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Marketing Practice Test: Marketing Channels
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Marketing Practice Test: Marketing Channels
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25 Questions

1. DeBeers sells most of the diamonds it produces to industry. The company controls over 90 percent of the market and has great power over its distributors. In its marketing channel, DeBeers would be considered
2. The difference between the location of a producer and the location of widely scattered markets represents a(n) _____ discrepancy.
3. Channel conflict that occurs between different levels in a marketing channel is referred to as:
4. This summer, college student Pat is planning on selling kites at Panama City Beach. He has found some suppliers and preordered all of the kites he thinks he can sell this summer. What type of a distribution channel relationship does Pat have with his suppliers?
5. ___Which of the following is a characteristic of a partnership-based firm?
6. Which of the following is the best definition of distributive justice?
7. Which channel relationship is less ambiguous than an Arm's-Length relationship but without the longer-term and/or capital investment required to achieve full integration?
8. Transactional channel functions include all of the following activities EXCEPT:
9. Which of the following is most likely to use a retailer channel of distribution?
10. In 1935, Howard Johnson teamed up with Reginald Sprague to establish the first modern restaurant franchise. Their idea was to let independent operators use the same name, food, supplies, logo and even building design in exchange for a fee. In terms of the type of channel relationships established, this non-equity agreement would require a(n) _____ relationship.
11. Nike has collaborated with a small number of specific stores in which they release their line of SB Skateboarding shoes. One of those stores is Goods, located in downtown Seattle. This is an example of _____ distribution.
12. Almost a million fans are willing to buy subscriptions to watch Major League Baseball (MLB) games online at MLB.com. That business is worth more than $100 million to MLB. But this online broadcast takes those fans away from the broadcasters that pay MLB hundreds of millions of dollars for the right to carry the games. Which of the following is likely to occur between MLB and broadcast television?
13. Jones Soda is positioned as the anti-Coke. In the early years, few mainstream retailers sold Jones soda. Fans had to get their Jones fix in surf shops, tattoo parlors, and bookstores, adding to the brand's mystique. Jones Soda used its _____ to create a competitive advantage.
14. You are responsible for physical distribution of your company's service and should focus on:
15. _____ is distribution aimed at maximum market coverage. It is used for many convenience goods and supplies that need to be available in every outlet where the potential customer might want to buy them.
16. One configuration of a marketing channel entails producers selling to consumers with no intermediaries involved. This is called
17. A _____ is a business structure of interdependent organizations that are involved in the process of making a product or service available for use or consumption by end customers or business users.
18. W.W. Grainger, Inc., is one of the world's largest business-to-business distributors of equipment, component parts, and supplies in the United States and Canada. It has ownership title to over 220,000 products, which are stocked in one national and nine regional warehouses to guarantee product availability and quick service to the many manufacturers who are its customers. W.W. Grainger is an example of a(n):
19. Channel conflict that occurs among channel members on the same level is known as:
20. A channel leader is also called a(n):
21. Certified Grocers Midwest, Inc., the Chicago-based grocery wholesale cooperative, provides all kinds of meats, cereals, canned and fresh fruits and vegetables, beauty aids, health care items, and pet products to the supermarkets in its channel. Certified Grocers is aiding consumers by overcoming:
22. _____ describes 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.
23. Caterpillar, the manufacturer of tractors and other earthmoving equipment, has an extremely high market share, which means customers seek the dealers out regardless of where they are. There are approximately 50 Caterpillar dealers in the United States--one in each state. From this information, you can surmise that Caterpillar uses _____ distribution.
24. Customers can purchase HP computers from retail stores like Best Buy and Office Depot, online directly from HP, and through various catalogs. HP is using a(n) _____ distribution arrangement.
25. Walmart is the largest retailer in the world and many consumer package-goods manufacturers like Kraft have offices in Bentonville, Arkansas where Walmart is headquartered. Walmart has the ability to influence manufacturers to lower their prices so that it can deliver on its low-price guarantee to consumers. Walmart possesses: