CHAPTER 7 Flashcards

DISTRIBUTION AND SUPPLY CHAIN STRATEGY (69 cards)

1
Q

____________ is the process of bringing the goods produced or services rendered by the company to the ultimate consumer.

A

DISTRIBUTION

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2
Q

________________________ refer to the pathways or routes through which goods or services flow from producers to consumers.

A

Distribution Channels

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3
Q

It ensure that products reach the right customers efficiently and at the right time.

A

Distribution Channels

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4
Q

________________ refer to the pathways or routes through which goods or services flow from producers to consumers.

A

Distribution Channels

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5
Q

Involves no intermediaries; the producer sells directly to the consumer.

Example: Direct sales, door-to-door selling, factory outlets

A

DIRECT CHANNELS

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6
Q

Involves intermediaries between the producer and the consumer. Example: Wholesalers, Distributors, Retailers

A

INDIRECT CHANNELS

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7
Q

Combines direct and indirect channels.

Example: A company selling products both through its website and through retailers.

A

HYBRID CHANNELS

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8
Q

DISTRIBUTION ACTIVITIES

A
  1. ORDER PROCESSING
  2. PACKAGING
  3. WAREHOUSING
  4. TRANSPORTATION
  5. INVENTORY CONTROL
  6. CUSTOMER SERVICE
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9
Q

Regarded as the input to customer service satisfaction. It consists of receiving, recording, filling, and assembling of products for shipping.

A

ORDER PROCESSING

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10
Q

An essential function to do in supply chain management.

A

PACKAGING

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11
Q

It shields products from breakages, helps in well-organized distribution, & conveys messages about products to the customers.

A

PACKAGING

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12
Q

__________ is holding & preserving products from the time of their production until their sale.

A

STORAGE

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13
Q

_______________ is a much broader concept that includes storage & other functions like assembling, breaking the volume, shipping based on need, arranging product for reshipping, logistics and so on.

A

WAREHOUSING

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14
Q

The movement of goods, people, or services from one place to another using various modes such as land, sea, air, or rail.

A

TRANSPORTATION

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15
Q

___________ are those companies that offer transportation facilities to others.

A

CARRIERS

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16
Q

The processes and techniques used to manage and regulate the stock of goods in a business, ensuring the right amount of inventory is available at the right time and place.

A

INVENTORY CONTROL

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17
Q

It focuses on minimizing costs while meeting customer demand and avoiding overstock or stockouts.

A

INVENTORY CONTROL

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18
Q

The support and assistance provided by a business to its customers before, during, and after purchasing its products or services.

A

CUSTOMER SERVICE

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19
Q

It directly impacts customer satisfaction, loyalty, and overall business success.

A

CUSTOMER SERVICE

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20
Q

Intermediaries, also known as __________, are very essential component of a company’s distribution channel

A

middlemen

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21
Q

______________, also known as middlemen, are very essential component of a company’s distribution channel

A

Intermediaries

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22
Q

These are individuals or companies that act as representatives for businesses. They help in connecting buyers and sellers or facilitate deals.

A

AGENTS / BROKERS

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23
Q
  • responsible for buying goods and services on behalf of a business or organization. They act as the organization’s representative in procurement activities.
A

Purchasing Agent

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24
Q
  • a third-party intermediary that assists in making a transaction but does not take ownership of goods or directly negotiate purchases.

Example: customs broker assisting with import/export compliance.

A

Facilitating Agent

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25
__________________ is selling of commodities to everyone either to a person or an organization but not to the final consumers of those goods.
WHOLESALING
26
________________ is a business or individual that purchases goods in bulk directly from manufacturers or distributors and resells them, usually in smaller quantities, to retailers, other businesses, or institutions.
WHOLESALER
27
___________ act as intermediaries in the supply chain, bridging the gap between producers and the final point of sale.
Wholesalers
28
Purchases goods from manufacturers or suppliers and sells them to retailers, businesses, or directly to consumers, often with exclusive rights in a region.
DISTRIBUTORS
29
A company that buys bulk electronics from manufacturers and sells them in large quantities to electronics retailers.
Wholesaler
30
A company that buys smartphones from a manufacturer and has exclusive rights to sell those smartphones to retail stores and even directly to businesses in a specific country or region.
Distributor
31
The ____________ might also provide marketing support, warranty services, and product training to the retailers.
Distributor
32
A _________ is a business or individual that sells goods or services directly to end consumers for personal use.
retailer
33
______________ typically buy goods from wholesalers, distributors, or manufacturers and sell them in smaller quantities, often in a physical store, online, or both.
Retailers
34
They are the final step in the supply chain before the product reaches the consumer.
RETAILERS
35
The ______________________ are typically categorized based on the number of intermediaries involved.
levels of distribution channels
36
There are no intermediaries in this channel; the producer sells directly to the end consumer.
ZERO-LEVEL CHANNEL
37
Producer → Consumer ARE EXAMPLE OF _______________
ZERO-LEVEL CHANNEL
38
Examples: _____________________ - A farmer sells fresh produce, eggs, or dairy directly to consumers - A freelance graphic designer or photographer offers services directly to clients - Companies like Dropbox, Zoom, or Netflix sell software or subscriptions directly to users through their websites or apps.
ZERO-LEVEL CHANNEL
39
Contains one selling intermediary, usually a retailer.
ONE-LEVEL CHANNEL
40
Producer → Retailer → Consumer ARE EXAMPLE OF ____________________
ONE-LEVEL CHANNEL
41
Examples: ____________________ - A clothing manufacturer selling products to a retail store, which then sells to customers. - E-commerce platforms where brands sell via retailers.
ONE-LEVEL CHANNEL
42
This channel includes two intermediaries: wholesalers and retailers.
TWO-LEVEL CHANNEL
43
Producer → Wholesaler → Retailer → Consumer ARE EXAMPLE OF __________________
TWO-LEVEL CHANNEL
44
Examples: - Procter & Gamble (P&G) - Products like Tide detergent, Gillette razors, or Pampers diapers are distributed through: - Producer (P&G) → Wholesaler (regional distributors) → Retailer (supermarkets or local grocery stores) → Consumer.
TWO-LEVEL CHANNEL
45
This channel involves agents or brokers in addition to wholesalers and retailers.
THREE-LEVEL CHANNEL
46
Producer → Agent/Broker → Wholesaler → Retailer → Consumer ARE EXAMPLE OF _______________
THREE-LEVEL CHANNEL
47
Examples: Coffee Beans from Brazil Producer (coffee farmer) → Agent (export agent coordinating with global buyers) → Wholesaler (importer/distributor in the target market) → Retailer (cafés, grocery stores) → Consumer.
THREE-LEVEL CHANNEL
48
These are strategies used by producers to determine the number and types of outlets through which their products are made available.
LEVELS OF DISTRIBUTION COVERAGE
49
These are categorized into three main levels based on the degree of market penetration and availability
LEVELS OF DISTRIBUTION COVERAGE
50
Also known as intensive distribution. Products are made available through as many outlets as possible to maximize exposure and sales. Example: Soft drinks (Coca-Cola, Pepsi), snacks (Lays, KitKat), and toiletries (Colgate, Dove).
Mass coverage
51
Also known as _________________. Products are made available through as many outlets as possible to maximize exposure and sales. Example: Soft drinks (Coca-Cola, Pepsi), snacks (Lays, KitKat), and toiletries (Colgate, Dove).
intensive distribution
52
Products are distributed through a limited number of carefully chosen outlets to maintain a balance between market coverage and brand control. Example: Laptops (Dell, HP), smartphones (Samsung, Apple), Mid-range to high-end apparel (Levi’s, Nike).
SELECTIVE COVERAGE
53
Products are distributed through a single or very few ________ outlets in a specific geographic area. Example: Gucci, Louis Vuitton, Rolls-Royce, Tesla,
EXCLUSIVE COVERAGE
54
In the Philippines, __________________________________________ on distribution channels are designed to ensure fair trade, consumer protection, and efficient market operations.
Government Regulations & Policies
55
Requires proper labeling, warranties, and after-sales service.
Fair Trade and Consumer Protection
56
- Requires licenses for distributors, wholesalers, and retailers dealing in FDA-regulated products.
Distribution of Regulated Goods
57
- Requires proper documentation for importers and distributors of foreign goods.
Import and Export Regulations
58
- Regulates the digital distribution of goods and services, including online marketplaces.
E-Commerce and Digital Distribution
59
refers to managing the flow of physical goods and related information from initial souring to final consumption to satisfy customers at a profit.
SUPPLY CHAIN MANAGEMENT
60
The main goal of supply chain management is to design, plan, manage, and execute supply chain activities from the point of production to the point of sale.
FUNCTIONS OF SUPPLY CHAIN MANAGEMENT
61
The process of sourcing and acquiring raw materials, components, or services required for production.
PROCUREMENT
62
Transforming raw materials into finished goods using labor, machinery, and processes.
PRODUCTION & MANUFACTURING
63
Monitoring and controlling stock levels to meet demand without overstocking or understocking.
INVENTORY MANAGEMENT
64
Storing goods at various stages of the supply chain until they are needed for production or delivery.
WAREHOUSING AND STORAGE
65
Managing the movement of goods across the supply chain, from suppliers to customers.
TRANSPORTATION AND LOGISTICS
66
Anticipating customer demand to align supply chain activities with market needs.
DEMAND PLANNING AND FORECASTING
67
Managing the process from receiving customer orders to delivering the products.
ORDER FULFILLMENT
68
Building and maintaining strong relationships with customers through service and support.
CUSTOMER RELATIONSHIP MANAGEMENT(CRM)
69
Managing the return flow of goods from customers back to the company.
REVERSE LOGISTICS