SOLVED

1) The primary purpose of auditing marketing channels is to ________. A) evaluate the long-term service output solutions established by the manufacturer B) assess each channel member’s ability to provide service outputs efficiently C) examine the necessity of service intermediaries in the overall channel D) identify the short-run service output demands of targeted markets E) determine how to modify and shorten the channel structure 2) Which term refers to channel member activities that produce the service outputs demanded by end-users? A) information sharing B) channel segmentation C) reverse logistics D) channel functions E) bulk breaking 3) What is the most likely benefit of auditing channel functions? A) identifying gaps in desired service outputs B) establishing channel oversight teams C) conducting data mining activities D) gathering end-user feedback E) segmenting the market 4) Which term refers to the process the marketing channel uses to handle returned merchandise? A) service outputs B) bulk breaking C) reverse logistics D) activity-based costing E) inventory holding 5) It is most likely appropriate to remove a channel member from the marketing channel system if the channel member ________. A) engages in both bulk breaking and information sharing B) conducts most of the channel’s service output activities C) avoids channel conflicts by asserting channel power D) holds less channel power than other members E) performs redundant service output activities 6) Fab Furniture, a furniture wholesaler, owns a 500,000 square-foot warehouse that houses large volumes of home furniture that the firm purchases from multiple manufacturers. The expenses associated with shipping furniture to retailers around the U.S. and running the warehouse are most likely examples of ________ costs. A) financing B) negotiation C) order processing D) physical possession E) information sharing 7) Which of the following statements is most likely true about physical possession in a marketing channel system? A) Physical possession costs are not an issue for service providers. B) Decreasing inventory holding time typically lowers physical possession costs. C) Physical possession costs stem from taking title to goods and tying up capital. D) Ownership and physical possession always move together through channel systems. E) Handling product returns is a component of consignment selling rather than physical possession. 8) The combined costs of physical possession and ownership in a channel system are known as ________ costs. A) inventory holding B) service output C) safety stock D) consignment E) promotion 9) What is the LEAST likely reason for holding inventory? A) anticipated demand surges B) shifts in service output needs C) supply and demand uncertainty D) economies of scale in production E) lengthy shipment transportation time 10) All of the following would most likely be described in an efficiency template EXCEPT the ________. A) share of total channel profits that each channel member should reap B) types of work done by each channel member to perform the marketing functions C) number and significance of service and cost gaps caused by each channel member D) amount of work done by each channel member to perform the marketing functions E