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Essentials Of Marketing, 9/e
William D. Perreault, University of North Carolina at Chapel Hill
Place and development of channel systems

Multiple Choice Quiz



1

Any series of firms or individuals who participate in the flow of products from producer to final user or consumer are called ___________________.
A)Channels of distribution
B)Distribution chains
C)Middlemen/facilitators
D)Channel systems
2

__________ decisions have long-run effects and are usually harder to change than any other of these decisions.
A)Product
B)Price
C)Place
D)Promotion
3

Rather than getting products to customers, _______________ channels are used to retrieve products that customers no longer want.
A)Retrieval
B)Reverse
C)Return
D)Reclamation
4

When a producer uses several competing channels to reach the same target market, ______________ occurs.
A)Double distribution
B)Parallel distribution
C)Dual distribution
D)Concurrent distribution
5

________________ occurs when there is direct communication between a seller and an individual customer using a promotion method other than face-to-face personal selling.
A)Direct marketing
B)Personal marketing
C)Direct distribution
D)Interpersonal promotion
6

Direct marketing is primarily concerned with the _____________ decision.
A)Place
B)Price
C)Product
D)Promotion
7

The difference between the quantity of products it is economical for a producer to make and the quantity final users or consumers normally want is the _________________________.
A)Quantity differential
B)Disparity of quantity
C)Supply/demand differential
D)Discrepancy of quantity
8

The most important reason for using an indirect channel of distribution is that an intermediary can often help producers better serve customer needs and at lower costs.
A)True
B)False
9

_____________ means the difference between the lines a typical producer makes and the assortment final consumers or users want.
A)Discrepancy of assortment
B)Discrepancy of choice
C)Variety discrepancy
D)Disparity of assortment
10

Which of the following is NOT one of the four (4) regrouping activities?
A)Accumulating
B)Bulk-breaking
C)Adjusting
D)Assorting
11

Assorting means putting together a variety of products to give a target market what it wants.
A)True
B)False
12

Conflicts in channels of distribution that occur between firms at the same level are called ___________ conflicts.
A)Vertical
B)Horizontal
C)Lateral
D)Parallel
13

In traditional channel systems, the various channel members work diligently in an effort to maximize their cooperation with each other.
A)True
B)False
14

A manager who helps direct the activities of a whole channel and tries to avoid or solve channel conflicts is called the _____________.
A)Channel leader
B)Channel director
C)Channel master
D)Channel captain
15

Channel systems in which the whole channel focuses on the same target market at the end of the channel are called _________________________.
A)Corporate channel systems
B)Horizontal marketing systems
C)Vertical marketing systems
D)Focused channel systems
16

Which of the following is not a type of vertical marketing system?
A)Administered
B)Corporate
C)Contractual
D)Negotiated
17

Corporate channel systems may develop by _________________________ - acquiring firms at different levels of channel activity.
A)Vertical integration
B)Horizontal integration
C)Complex integration
D)Diffuse integration
18

In administered channel systems, the channel members agree to cooperate with each other by signing formal written cooperation documents.
A)True
B)False
19

Horizontal marketing systems are becoming the major competitive units in the U.S. distribution system, and they are growing rapidly in other parts of the world, as well.
A)True
B)False
20

___________ is selling through only those middlemen who will give the product special attention.
A)Intensive distribution
B)Exclusive distribution
C)Selective distribution
D)Focused distribution
21

Often, the majority of sales come from relatively few customers. This is known as the _______________.
A)80/20 rule
B)90/20 rule
C)80/10 rule
D)60//40 rule
22

The Sylvania decision from the U.S. Supreme Court in 1977 stands for the proposition that all vertical arrangements are legal.
A)True
B)False




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