Designing and Managing Distribution Channels: Philip Kotler’s Marketing Management - Quiz

1. Intermediaries in a channel perform all of the following functions EXCEPT:

Promotion

Risk-taking

Production

Information gathering

2. A franchise is an example of which type of system?

Contractual VMS

Conventional system

Corporate VMS

Horizontal system

3. Exclusive distribution is appropriate for:

Mass-market items

Commodity products

Low-priced goods

Luxury or specialty goods

4. The term “channel level” refers to:

The geographic reach of marketing

The depth of product assortment

The price tier of a product

A layer of intermediaries performing distribution functions

5. A direct marketing channel involves:

No intermediaries between producer and consumer

Two or more intermediaries

Exclusive wholesalers

Multiple distribution chains

6. When firms at the same level of the channel join forces, it’s known as:

Dual distribution

Vertical integration

Reverse logistics

Horizontal marketing system

7. Selective distribution involves:

Franchising globally

Using a limited number of intermediaries

Selling through all available outlets

Selling directly to consumers only

8. The primary role of logistics in distribution is to:

Deliver the right product to the right place at the right time

Create advertising

Determine pricing

Manage product innovation

9. Which of the following is a type of channel conflict?

Horizontal conflict

Multichannel conflict

Vertical conflict

All of the above

10. Indirect distribution is most suitable for:

Widely distributed convenience goods

Industrial machinery

Perishable goods only

Customized solutions

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