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

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

Contractual VMS

Horizontal system

Conventional system

Corporate VMS

2. Dual distribution systems can lead to:

Higher logistics cost

Reduced efficiency

Channel conflict

Lower customer satisfaction

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

Horizontal conflict

All of the above

Multichannel conflict

Vertical conflict

4. The term “channel level” refers to:

The depth of product assortment

The price tier of a product

The geographic reach of marketing

A layer of intermediaries performing distribution functions

5. Intensive distribution aims to:

Build selective partnerships

Limit distribution to few outlets

Maximize product availability

Reduce supply chain cost

6. Multichannel distribution refers to:

Reducing sales outlets

Selling only through retail

Focusing on one exclusive intermediary

Using more than one channel to reach customers

7. Selective distribution involves:

Selling through all available outlets

Using a limited number of intermediaries

Franchising globally

Selling directly to consumers only

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

Reverse logistics

Vertical integration

Horizontal marketing system

Dual distribution

9. A vertical marketing system (VMS) is designed to:

Separate channel functions

Increase competition within channels

Coordinate activities among channel members

Eliminate all intermediaries

10. Indirect distribution is most suitable for:

Perishable goods only

Industrial machinery

Customized solutions

Widely distributed convenience goods

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