Exam 11: Distribution

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A hospital-centric health system that operates clinics within school systems might be said to have integrated:

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When members on the same level of the distribution channel have agreements to perform certain functions for the distribution channel, it is a(n):

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Fiduciary power occurs when one channel member has significantly greater financial resources compared to another.

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Some rehabilitation facilities will help shape and design orthotic devices for patients as needed. In this instance, these organizations are adding the middleman value of form design utility.

(True/False)
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In metropolitan areas where there are a large number of community hospitals all offering a relatively similar array of clinical services, the channel commander may well be the:

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Many hospitals are now operating walk-in clinics within supermarkets and discount chains. This would be an example of a corporate vertical marketing system.

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A structural sign that health care is evolving to a true retail market is that retail centers set to receive health care are now appearing nationally.

(True/False)
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When an organization that operates at some level in the channel of distribution moves to a level that is closer to the customer, this move can be described as forward integration.

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On the demand side of a true retail market, companies are now providing incentives for consumers to engage in healthy behaviors.

(True/False)
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Cincinnati Children's Hospital would be in which quadrant of the retail positioning matrix?

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Most consumers first go their physician and then turn to the Internet to check the diagnosis that they were given by the doctor.

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Functional shifting is the concept that different middlemen can always perform different functions as required by the manufacturer.

(True/False)
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New retail forms always enter the market and replace existing forms by having a broader array of services; this is referred to as the wheel of retailing.

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In positioning themselves, healthcare organizations should consider the number of value-added services they are going to provide as well as the breadth of their product line.

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In which of the following is production and distribution combined within one vertical marketing system?

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The University of Michigan Health System is advertising on National Public Radio as being a leading clinical source for the treatment of skin cancer. This strategy is an approach to gain economic power.

(True/False)
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Cooperatives are agreements among channel members who exist on the same horizontal level of the channel of distribution.

(True/False)
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Which of the following is not one of the three criteria that define a true retail market?

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MD Anderson is well known for its diagnosis and treatment of cancer. In this instance, the organization might be said to have which form of power?

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When a group of orthopedists establishes their own surgery center and the hospital's CEO and board of trustees are upset with the medical group, this is an example of horizontal conflict.

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