11 May WHICH OF THE FOLLOWING IS THE SOURCE OF INFLUENCE DETERMINING WHICH CHANNEL MEMBER WILL BE THE CHANNEL CAPTAIN?
Which of the following is NOT a source of vertical
conflict?
a) When Foot Locker decided to give more shelf space to
lower priced shoes
b) When channel members disagree on how profit margins
are distributed among channel members
c) When a manufacturer increases its distribution
coverage in a geographic area
d) When a manufacturer believes a wholesaler or
retailer is not devoting sufficient attention to its products
e) When a channel member bypasses another member and
sells or buys a product direct
162. When a channel member bypasses another member and sells
or buys product direct, this practice is best termed __________.
a) disintermediation
b) unethical
c) vertical conflict
d) horizontal conflict
e) resale restrictions
163. While Maytag appliances have the leading brand name,
its sales are third in the industry. One of the things the company has done to
spur sales is to create a website where potential customers can find the
answers to the questions most asked during the appliance purchase process.
While Maytag considered using __________ (allowing customers to purchase at the
site), it decided against it and simply provides the name and address of the
nearest Maytag dealers.
a) a transactional function
b) horizontal integration
c) horizontal innovation
d) cross-docking
e) disintermediation
164. Which of the following types of vertical marketing
systems is likely to experience the least channel conflict?
a) Corporate vertical marketing system
b) Wholesaler-sponsored voluntary chain
c) Retailer-sponsored cooperative
d) Franchise system
e) Administered vertical marketing system
165. Conflict occurring between intermediaries at the same
level in a marketing channel, such as between two or more retailers is called
__________ conflict.
a) corporate
b) horizontal
c) vertical
d) administered
e) contractual
166. A channel member who coordinates, directs and supports
other channel members is called a __________.
a) product champion
b) product captain
c) channel captain
d) director of distribution
e) channel coordinator
167. Bombardier makes corporate jets. Its brand name is well
known and respected in the corporate jet market. The aircraft company relies on
outside suppliers for design support and to share development costs and market
risks but Bombardier is considered the leader in determining design and
marketing of its planes. For its newest plane, the Continental, Bombardier has
about 30 prime suppliersabout ten of those have been involved since the
initial design phase. Furthermore, as the owner of the defunct Lear Jet
Corporation, Bombardier is the leading marketer of corporate jets. Bombardier
is an example of a __________.
a) product champion
b) product captain
c) channel captain
d) director of distribution
e) channel coordinator
168. Which of the following is the source of influence
determining which channel member will be the channel captain?
a) Economic influence
b) Expertise
c) Identification with a particular channel member
d) Legitimate rights through contracts
e) Any of the above
169. 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 __________ in the channel of distribution.
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