How have advances in communication technology changed Place strategy?

a.Advances in communication technology have made managing complex supply chains easier.

b.An increased number of intermediaries involved in supply chains has resulted from advances in communication technology.

c.Advances in communication technology have made supply chains more complex.

d.Keeping the channel strategy flexible has become more difficult due to advances in communication technology.

Why are complementary businesses a factor that can make or break a retail business?

a.The demographics around the retail area must represent a good fit to the retailers' merchandise assortment.

b.The way merchandise is displayed must be coordinated with the layout of the facility.

c.Too much traffic generated by nearby businesses can make customers' access difficult.

d.Complementary businesses dictate what type of retail activity is going on nearby.

When the British distiller Diageo expanded into Europe, Latin America, the Middle East, Africa, and China, what challenge was it likely to face related to its Place strategy?

a.Adapting a channel strategy to work in each country.

b.Clashing cultural practices and beliefs concerning alcohol consumption.

c.Choosing whether to pursue a push or pull promotion strategy.

d.Determining whether to alter formulas to local tastes.

Non-store retailers are distinguished from direct marketers by the personal interactions that take place between buyer and seller. Which of the following models does NOT qualify as a non-store retail model?

a.Vending machines

b.In-home demonstrations

c.Telemarketers

d.Multi-level marketing

Which term BEST characterizes the relationship between the number of channel partners and the cost of operations in a distribution channel, which makes it more difficult to keep service high and prices low as the channel becomes more complex?

a.Inversely proportional

b.Dynamically proportional

c.Directly proportional

d.Unrelated

Which of the following sentences BEST describes how non-store alternatives compete directly with retailers?

a.Non-store businesses also sell direct to consumers.

b.Wholesalers organize vertical market systems.

c.Specialty superstores eliminate conflict from channel partners.

d.Middlemen break bulk and assemble lots.

A drug store invests in an extended line of nutritional supplements and displays them around a staffed customer-service desk so that a trained nutritionist can help customers make decisions. Which of the following means of competitive differentiation does this example illustrate?

a.Increasing use of technology to improve communications.

b.Emphasizing specialization and face-to-face transactions.

c.Providing better support after the sale.

d.Improving merchandise assortment to better reflect market demographics.

Which of the following factors can a manufacturer influence, in order to assure retail demand for their output?

a.The number of channel partners involved in the supply chain.

b.The location of retailers in the market for that output.

c.The reverse logistics required to optimize post-sale activity.

d.The use of mass-market advertising to promote their output.

Retailers fill a market niche somewhere between low cost/low service and high cost/high service. Which of the following examples occupies the highest service/highest cost market niche?

a.Online used book dealer

b.Women's designer shoe store

c.Dollar store

d.Bulk goods membership store

When an intermediary in the distribution channel takes ownership of items, what is the impact on others in the supply chain?

a.Other supply chain partners must undertake value-adding activities to convert inputs to outputs.

b.The channel partner selling the items must generate transaction records, such as invoices and packing slips.

c.The channel partner taking ownership must generate demand through retailer supports, such as product display materials.

d.Other channel partners competing for that sale must create incentives to stimulate retail demand.

How do retailers' use of house branded (private label) products benefit manufacturers?

a.Consumers believe private labels are a better value.

b.Manufacturers' costs are reduced because channel partner relationships are fewer.

c.Manufacturers worry that private labels compete with their brands, cannibalizing sales.

d.Retailers sell house brand products with a greater profit margin.

What differentiates direct marketers from other types of retailers?

a.No support is available after the sale.

b.All sales interactions take place with consumers (end users).

c.Specific geographic areas provide customers in the direct marketer's niche.

d.No face-to-face interaction takes place during the buying exchange.

Any organization's success depends on its distribution channel, which helps it deliver value to customers. Regardless of a company's business model, its "place strategy" always consists of decisions about what two fundamental aspects?

a.Channel partners and sales agents

b.Logistics and channel partners

c.Logistics and reverse logistics

d.Retailing and wholesaling

What reason was given to explain the emergence of Fair Trade as a business model for importers?

a.Opportunity to reach less-saturated markets.

b.Consumers' desire for meaningful engagement.

c.Expansion of the middle class.

d.Ability to reduce risk from difficult-to-foresee threats.

With technology that reduces barriers and expands reach, doing business across national borders is more feasible than ever. Which of the following was NOT discussed as a means for expansion into global operations?

a.Find opportunity through importing or exporting.

b.Negotiate rights for inbound or outbound licensing.

c.Adopt a private label strategy.

d.Purchase a company in the target country.

The two main goals of logistics are

a.To choose between a strategy that serves manufacturers/distributers and one that serves consumers.

b.To accommodate outbound physical distribution and reverse logistics.

c.To maximize customer service while minimizing distribution cost.

d.To get products to their end destination without breaking them, and in sufficient quantity.

Which of the following is NOT an organizational benefit deriving from a vertical market system?

a.Assuming risk of intermediary functions

b.Achieving greater operational efficiency

c.Reducing from channel partner conflicts

d.Realizingeconomies of scale

The term that BEST describes the supply chain from the perspective of customers seeking solutions to problems is

a.Supply chain management.

b.Customer value equation.

c.Demand chain.

d.Reverse logistics.

Which of the following BEST describes what physical distribution channel strategies (logistics) are concerned with?

a.Arranging for the flow of products from where they originate to where they are consumed.

b.Balancing getting goods to the right place with fewest complaints and/or returns.

c.Distributing offerings in such a way that they attract the most customers to each channel.

d.Keeping the focus on channel partners at the lowest possible cost.

Which answer BEST describes outbound licensing as a business model?

a.A business in U.S. contracts with a business in India for exclusive rights to market its products in the U.S.

b.A business in U.S. contracts with a business in the U.S. for exclusive rights to market its products in India.

c.A business in India contracts with inventors in the U.S. to develop new products to distribute in India.

d.A business in U.S. contracts with a business in India for exclusive rights to market its products in South America.