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Walmart ensures its customers, those who order online, the ability to pick-up that good within 24 hours at the nearest store. From a transportation perspective, which factor below has the biggest stake at risk to ensure the goods arrive within 24 hours?


A) distribution management
B) stockout creation
C) replenishment
D) customer service

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

Correct Answer

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A supplier of light bulbs to several distributers states in their contract that they are only allowed to sell in Saskatchewan, even if customers outside of Saskatchewan are demanding to buy the light bulbs. This supplier has implemented a(n) :


A) oligopolistic practice
B) geographic restriction
C) resale restriction
D) monopolistic practice

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

Correct Answer

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The Facilitation Manager at Costco is likely doing which of the following activities?


A) financing, grading, and marketing information and research.
B) buying, selling, and risk taking.
C) transportation and distribution.
D) assorting, sorting, and storing.

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

Correct Answer

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A regional manufacturer of dairy products has developed a frozen soy-based yogurt product. It feels the choice of distribution channel is critical to the product's success, especially since it wants to have the product distributed nationally. However, it will take some time before sales take off, and it wants to make sure the marketing program is consistent everywhere. It should use:


A) the services of a selling agent to sell to general merchandise wholesalers who will sell to retailers.
B) a dual distribution system composed of both direct and indirect wholesalers.
C) its own sales force to sell directly to retailers.
D) manufacturers' agents to sell to truck jobbers who in turn will deal with retailers.

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

Correct Answer

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D

All of the following are types of specialty merchandise wholesalers EXCEPT:


A) drop shippers.
B) truck jobbers.
C) televised home shopping networks.
D) rack jobbers.

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

Correct Answer

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All of the following are major considerations for satisfying buyer requirements when designing distribution channels, except:


A) convenience
B) pre- or post-sale services
C) uniformity
D) information

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

Correct Answer

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When completing their financial statements at the end of the year, TransForce, a trucking company, included expenses associated with transportation, materials handling and warehousing, inventory, stockouts, and order processing under which category?


A) Manufacturing cost
B) Supplier service cost
C) Social responsibility cost
D) Total logistics cost

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

Correct Answer

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A fast-food franchisee is required by its franchisor to buy unmarked plastic eating utensils from the franchisor if the franchisee wants to use the cups, napkins, and other paper products with the franchise logo. The franchisee can buy the identical utensils from a local supplier for half the price. This requirement would be an example of:


A) a tying arrangement.
B) disintermediation.
C) a dual distribution network.
D) a refusal to deal.

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

Correct Answer

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A trucking company is shipping goods from a manufacturer in the USA up to Winnipeg, Manitoba. When the truck reaches the border, a(n) _________helps the Truck clear the border as they have legal authority to deal with customs.


A) wholesaler
B) dealer
C) agent or broker
D) retailer

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

Correct Answer

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When Dell Computer sells made-to-order PCs via its website, it is an example of which type of marketing channel?


A) Direct channel
B) Strategic channel alliances
C) Indirect channel
D) Marketing channel

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

Correct Answer

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List the four interests that buyers might want fulfilled by a marketing channel. Why are they important?

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Under the Competition Act,_________ with existing channel members may be illegal.


A) refusal to cooperate
B) sharing proprietary information
C) horizontal integration
D) refusing to deal

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

Correct Answer

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A new startup plans on offering personalized coffee cups to consumers. Describe how each of the different factors may affect their choice in selecting a marketing channel. Provide a final recommendation based on your analysis.

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All of the following are sources of power determining which channel member will be the channel captain, except:


A) expertise
B) legitimate rights through contracts
C) identification with a particular channel member
D) social power

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

Correct Answer

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All transportation modes can be evaluated using all of the following basic service criteria EXCEPT:


A) tangibles.
B) dependabili ty.
C) accessibilit y.
D) frequency.

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

Correct Answer

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The two types of warehouses are:


A) distribution centres and storage warehouses.
B) storing warehouses and activity warehouses.
C) full-service warehouses and limited-service warehouses.
D) cooperative warehouses and independent warehouses.

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

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A

When developing a distribution strategy, which of the following should marketers avoid if they want to avoid the possibility of violating the Competition Act?


A) implementing a VMS
B) proper target marketing
C) vertical conflict
D) exclusive dealing

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

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Winemaker Robert Mondavi Corp. buys satellite images from NASA to spot problems in its vineyards and aims to push those images out over a(n) _________to its independent growers this year. So Mondavi will help growers avoid vineyard problems and improve the grapes it buys.


A) customized search engine
B) extranet
C) electronic downloadable information (EDI)
D) customized database management system

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

Correct Answer

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During the 1990s, Sports Port, a motorcycle and fishing boat retailer located in a small northern Minnesota town, was the world's largest dealer for Crestliner fishing boats. In order to meet the demand of his many customers, the owner of Sports Port worked with a wide variety of channel members, ranging from the manufacturer of the boats to trucking firms, other retailers, and even detailers. Such a diverse channel of distribution often resulted in channel conflict. However, due to his strong consumer Following, the owner of Sports Port had the power to resolve disputes between channel Members. The owner of Sports Port served as the_________ distribution. In the channel of


A) producer
B) channel captain
C) channel spokesperson
D) wholesaler

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

Correct Answer

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The most common form of distribution intensity is:


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

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

Correct Answer

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A

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