Showing posts with label Marketing Chapter 15. Show all posts
Showing posts with label Marketing Chapter 15. Show all posts

If Anheuser-Busch refused to allow Jackson Distributing to carry its product if the distributor also carried Miller Brewing products, the company would have been engaging in which of the following channel management practices?

If Anheuser-Busch refused to allow Jackson Distributing to carry its product if the distributor also carried Miller Brewing products, the company would have been engaging in which of the following channel management practices?



a) Exclusive dealing

b) Dual distribution

c) Tying contacts

d) Refusal to deal

e) Restricted sales territories



Answer: a) Exclusive dealing

If an intermediary wants to carry Tide detergent and Procter & Gamble agrees only if the supplier purchases P&G's entire line of detergents as well, the company is engaging in which of the following channel management practices?

If an intermediary wants to carry Tide detergent and Procter & Gamble agrees only if the supplier purchases P&G's entire line of detergents as well, the company is engaging in which of the following channel management practices?



a) Exclusive dealing

b) Dual distribution

c) Tying agreement

d) Refusal to deal

e) Restricted sales territories



Answer: c) Tying agreement

Dell Computers is a nationally recognized manufacturer of computers for the small business and home markets. If Dell were to order one of its wholesalers not to carry any computer products other than those made by Dell, this arrangement would be called

Dell Computers is a nationally recognized manufacturer of computers for the small business and home markets. If Dell were to order one of its wholesalers not to carry any computer products other than those made by Dell, this arrangement would be called



a) a tying contract.

b) refusal to deal.

c) a restricted sales territory.

d) a restricted channel.

e) exclusive dealing.



Answer: e) exclusive dealing.

Tying agreements occur when a

Tying agreements occur when a



a) producer distributes the same product through two or more different channels.

b) manufacturer forbids an intermediary to carry products of competing manufacturers.

c) supplier furnishes a product to a channel member with the stipulation that the channel member must purchase other products as well.

d) producer refuses to deal to channel members that seem unethical or illegitimate.

e) manufacturer prohibits intermediaries from selling its products outside designated sales territories.



Answer: c) supplier furnishes a product to a channel member with the stipulation that the channel member must purchase other products as well.

The main reason a manufacturer will prohibit intermediaries from selling its products outside designated sales territories is to

The main reason a manufacturer will prohibit intermediaries from selling its products outside designated sales territories is to



a) tighten its control over distribution of its products.

b) discourage competition from other manufacturers.

c) incorporate selective distribution.

d) contain distribution costs.

e) punish intermediaries for past behavior.



Answer: a) tighten its control over distribution of its products.

In which of the following situations is dual distribution likely to be determined illegal?

In which of the following situations is dual distribution likely to be determined illegal?



a) A manufacturer sells its product online and through independent and company-owned retail outlets.

b) A manufacturer opens its own retail outlets across the country and sells its entire line of products.

c) A producer uses company outlets to dominate independent retailers that carry its products.

d) A producer sells its products both to wholesalers who deal with small and medium-sized retailers and directly to retailers.

e) A producer charges higher prices at its company-owned retail outlets than independent retailers charge for the same products.



Answer: c) A producer uses company outlets to dominate independent retailers that carry its products.

Dual distribution is characterized as

Dual distribution is characterized as



a) illegal under the Robinson-Patman Act.

b) distribution channels that typically carry exclusive products, such as Rolex watches.

c) marketing environments that are highly competitive.

d) manufacturers that forbid an intermediary to carry products of competing producers.

e) distribution of one manufacturer's product through two or more different channel structures.



Answer: e) distribution of one manufacturer's product through two or more different channel structures.

Using a freight forwarder usually

Using a freight forwarder usually



a) is not economical for a small firm.

b) increases transit time and shipping costs.

c) increases transit time and sometimes lowers shipping costs.

d) lowers shipping costs for a large firm.

e) reduces transit time.



Answer: e) reduces transit time.

________ is the combining and coordinating of two or more modes of transportation to take advantage of benefits offered by each of the different types of carriers.

________ is the combining and coordinating of two or more modes of transportation to take advantage of benefits offered by each of the different types of carriers.



a) Intermodal transportation

b) Physical distribution

c) Containerized movement

d) Efficient transportation

e) Freight forwarding



Answer: a) Intermodal transportation

Assuming everything else equal, the most cost-efficient way for British Petroleum to transport crude oil from remote oil drilling sites in central Alaska to shipping terminals on the Alaskan coast would be

Assuming everything else equal, the most cost-efficient way for British Petroleum to transport crude oil from remote oil drilling sites in central Alaska to shipping terminals on the Alaskan coast would be



a) waterways.

b) airways.

c) tanker trucks.

d) railroads.

e) pipelines.



Answer: e) pipelines.

Kolder Inc. is using a new just-in-time inventory management system that requires ordering smaller quantities of parts more frequently. The success of its business depends significantly on receiving these parts very quickly, so like many other companies using just-in-time, Kolder Inc. is relying more on the ______ mode of transportation despite its expense.

Kolder Inc. is using a new just-in-time inventory management system that requires ordering smaller quantities of parts more frequently. The success of its business depends significantly on receiving these parts very quickly, so like many other companies using just-in-time, Kolder Inc. is relying more on the ______ mode of transportation despite its expense.



a) railroad

b) pipeline

c) airway

d) truck

e) waterway



Answer: c) airway

If a microchip in a computer in New York failed, which method of transportation would be most appropriate to use to replace the chip immediately if one could get the new chip only from Silicon Valley, California?

If a microchip in a computer in New York failed, which method of transportation would be most appropriate to use to replace the chip immediately if one could get the new chip only from Silicon Valley, California?



a) Pipeline

b) Airways

c) Waterways

d) Truck

e) Railroad



Answer: b) Airways