell products to the end users.

A lot of research has demonstrated that there is a relationship between the __________ of employees and that of customers.

ABC Uniforms currently buys uniforms and customizes them for specific teams.The uniform manufacturer is hard to deal with and has refused to negotiate a reasonable price.ABC Uniforms already has the equipment to customize the uniforms.Perhaps the company should begin to make the basic uniforms in-house.What term refers to this type of decision?

Channel design is an integral part of all of the following EXCEPT

Which of the following identifies a major class of franchising?

Automobiles are complicated and expensive and require the help of a salesperson for a customer to make a purchase decision.Therefore, they need to be distributed

BrainTrust Company produces and sells educational toys for children.In pricing its product, the company needs to make sure it properly estimates its costs.The company can safely estimate that transportation is what percentage of total distribution cost?

Storage and display are __________ activities.

Exclusive channels can be easily accessed by all consumers.

ABC Clothing has a catalog that enables consumers to browse and order new clothing.Based on current research, the company should replace its catalog with an Internet site that customers can browse.

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

If private labels sell well, they give the manufacturer negotiating power with the retailer.