Exam 14: Channels of Distribution

In 1989, Seeds of Change started with a simple mission: "To preserve biodiversity and promote sustainable, organic agriculture." With its ever-expanding line of Certified Organic Foods, it has stayed True to its mission. It uses only the freshest, select, organic ingredients. All are great tasting and healthy and just as nature intended. Seeds of Change also seeks out unique ingredients such as quinoa, an ancient and little-known South American grain that is high in protein and a valuable source of many amino acids. By using quinoa, Seeds of Change is helping to preserve a nutritious food that might have otherwise been lost for future generations. In close collaboration with an extensive network of certified organic seed growers and plant breeders, Seeds of Change cultivates, studies, refines, and expands the products it provides to consumers. -When the company first started marketing its brand of products, it used _____ distribution.

Which of the following is an example of a merchant middleman?

Management consulting services, tutoring, and a medical examination would:

Which of the following products is most likely to have an indirect channel of distribution?

A vertical marketing system:

A manufacturer that uses a(n) _____ strategy of distribution wants to sell its product through every outlet in a market where a consumer might reasonably look for it.

Cummins Engine Company uses _____ distribution in business-to-business markets. Its sales force is knowledgeable about maintenance costs and other technical information. They sell the Cummins engine straight to Navistar, Chrysler, Volvo-GM, and Kenworth.

The interior decorator suggested Michele find some iron scrollwork to use as a headboard in her guest bedroom. Michele hired Jago, an artist who works in metal to design and install her headboard. In this example of _____ distribution, Michele paid Jago $1,500 for his work.

A manufacturer that forbids its dealers from carrying its competitors' products is engaged in _____ _____.

The Olympics Store is the only place in Chicago where a collector of Olympic memorabilia can buy a set of eight Olympic pins priced at $300,000. (They are made of diamonds, rubies, and other precious stones.) What kind of distribution strategy is the Olympic Committee using with these pins?

Which of the following is an example of an intermediary that aids the distribution process?

Which of the following statements about scrambled merchandising is True?

CDW is the largest reseller of computer equipment in the United States. The bulk of CDW's 360,000 customers are small- and medium-sized businesses. Such companies have modest IT departments at best, and they lack the volume to command much attention from equipment manufacturers. They need a relationship with a knowledgeable vendor, which is exactly the service CDW sells. CDW is working to prevent its customers from eliminating it from their distribution channels. In other words, CDW is creating an environment in which _____ would be impractical.

An effective weapon for a manufacturer to use if it wants to lessen its conflict with retailers is to:

In a corporate vertical marketing system,:

Which of the following channels of distribution accounts for the greatest dollar sales volume of business products?

A producer-supplier of _____ would be most likely to use an intensive distribution strategy.

If the manufacturer of Charlee's Gourmet Beef Jerky is trying to decide whether to market the product by mail order, in convenience stores, through local caterers, and/or at independent supermarkets, it is involved in:

Insurance companies, finance firms, and trucking companies are not formally included in the distribution channel.

Which of the following organizations is most likely to use a direct channel of distribution?