Chapter 4

Question 1

plan for the distribution and movement of products and
services from the producer to the customer.

Answer 1

CHANNEL DESIGN

Question 2

understood as the process involved in the
development of new marketing channels that no one has
tried before

Answer 2

CHANNEL DESIGN

Question 3

strategy of modifying existing
channels.

Answer 3

CHANNEL DESIGN

Question 4

“a chain of linked businesses or
individuals
through which a product or service passes from one person or firm
to
another.”

Answer 4

CHANNEL

Question 5

STAGES IN CHANNEL PLANNING

Answer 5

Step 1: Analyzing Consumer Needs
Step 2: Setting Channel Objectives
Step 3: Identifying Major Alternatives
Step 4: Evaluating the Major Alternatives

Question 6

a) Types of Intermediaries

Answer 6

-Retailers
-Wholesalers
-Distributors
-Agents/Brokers
-Carrying & Forwarding Agents
-Logistics service providers

Question 7

These can include brick-and-mortar stores, online
retailers, department stores, supermarkets, or specialty shops

Answer 7

Retailers

Question 8

These purchase products in bulk from
manufacturers and
distribute them to retailers or other businesses.

Answer 8

Wholesalers

Question 9

Act as intermediaries between manufacturers and
retailers,
specializing in specific industries or geographical areas.

Answer 9

DISTRIBUTORS

Question 10

facilitate transactions
between buyers and sellers without taking ownership of the
products. They earn commissions or fees for their services.

Answer 10

Agents/Brokers

Question 11

also known as clearing and
forwarding agents (CFAs) or freight forwarders,

Answer 11

Carrying & Forwarding Agents

Question 12

intermediaries that handle the logistics of transporting goods,
including customs clearance and arranging for the movement of
cargo across borders.

Answer 12

Carrying & Forwarding Agents

Question 13

also known as third-party logistics
(3PL)
providers

Answer 13

Logistics service providers

Question 14

are companies that specialize in managing and
optimizing various aspects of a company’s supply chain, including
transportation, warehousing, and distribution.

Answer 14

Logistics service providers

Question 15

b) Number of Marketing Intermediaries

Answer 15

-Intensive Distribution
-Exclusive Distribution
-Selective Distribution

Question 16

This involves placing products in as many
outlets as possible to maximize market coverage.

Answer 16

Intensive Distribution

Question 17

The basic aim
of this strategy is to make the products available where and when
the consumers want.

Answer 17

Intensive Distribution

Question 18

This approach suits low-cost or convenience
products

Answer 18

Intensive Distribution

Question 19

It involves granting exclusive rights to a
single
intermediary or a limited number of intermediaries in a particular
geographic area or market segment

Answer 19

Exclusive Distribution

Question 20

This strategy is often
employed for luxury or specialized products.

Answer 20

Exclusive Distribution

Question 21

involves selecting a limited number of
intermediaries based on their ability to effectively reach specific
market segments.

Answer 21

Selective Distribution

Question 22

This strategy is often used for products with
unique characteristics or targeted customer segments

Answer 22

Selective Distribution

Question 23

The producer and the intermediaries must agree on the terms and
responsibilities of each of the channel members. T OR F?

Answer 23

True

Question 24

With the help of this criteria, a company can
compare the likely sales, profitability, and cost of different
alternatives.

Answer 24

Economic Criteria

Question 25

it generally means giving the intermediaries some control over the marketing of the product.

Answer 25

Control criteria

Question 26

a company tries to keep the channel as flexible as possible so that it can easily adapt to environmental changes.

Answer 26

Adaptive Criteria

Question 27

all businesses or individuals involved in the process of moving products from the manufacturer to the end consumer.

Answer 27

Channel members

Question 28

sometimes called intermediaries or middlemen

Answer 28

channel members

Question 29

work together to complete the various tasks it takes to get a product from production through to sale.

Answer 29

Channel Members

Question 30

While a producer could decide to market and sell products directly to consumers, usually they use channel members to make the process more _______.

Answer 30

efficient

Question 31

companies that collaborate with manufacturers or producers to market and sell their products or services, acting as a distribution network rather than internal sales teams.

Answer 31

Channel Partners

Question 32

THE POWER OF MOTIVATION

Answer 32

● Referent Power ● Expert Power ● Legitimate Power ● Support Power ● Competition Power ● Reward Power ● Coercive Power