general business data bank
1) Which of the following is NOT a typical supply chain member?
D) government agencies
E) raw materials supplier
2) ________ the manufacturer or service provider is the set of firms that supply the raw materials, components, parts, information, finances, and expertise needed to create a product or service.
A) Downstream from
B) Upstream from
C) Separated from
D) Congruous to
E) Parallel with
3) Intermediaries play an important role in matching ________.
A) dealer with customer
B) supply and demand
C) product to region
D) manufacturer to product
E) information and promotion
4) Channel members add value by bridging the major gaps of ________ that separate goods and services from those who would use them.
A) time, place, and form
B) place, possession, and form
C) time, place, and possession
D) place, time, and need
E) place, need, and distribution
5) Which of the following is NOT a key function that intermediaries play in completing transactions?
6) Which of the following is NOT a key function that intermediaries play in helping to fulfill a completed transaction?
A) physical distribution
D) risk taking
E) storing goods
7) A distinguishing feature of a contractual VMS is that coordination and conflict management among the independent members of the channel are attained through ________.
A) agents and brokers
B) working partnerships
C) limited liability incorporation
D) contractual agreements
E) natural competitive forces
8) The most common type of contractual agreement in business is the ________.
A) franchise organization
B) vertical marketing system
C) conventional marketing channel
D) corporate VMS
E) administered VMS
9) Leadership in which type of marketing system is assumed not through common ownership or contractual ties but through the size and power of one or a few dominant channel members?
A) horizontal marketing system
B) administered VMS
C) corporate VMS
D) multichannel distribution system
E) conventional marketing channel
10) In a ________, two or more companies at one level join together to develop a new marketing opportunity.
B) horizontal marketing system
C) corporate VMS
D) multichannel distribution system
E) conventional distribution channel
11) When a company is identifying its major channel alternatives, it should consider its choices in terms of types, number, and ________ of intermediaries.
E) none of the above
12) Which type of product might require a more direct marketing channel to avoid delays and too much handling?
A) lower-priced products
B) perishable products
C) high-priced products
D) products in their maturity stage
E) products in their decline stage
13) When determining the number of channel members to use at each level, three strategies are available: intensive, exclusive, and ________ distribution.
14) Sometimes a producer chooses only a few dealers in a territory to distribute its products or services. Generally these dealers are given a right to ________ distribution.
15) Which type of distribution is used when the producer wants more than one, but fewer than all, of the intermediaries who are willing to carry its products?
16) Exclusive territorial agreements are normal in ________.
A) vertical marketing systems
C) integrated marketing systems
D) horizontal marketing systems
E) supply chain management
17) If the producer of a strong brand agrees to sell its brand to a dealer only if the dealer will take some or all of the rest of the line, the result is ________.
A) exclusive distribution
B) exclusive dealing
C) always illegal
D) a tying agreement
18) Marketing logistics involves getting the right product to the right customer in the right place at the right time. Which one of the following is NOT included in this process?
A) planning the physical flow of goods and services
B) implementing the plan for the flow of goods and services
C) controlling the physical flow of goods, services, and information
D) gathering customer's ideas for new products
E) A and C
19) Marketing logistics involves which of the following distribution flows?
A) outbound and inbound
B) outbound, inbound, and reverse
C) inbound and reverse
D) outbound and reverse
20) Which of the following is NOT an area of responsibility for a logistics manager?
A) information systems
21) A major role played by intermediaries is to buy large quantities of products from many producers and break them down into the smaller quantities and broader assortments wanted by consumers.
22) Members of the marketing channel may help a company complete transactions by performing key functions such as promotion and negotiation.
23) It is safe to say that distribution channels are fairly simple behavioral systems in which people and companies interact to accomplish individual company and channel goals.
24) Judy Smith is the manager of the local McDonald's franchise in Carterville. Recently the home office did not let her participate in co-op advertising like the other McDonald's in her district. Now she is irritated and demands fairness. This is an example of horizontal conflict.
25) In a conventional distribution channel, no channel member has much control over the other members, and no formal means exists for assigning roles and resolving channel conflict.
26) When Sherwin Williams Paint Company has single ownership of integrated, successive stages of production and distribution, it has created a corporate VMS.
27) When the NewWay Dry Cleaners and The Easy Laundromat in your hometown join forces to follow a new marketing opportunity, they are forming a horizontal marketing system.
28) Under the strategy of exclusive distribution, a seller allows only certain retail outlets to carry its products.
29) Some major corporations such as Procter & Gamble and General Motors have developed logistics systems that both maximize customer service and minimize distribution costs.
30) The key to managing inventory is to balance the costs and benefits of holding larger inventories with the costs and benefits of holding less.