Question 1

While Maytag appliances have the leading brand name, its sales are third in the industry.One of the things the company has done to spur sales is to create a web site where potential customers can find the answers to the questions most asked during the appliance purchase process.While Maytag considered using __________ (allowing customers to purchase at the site) , it decided against it and simply provides the name and address of the nearest Maytag dealers.

Accepted Answer

A)  a transactional function
B)  horizontal integration
C)  horizontal innovation
D)  disintermediation
E)  cross-dockingF) C) and D)
G) All of the above

Question 2

Cessna is considered the volume leader for the executive-jet market.It has been described as "almost totally vertically integrated." This quote means that Cessna

Accepted Answer

A)  does not fall under the jurisdiction of any federal regulatory agency.
B)  has eliminated economies of scale.
C)  has achieved a high level of social responsibility.
D)  achieves, through ownership, greater control through coordination of production and distribution.
E)  uses outsourcing for all component parts and materials.F) All of the above
G) A) and E)

Question 3

A _________ can be compared to a pipeline through which water flows - making possible the flow of goods from a producer, through intermediaries, to a buyer.

Accepted Answer

A)  chain of command
B)  marketing channel
C)  marketing hierarchy
D)  marketing agent
E)  marketing middlemanF) A) and B)
G) D) and E)

Question 4

When a producer owns an intermediary at the next level down in the marketing channel, it is referred to as _________.

Accepted Answer

A)  forward integration
B)  backward integration
C)  vertical channel connection
D)  horizontal channel connection
E)  horizontal integrationF) B) and E)
G) A) and D)

Question 5

Machinetools.com sells grinders, boring mills, and engine lathes.The web site has listed goods from over 700 machinery manufacturers, 2,500 distributors of new equipment, and 650 dealers of used inventory for sale at the web site.Machinetools.com relies on a well-established channel of manufacturers, distributors, and machinery dealers to provide the merchandise that is sold through this

Accepted Answer

A)  internet distribution channel.
B)  electronic marketing channel.
C)  virtual marketing channel.
D)  consumer-responsive channel.
E)  product-driven channel.F) A) and D)
G) None of the above

Question 6

Five years ago Benetton delivered new styles to its worldwide stores once a month.Today it replenishes its racks once a week.Getting the fashions to the stores more quickly illustrates that effectively using logistics has increased Benetton's market share by providing

Accepted Answer

A)  time and place utility for its customers.
B)  larger lots of available inventory for the retailer.
C)  increased steps in the value proposition.
D)  technological advances leading to greater customer information.
E)  increased customer traffic.F) A) and D)
G) B) and E)

Question 7

Saks Fifth Avenue has a point-of-sale scanner system to record each sale.When stock of fashion merchandise, such as a Donna Karan jacket, falls below a minimum level, the system automatically generates a replenishment order.When the Donna Karan vendor receives it, the electronic order is processed within 48 hours.This is an example of a(n)

Accepted Answer

A)  efficient manufacturing program.
B)  customer service policy.
C)  customer loyalty program.
D)  manufacturing and distribution alliance.
E)  efficient consumer response delivery system.F) None of the above
G) A) and E)

Question 8

A commonly used indirect channel moves product from producer to retailer to consumer.This channel is used when the retailer is large and can buy in large quantities from a producer or when

Accepted Answer

A)  the cost of maintaining inventory is low.
B)  the cost of inventory makes it too expensive to use a wholesaler.
C)  there is little if any seasonal demand.
D)  the risk lies solely with the manufacturer.
E)  the retail outlets are regionally located.F) A) and E)
G) A) and D)

Question 9

Customer service refers to

Accepted Answer

A)  adhering to the belief that the customer is always right.
B)  satisfying the customer's needs no matter what the price.
C)  accepting full liability if a product fails to meet a customer's expectations.
D)  the ability of logistics management to satisfy users in terms of time, dependability, communication, and convenience.
E)  the ability of logistics management to satisfy users in terms of product, price, promotion, and place.F) A) and E)
G) C) and E)

Question 10

When producers and ultimate consumers deal with each other one-on-one, it is referred to as a(n)

Accepted Answer

A)  strategic channel alliance.
B)  dual distribution channel.
C)  marketing channel.
D)  indirect channel.
E)  direct channel.F) D) and E)
G) C) and D)

Question 11

Order cycle time refers to

Accepted Answer

A)  the time between when an order is placed and when payment is received.
B)  the time between the sale of the first production batch to the sale of the next production batch.
C)  the cycle between one full warehouse shipment to the next full warehouse shipment.
D)  the lag from ordering an item until it is received and ready for use or sale.
E)  the average time between reorders by a given wholesaler or retailer in the channel.F) All of the above
G) D) and E)

Question 12

Dual distribution refers to

Accepted Answer

A)  a level of distribution density whereby a firm selects a few retailers in a specific geographical area to carry its products.
B)  an arrangement whereby a firm reaches different buyers by employing two or more different types of channels for the same basic product.
C)  the blending of different communication and delivery channels that are mutually reinforcing in attracting, retaining, and building relationships with consumers who shop and buy in traditional intermediaries and online.
D)  professionally managed and centrally coordinated marketing channels designed to achieve channel economies and maximum marketing impact.
E)  a practice whereby one firm's marketing channel is used to sell another firm's products.F) B) and D)
G) A) and B)

Question 13

Purchasing in large quantities and breaking into smaller amounts desired by customers would be an example of a __________ function.

Accepted Answer

A)  transactional
B)  logistical
C)  facilitating
D)  transporting
E)  risk takingF) C) and D)
G) B) and C)

Question 14

Retailer-sponsored cooperatives refers to

Accepted Answer

A)  a contractual vertical marketing system that involves a contractual relationship between a wholesaler and small independent retailers to standardize and coordinate buying practices, merchandising programs, and inventory management.
B)  an agreement among small privately owned manufacturers to pool their resources by sharing installations, heavy equipment, and warehousing that they would be unable to afford on their own.
C)  an agreement among retailers to pool their resources by purchasing services such as signage, snow removal, trash removal, that affect the physical space (mall, strip mall, main street, etc.)  They all share.
D)  small independent retailers forming an organization that operates a wholesale facility cooperatively.
E)  small independent retailers that pool their resources to purchase group advertising.F) A) and C)
G) A) and B)

Question 15

The density of distribution whereby a firm tries to place its products or services in as many outlets as possible is referred to as __________ distribution.

Accepted Answer

A)  intensive
B)  extensive
C)  selective
D)  exclusive
E)  concentratedF) C) and D)
G) A) and D)

Question 16

John Deere manufactures and distributes industrial and farm equipment.These types of equipment are considered to be specialty products.Which type of market coverage does john Deere likely use?

Accepted Answer

A)  intensive distribution
B)  extensive distribution
C)  selective distribution
D)  exclusive distribution
E)  concentrated distributionF) All of the above
G) B) and E)

Question 17

Efficient consumer response systems refer to

Accepted Answer

A)  an order replenishment system that maintains a ten percent inventory rate at all times in order to guarantee there will never be stockouts.
B)  an online virtual inventory storage program that allows firms to enter in minute-by-minute information in order to avoid stockouts due to unforeseen environmental forces.
C)  a computer program that allows even the smallest manufacturer to manage his or her own inventory system.
D)  inventory management systems that are designed to reduce the retailer's lead time for receiving merchandise which then lowers a retailer's inventory investment, improves customer service levels, and reduces logistics expense.
E)  exclusive contractual agreements between delivery services such as Federal Express, or UPS to deliver rush orders at a special low rate, regardless of the day, time, or other package traffic.F) B) and E)
G) A) and E)

Question 18

Vendor-managed inventory refers to

Accepted Answer

A)  an inventory supply system that operates with very low inventories and requires fast on-time delivery.
B)  an inventory management system whereby the supplier determines the product amount and assortment a customer (such as a retailer)  needs and automatically delivers the appropriate items.
C)  inventory management systems that are designed to reduce the retailer's lead time for receiving merchandise which then lowers a retailer's inventory investment, improves customer service levels, and reduces logistic expenses.
D)  an inventory supply system that relies on the "judgment" of individual warehouse managers based on daily reports from affiliated retailers.
E)  an inventory system that guarantees delivery within 48 hours, and grants price reductions of 1% per hour if a shipment is delayed.F) B) and C)
G) D) and E)

Question 19

What is the first step in choosing the right supply chain?

Accepted Answer

A)  develop a distribution mission statement
B)  develop a list of qualified channel members
C)  enumerate logistics specifications
D)  compare multiple-channel alternatives
E)  understanding the needs of the customerF) None of the above
G) All of the above

Question 20

Assembling and protecting products at a convenient location to offer better customer service would be an example of a __________ function.

Accepted Answer

A)  transactional
B)  logistical
C)  facilitating
D)  grading
E)  risk takingF) A) and B)
G) D) and E)

Exam 13: Managing Marketing Channels and Supply Chains

Dual distribution refers to

Correct Answer
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Correct Answer
verified

The density of distribution whereby a firm tries to place its products or services in as many outlets as possible is referred to as __________ distribution.

Correct Answer
verified

What is the first step in choosing the right supply chain?

Correct Answer
verified

Purchasing in large quantities and breaking into smaller amounts desired by customers would be an example of a __________ function.

Correct Answer
verified

Assembling and protecting products at a convenient location to offer better customer service would be an example of a __________ function.

Correct Answer
verified

A _________ can be compared to a pipeline through which water flows - making possible the flow of goods from a producer, through intermediaries, to a buyer.

Correct Answer
verified

Correct Answer
verified

John Deere manufactures and distributes industrial and farm equipment.These types of equipment are considered to be specialty products.Which type of market coverage does john Deere likely use?

Correct Answer
verified

When a producer owns an intermediary at the next level down in the marketing channel, it is referred to as _________.

Correct Answer
verified

Customer service refers to

Correct Answer
verified

Retailer-sponsored cooperatives refers to

Correct Answer
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When producers and ultimate consumers deal with each other one-on-one, it is referred to as a(n)

Correct Answer
verified

Vendor-managed inventory refers to

Correct Answer
verified

Order cycle time refers to

Correct Answer
verified

Five years ago Benetton delivered new styles to its worldwide stores once a month.Today it replenishes its racks once a week.Getting the fashions to the stores more quickly illustrates that effectively using logistics has increased Benetton's market share by providing

Correct Answer
verified

A commonly used indirect channel moves product from producer to retailer to consumer.This channel is used when the retailer is large and can buy in large quantities from a producer or when

Correct Answer
verified

Correct Answer
verified

Cessna is considered the volume leader for the executive-jet market.It has been described as "almost totally vertically integrated." This quote means that Cessna

Correct Answer
verified

Efficient consumer response systems refer to

Correct Answer
verified

Exam 13: Managing Marketing Channels and Supply Chains

Dual distribution refers to

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Correct AnswerverifiedShow Answer

The density of distribution whereby a firm tries to place its products or services in as many outlets as possible is referred to as __________ distribution.

Correct AnswerverifiedShow Answer

What is the first step in choosing the right supply chain?

Correct AnswerverifiedShow Answer

Purchasing in large quantities and breaking into smaller amounts desired by customers would be an example of a __________ function.

Correct AnswerverifiedShow Answer

Assembling and protecting products at a convenient location to offer better customer service would be an example of a __________ function.

Correct AnswerverifiedShow Answer

A _________ can be compared to a pipeline through which water flows - making possible the flow of goods from a producer, through intermediaries, to a buyer.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

John Deere manufactures and distributes industrial and farm equipment.These types of equipment are considered to be specialty products.Which type of market coverage does john Deere likely use?

Correct AnswerverifiedShow Answer

When a producer owns an intermediary at the next level down in the marketing channel, it is referred to as _________.

Correct AnswerverifiedShow Answer

Customer service refers to

Correct AnswerverifiedShow Answer

Retailer-sponsored cooperatives refers to

Correct AnswerverifiedShow Answer

When producers and ultimate consumers deal with each other one-on-one, it is referred to as a(n)

Correct AnswerverifiedShow Answer

Vendor-managed inventory refers to

Correct AnswerverifiedShow Answer

Order cycle time refers to

Correct AnswerverifiedShow Answer

Five years ago Benetton delivered new styles to its worldwide stores once a month.Today it replenishes its racks once a week.Getting the fashions to the stores more quickly illustrates that effectively using logistics has increased Benetton's market share by providing

Correct AnswerverifiedShow Answer

A commonly used indirect channel moves product from producer to retailer to consumer.This channel is used when the retailer is large and can buy in large quantities from a producer or when

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Cessna is considered the volume leader for the executive-jet market.It has been described as "almost totally vertically integrated." This quote means that Cessna

Correct AnswerverifiedShow Answer

Efficient consumer response systems refer to

Correct AnswerverifiedShow Answer

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