Franchisee Relations and Marketing Strategies

<p>Rising costs of labor and materials. (A)</p> Signup and view all the answers

<p>Subway increased the price of the $5 footlong to $6. (B)</p> Signup and view all the answers

<p>The promotion was unsuccessful and resulted in franchisee dissatisfaction. (A)</p> Signup and view all the answers

<p>The cost of making the footlong exceeded the selling price. (C)</p> Signup and view all the answers

<p>Subway's insistence on offering promotions that are unprofitable for franchisees. (B)</p> Signup and view all the answers

<p>Greater flexibility in managing distribution (D)</p> Signup and view all the answers

<p>Burberry (B)</p> Signup and view all the answers

<p>To control the customer experience and service model (D)</p> Signup and view all the answers

<p>Strong control by a single entity over the entire channel (A)</p> Signup and view all the answers

<p>Controlling multiple stages of the supply chain, from manufacturing to retail (D)</p> Signup and view all the answers

<p>EssilorLuxottica has direct control over where its brands are sold (A)</p> Signup and view all the answers

<p>By acquiring and controlling various brands and distribution channels (D)</p> Signup and view all the answers

<p>Directly managing the customer experience through its own channels (C)</p> Signup and view all the answers

<p>A company like Coca-Cola that licenses bottlers to produce and distribute its product locally. (B)</p> Signup and view all the answers

<p>The franchisor's ability to effectively manage a large and complex network of franchises. (A)</p> Signup and view all the answers

<p>The size and influence of one or a few dominant channel members. (B)</p> Signup and view all the answers

<p>Grocery stores (B)</p> Signup and view all the answers

<p>Gaining significant cooperation regarding displays, shelf space, promotions, and price policies. (A)</p> Signup and view all the answers

<p>They are able to compete effectively against corporate chains even though they may not be as large or powerful. (B)</p> Signup and view all the answers

<p>Contractual VMSs operate with greater flexibility and autonomy while corporate VMSs have more centralized control. (B)</p> Signup and view all the answers

<p>It relies on contractual agreements between members to ensure coordination. (A)</p> Signup and view all the answers

<p>Farm Equipment and Forestry Equipment (A), Lawn Care Products (C), Outdoor Power Equipment (D)</p> Signup and view all the answers

<p>Independent Dealers and Large Retail Chains (B)</p> Signup and view all the answers

<p>By using different distribution channels based on customer needs (C)</p> Signup and view all the answers

<p>Direct Mail (B)</p> Signup and view all the answers

<p>These dealers offer more services and support for larger customers (D)</p> Signup and view all the answers

<p>Sells its products through multiple channels, each serving specific customer segments. (C)</p> Signup and view all the answers

<p>Reaching a wider customer base and catering to different needs. (B)</p> Signup and view all the answers

<p>It provides specialized support and expertise for large and demanding customers. (D)</p> Signup and view all the answers

<p>Competing with &quot;direct-to-consumer&quot; brands (D)</p> Signup and view all the answers

<p>Developing their own &quot;direct-to-consumer&quot; channels (A)</p> Signup and view all the answers

<p>E-commerce platforms (A)</p> Signup and view all the answers

<p>They risk angering existing retail partners (A)</p> Signup and view all the answers

<p>Partnering with existing retailers (B)</p> Signup and view all the answers

<p>They avoid direct competition with established brands (D)</p> Signup and view all the answers

<p>Gaining more control over pricing and branding (D)</p> Signup and view all the answers

<p>The importance of providing unique customer experiences (A)</p> Signup and view all the answers

<p>High mobile penetration, affordable smartphones, and fast internet connections (B)</p> Signup and view all the answers

<p>Convincing users to pay for music subscriptions in a region with low credit card penetration (D)</p> Signup and view all the answers

<p>Partnering with local telecom companies to enable direct mobile billing for subscriptions (A)</p> Signup and view all the answers

<p>Its unique Arabic music catalog and deep understanding of the local market (D)</p> Signup and view all the answers

<p>All of the above (D)</p> Signup and view all the answers

<p>A strong understanding of the local market and the unique needs of its target audience (A)</p> Signup and view all the answers

<p>Anghami is a successful example of a company that leveraged local market knowledge and unique offerings to achieve success (A)</p> Signup and view all the answers

<p>The GCC region is a highly competitive market with both local and global players vying for market share (B)</p> Signup and view all the answers

A strategy where a company controls multiple stages of production or distribution.

A major eyewear company known for its brands and production of lenses.

Vertical Marketing System where a company controls its distribution.

The ability of a firm to influence and manage its distribution channel.

Retail stores that specialize in selling eyewear and lenses.

The sector that produces and sells lenses for vision correction.

Tesla sells cars directly to customers, avoiding franchise dealerships.

Car dealerships that are independently owned and operated.

Franchisee discontent refers to the dissatisfaction of franchise owners with the franchisor's decisions or policies.

Channel conflict occurs when there is a disagreement or discord among distribution channel members, like franchisors and franchisees.

The $5 footlong was a marketing promotion by Subway that began in 2008, making the sandwich a cultural icon.

Profit erosion happens when a business's profit margins decrease due to rising costs or unfavorable conditions.

Franchisee margins refer to the difference between the costs of goods sold and the sales price for franchise operations.

Sales growth is the increase in sales revenue over a specific period, often driven by promotions or market demand.

COGS represents the direct costs attributable to the production of goods sold by a company.

Menu item profitability refers to how much profit a specific item generates compared to its cost to produce.

A system where manufacturers license wholesalers to bottle and sell their products.

A franchise system where service firms grant the rights to operate their brand.

A Vertical Marketing System where independent firms collaborate under contractual agreements.

A vertical marketing system led by dominant channel members, not through ownership.

Collaboration between manufacturers and resellers for mutual benefits.

The arrangement and management of product placement in retail spaces.

Companies involved in the distribution of a product from producer to consumer.

A company known for its green-and-yellow lawn and garden equipment.

A system where companies sell products through multiple channels.

Retailers, dealers and online platforms that sell products.

A business that sells directly to consumers.

Full-service dealers that sell larger John Deere equipment.

Groups of end-users targeted by a product.

Groups of businesses targeted by a product.

The methods through which products are sold to consumers.

A measure of the number of mobile phones per person in a region.

Affordable mobile devices that increase access to technology.

Fast internet access that enhances user experience.

A music streaming service popular in the Arab world.

Being the dominant player in a particular industry or market.

Difficulties in getting users to pay for a service regularly.

Payment method allowing charges to be added to mobile phone bills.

A collection of music focused on Arabic artists and genres.

Brands that sell directly to consumers without traditional retail stores.

A sales approach that provides customers with an integrated shopping experience across channels.

Significant change in how products are sold, often through new types of competitors.

The main or most important store of a brand, showcasing their offerings.

Companies or individuals who create and offer goods and services.

Seamless interaction between various shopping platforms.

Areas where direct-to-consumer brands have thrived, like beauty and apparel.