Question 1

Intensive distribution at the retail level would probably be most appropriate for:

Accepted Answer

A)  Sports coats. 
B)  Batteries. 
C)  10 speed bicycles. 
D)  Tennis rackets. 
E)  35mm cameras. 
A)  Sports coats. 
B)  Batteries. 
C)  10 speed bicycles. 
D)  Tennis rackets. 
E)  35mm cameras.

Question 2

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

Accepted Answer

A)  Intermediaries' price-cutting may be reduced. 
B)  Intermediaries' facilities will be more convenient for customers. 
C)  Intermediaries can be required to carry larger stocks. 
D)  More aggressive selling can be expected from intermediaries. 
E)  Better service can be required from intermediaries. 
A)  Intermediaries' price-cutting may be reduced. 
B)  Intermediaries' facilities will be more convenient for customers. 
C)  Intermediaries can be required to carry larger stocks. 
D)  More aggressive selling can be expected from intermediaries. 
E)  Better service can be required from intermediaries.

Question 3

If a firm's involvement in international marketing is limited to managing others' production facilities, it is using:

Accepted Answer

A)  exporting. 
B)  licensing. 
C)  direct investment. 
D)  joint venturing. 
E)  management contracting. 
A)  exporting. 
B)  licensing. 
C)  direct investment. 
D)  joint venturing. 
E)  management contracting.

Question 4

When Renault Motor Co. builds a new production facility in Venezuela and it is the sole owner of the facility, this is an example of a(n) _________ investment approach.

Accepted Answer

A)  indirect 
B)  management contracting 
C)  joint venture 
D)  licensing 
E)  direct 
A)  indirect 
B)  management contracting 
C)  joint venture 
D)  licensing 
E)  direct

Question 5

In general, marketers that seek greater control over their marketing mixes in the international environment will:

Accepted Answer

A)  hire more marketing managers. 
B)  invest more financial resources and take greater risks. 
C)  use intensive distribution. 
D)  choose to export or license. 
E)  set up traditional global channels. 
A)  hire more marketing managers. 
B)  invest more financial resources and take greater risks. 
C)  use intensive distribution. 
D)  choose to export or license. 
E)  set up traditional global channels.

Question 6

In _____ channel systems the amount of cooperation among members of the channel is very high.

Accepted Answer

A)  contractual 
B)  traditional 
C)  corporate 
D)  administered 
E)  horizontal 
A)  contractual 
B)  traditional 
C)  corporate 
D)  administered 
E)  horizontal

Question 7

_____ distribution is commonly used for convenience products and business supplies.

Accepted Answer

A)  Internal 
B)  Intensive 
C)  Selective 
D)  Specialized 
E)  Exclusive 
A)  Internal 
B)  Intensive 
C)  Selective 
D)  Specialized 
E)  Exclusive

Question 8

To help producers manage discrepancies between what gets produced and what customers need, channel specialists perform _____ activities, such as accumulating, bulk-breaking, sorting, and assorting.

Accepted Answer

A)  channel 
B)  regrouping 
C)  direct marketing 
D)  promotion 
E)  selective distribution 
A)  channel 
B)  regrouping 
C)  direct marketing 
D)  promotion 
E)  selective distribution

Question 9

In _____ channel systems, the channel members agree by contract to cooperate with each other.

Accepted Answer

A)  contractual 
B)  traditional 
C)  selective 
D)  corporate 
E)  administered 
A)  contractual 
B)  traditional 
C)  selective 
D)  corporate 
E)  administered

Question 10

When planning channels of distribution, a marketing manager should know that

Accepted Answer

A)  vertically integrated systems are seldom used-because of the difficulty of maintaining control. 
B)  a contractual system offers both flexibility and stability for its members. 
C)  the disadvantage of a corporate channel system is reduced control over distribution activities. 
D)  the disadvantage of an administered system is that it is a very formal arrangement. 
E)  None of these alternatives is correct. 
A)  vertically integrated systems are seldom used-because of the difficulty of maintaining control. 
B)  a contractual system offers both flexibility and stability for its members. 
C)  the disadvantage of a corporate channel system is reduced control over distribution activities. 
D)  the disadvantage of an administered system is that it is a very formal arrangement. 
E)  None of these alternatives is correct.

Question 11

In ______ channel systems, ordering is routinized, inventory and sales information is shared over computer networks, accounting is standardized, and promotion efforts are coordinated.

Accepted Answer

A)  contractual 
B)  traditional 
C)  administered 
D)  integrated 
E)  corporate 
A)  contractual 
B)  traditional 
C)  administered 
D)  integrated 
E)  corporate

Question 12

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

Accepted Answer

A) True 
 B)False

Question 13

Channel specialists provide value to producers in the following circumstance:

Accepted Answer

A)  when producers are located far from their customers and may not know how best to reach them. 
B)  when the assortment and quantity of products customers want matches the assortment and quantity of products companies produce. 
C)  when customers are well informed about their product choices. 
D)  when producers and customers exist in the same location. 
E)  when customers prefer online purchasing. 
A)  when producers are located far from their customers and may not know how best to reach them. 
B)  when the assortment and quantity of products customers want matches the assortment and quantity of products companies produce. 
C)  when customers are well informed about their product choices. 
D)  when producers and customers exist in the same location. 
E)  when customers prefer online purchasing.

Question 14

A channel system in which the various members agree by contract to cooperate with each other is called a(an) ______________ system.

Accepted Answer

A)  multichannel distribution 
B)  contractual channel 
C)  traditional channel 
D)  administered channel 
E)  vertically integrated channel 
A)  multichannel distribution 
B)  contractual channel 
C)  traditional channel 
D)  administered channel 
E)  vertically integrated channel

Question 15

In a joint venture, a domestic firm enters into a partnership with a foreign firm.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following statements about direct channel systems is FALSE?

Accepted Answer

A)  There is no reliance on independent intermediaries whose objectives may be different from the producer's objectives. 
B)  Suitable intermediaries are always available even when they're needed at the last minute. 
C)  The producer can be more aware of changes in customer attitudes. 
D)  Direct channels are more typical with business products than with consumer products. 
E)  None of these statements about direct channel systems is FALSE. 
A)  There is no reliance on independent intermediaries whose objectives may be different from the producer's objectives. 
B)  Suitable intermediaries are always available even when they're needed at the last minute. 
C)  The producer can be more aware of changes in customer attitudes. 
D)  Direct channels are more typical with business products than with consumer products. 
E)  None of these statements about direct channel systems is FALSE.

Question 17

The terms "direct marketing" and "direct distribution" mean the same thing.

Accepted Answer

A) True 
 B)False

Question 18

A company may be inclined to use both direct and indirect channels of distribution:

Accepted Answer

A)  When serving multiple target markets. 
B)  When it wants total control over the marketing mix. 
C)  When suitable channel partners are hard to find. 
D)  When selling to business customers. 
E)  When selling to final customers. 
A)  When serving multiple target markets. 
B)  When it wants total control over the marketing mix. 
C)  When suitable channel partners are hard to find. 
D)  When selling to business customers. 
E)  When selling to final customers.

Question 19

____ conflict occurs between firms at the same level in the channel of distribution.

Accepted Answer

A)  Vertical 
B)  Diagonal 
C)  Horizontal 
D)  Parallel 
E)  Cyclical 
A)  Vertical 
B)  Diagonal 
C)  Horizontal 
D)  Parallel 
E)  Cyclical

Question 20

A large food retailer acquiring a cheese factory is an example of:

Accepted Answer

A)  dual distribution. 
B)  vertical integration. 
C)  a tying contract. 
D)  horizontal integration. 
E)  internal expansion. 
A)  dual distribution. 
B)  vertical integration. 
C)  a tying contract. 
D)  horizontal integration. 
E)  internal expansion.

Intensive distribution at the retail level would probably be most appropriate for:

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

If a firm's involvement in international marketing is limited to managing others' production facilities, it is using:

When Renault Motor Co. builds a new production facility in Venezuela and it is the sole owner of the facility, this is an example of a(n) _________ investment approach.

In general, marketers that seek greater control over their marketing mixes in the international environment will:

In _____ channel systems the amount of cooperation among members of the channel is very high.

_____ distribution is commonly used for convenience products and business supplies.

To help producers manage discrepancies between what gets produced and what customers need, channel specialists perform _____ activities, such as accumulating, bulk-breaking, sorting, and assorting.

In _____ channel systems, the channel members agree by contract to cooperate with each other.

When planning channels of distribution, a marketing manager should know that

In ______ channel systems, ordering is routinized, inventory and sales information is shared over computer networks, accounting is standardized, and promotion efforts are coordinated.

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

Channel specialists provide value to producers in the following circumstance:

A channel system in which the various members agree by contract to cooperate with each other is called a(an) ______________ system.

In a joint venture, a domestic firm enters into a partnership with a foreign firm.

Which of the following statements about direct channel systems is FALSE?

The terms "direct marketing" and "direct distribution" mean the same thing.

A company may be inclined to use both direct and indirect channels of distribution:

____ conflict occurs between firms at the same level in the channel of distribution.

A large food retailer acquiring a cheese factory is an example of:

Marketings Value to Consumers, Firms, and Society

Marketing Strategy Planning

Evaluating Opportunities in the Changing Marketing Environment

Focusing Marketing Strategy With Segmentation and Positioning

Final Consumers and Their Buying Behavior

Business and Organizational Customers and Their Buying Behavior

Improving Decisions With Marketing Information

Elements of Product Planning for Goods and Services

Product Management and New-Product Development

Distribution Customer Service and Logistics

Retailers, Wholesalers, and Their Strategy Planning

Promotionintroduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising, Publicity, and Sales Promotion

Pricing Objectives and Policies

Price Setting in the Business World

Implementing and Controlling Marketing Plans: Evolution and Revolution

Managing Marketings Link With Other Functional Areas

Ethical Marketing in a Consumer-Oriented World

Filters

Exam 10: Place and Development of Channel Systems

Intensive distribution at the retail level would probably be most appropriate for:

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

If a firm's involvement in international marketing is limited to managing others' production facilities, it is using:

When Renault Motor Co. builds a new production facility in Venezuela and it is the sole owner of the facility, this is an example of a(n) _________ investment approach.

In general, marketers that seek greater control over their marketing mixes in the international environment will:

In _____ channel systems the amount of cooperation among members of the channel is very high.

_____ distribution is commonly used for convenience products and business supplies.

To help producers manage discrepancies between what gets produced and what customers need, channel specialists perform _____ activities, such as accumulating, bulk-breaking, sorting, and assorting.

In _____ channel systems, the channel members agree by contract to cooperate with each other.

When planning channels of distribution, a marketing manager should know that

In ______ channel systems, ordering is routinized, inventory and sales information is shared over computer networks, accounting is standardized, and promotion efforts are coordinated.

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

Channel specialists provide value to producers in the following circumstance:

A channel system in which the various members agree by contract to cooperate with each other is called a(an) ______________ system.

In a joint venture, a domestic firm enters into a partnership with a foreign firm.

Which of the following statements about direct channel systems is FALSE?

The terms "direct marketing" and "direct distribution" mean the same thing.

A company may be inclined to use both direct and indirect channels of distribution:

____ conflict occurs between firms at the same level in the channel of distribution.

A large food retailer acquiring a cheese factory is an example of:

Marketings Value to Consumers, Firms, and Society

Marketing Strategy Planning

Evaluating Opportunities in the Changing Marketing Environment

Focusing Marketing Strategy With Segmentation and Positioning

Final Consumers and Their Buying Behavior

Business and Organizational Customers and Their Buying Behavior

Improving Decisions With Marketing Information

Elements of Product Planning for Goods and Services

Product Management and New-Product Development

Distribution Customer Service and Logistics

Retailers, Wholesalers, and Their Strategy Planning

Promotionintroduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising, Publicity, and Sales Promotion

Pricing Objectives and Policies

Price Setting in the Business World

Implementing and Controlling Marketing Plans: Evolution and Revolution

Managing Marketings Link With Other Functional Areas

Ethical Marketing in a Consumer-Oriented World

Filters