Exam 10: Place and Development of Channel Systems

Quiet Drive Mufflers are sold only through Car Parts Now retailers. This retailer has only one store in any given geographic area to minimize competition between stores. Quiet Drive Mufflers uses _____ distribution.

"Ideal market exposure" should make a product widely enough available to satisfy target customers' needs, but not exceed them.

From a producer's viewpoint, which of the following is an advantage of intensive distribution over selective distribution?

A channel captain helps direct the activities of a whole channel and tries to avoid or solve channel conflicts.

Aggressive, market-oriented intermediaries are almost always available and eager to handle the distribution of innovative, new products.

In administered channel systems, vertical cooperation is achieved by acquiring firms at different levels of activity.

Multichannel distribution occurs when a producer uses several competing channels to reach the same target market perhaps using several intermediaries in addition to selling directly.

Distribution agreements which limit sales by customer or territory:

A new channel is more likely to prompt conflict if it focuses on segments not already served by current channels.

______________ means selling a product through only one wholesaler or retailer in a particular geographic area.

Intensive distribution covers the broad area of market exposure between selective and exclusive distribution.

Channel specialists use the regrouping activities of sorting and assorting to resolve:

Some channel conflict may

If a producer agrees to enter into a management contracting arrangement with a zinc mining operation in Chile,

Intensive distribution:

Retail stores that sell "seconds" and "irregular" products at discount prices are flourishing all over the country. These stores are needed because of what regrouping activity?

Which of the following statements about Place is true?

Many firms prefer to distribute directly to the final customer or consumer because they

Legal concerns about channel of distribution arrangements are most likely to arise when:

If a Universal computer monitor breaks while it is still under warranty, someone needs to get it to the repair center. In this case, Universal will need: