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The target market coverage and distribution intensity associated with shopping goods such as overcoats, work boots, and dining room furniture is called:


A) intensive distribution.
B) primary distribution.
C) exclusive distribution.
D) selective distribution.

E) B) and C)
F) All of the above

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What are the three questions marketing executives consider when choosing a marketing channel and intermediaries?

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Forward and backward integration usually take place under which marketing system?


A) integrated marketing system
B) corporate horizontal marketing system
C) contractual vertical marketing system
D) corporate vertical marketing system

E) C) and D)
F) B) and D)

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Which type of distribution density is used by Rolls Royce when the car manufacturer maintains only one dealership in any large metropolitan area?


A) extensive distribution
B) exclusive distribution
C) intensive distribution
D) selective distribution

E) None of the above
F) A) and D)

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Bombardier makes corporate jets and its strategy involves streamlining production activities, maintaining its reputation for quality, and reducing its costs. It has developed the Continental, an airplane assembled from just a dozen large component Parts. While building planes with subassemblies is not new, Bombardier is the first not to use vertical integration. All parts are supplied by carefully chosen independent Companies that share the development costs and market risk. In terms of its supply chain, Bombardier has


A) implemented a just-in-time materials handling policy.
B) harmonized its supply chain and its marketing strategy.
C) created a marketing channel.
D) lengthened its supply chain unnecessarily.

E) None of the above
F) All of the above

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The lag from ordering an item until it is received and ready for use is called:


A) purchase cycle.
B) lag time.
C) order handling time.
D) order cycle time.

E) A) and D)
F) C) and D)

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At the Spring Creek Carriers warehouse in Ontario, a new truck just pulled into the warehouse. The staffs sort through all the goods on the truck and separate them out to separate loads that will go to different destinations on different trucks. This activity is referred to as:


A) Intermodal distribution
B) Dual distribution
C) Cross-docking
D) Piggybacking

E) All of the above
F) A) and B)

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Irving Oil, which refines gasoline and also operates retail gasoline stations, illustrates:


A) horizontal channel.
B) backward integration.
C) forward integration.
D) vertical channel.

E) A) and D)
F) B) and C)

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In terms of distribution, when marketing channel members are engaged in assorting, storing, sorting, and transporting, they are performing functions.


A) logistical
B) implementing
C) transformational
D) facilitating

E) B) and D)
F) B) and C)

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Business distributors perform functions that are most like which intermediary in the consumer goods marketing channel?


A) wholesalers
B) retailers
C) manufactur ers
D) agents

E) A) and D)
F) A) and C)

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The process of reclaiming recyclable and reusable materials, returns, and reworks from the point of consumption or use for repair, remanufacturing, redistribution, or disposal is termed:


A) the green movement.
B) reverse logistics.
C) reverse materials handling.
D) the millennium waste-reduction initiative.

E) A) and B)
F) A) and C)

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Which of the following is an example of a storage cost that would be considered a part of inventory costs?


A) warehousing space and materials handling costs
B) opportunity costs resulting from tying up funds in inventory instead of using them in other, more profitable investments
C) costs of the finished goods inventory itself
D) costs due to possible loss, damage, pilferage, or obsolescence

E) A) and B)
F) All of the above

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Which type of contractual vertical marketing system involves small, independent retailers forming an organization that operates a wholesale facility cooperatively?


A) manufacturer-sponsored cooperative
B) retailer-sponsored cooperative
C) service-sponsored retail system
D) administered cooperative system

E) A) and D)
F) All of the above

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Two students, Nick and Lee, were studying for an upcoming exam in their Introduction to Marketing course. While studying the chapter on Marketing Channels and Wholesalers, Nick made the following statement, "If it weren't for wholesalers and other intermediaries in the channel of distribution, the products we buy would cost a lot less!" After contemplating Nick's statement, Lee said, "Wait a minute. We learned in class that channel intermediaries actually make marketing more efficient by Minimizing the number of transactions necessary to sell products." Lee's statement refers to:


A) channel intermediary development.
B) price inflation by channel intermediaries.
C) value created by channel intermediaries.
D) channel intermediary promotional efforts.

E) C) and D)
F) All of the above

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The dominant member of a keiretsu is the:


A) full-line wholesaler.
B) customer.
C) local wholesaler.
D) producer.

E) A) and D)
F) All of the above

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Adding a wholesaler to the marketing channel for consumer goods is most common for:


A) high-cost, high-unit-value items.
B) low-cost, high-unit-value items.
C) high-cost, low-unit-value items.
D) low-cost, low-unit-value items.

E) A) and B)
F) B) and C)

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Suppose a large retail chain is considering increasing the number of distribution centres that serve its retail stores from 6 to 20. If the number of suppliers, retail outlets, and customers remain unchanged, which of the following statements accurately describes what will happen as a result of this expansion?


A) Total inventory in the warehouse system will increase.
B) Outbound transportation costs from the warehouses increase, and total transportation costs will increase.
C) Average inventory per warehouse will increase.
D) Inbound transportation costs to the warehouses will decrease.

E) A) and C)
F) A) and B)

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Ryder Integrated Logistics is charged with making Saturn's JIT system work smoothly. A driver is equipped with a plastic key that plugs into an on-truck computer. The computer informs the driver of all of the following except:


A) the route to use
B) where to go
C) how much time to spend getting to the destination
D) all of these

E) None of the above
F) B) and D)

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Which type of market coverage is usually associated with shopping goods?


A) extensive distribution
B) selective distribution
C) intensive distribution
D) exclusive distribution

E) B) and C)
F) All of the above

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Hi-Tech Recycling Canada, a computer and electronics recycling firm based in Toronto, is a lucrative business that focuses on the disposal of obsolete computer systems. Every monitor has four to six pounds of lead, which is mixed with Phosphorous to protect users from radiation. The problem is that if the computers are thrown away in landfills, the lead and the phosphorous can get into the water supply, which is why many landfills won't accept computers. Hi-Tech Recycling Canada is Divided into different divisions for taking care of computer board and memory Recovery (which can often be recycled) . The monitors it disposes of in accordance with legal regulations. Hi-Tech Recycling Canada has made a business out of:


A) reverse materials handling.
B) the millennium waste-reduction initiative.
C) the green movement.
D) reverse logistics.

E) B) and D)
F) All of the above

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