question

Also the channel of distribution; A set of interdependent organizations that ease the transfer of ownership as products move from producer to business user or consumer; a pipeline; represent the place or distribution in the marketing mix

answer

Marketing Channels

question

The connected chain of all the business entities, both internal and external to the company, that perform or support the logistics function; connects business entities in the marketing channel; whole process

answer

Supply chain

question

1) Specialization and division of labor 2) Overcoming discrepancies 3) Providing contact efficiency

answer

Marketing channel benefits

question

-creates greater efficiency -provides lower costs -achieves economies of scale -aids producers who lack resources to market directly -builds good relationships with customers

answer

Specialization and Division of Labor

question

The difference between the amount of product produced and the amount an end user wants to buy.

answer

Discrepancy of Quantity

question

The lack of all the items a customer needs to receive full satisfaction from a product or products

answer

Discrepancy of Assortment

question

A situation that occurs when a product is produced but a customer is not ready to buy it.

answer

Temporal Discrepancy

question

The difference between the location of a producer and the location of widely scattered markets.

answer

Spatial Discrepancy

question

Over __% reduction because efficiency of having a middle person

answer

50

question

Retailers, Merchant Wholesalers, and Agents & Brokers

answer

Types of Channel Intermediaries

question

A channel intermediary that sells mainly to customers; take title to goods

answer

Retailer

question

An institution that buys goods from manufacturers, takes title to goods, stores them, and resells and ships them. ex. Sames Club

answer

Merchant Wholesaler

question

Wholesaling intermediaries who facilitate the sale of a product by representing channel members; do not take title; contact buyers and sellers

answer

Agent and brokers

question

1) Product characteristics 2) Buyer considerations 3) Market characteristics 4) Custom v. standardization

answer

Factors Suggesting Type of Wholesaling Intermediary to Use

question

________ do well in complex, one off products, longer lead times between order and shipping, and when there is a low profit margin. ex. insurance

answer

Brokers

question

_____ do well with standardization, simple products a lot of customers, and frequent ordering

answer

Wholesalers

question

Transactional, Logistical, and Facilitating

answer

Types of channel functions

question

1) Contacting & Promotion 2) Negotiating 3) Risk Taking

answer

Transactional Functions

question

1) Physically distributing 2) Storing 3) Sorting

answer

Logistical Functions

question

1) Researching 2) Financing

answer

Facilitating Functions

question

The process of strategically managing the efficient flow and storage of raw materials, in-process inventory, and finished goods from point of origin to point of consumption

answer

Logistics

question

A distribution channel in which producers sell directly to consumers.

answer

Direct channel

question

Channel where Retailer is between producer and consumer

answer

Retailer Channel

question

goes Producer to Wholesalers to Retailers to Consumers

answer

Wholesalers Channel

question

Goes from producer to agents/broker to wholesalers to retailers to consumers

answer

Agent/Broker Channel

question

1) Agents link buyers and sellers 2) Companies drop the intermediary from the supply chain 3) "Private exchanges" with select suppliers automate the supply chain

answer

3 types of business to business exchanges on the internet

question

1) Multiple channels 2) Nontraditional channels 3) Strategic channel alliances

answer

Alternative Channel Arrangements

question

Channel that leads to one company's using another's marketing channel

answer

Strategic channel alliances

question

1) Direct 2) Industrial 3) Agent/broker 4) Agent/broker industrial

answer

Types of business channels

question

1) Marketing 2) Product 3) Producer

answer

Factors affecting channel choice

question

1) Intensive 2) Selective 3) Exclusive

answer

Level of Distribution Intensity

question

1) Customer profiles 2) Consumer or Industrial customer 3) Size of market 4) Geographic location

answer

Market Factors that affect channel choices

question

1) Product Complexity 2) Product Price 3) Product Standardization 4) Product Life Cycle 5) Product Delicacy

answer

Product Factors that affect channel choices

question

1) Producer Resources 2) Number of Product Lines 3) Desire for Channel Control

answer

Producer Factors

question

A form of distribution aimed at having a product available in every outlet. Mass market selling. Convenience goods Ex. candy bars

answer

Intensive

question

A form of distribution achieved by screening dealers to eliminate all but a few in any single area. Shopping and some specialty goods Ex. Ralph Lauren

answer

Selective

question

A form of distribution that established one or a few dealers within a given area. Specialty goods and industrial equipment Ex. Rolex

answer

Exclusive

question

Power, Control, Leadership, Conflict, and Partnering

answer

Social Dimension of Channels

question

A channel member's capacity to control or influence the behavior of other channel members

answer

Channel Power

question

A situation that occurs when one marketing channel member intentionally affects another member's behavior

answer

Channel Control

question

A member of a marketing channel that exercises authority/power over the activities of other members

answer

Channel Leader

question

A clash of goals and methods between distribution channel members

answer

Channel Conflict

question

The joint effort of all channel members to create a supply chain that serves customers and creates a competitive advantage

answer

Channel Partnering

question

1) Have conflicting goals 2) Fail to fulfill expectations of other channel members 3) Have ideological differences 4) Have different perceptions of reality

answer

Conflicts may occur if channel members:

question

occur among firms at the same level of the channel, e.g., two car dealers.

answer

Horizontal conflicts

question

occur between different levels of the same channel, e.g., Black & Decker and Home Depot

answer

Vertical Conflicts

question

Short-term, adversarial, independent, price is important, many suppliers, little info sharing, and little investment

answer

Transaction-Based Partnering

question

Long-term, cooperative, dependent, value-added services, few suppliers, a lot of info sharing, and high investment required

answer

Partnership-Based

question

All the activities directly related to the sale of goods and services to the ultimate consumer for personal, non-business use.

answer

Retailing

question

1) Over 1.6 million U.S. retailers employ more than 24 million people 2) Retailers account for 11.6 percent of U.S. employment 3) Retailing accounts for 13 percent of U.S. businesses 4) Retailers ring up almost $4 trillion in sales—nearly 40 percent of the U.S. GDP 5) Industry is dominated by a few giant organizations, such as Wal-Mart

answer

Role of retailing

question

1) Ownership 2) Level of Service 3) Product Assortment 4) Price

answer

Classification of Retail Operations

question

1) Independent retailers 2) Chain stores 3) Franchises

answer

Classification of Ownership

question

Owned by a single person or partnership and not part of a larger retail institution

answer

Independent Retailers

question

Owned and operated as a group by a single organization

answer

Chain Stores

question

The right to operate a business or sell a product

answer

Franchises

question

1) Factory outlet/Warehouse clubs 2) Discount Stores 3) Exclusive Stores

answer

Levels of service

question

The amount of money the retailer makes as a percentage of sales after the cost of goods sold is subtracted.

answer

Gross Margin

question

Department, Specialty, Supermarkets, Drugstores, Convenience, Discount, Restaurants

answer

Types of retail operations

question

Full-line discounters, specialty-discount stores, warehouse clubs, and off-price discount retailers

answer

Categories of Discount Stores

question

Retailing strategy using moderate to low prices on large quantities of merchandise and lower service to stimulate high turnover of products.

answer

Mass merchandising

question

Retail store combining groceries and general merchandise goods with a wide range of services.

answer

Supercenter

question

Retailer offering consumers very limited service and carrying a broad assortment of well-known, nationally branded "hard goods". ex. Walmart

answer

Full-line discounter

question

Specialty discount stores that heavily dominate their narrow merchandise segment.

answer

Category killers

question

Automatic vending, direct retailing, direct marketing, and electronic retailing

answer

Nonstore Retailing

question

door-to-door, office-to-office, and home sale parties

answer

Direct retailing

question

direct mail, catalogs and mail order, telemarketing, and electronic retailing

answer

Direct Marketing

question

Dealer agrees to sell in products provided by a manufacturer or wholesaler.

answer

Product and Trade Name Franchising

question

An ongoing business relationship between a franchiser and a franchisee.

answer

Business Format Franchising

question

1) Define & Select a Target Market 2) Develop the 6 Ps

answer

Retail marketing strategy

question

Demographics, Geographics, and Psychographics

answer

Segment Retail Marketing by

question

Product, Place, Price, Personnel, Promotion, and Presentation

answer

Retailing Mix

question

The mix of products offered to the consumer by the retailer; also called the product assortment or merchandise mix.

answer

Product Offering

question

Advertising, Public Relations, Publicity, and Sales Promotion

answer

Promotion

question

1) Community- economic growth potential, competition, and geography 2) Site- Freestanding store, shopping center, and mall

answer

Location

question

Neighborhood socioeconomics, Traffic flow, Land costs, Zoning regulations, Public transportation, Site's visibility, parking, entrances and exits, accessibility, and safety, Fit with other stores

answer

Important factors for site choice

question

1) Design attracts shoppers 2) Activities and anchor stores draw customers 3) Ample parking 4) Unified image 5) Sharing of common area expenses

answer

Shopping center advantages

question

1) Expensive leases 2) Failure of common promotion efforts 3) Lease restrictions 4) Hours of operation 5) Anchor store domination 6) Direct competitors 7) Consumer time limits

answer

Shopping center disadvantages

question

The overall impression conveyed by a store's physical layout, décor, and surroundings

answer

Atmosphere

question

1) Employee type and density 2) Merchandise type and density 3) Fixture type and density 4) Sounds 5) Odors 6 ) Visual Factors

answer

Factors in Presentation

question

1) Trading Up 2) Suggestion Selling

answer

Two Common Selling Techniques

question

1) Easy-to-use websites 2) Product availability 3) Simple returns

answer

Customer Service for Online Retailers

question

Product, Place, Promotion, Price, Presentation, Personnel

answer

Order of Retail Marketing Strategy

question

Consumers are involved in the retail experience

answer

Interactivity

question

Purchasing goods through mobile devices

answer

M-commerce

question

Customer service and personal selling

answer

Personnel

question

supports postioning

answer

Price

Chapter 14 , 15 – Marketing Channels, Retailing – Flashcards

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards