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MKTG 411
chapter 15
| Question | Answer |
|---|---|
| Goods are sold and physically moved in | a distribution process. |
| In a traditional distribution structure, a limited amount of merchandise is controlled by | an importer. |
| Identify an accurate statement about the Japanese distribution system. | It depends on an unusually large number of middlemen. |
| To improve the efficiency of their distribution systems, marketers around the world are experimenting with | selling via hypermarkets, shopping malls, and discount houses. door-to-door selling. selling via the Internet. direct marketing. |
| The recent rapid change in retail markets around the world is apparently a result of | economic development. |
| Identify the accurate statements about a distribution process. (Check all that apply.) | Commercial negotiations occur among producers, middlemen, and buyers. Ownership or title is passed. |
| The first people involved in the distribution channel process are th | manufacturers |
| Identify the correct statements about a traditional distribution structure. | An importer controls a fixed supply of goods. Sell a limited supply of goods at high prices. |
| How are small stores in Japan different from their counterparts in the United States? | They account for a larger percentage of total retail sales. |
| Throughout the world, traditional distribution channels are becoming more efficient, which has led to | the emergence of e-commerce and supermarkets. a preference for self-service. the introduction of direct marketing and discounting. the rise of mass merchandising. |
| Home-country middlemen are also known as | domestic middlemen. |
| True or false: Worldwide, retailing has been generally stagnant for the past couple of decades. | false |
| What are the advantages of using middlemen in foreign lands? (Check all that apply.) | They are better able to deal with difficulties arising from the distribution of products, funding, and foreign languages. They help connect companies that make goods with the people who will buy them. |
| The last people involved in the distribution channel process are the | consumers. |
| A traditional distribution structure is also known as a(n) __________ distribution structure. | imported-oriented |
| The Japanese distribution system is characterized by | laws that safeguard small retailers. manufacturers who control the channels that distribute merchandise. a business philosophy based on a distinctive culture. dependency on numerous small middlemen. |
| Before choosing middlemen, a company should consider | how many people and how much money will be devoted to global marketing. markets that will be targeted, in specific countries and across broad regions. goals such as how much sales volume the venture needs to generate. |
| Marketing services are sometimes provided by individuals located in a producing firm's home country. This arrangement is useful when | the seller does not want to invest the time and money required to develop a global marketing system |
| Middlemen spend money (and therefore ultimately drive up the price of the merchandise) when | they advertise products locally. they sell products as the representatives of the manufacturer. they move and store merchandise. |
| When companies use foreign-country middlemen, _____. | international marketers achieve more control over their distribution systems |
| Identify a factor that reduces the amount of money a firm must invest in channel management. | use of distributors |
| Drew's Corp., a baby-product manufacturing company, eliminated middlemen in its product distribution process. Instead, it entrusted the task to one of its managers. In this scenario, the company increased its | control over channels. |
| In a traditional distribution structure, a limited amount of merchandise is controlled by | an importer. |
| In foreign countries, adequate market coverage may require | changing the way products are distributed. |
| Firms must establish _____ before choosing channel middlemen. | operational policies |
| When selecting a distribution channel, a company should consider | whether the product is apt to spoil easily. whether the product will require any sales service. how much money the product is worth. whether the sale of the product will involve a complex procedure. the product's size. |
| When consumers stop buying a brand for a particular period of time, middlemen tend to | soon stop selling those products. |
| The largest investment of funds is required when a firm | relies on its own sales force. |
| When distribution agreements are made with middlemen, firms must | specify what will be expected of the company and the middleman. |
| Which of the following are likely to be true when distribution channels are lengthened? (Check all that apply.) | Control over promotion decreases. Control over outlet variety decreases. Control over volume decreases. Control over price decreases. |
| What are the benefits of obtaining full-market coverage? (Check all that apply.) | The company can claim a substantial share of the market. The product can become so well known that most people in the market will recognize it. |
| It is particularly important for firms to maintain good rapport with their middlemen in countries where the most important cultural factor is _____. | relationships |
| True or false: Channel patterns are constant and seldom undergo changes. | false |
| Which of the following middlemen are likely to be loyal to their vendors? (Check all that apply.) | dealers distributors |
| Identify the measures to manage middlemen's activities. (Check all that apply.) | quotas sending personnel from the company to visit the middlemen reports |
| Exporters cannot dismiss distributors who fall short of sales minimum | false |
| The World Wide Web is used to sell industrial goods, in addition to consumer services and merchandise, via | e-commerce. |
| The total distribution process of an international trade channel is handled through | logistics management. |
| To ensure that middlemen will continue to be enthusiastic about selling its products, a company should | handle disputes with tact. stay in touch via newsletters, for example. offer sufficient financial compensation. |
| Parent companies exert control over middlemen by monitoring | services offered. advertising and profit. sales volume. prices and payment of bills. coverage of market. |
| True or false: Distributing goods via the Internet is a form of indirect selling. | false |
| Logistics management involves the physical transportation of | merchandise that is being processed. raw materials. inventory that is ready to ship to customers. |