Advanced Marketing Channels
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Course Introduction
Advanced Marketing Channels delves into the strategic design, management, and optimization of complex marketing channels in today's dynamic marketplace. The course explores theories and practical applications related to channel structure, coordination, and conflict resolution, examining the roles of wholesalers, distributors, retailers, and emerging digital platforms. Students analyze case studies involving multi-channel and omni-channel strategies, channel partner selection, and the impact of technological advancements on channel design. Emphasis is placed on methods for measuring channel performance, developing sustainable channel relationships, and adapting to global market challenges, equipping learners with essential skills to drive competitive advantage through effective channel management.
Recommended Textbook
Marketing Channels A Management View 8th Edition by Bert Rosenbloom
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801 Verified Questions
801 Flashcards
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Chapter 1: Marketing Channel Concepts
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Sample Questions
Q1) Contactual efficiency viewed from the channel manager's perspective is:
A) The ratio of intermediaries to final customers.
B) The relationship between negotiation effort relative to achieving the distribution objective.
C) A relationship between negotiation efforts relative to specialization and division of labor.
D) The ratio of intermediaries to distribution tasks performed.
E) Cost savings in negotiating activities.
Answer: B
Q2) Ideally,the channel manager would like to exercise __________ over which firms in the channel perform the distribution tasks.
A) A veto power
B) Limited control
C) Substantial control
D) Total control
E) Autonomous control
Answer: D
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Chapter 2: The Channel Participants
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Sample Questions
Q1) The fundamental determinant of whether a firm is a member of a marketing channel is:
A) If the firm performs distribution tasks.
B) If the firm is considered to be important to the channel manager.
C) If the firm performs negotiatory functions.
D) If the firm performs tasks that are necessary to make products or services available to ultimate buyers.
E) If the firm performs ancillary tasks.
Answer: C
Q2) Trends in retailing in the U.S.suggest:
A) The number of stores is growing rapidly.
B) Average dollar sales per store has increased.
C) The number of retail stores has fallen by 50 percent in the last 25 years.
D) A movement by retailers to reduce the number of distribution tasks they perform.
E) A total sales volume greater than $5 trillion.
Answer: B
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4
Chapter 3: The Environment of Marketing Channels
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Sample Questions
Q1) From a marketing channels perspective,social networking has:
A) Caused consumers to make poor product choices.
B) Not lived up to the expectations that the Internet would allow consumers to be better informed.
C) Helped consumers make better product choices but has had no effect on their channel choices.
D) It has made consumers more demanding about the channels they choose.
E) All of the above.
Answer: D
Q2) K&B Products,a producer of perfumes,prohibits its intermediaries from selling competitive perfume products.K&B is engaged in:
A) Selective distribution.
B) Full-line forcing.
C) Exclusive dealing.
D) Refusal to deal.
E) Pushing.
Answer: C
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Chapter 4: Behavioral Processes in Marketing Channels
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Sample Questions
Q1) With regard to coercive power,available evidence suggests that:
A) Coercive power should be used to force channel members to stay within designated territories.
B) Coercive power should be the first type of power used to obtain channel member cooperation.
C) The use of coercive power is likely to lead to a higher incidence of conflict in the channel.
D) The use of coercive power is likely to increase the stability and viability of the channel.
E) Coercive power is often used by smaller companies in the marketing channel.
Q2) A recent study of marketing channels in China found:
A) That Chinese beer distributors had similar perceptions of power as their western counterparts.
B) Chinese distributors divide power into legitimate and illegitimate categories.
C) Chinese distributors were more satisfied when suppliers used coercive power.
D) Chinese distributors reacted positively to both reward and referent power when used by western suppliers.
E) Expert power was not effective among Chinese distributors.
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Chapter 5: Strategy in Marketing Channels
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Sample Questions
Q1) Payment by the manufacturer for obtaining space on retailers' shelves is commonly referred to as a:
A) Trade discount.
B) Promotional allowance.
C) Display and selling aid.
D) Price guarantee.
E) Slotting allowance.
Q2) All of the following are competitive advantages earned in distribution that are not easily copied by competitors except:
A) Superior strategies cannot be developed and implemented quickly.
B) Organizations take a long time to design and build.
C) Talented, capable and dedicated people have to be developed.
D) Understanding of the firm's target market.
E) Development of the organization.
Q3) Channel design should be viewed as:
A) The most important element for gaining differential advantage.
B) One component in the firm's attempt to gain differential advantage.
C) The only real basis for gaining differential advantage.
D) Of little consequence in gaining differential advantage.
E) The second most important element behind pricing.
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Chapter 6: Designing Marketing Channels
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Sample Questions
Q1) Channel design strategy is __________ differential advantage.
A) the most important component of
B) usually an insignificant aspect for creating
C) always playing a part in creating
D) often one component of
E) the least important aspect of
Q2) Selective distribution is:
A) The use of as many outlets as possible.
B) Usually preferred for the distribution of industrial operating supplies.
C) The use of one intermediary in a particular market area.
D) When not all available distributors are used, rather a carefully chosen group.
E) Standard practice in the distribution of convenience goods.
Q3) Product variables affecting channel structure include all of the following except:
A) Availability of inputs/supplies.
B) Perishability.
C) Degree of standardization.
D) Newness.
E) Unit value.
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Chapter 7: Selecting the Channel Members
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Sample Questions
Q1) Generalized lists of channel member selection criteria:
A) Can help the channel member to develop his or her own specialized list.
B) Usually conflict with more specialized lists of criteria.
C) Provide little room for flexibility.
D) Are adequate without changes.
E) Are relevant for all firms in every industry.
Q2) If a channel has been structured to emphasize intensive distribution:
A) A great deal of emphasis is placed on selection.
B) Less emphasis is placed on selection.
C) Selection takes a long time to accomplish.
D) Channel members must be presold on the products prior to distribution.
E) The selected channel members must be re-evaluated every two years.
Q3) Which of the following statements about channel member selection criteria lists is true?
A) Channel member criteria lists rarely are used in practice.
B) Generalized lists of criteria such as those of Pegram and Shipley are useless to the channel manager.
C) Once a company develops a list of criteria, it should not be changed.
D) A changing environment may require the firm to alter its emphasis.
E) A single criteria list is adequate for a firm under all possible conditions.
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Chapter 8: Target Markets and Channel Design Strategy
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Sample Questions
Q1) Which of the following is not a consequence of industrial distributors that keep "bankers hours"?
A) Making life convenient for themselves rather than their customers
B) Violating the marketing concept
C) Likely hurting their suppliers' competitive position
D) Less likely to be used by manufacturers who make products conveniently available to customers
E) Customer service is enhanced since buyers can easily be served during the business day
Q2) People in industrial organizations who have the power to decide on product requirements and/or suppliers are known as:
A) Users.
B) Influencers.
C) Approvers.
D) Buyers.
E) Deciders.
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Chapter 9: Motivating the Channel Members
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Sample Questions
Q1) In general,a good cooperative program has all of the following components except:
A) It is simple.
B) It conveys a sense of mutual benefit.
C) It is straightforward.
D) It provides incentives to channel members.
E) It does not need to include retail channel members.
Q2) Virtually all of the policy options for developing a distribution programming arrangement can be categorized into the following three major groups:
A) Price concessions, financial assistance, and protection.
B) Financial assistance, protection, and product planning.
C) Physical distribution, protection, and financial assistance.
D) Cooperative advertising, price concessions, and product concessions.
E) Partnership arrangements, price concessions, and protection.
Q3) In the context of the marketing channel,control may be defined as:
A) The ability to predict events or to achieve a desired outcome.
B) The use of power.
C) Not having to accept any direction from the channel members.
D) The use of a legal contract to secure channel member compliance.
E) Setting incentive levels for channel members.
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Page 11
Chapter 10: Product Issues in Channel Management
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Sample Questions
Q1) K&B Manufacturing,in developing its new products,must recognize that its intermediaries will judge the acceptability of the new products based on:
A) The amount of real innovation in the product.
B) The cost of the new product relative to the cost of competitive products.
C) The product's profit potential in terms of meeting established margin structures.
D) The amount of advertising dollars offered to the intermediaries to support the new product.
E) The demand by customers.
Q2) During the growth stage of the product life cycle,two overriding issues for channel management are:
A) Providing for adequate product availability and considering changes in channel structure.
B) Monitoring competitive products and dropping poorly performing channel members.
C) Providing heavy promotional support and changing the channel structure.
D) Monitoring competitive products and providing for adequate product availability.
E) Educating channel members and evaluating their performance.
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Chapter 11: Pricing Issues in Channel Management
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Sample Questions
Q1) Which of the following is not a potential reaction by channel managers to a manufacturer's cut in price?
A) The price cut may decrease sales volume and profits.
B) The price cut may affect the product's quality image, so channel managers may become reluctant to deal with the product.
C) Channel managers may be concerned about the image of their own firms.
D) They may be concerned about a loss of inventory value.
E) Channel managers may be concerned about future pricing policies.
Q2) Which of the following is true regarding manufacturers' attempt to uncover channel members' views on the manufacturer's pricing strategies?
A) There are several methods that can be used to obtain this information.
B) It is the channel member's job to find out about channel member views.
C) Channel managers should pay particular attention to channel member views about pricing strategy.
D) Research done by outside companies can assist manufacturers obtain the needed data.
E) All of the above
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Chapter 12: Promotion through the Marketing Channel
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Sample Questions
Q1) In a pull and push promotional strategy,the three main flows involved are:
A) Product, negotiation, and promotion.
B) Product, price, and distribution.
C) Negotiation, promotion, and payment.
D) Promotion, negotiation, and price.
E) Distribution, negotiation, and product.
Q2) One of the main issues Proctor & Gamble P&G)Company had with its Max Factor is:
A) Giant mass market U.S. retailers were not willing to give more shelf space to Max Factor products.
B) P&G's marketing team had failed to gain sufficient brand recognition.
C) Even though P&G threw millions of dollars in trade promotions, sales of the Max Factor brand continued to fall.
D) Foreign sales of Max Factor products were falling.
E) Offering big trade discounts to retailers simply did not work.
Q3) Forward buying causes:
A) A slowdown in the distribution process.
B) Brand loyalty erosion.
C) Lower distribution costs.
D) Greater efficiencies in the distribution process.
E) Higher prices to consumers.
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Chapter 13: Logistics and Channel Management
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Sample Questions
Q1) In order to provide quick and efficient order processing,W.W.Grainger Inc.,
A) Has hired an expert logistics and channel manager.
B) Has a fully trained staff of order processors.
C) Has developed a satellite communications system linking distributors and customers.
D) Has hired experts to develop a proprietary communications software to link all members of the logistics process.
E) Replaces computer hardware every year.
Q2) The particular logistics service standards desired by channel members:
A) Are a positive function of channel member size.
B) Vary widely for different channel members.
C) Are virtually the same for most channel members.
D) Are usually far beyond the capacity of the manufacturer to meet.
E) Cannot be defined in quantitative terms.
Q3) The time between when an order is placed and when it is received is known as:
A) Order system time.
B) Order service time.
C) Order receipt time.
D) Orders return time.
E) Order cycle time.
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Chapter 14: Evaluating Channel Member Performance
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Sample Questions
Q1) Generally,the greater the degree of control the manufacturer has over the channel member:
A) The more difficult it is to obtain performance data.
B) The easier it is to obtain performance data.
C) The less accurate are the performance data.
D) The less complete are the performance data.
E) The more comprehensive the data and analysis.
Q2) Retailers can be unwilling to voluntarily provide manufacturers with data on sales to their customers because:
A) They may not view the manufacturer's brand of products as of great importance to them.
B) Withholding information increases their power in the channel.
C) They fear competitive exposure.
D) The information is proprietary.
E) The data may reveal a company's trade secrets.
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Chapter 15: Electronic Marketing Channels
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Sample Questions
Q1) Which of the following products cannot be delivered electronically via the Internet?
A) Music
B) Printed material
C) Airline tickets
D) Wine
E) Financial investments
Q2) Which of the following companies is an example of disintermediation?
A) Online retailers like Amazon.com
B) Peapod Inc.
C) Conventional travel agents
D) Autobytel Corp.
E) Webvan
Q3) In a classic article of shopping behavior by Tauber,the author found that:
A) People shop only to make purchases.
B) People generally hate to shop.
C) Shopping is a purely economic endeavor.
D) Most people love to shop.
E) There are many personal and social motives for shopping.
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Chapter 16: Franchise Marketing Channels
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Sample Questions
Q1) One downside for franchisors participating in franchise channels is:
A) Increased management flexibility
B) Low expectations among franchisees
C) Increased regulatory scrutiny.
D) Limited independence of the franchisee.
E) All of the above are about equal.
Q2) Which of the following statements are relevant to the definition of,"franchise"?
A) A franchise is a legal agreement.
B) In a franchise, two parties are involved, the franchisee and franchisor.
C) In a franchise, parties are independent.
D) In a franchise, one party grants a license to another party to sell a trademarked product or service.
E) All of the above statements are accurate.
Q3) Which two factors are especially relevant in the scope and frequency of franchisee evaluations by franchisors?
A) Degree of control and importance of channel members
B) Importance of channel members and nature of product
C) Nature of product and number of channel members
D) Number of channel members and degree of control.
E) Number of manufacturers in the industry.
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Chapter 17: Marketing Channels for Services
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Sample Questions
Q1) Which of the following services would be the least difficult to standardize?
A) Legal advice
B) Psychiatric diagnosis
C) Architectural design
D) Automatic car wash
E) Medical care
Q2) Services account for about __________ of the gross national product in the U.S.
A) One-tenth
B) One-quarter
C) One-half
D) Two-thirds
E) Nine-tenths
Q3) Services and their providers are tied __________ products and their producers.
A) as tightly as
B) more tightly than
C) somewhat less tightly than
D) much less tightly than
E) There is no general rule that can be applied here.
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Chapter 18: International Channel Perspectives
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Sample Questions
Q1) The specific variables that should be considered when choosing a foreign channel should be:
A) Generalized for geographically contiguous foreign countries.
B) Projected from the United States to other Western environments.
C) Universally applied to gain greater efficiency.
D) Considered on a case-by-case basis.
E) Generalized for the market, product, and environmental categories.
Q2) The availability of low-cost technology coupled with the capabilities of foreign distributors has led to substantial:
A) Increases in exports by small U.S. manufacturers.
B) Decreases in exports by small U.S. manufacturers.
C) Disadvantages for large scale U.S. manufacturers seeking to export.
D) Declines in the number of small U.S. firms seeking to export.
E) Decreases in costs.
Q3) The actual choice of channel structure for international markets should be:
A) Mandatory for firms doing business in international markets.
B) Determined ahead of time and be standardized.
C) Done so as to make for the shortest possible channel.
D) Done on a case-by-case basis.
E) Developed after contracting with a foreign trading company.
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