Tutorial 10 / Week commencing 16 th of Apr 2012 : Chap. 14

Section A : MCQs

1. Which of the following should be the first step in designing a channel strategy?A) identifying channel objectivesB) understanding the desires of the target customerC) analyzing channel alternativesD) evaluating intermediariesE) exploring international opportunities

2. Sometimes a producer of luxury products chooses only one or a few dealers in a territory to distribute its products in order to maintain a sense of prestige for the products. Generally these dealers are given a right to ________ distribution.A) exclusive B) selective C) intensive D) administered E) corporate

3. 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? A) exclusive B) selective C) intensive D) administered E) corporate

4. Chewing gum is stocked in many outlets in the same market or community; in fact, it is placed in as many outlets as possible. This is an example of ________ distribution.A) exclusiveB) selectiveC) multichannelD) intensiveE) vertical

5. Marketing logistics involves getting the right product to the right customer in the right place at the right time at the right price. Which of the following is NOT included in this process?A) planning the physical flow of goods and servicesB) implementing the plan for the flow of goods and servicesC) controlling the physical flow of goods, services, and informationD) gathering customer's ideas for new productsE) A and C

6. To reduce inventory management costs, many companies use a system called ________, which involves having goods delivered exactly when they are needed. A) reduction-inventory managementB) just-in-time inventory managementC) limited inventory logisticsD) supply chain managementE) economic order quantity

7. When two Taco Bell restaurants have a disagreement over who should be able to sell in quantity at a discount to the local high school band, they are in a ________ conflict.A) verticalB) multichannelC) no-winD) horizontalE) functional

8. Which of the following is an example of horizontal channel conflict?A) managers of two separate Holiday Inns disagreeing over what constitutes poor serviceB) United Airlines competing with Northwest Airlines for customersC) disgruntled factory workers complaining about a small pay raiseD) the BMW dealership in Fort Wayne complaining that the BMW dealership in Indianapolis is situated too closeE) A and D

9. Nita can visit her local supermarket and buy a dozen roses, a gallon of milk, two birthday cards, a bag of cat litter, and a pan for roasting a turkey. This illustrates how channels of distribution benefit consumers by ________.A) creating atmosphericsB) creating assortmentsC) directing logisticsD) managing knowledgeE) managing relationships

10.A producer that minimizes possession time would be most likely to expect which of the following benefits?A) better information flows among channel membersB) more easily accessible storage locationsC) greater production capabilityD) reduced horizontal conflictE) reduced vertical conflict

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