question

Sophie made pies and sold them for her food truck to local businesses. This is an examples of a(n):

answer

Direct Marketing Channel

question

Which element of the marketing mix specifically deals with supply chain management?

answer

Place

question

Students of marketing often overlook or underestimate the importance of place in the marketing mix because

answer

It happens behind the scenes

question

In marketing's four Ps, place refers to all activities required to get

answer

The right products to the right customer when that customer wants it.

question

Dawn works for a firm that buys products directly from the manufacturer and resells them to retailers, who then sell the products to consumers. Dawn works for a

answer

Wholesaler

question

Stores like Home Depot and Costco act as wholesalers when they

answer

Sell to contractors or restaurant owners

question

When Costco sells to consumers directly, it acts as a _______; when it sells to other businesses, such as a restaurant owner, it acts as a ___________

answer

Retailer; wholesaler

question

A(n) _____ is used in the shipment of products directly to customers

answer

Fulfillment center

question

Naomi knows she has to order her store's Christmas holiday merchandise in April to ensure delivery before the holiday season. Naomi is concerned with the supply chain management goal of

answer

Providing products at the right time.

question

Manufacturers use wholesalers and retailers because

answer

They create value for customers through convenience and cost savings.

question

A ____ is a facility for the receipt, storage, and redistribution of goods to company stores.

answer

Distribution center

question

A distribution center is typically operated by

answer

Retailers, manufacturers, or distribution specialists.

question

Having no intermediaries between the buyer and seller is a defining characteristic of a(n) _____ marketing channel.

answer

Direct

question

In a(n) ______ marketing channel, one or more intermediaries work with manufacturers to provide goods and services to customers.

answer

Indirect

question

Trisha makes purses out of old blue jeans and sells them to customers at local craft fairs. What type of marketing channel does this represent?

answer

Direct

question

A local furniture store buys furniture from various manufacturers and resells the furniture to its customers. What type of marketing channel does this represent?

answer

Indirect

question

When a customer purchases a DVD at a Best Buy Electronics store, all of the following information flows in the supply chain are started except

answer

The purchase is added to the customer's purchasing habit records

question

Steven managed an auto parts store in the 1990's. At that time, stockouts--failure to have the parts auto mechanics needed to do their work that day-increased the likelihood of the mechanics becoming customers of competing auto supply stores. To avoid this problem and keep his business customers, Steven most likely

answer

Stockpiled inventory, adding to the cost of of providing auto parts.

question

In addition to merchandise and payments, information flows throughout a supply chain. Which of the following is not a good characterization of the flow of information in a supply chain?

answer

Customers

question

Typically, manufacturers and retailers exchange business document through a(n) ______ system, the computer-to-computer exchange of business documents from a retailer to a vendor and back.

answer

Electronic data interchange

question

Flora is frustrated with her company's supply chain management information system. She wants to be able to receive sales data, initiate purchase orders, send and receive invoices, and receive returned merchandise documentation. Flora needs a(n)

answer

Electronic data interchange system

question

Today, when a customer orders merchandise from an online vendor, the vendor usually sends an immediate order confirmation message by e-mail. Usually within a day or two, a second message arrives stating that the order is in the mail. This second message is a type of

answer

Advanced shipping notice

question

Roland has just received notification from a vendor that his clothing merchandise order has been processed and dispatched. Roland has just received a(n)

answer

Advanced shipping notice

question

In vendor-managed inventory systems,

answer

Retailers send sales information to the manufacturer.

question

Which of the following is not an advantage of using a distribution center?

answer

Customers know they are dealing with more sophisticated and financially well-off operation if the firm uses a distribution center.

question

Which of the following is not one of the activities carried on in a distribution center?

answer

Distributing paychecks and paystubs for retail employees.

question

Ted is glad his company finally converted to an RFID system. Now, he no longer needs to go through all the new goods to make sure what they order was what they received. Ted is responsible for _____ in his company.

answer

Checking

question

Radio frequency identifcation tags are

answer

Tiny computer chips that transmit information about a container's contents.

question

______ is when vendors ship merchandise prepackaged in the quantity required for each store to the distribution center.

answer

Cross-docking

question

In a ______ distribution center, merchandise moves from vendor's trucks to retailers' delivery trucks in a matter of hours.

answer

Cross-docking

question

Merchandise that arrives in the delivery truck ready to be sold is considered

answer

Floor-ready

question

Colin has just received a delivery from the company's distribution center. He opens the containers and finds the popcorn and snacks are all bar-coded and priced and the package includes an end-of-the-aisle display rack. Colin has received a(n) ______ shipment

answer

Floor-ready

question

Some retailers require their suppliers to ship merchandise _____, thus eliminating the time and expense associated with ticketing and marking.

answer

Floor-ready

question

Getting merchandise floor-ready entails

answer

Ticketing and marking

question

Retailers often perform ticketing and marking functions in their distribution centers rather than in their retail stores because ticketing and marking is often

answer

inefficient and expensive

question

Each time a politician or celebrity writes a book, bookstores can expect at least some customers to want the book, but whether or not it will become a best seller is less certain. The bookstore's primary inventory management challenge is

answer

having enough books to satisfy customer demands versus the cost of having the inventory on the shelves.

question

In retailing, a just-in-time delivery system is called ____ system

answer

Quick Response (QR)

question

____ systems are designed to deliver smaller shipments of merchandise on a more frequent basis to retailers.

answer

Just-in-time (JIT)

question

Because manufacturers with JIT systems produce merchandise closer to the time of sale, they can

answer

Reduce inventories needed to satisfy retailers' demand, since it is no longer necessary to manufacture far in advance and stockpile goods.

question

Especially in the fashion industry where styles and trends change rapidly, a quick response system can

answer

Align deliveries more closely with actual sales

question

_____ channel conflict occurs when there is disagreement or discord among members at the same level in a marketing channel, such as two competing retailers or two competing manufacturers

answer

Horizontal

question

_____ channel conflict occurs when members of the same marketing channel, for example, manufacturers, wholesalers, and retailers are in disagreement or discord.

answer

Vertical

question

Marketing channels and supply chains comprise various buying entities that form relationships with one another. The basic motivating factor in these interactions is

answer

Each party wants something from the others.

question

Although conflict is likely to occur in any supply chain, it is generally more pronounced when

answer

The supply chain members are independent entities

question

Yesterday Lorinda overheard a surprisingly unpleasant encounter between the manager of the hardware store where she works and a sales rep who sells a well-known line of tools. The rep insisted that his tools should be prominently displayed and that a better assortment would mean more sales. The manager had other plans and told him so, and the conversation turned into a loud argument. What Lorinda observed was an example of

answer

Channel conflict

question

In a(n) _____ marketing channel, none of the participants have any control over the others.

answer

Conventional (independent)

question

The three types of vertical marketing systems are:

answer

Administered, Contractual, and Corporate

question

In a(n) _____ marketing channel, several independent members each attempt to satisfy their own objectives and maximize their profits, often at the expense of the other members.

answer

Independent

question

In a vertical marketing system, if the system is _____, the less likely conflict will occur.

answer

More formal

question

In an administered vertical marketing system,

answer

there is no common ownership, and the dominant member has significant power to impose its ideas and objectives.

question

Franchising involves a(n) ____ vertical marketing system.

answer

Contractual

question

In a corporate vertical marketing system,

answer

participants--such as warehouses, transportation companies, and retail outlets--are typically owned by a parent company to ensure harmonious relations throughout the supply chain.

question

Felicia had just taken over her family's business after spending ten years in the marketing department of a large corporation. She met with a representative from one of her firm's biggest customers, who told her, "We should think about how we can make the pie bigger rather than fighting over the size of the slices." She had expected a more cutthroat approach rather than this call for a

answer

Partnering relationship

question

Which of the following is not required to build a successful strategic relationship?

answer

Creation of a joint venture

question

If a firm declared that it wanted to develop a strategic relationship, but was unwilling to commit funds or any effort to make it succeed, there would be an obvious lack of

answer

Credible commitments

question

TT Toys manufacturers toys. The company recently started buying paint for its toys from a Chinese firm. This Chinese company is part of TT Toys'

answer

Supply chain

question

A(n) _____ is the set of institutions that transfer the ownership of and move goods from the point of production to the point of consumption.

answer

Marketing channel

question

Which of the following is a true statement about distribution centers?

answer

They enable retailers to carry less merchandise in individual stores.

question

A(n) ___ is a supply chain whose members act like a unified system.

answer

Vertical Marketing System

question

A(n) ____ is a document used by a forklift driver indicating how much of each item to get from specific storage areas.

answer

Pick ticket

question

When Cynthia's Boutique receives dresses, they already have price tags and are on hangers. Cynthia's Boutique receives _____ merchandise.

answer

Floor-ready

question

When Joe's Chicken Shack wants chicken delivered in smaller batches more frequently, it offers its distributors an incentive in the form of special bonuses to change their schedules. Joe's demonstrates which kind of power?

answer

Reward

question

____ power is based on getting a channel member to behave in a certain way because of a contractual agreement.

answer

Legitimate

question

When her company's dry goods deliveries were late for the third time, Melissa withheld payment from her supplier until it was back on schedule. This is an example of ____

answer

Coercive

question

The most common type of contractual vertical marketing system is a

answer

Franchise

question

When supply chain members view their goals and ultimate success as intricately linked, or _____, they develop deeper long-term relationships.

answer

Interdependent

question

In a retail supply chain, the _____ records the purchase information and electronically sends it to the corporate office

answer

POS terminal

question

The local auto supply store gets merchandise delivered to it by its manufacturers as soon as it has a need, reducing stockouts with minimal inventory. This demonstrates the concept of

answer

Vendor-managed inventory

question

Manufacturers trying to implement a just-in-time delivery system need to start with

answer

Knowledge of customer demand

question

After installing an electronic data interchange, Carmella's gift ship was able to reduce____, the amount of time between the recognition that an order needs to be placed and the arrival of the needed merchandise

answer

lead time

question

The amount of time between the recognition that an order needs to be placed and the arrival of the needed merchandise at the seller's store to be available for sale is referred to as

answer

lead time

question

One of the benefits of EDI is that it can reduce lead time, which is

answer

the time between the decision to place an order and the receipt of the merchandise.

question

After installing a(n) ___ in its JIT system, Chocolate Tree (retail chocolate store) was able to reduce lead time for merchandise orders.

answer

Electronic data interchange system

question

Shorter lead time allow retailers

answer

To reduce the needed level of inventories, so the retailer can easily forecast its demand.

question

With more frequent shipments associated with Quick Response systems, a retailers is

answer

More likely to have what customers want.

question

While JIT systems have many benefits, they

answer

Make the logistics function more complicated.

question

Leona is the logistics manager for the Barnes and Noble bookstore chain. She is weighing the many benefits of the company's JIT system, but will need to consider that JIT inventory management systems increase ______ costs

answer

Transportation

question

From a retailer's perspective, a(n) ____ is helpful in order to know exactly what will arrive in a particular shipment from a supplier

answer

ASN (Advanced Shipping Notice)

question

Where does retailing fall in the supply chain?

answer

At the end

question

Retailing is the primary activity in all of the following situations except

answer

Transporting pallets of Daisy brand dairy products

question

Natalie represents a manufacturer who makes unique, high-end hats. When making a recommendation about potential retail partners, what should be Natalie's first consideration?

answer

How likely it is for certain retailers to carry this product?

question

Retailing is defined as the set of business activities that

answer

add value to products and services sold to final consumers.

question

Which of the following is not one of the typical outlets used by retailers?

answer

Business-to-business request for proposals (RFPs)

question

The key factor distinguishing retailers from other members of the supply chain is that

answer

They sell to customers for their personal use.

question

Wholesalers sell to all of the following except

answer

Consumers

question

Which of the following is not one of the broad factors manufacturers must consider when establishing a strategy for getting their products into the hands of the ultimate customer?

answer

Lowering production costs

question

Aaron has designed innovative accessories for hard-core bicycling enthusiasts. He knows where and how he will make them, and he needs to turn his attention to getting the products to the customers. As he chooses retail partners, which of the following is the least important in this process?

answer

Encouraging new bicycling enthusiasts

question

In the past, ____ controlled supply chains.

answer

Manufacturers

question

Today, _____ dominate supply chains.

answer

Large retailers

question

Today, retailers like Walmart, Home Depot, and Kroger dictate to their suppliers all of the following except

answer

Which competitors they should collaborate with.

question

Knowing what customers expect is essential. Retailers need to know which manufacturers their customers prefer, while manufacturers need to know

answer

Manufacturers must know where their target customers expect to find their products, or they will not know which retailers to consider as partners.

question

Generally, the larger and more sophisticated the channel member, the less likely that it will

answer

Use supply chain intermediaries to perform channel functions that they could do themselves.

question

John used to work for a large, well-known retailer. He left that company to work for a much smaller company, and in doing so, he discovered that the channel functions were handled very differently in the smaller firm. Looking back at his experience, he noticed that larger firms

answer

Perform many different channel functions themselves.

question

Distribution intensity is commonly divided into three levels:

answer

Intensive, Exclusive, and Selective

question

Some companies want to get their products into as many outlets as possible, understand that the more exposure a product gets, the more it will sell. If this is consistent with the company's overall strategy it will choose ____ distribution

answer

Intensive

question

When Creative Pen Company designed a new pen that was particularly comfortable to use, it wanted to literally get the pen in the hands of as many consumers as possible. Creative Pen will probably choose _____ distribution

answer

Intensive

question

Anbinh Fashions is launching a new line of one-of-a-kind designer jewelry. Each piece is handcrafted, and production volumes will be very low. To emphasize the unique nature of this jewelry, Anbinh Fashions will most likely choose _____ distribution

answer

Exclusive

question

Heartland Plantation produces organic food products like stone-ground grits and wild rice. The company has limited production capacity and wants to carefully control where its products are sold. Heartland will likely choose _____ distribution.

answer

Exclusive

question

A(n) _____ distribution intensity helps a seller maintain a particular image and control the flow of merchandise into an area.

answer

Selective

question

If a manufacturer wasn't happy with either intensive or exclusive distribution, a logical choice, which incorporates some features from both would be _____ distribution

answer

Selective

question

Full-line discount, category specialist, and specialty stores are all types of _____ retailers.

answer

General merchandise

question

If a manufacturer had a full range of products, in a number of different container sizes, which kind of store would the company be least likely to choose as a retailing partner?

answer

Convenience stores

question

Paul's family has owned and operated a small chain of conventional supermarkets for many years. Competition from a variety of other kinds of retailers has adversely affected the business. To address the new competitive reality, Paul wants to apply what he recently learned as a marketing major and he has recommended that his family's business should

answer

Emphasize fresh, locally sourced perishables

question

Supercenters are large stores that combine a supermarket with a full-line discount store. ______ dominates this category with the vast majority of supercenters in the U.S.

answer

Walmart

question

Compared to conventional supermarkets, warehouse clubs have

answer

a lower level of service

question

Which of the following represents the best reason a manufacturer of high-end products might consider selling products in a warehouse club?

answer

The manufacturer overestimated demand or has a great deal of returned merchandise from other retailers.

question

_____ are combating competitive pressures by offering fresh food and healthy fast food, tailoring assortments to local markets, opening locations closer to where consumers work and shop, and adding new services.

answer

Convenience stores

question

Brian, an industrial equipment sales rep, purchases a quick snack to eat on the way to work. He buys lunch while on the road visiting customers, and grabs bread and milk on his way home when he stops to buy gas. Brian probably does the majority of his shopping at a

answer

Convenience store

question

If you walk into a(n) ____, you will likely find a broad variety of merchandise, deep assortment and customer service, with everything divided into what appears to be a collection of specialty shops.

answer

Department store

question

Kohl's, JCPenney and Bloomingdales are examples of

answer

Department stores

question

_____ are combating competitive pressures by increasing the amount of exclusive and private-label merchandise they sell and expanding their online presence.

answer

Department stores

question

Retailers that offer a broad variety of merchandise, limited services, and low prices are known as

answer

Full-line discount stores, such as Walmart and Target

question

If you're a manufacturer and you want to showcase your product in a store that has a narrow but deep selection of merchandise and where sales associates can assist customers with their selections, you'd most likely choose

answer

A specialty store

question

Retailers use _____ to get customers into their stores

answer

Mass Media advertising

question

For retailers, promotion refers to

answer

both their in-store environment and their media communications

question

Kim wants to maximize sales to the customers who walk into her store. Of the following, Kim will most likely focus on

answer

In-store promotions

question

______ are subtle forms of promotion that encourage shopping in retailers' stores.

answer

Store credit cards and gift cards

question

Retailers' coupons, rebates, and online discounts are types of

answer

pricing promotions

question

Unusual and exciting displays like Bass Pro Shops' climbing wall and stocked aquariam are examples of

answer

in-store promotions

question

The basic goal of integrated marketing communications is to

answer

communicate the value proposition to the target market

question

Especially for marketers with new products or services, IMC is needed because

answer

Consumers are unlikely to buy products they are not aware of.

question

Integrated Marketing communications represents the ____ element in the four P's of a firm's marketing mix

answer

Promotion

question

Integrated marketing communications include all of the following except

answer

Supply Chain management

question

Carlos owns a chain of retail electronic stores. He is evaluating how he allocates his firm's IMC budget. He receives offers from a variety of advertising media, spends money on his firm's public relations efforts, and is considering electronic media alternatives. Carl must recognize that each IMC alternative

answer

is part of the whole

question

The three elements of any IMC strategy are:

answer

The consumer, the channels, and evaluation of the results

question

As the number of communication media has increased, the task of understanding how best to reach target customers has

answer

Become more complex.

question

The IMC communication process includes all of the following except

answer

evaluation

question

The IMC communication process begins with _____ who (which) must be clearly identified

answer

The sender

question

In the IMC communication process, the _____ encodes the marketing communication message

answer

The transmitter

question

_____ means converting the sender's ideas into a message, which could be verbal, visual or both

answer

Encoding

question

In integrated marketing communications, encoding involves

answer

the transmitter converting the sender's ideas into a message

question

Though a picture may be worth a thousand words, the most important facet of encoding is

answer

not what is sent, but rather what is received

question

In the IMC communication process, the ____ is the medium that carries the message

answer

communication channel

question

Which of the following is not a communication channel used in the IMC process?

answer

Supply chain

question

The right communication channel to use in the IMC is

answer

The one that will connect to the desired recipients.

question

In the IMC communication process, the ____ is the person who reads, hears, or sees and processes the message being communicated

answer

Receiver

question

The sender of an IMC message hopes the receivers are

answer

the people for whom the message was originally intended.

question

_____ refers to the process by which the receiver interprets the sender's message

answer

Decoding

question

If you ever watched a television commercial and at the end of the message wondered what they were promoting, you may have had trouble ____ the IMC message

answer

Decoding

question

____ is any interference in the IMC process

answer

Noise

question

In the IMC process, noise can occur as a result of lack of message clarity, a poor choice of medium, or

answer

Competing messages

question

Which of the following is not one of the steps in the AIDA model?

answer

Intention

question

In simple terms, the AIDA model is known as the _____ model

answer

Think, feel, do

question

In the AIDA model, awareness leads to

answer

Interest, which hopefully leads to desire and then action

question

In the AIDA model, the think stage is the _____ stage

answer

Awareness

question

_____ refers to a potential customer's ability to recall that the brand name is a particular type of retailer, product or service

answer

Brand Awareness

question

Even the best marketing communication can be wasted if the sender does not first

answer

Gain the attention of the consumer.

question

Cheryl asked Nadia to help her buy some aftershave for her boyfriend. Nadia was going through a list of different brand names, when Cheryl stopped her and said, "I recognize that one." Marketers call this

answer

Aided recall

question

In the AIDA model, the do stage is the ____ stage.

answer

Action

question

The highest level of awareness occurs when customers mention a specific brand name when asked about a product or service. Marketers call this

answer

Top-of-mind awareness

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