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

When an online intermediary like Hulu scans thousands of hours of programming each week and groups these programs into categories of digital programs (e.g. sports, crime, etc.), this is an example of:

Accepted Answer

A)  Vertical integration 
B)  Sorting 
C)  Bulk-breaking 
D)  Assorting 
E)  Licensing 
A)  Vertical integration 
B)  Sorting 
C)  Bulk-breaking 
D)  Assorting 
E)  Licensing

Question 3

Consumers usually want to shop for milk, meat, vegetables, and fruits at one convenient location. Grocery stores that offer all of these products help to alleviate this ___________.

Accepted Answer

A)  discrepancy of quantity 
B)  accumulation deficit 
C)  sorting error 
D)  discrepancy of assortment 
E)  bulk-breaking 
A)  discrepancy of quantity 
B)  accumulation deficit 
C)  sorting error 
D)  discrepancy of assortment 
E)  bulk-breaking

Question 4

A manufacturer that uses several competing channels to reach the same target market is using "multichannel distribution."

Accepted Answer

A) True 
 B)False

Question 5

The role of "channel captain":

Accepted Answer

A)  should be taken by producers because they have more power. 
B)  is to force other channel members to accept the channel captain's plan. 
C)  should be taken by retailers because they are closer to consumers. 
D)  may not be necessary if the channel members are satisfied with the "status-quo." 
E)  is to help a channel system compete more effectively with other channel systems. 
A)  should be taken by producers because they have more power. 
B)  is to force other channel members to accept the channel captain's plan. 
C)  should be taken by retailers because they are closer to consumers. 
D)  may not be necessary if the channel members are satisfied with the "status-quo." 
E)  is to help a channel system compete more effectively with other channel systems.

Question 6

Using the ______ approach to entering international markets gives a firm complete control of marketing strategy planning in the foreign market.

Accepted Answer

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

Question 7

Firms that use direct distribution can usually adjust their marketing mixes faster than firms that use indirect distribution.

Accepted Answer

A) True 
 B)False

Question 8

Worldwide Drilling, Inc. of Fort Worth, Texas, operates an oil well in Russia for its owners. Worldwide is involved in:

Accepted Answer

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

Question 9

_____ means separating products into grades and qualities desired by different target markets.

Accepted Answer

A)  Bulk-breaking 
B)  Sorting 
C)  Accumulating 
D)  Assorting 
E)  Discrepancy of quality 
A)  Bulk-breaking 
B)  Sorting 
C)  Accumulating 
D)  Assorting 
E)  Discrepancy of quality

Question 10

Exclusive distribution

Accepted Answer

A)  should generally be used only if it is not possible to generate intermediary interest in intensive distribution. 
B)  is legal as long as it does not involve vertical channel arrangements. 
C)  arrangements between a producer and intermediary are illegal for most types of products, and thus they are not very common in the U.S. 
D)  usually involves intermediaries who are willing to take over all responsibility for promoting the producer's product. 
E)  None of these alternatives are correct. 
A)  should generally be used only if it is not possible to generate intermediary interest in intensive distribution. 
B)  is legal as long as it does not involve vertical channel arrangements. 
C)  arrangements between a producer and intermediary are illegal for most types of products, and thus they are not very common in the U.S. 
D)  usually involves intermediaries who are willing to take over all responsibility for promoting the producer's product. 
E)  None of these alternatives are correct.

Question 11

A convenience product would probably be sold using:

Accepted Answer

A)  Intensive distribution. 
B)  Exclusive distribution. 
C)  Selective distribution. 
D)  Extensive distribution. 
E)  Sole-source distribution. 
A)  Intensive distribution. 
B)  Exclusive distribution. 
C)  Selective distribution. 
D)  Extensive distribution. 
E)  Sole-source distribution.

Question 12

Intensive distribution is

Accepted Answer

A)  selling through only those wholesalers or retailers who will give the product special attention. 
B)  selling a product through all responsible and suitable wholesalers or retailers who will stock or sell the product. 
C)  selling through only one wholesaler or retailer in a particular geographic area. 
D)  making a product available widely enough to satisfy target customers' needs but not exceed them. 
E)  used to gain some of the advantages of exclusive distribution--while still achieving fairly widespread market coverage. 
A)  selling through only those wholesalers or retailers who will give the product special attention. 
B)  selling a product through all responsible and suitable wholesalers or retailers who will stock or sell the product. 
C)  selling through only one wholesaler or retailer in a particular geographic area. 
D)  making a product available widely enough to satisfy target customers' needs but not exceed them. 
E)  used to gain some of the advantages of exclusive distribution--while still achieving fairly widespread market coverage.

Question 13

The regrouping activity which involves collecting products from many small producers so that the products can be handled more economically further along in the channel is called:

Accepted Answer

A)  sorting. 
B)  wholesaling. 
C)  accumulating. 
D)  assorting. 
E)  bulk-breaking. 
A)  sorting. 
B)  wholesaling. 
C)  accumulating. 
D)  assorting. 
E)  bulk-breaking.

Question 14

Lacey Springs Apple Co. buys fresh apples in truckload quantities, regroups the heterogeneous commodities into homogeneous lots according to grade and quality, and then sells them to retailers. This "regrouping activity" is called:

Accepted Answer

A)  accumulating. 
B)  bulk-breaking. 
C)  sorting. 
D)  wholesaling. 
E)  assorting. 
A)  accumulating. 
B)  bulk-breaking. 
C)  sorting. 
D)  wholesaling. 
E)  assorting.

Question 15

Horizontal marketing systems are channel systems in which the whole channel focuses on the same target market at the end of the channel.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following statements about Place is NOT true?

Accepted Answer

A)  Most consumer products move from producer to intermediaries to final customer. 
B)  A series of participants in the flow of goods and services from producer to final customer is called a channel of distribution. 
C)  There is always one Place arrangement that is "best" for a product. 
D)  Intermediaries develop to adjust discrepancies in quantity and assortment. 
E)  All of these statements about Place are true. 
A)  Most consumer products move from producer to intermediaries to final customer. 
B)  A series of participants in the flow of goods and services from producer to final customer is called a channel of distribution. 
C)  There is always one Place arrangement that is "best" for a product. 
D)  Intermediaries develop to adjust discrepancies in quantity and assortment. 
E)  All of these statements about Place are true.

Question 17

A firm acquiring another firm at a different level of activity within a channel of distribution is called:

Accepted Answer

A)  vertical integration. 
B)  a tying contract. 
C)  dual distribution. 
D)  horizontal integration. 
E)  a regrouping activity. 
A)  vertical integration. 
B)  a tying contract. 
C)  dual distribution. 
D)  horizontal integration. 
E)  a regrouping activity.

Question 18

_____ is a manager who helps directs the activities of a whole channel and tries to avoid or solve channel conflicts.

Accepted Answer

A)  A channel executive 
B)  A channel captain 
C)  A distribution manager 
D)  Channel coordinator 
E)  Distribution leader 
A)  A channel executive 
B)  A channel captain 
C)  A distribution manager 
D)  Channel coordinator 
E)  Distribution leader

Question 19

Small farmers in the mountains of Peru pick coffee beans by hand, obtaining only a bucket a day. Then they sell them to buyers who put the beans in large bags to be shipped to processors. This regrouping activity is called:

Accepted Answer

A)  Assorting 
B)  Wholesaling 
C)  Bulk-breaking 
D)  Sorting 
E)  Accumulating 
A)  Assorting 
B)  Wholesaling 
C)  Bulk-breaking 
D)  Sorting 
E)  Accumulating

Question 20

"Discrepancies of quantity" means:

Accepted Answer

A)  there are more producers than consumers. 
B)  there are more consumers than producers. 
C)  the difference between the product lines the typical producer makes and the assortment wanted by consumers or final users. 
D)  consumers want more products than producers can make. 
E)  the difference between the quantity of products it is economical for an individual producer to make and the quantity normally wanted by individual consumers or users. 
A)  there are more producers than consumers. 
B)  there are more consumers than producers. 
C)  the difference between the product lines the typical producer makes and the assortment wanted by consumers or final users. 
D)  consumers want more products than producers can make. 
E)  the difference between the quantity of products it is economical for an individual producer to make and the quantity normally wanted by individual consumers or users.

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

When an online intermediary like Hulu scans thousands of hours of programming each week and groups these programs into categories of digital programs (e.g. sports, crime, etc.), this is an example of:

Consumers usually want to shop for milk, meat, vegetables, and fruits at one convenient location. Grocery stores that offer all of these products help to alleviate this ___________.

A manufacturer that uses several competing channels to reach the same target market is using "multichannel distribution."

The role of "channel captain":

Using the ______ approach to entering international markets gives a firm complete control of marketing strategy planning in the foreign market.

Firms that use direct distribution can usually adjust their marketing mixes faster than firms that use indirect distribution.

Worldwide Drilling, Inc. of Fort Worth, Texas, operates an oil well in Russia for its owners. Worldwide is involved in:

_____ means separating products into grades and qualities desired by different target markets.

Exclusive distribution

A convenience product would probably be sold using:

Intensive distribution is

The regrouping activity which involves collecting products from many small producers so that the products can be handled more economically further along in the channel is called:

Lacey Springs Apple Co. buys fresh apples in truckload quantities, regroups the heterogeneous commodities into homogeneous lots according to grade and quality, and then sells them to retailers. This "regrouping activity" is called:

Horizontal marketing systems are channel systems in which the whole channel focuses on the same target market at the end of the channel.

Which of the following statements about Place is NOT true?

A firm acquiring another firm at a different level of activity within a channel of distribution is called:

_____ is a manager who helps directs the activities of a whole channel and tries to avoid or solve channel conflicts.

Small farmers in the mountains of Peru pick coffee beans by hand, obtaining only a bucket a day. Then they sell them to buyers who put the beans in large bags to be shipped to processors. This regrouping activity is called:

"Discrepancies of quantity" means:

Marketing39s 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

Promotion - Introduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising, Publicity, and Sales Promotion

Pricing Objectives and Policies

Price Setting in the Business World

Ethical Marketing in a Consumer-Oriented World: Appraisal and Challenges

Economics Fundamentals

Marketing Arithmetic

Filters

Exam 10: Place and Development of Channel Systems

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

When an online intermediary like Hulu scans thousands of hours of programming each week and groups these programs into categories of digital programs (e.g. sports, crime, etc.), this is an example of:

Consumers usually want to shop for milk, meat, vegetables, and fruits at one convenient location. Grocery stores that offer all of these products help to alleviate this ___________.

A manufacturer that uses several competing channels to reach the same target market is using "multichannel distribution."

The role of "channel captain":

Using the ______ approach to entering international markets gives a firm complete control of marketing strategy planning in the foreign market.

Firms that use direct distribution can usually adjust their marketing mixes faster than firms that use indirect distribution.

Worldwide Drilling, Inc. of Fort Worth, Texas, operates an oil well in Russia for its owners. Worldwide is involved in:

_____ means separating products into grades and qualities desired by different target markets.

Exclusive distribution

A convenience product would probably be sold using:

Intensive distribution is

The regrouping activity which involves collecting products from many small producers so that the products can be handled more economically further along in the channel is called:

Lacey Springs Apple Co. buys fresh apples in truckload quantities, regroups the heterogeneous commodities into homogeneous lots according to grade and quality, and then sells them to retailers. This "regrouping activity" is called:

Horizontal marketing systems are channel systems in which the whole channel focuses on the same target market at the end of the channel.

Which of the following statements about Place is NOT true?

A firm acquiring another firm at a different level of activity within a channel of distribution is called:

_____ is a manager who helps directs the activities of a whole channel and tries to avoid or solve channel conflicts.

Small farmers in the mountains of Peru pick coffee beans by hand, obtaining only a bucket a day. Then they sell them to buyers who put the beans in large bags to be shipped to processors. This regrouping activity is called:

"Discrepancies of quantity" means:

Marketing39s 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

Promotion - Introduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising, Publicity, and Sales Promotion

Pricing Objectives and Policies

Price Setting in the Business World

Ethical Marketing in a Consumer-Oriented World: Appraisal and Challenges

Economics Fundamentals

Marketing Arithmetic

Filters