Question 1

Violations of the equity principle are a common cause of channel conflicts.

Accepted Answer

A) True 
 B)False

Question 2

Which term refers to the decreasing predictability of end-user demand as the channel member's distance from the end-user increases?

Accepted Answer

A)   capacity utilization
B)   environmental bounds
C)   service gap
D)   zero-sum gain
E)   bullwhip effectF) B) and E)
G) B) and D)

Question 3

Which of the following statements is most likely true about physical possession in a marketing channel system?

Accepted Answer

A)   Physical possession costs are not an issue for service providers.
B)   Decreasing inventory holding time typically lowers physical possession costs.
C)   Physical possession costs stem from taking title to goods and tying up capital.
D)   Ownership and physical possession always move together through channel systems.
E)   Handling product returns is a component of consignment selling rather than physical possession.F) C) and E)
G) A) and B)

Question 4

What is the best method for controlling inventory holding costs?

Accepted Answer

A)   increasing product variety
B)   extending the life of goods
C)   using multiple vendors
D)   changing warehouse locations
E)   monitoring factory processesF) All of the above
G) B) and E)

Question 5

It is best to create a separate efficiency template for each channel that distributes the product and for each targeted segment of end-users.

Accepted Answer

A) True 
 B)False

Question 6

Which term refers to the idea that compensation should reflect the normative profit shares of each channel member?

Accepted Answer

A)   equity principle
B)   speculative selling
C)   productive activity
D)   channel gap
E)   postponementF) C) and D)
G) A) and D)

Question 7

Country X requires that at least 40% of all suppliers to government agencies be either small or medium-sized vendors.For a large vendor trying to gain a government contract in Country X,this requirement is most likely an example of ________.

Accepted Answer

A)   illegal constraints
B)   managerial bounds
C)   service output gaps
D)   environmental bounds
E)   affirmative action lawsF) A) and C)
G) C) and E)

Question 8

Which term refers to limitations that create channel gaps and prevent the establishment of a zero-based channel?

Accepted Answer

A)   gaps
B)   bounds
C)   outputs
D)   variables
E)   weaknessesF) A) and C)
G) A) and D)

Question 9

Which term refers to constraints on distribution structures that arise from rules within a company?

Accepted Answer

A)   service gaps
B)   managerial bounds
C)   physical infrastructure
D)   environmental bounds
E)   channel function gapsF) A) and B)
G) All of the above

Question 10

Managers at Global-Tech,a manufacturer of electronic components,want to delay the start of production until the firm receives orders.What is the most likely risk of this strategy?

Accepted Answer

A)   producing beyond demand
B)   engaging in speculation
C)   segmenting the market
D)   establishing a cost gap
E)   creating a service gapF) All of the above
G) A) and D)

Exam 3: Channel Analysis: Auditing Marketing Channels

Violations of the equity principle are a common cause of channel conflicts.

Correct Answer
verified

Country X requires that at least 40% of all suppliers to government agencies be either small or medium-sized vendors.For a large vendor trying to gain a government contract in Country X,this requirement is most likely an example of ________.

Correct Answer
verified

Which of the following statements is most likely true about physical possession in a marketing channel system?

Correct Answer
verified

Which term refers to constraints on distribution structures that arise from rules within a company?

Correct Answer
verified

Which term refers to the decreasing predictability of end-user demand as the channel member's distance from the end-user increases?

Correct Answer
verified

Which term refers to limitations that create channel gaps and prevent the establishment of a zero-based channel?

Correct Answer
verified

Managers at Global-Tech,a manufacturer of electronic components,want to delay the start of production until the firm receives orders.What is the most likely risk of this strategy?

Correct Answer
verified

Which term refers to the idea that compensation should reflect the normative profit shares of each channel member?

Correct Answer
verified

It is best to create a separate efficiency template for each channel that distributes the product and for each targeted segment of end-users.

Correct Answer
verified

What is the best method for controlling inventory holding costs?

Correct Answer
verified

Exam 3: Channel Analysis: Auditing Marketing Channels

Violations of the equity principle are a common cause of channel conflicts.

Correct AnswerverifiedShow Answer

Country X requires that at least 40% of all suppliers to government agencies be either small or medium-sized vendors.For a large vendor trying to gain a government contract in Country X,this requirement is most likely an example of ________.

Correct AnswerverifiedShow Answer

Which of the following statements is most likely true about physical possession in a marketing channel system?

Correct AnswerverifiedShow Answer

Which term refers to constraints on distribution structures that arise from rules within a company?

Correct AnswerverifiedShow Answer

Which term refers to the decreasing predictability of end-user demand as the channel member's distance from the end-user increases?

Correct AnswerverifiedShow Answer

Which term refers to limitations that create channel gaps and prevent the establishment of a zero-based channel?

Correct AnswerverifiedShow Answer

Managers at Global-Tech,a manufacturer of electronic components,want to delay the start of production until the firm receives orders.What is the most likely risk of this strategy?

Correct AnswerverifiedShow Answer

Which term refers to the idea that compensation should reflect the normative profit shares of each channel member?

Correct AnswerverifiedShow Answer

It is best to create a separate efficiency template for each channel that distributes the product and for each targeted segment of end-users.

Correct AnswerverifiedShow Answer

What is the best method for controlling inventory holding costs?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified