Media Types Comparison
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Questions and Answers

What is the main benefit of sales promotion?

  • Increasing sales (correct)
  • Building brand awareness
  • Expanding market reach
  • Reducing production costs

    • Which of the following is an example of a trade sales promotion method?

  • Rebates to resellers (correct)
  • Coupons for consumers
  • Loyalty programs for end-users
  • Premium offers for retailers

    • What is a key advantage of personal selling over impersonal promotion methods?

  • Lower cost
  • Automated process
  • Mass reach
  • Tailored approach (correct)

    • What is the primary aim of trade sales promotions?

    <p>Attracting business purchasers</p> Signup and view all the answers

    Which type of promotion requires the full dedication of a salesperson?

    <p>Personal selling</p> Signup and view all the answers

    Why are salespeople considered crucial to the customer's experience?

    <p>To determine consumer purchases</p> Signup and view all the answers

    What is a disadvantage of advertising on television (Free to Air)?

    <p>High cost per person</p> Signup and view all the answers

    What is the benefit of sponsorship according to the text?

    <p>Encourages genuine customers</p> Signup and view all the answers

    What is the flow of chain between producers and consumers called?

    <p>Distribution channel</p> Signup and view all the answers

    Which media type offers the advantage of easily updated content and no competition for messages?

    <p>Internet: Brand or product website</p> Signup and view all the answers

    Which type of distribution involves marketing intermediaries selling indirectly to consumers?

    <p>Indirect organisational distribution</p> Signup and view all the answers

    What is a common disadvantage of direct mail advertising?

    <p>Expensive and often discarded</p> Signup and view all the answers

    What is a characteristic of direct distribution mentioned in the text?

    <p>Manufacturer sells directly to consumer</p> Signup and view all the answers

    Which media type typically has a short life span and is easy to ignore?

    <p>Newspaper: Community weekly</p> Signup and view all the answers

    What is a common challenge associated with outdoor media advertising?

    <p>Visual complaints and pollution</p> Signup and view all the answers

    Which organization uses three types of intermediaries according to the text?

    <p>Apple</p> Signup and view all the answers

    What is the overarching trend prompting customers to assess the overall activities of a marketed organization beyond just a single promotional message?

    <p>Social and environmental awareness</p> Signup and view all the answers

    What is a key role of the franchisor in a franchise agreement?

    <p>Sets standards and rules for the franchisee to follow</p> Signup and view all the answers

    What distinguishes a merchant wholesaler from a manufacturer's wholesaler?

    <p>Merchant wholesalers are not owned by the producer</p> Signup and view all the answers

    In a franchise agreement, what does the franchisee provide?

    <p>Supplies labor and capital</p> Signup and view all the answers

    What is one of the major functions of wholesalers in the distribution chain?

    <p>Providing specialist services more efficiently than producers can</p> Signup and view all the answers

    What characterizes retailers in the distribution chain?

    <p>Selling products directly to consumers</p> Signup and view all the answers

    How do manufacturer’s wholesalers differ from merchant wholesalers?

    <p>They are owned by producers</p> Signup and view all the answers

    What is the main purpose of relationship management in supply chain distribution channels?

    <p>Maximize the success of distribution channels and partnerships</p> Signup and view all the answers

    What does horizontal integration involve in the context of supply chain management?

    <p>Combining organizations at the same level under one management structure</p> Signup and view all the answers

    Which company example best illustrates vertical integration in the distribution channel?

    <p>Apple, which develops software, manufactures devices, and has its own retail stores</p> Signup and view all the answers

    What characterizes a franchising business model in distribution channel partnerships?

    <p>Granting rights to use main business elements to individuals or groups through a license</p> Signup and view all the answers

    Why is it important for channel members to manage relationships effectively in distribution channels?

    <p>To maximize the success of distribution channels and partnerships</p> Signup and view all the answers

    What is the key difference between horizontal integration and vertical integration in supply chain management?

    <p>Horizontal integration involves combining organizations at the same level, while vertical integration combines different stages of the channel</p> Signup and view all the answers

    What is the main goal of order processing in physical distribution?

    <p>Minimize cost and maximize satisfaction</p> Signup and view all the answers

    What is the primary aim of inventory management in physical distribution?

    <p>Minimize holding and fit demand</p> Signup and view all the answers

    In physical distribution, what is the function of a distribution center compared to a traditional warehouse?

    <p>Focused on moving rather than storing goods</p> Signup and view all the answers

    What is one of the key modes of transportation mentioned in the text for moving products?

    <p>Water</p> Signup and view all the answers

    Who is responsible for ensuring the physical inputs needed to deliver services are available?

    <p>Service businesses</p> Signup and view all the answers

    What is the overarching concept that encompasses activities like order processing, inventory management, and transportation in physical distribution?

    <p>Physical distribution</p> Signup and view all the answers

    What is the primary characteristic of an exclusive distribution strategy?

    <p>Gives the impression of exclusivity</p> Signup and view all the answers

    In the context of distribution, what is a key advantage of selective distribution?

    <p>Gives the impression of prestige</p> Signup and view all the answers

    Which type of distribution is preferred when the goal is high sales targets with low margins?

    <p>Intensive distribution</p> Signup and view all the answers

    What characterizes a vertical marketing system (VMS)?

    <p>Distributes products through a single intermediary</p> Signup and view all the answers

    In a franchise agreement, what does the franchisor typically provide?

    <p>Brand name and business model</p> Signup and view all the answers

    What is a key difference between horizontal integration and vertical integration in supply chain management?

    <p>Vertical integration involves merging with different companies at different levels.</p> Signup and view all the answers

    What is the main purpose of vertical integration in the distribution channel?

    <p>To combine different stages of the distribution channel</p> Signup and view all the answers

    In a franchising business model, what does the franchisor provide?

    <p>The right to use the main elements of the business model through a license</p> Signup and view all the answers

    What distinguishes a manufacturer's wholesaler from a merchant wholesaler?

    <p>Manufacturer's wholesaler focuses on selling goods they produce, while merchant wholesaler deals with various product lines.</p> Signup and view all the answers

    What is the major function of wholesalers in the distribution chain?

    <p>Breaking down bulk quantities of goods and selling smaller quantities to retailers</p> Signup and view all the answers

    Which scenario best represents a vertical marketing system?

    <p>An organization combines different stages of the distribution channel.</p> Signup and view all the answers

    What is a common misconception about vertical integration in supply chain management?

    <p>It involves combining organizations at different levels under one management structure.</p> Signup and view all the answers

    What is the primary function of wholesalers in a distribution chain?

    <p>Facilitate the flow of products between producers and consumers</p> Signup and view all the answers

    What distinguishes an industrial distributor from a typical wholesaler?

    <p>Acts as an intermediary between manufacturers and organizational buyers</p> Signup and view all the answers

    In a franchise agreement, what role does the franchisor typically play?

    <p>Provides the brand, business model, and support to franchisees</p> Signup and view all the answers

    What differentiates horizontal integration from vertical integration in supply chain management?

    <p>Horizontal integration involves merging with competitors, while vertical integration involves acquiring suppliers or distributors</p> Signup and view all the answers

    What is a key advantage of vertical marketing systems in distribution channels?

    <p>More control over product pricing</p> Signup and view all the answers

    Which of the following best describes how vertical integration affects a company's supply chain?

    <p>Streamlines operations by owning different stages of the supply chain</p> Signup and view all the answers

    What is one of the key roles of the franchisor in a franchise agreement?

    <p>Stipulating standards and rules for the franchisee to follow</p> Signup and view all the answers

    In the context of wholesaling, what is a characteristic of a merchant wholesaler?

    <p>Primarily engaged in resale</p> Signup and view all the answers

    What distinguishes manufacturer's wholesalers from merchant wholesalers?

    <p>Owned by the producer</p> Signup and view all the answers

    What is a major function of wholesalers in the distribution chain?

    <p>Acting as a connection between producers and retailers</p> Signup and view all the answers

    Which party pays a franchisor a fee or percentage of sales in a franchise agreement?

    <p>Franchisee</p> Signup and view all the answers

    What is a characteristic of manufacturer’s wholesalers compared to merchant wholesalers?

    <p>Owned by the producer</p> Signup and view all the answers

    What is a key characteristic of a merchant wholesaler in the distribution chain?

    <p>Acts as a connection between producers and retailers</p> Signup and view all the answers

    In a vertical marketing system, what is a major benefit that wholesalers offer?

    <p>Offering services more efficiently than producers</p> Signup and view all the answers

    How do manufacturer's wholesalers differ from merchant wholesalers?

    <p>Owned by the producer</p> Signup and view all the answers

    What is a primary function of retailers in the distribution chain?

    <p>Selling products directly to the ultimate consumer</p> Signup and view all the answers

    In a franchise agreement, what role does the franchisor typically play?

    <p>Setting standards and rules for the franchisee</p> Signup and view all the answers

    What is a common characteristic of horizontal integration in supply chain management?

    <p>Involves combining companies at different stages of the same supply chain</p> Signup and view all the answers

    Which of the following accurately describes vertical integration in the context of distribution channels?

    <p>Aims to strengthen control over different stages of the production or distribution process</p> Signup and view all the answers

    Which statement best describes a key benefit of vertical marketing systems (VMS) in distribution channels?

    <p>Improve communication and coordination in the channel</p> Signup and view all the answers

    In a franchising business model, what role is typically played by the franchisee?

    <p>Owning and operating a unit under the franchisor's brand</p> Signup and view all the answers

    What differentiates a manufacturer's wholesaler from a merchant wholesaler in distribution channels?

    <p>The relationship with the producers of the goods</p> Signup and view all the answers

    What distinguishes horizontal integration from vertical integration in the context of distribution?

    <p>Horizontal integration involves a company merging with competitors, while vertical integration involves a company expanding its control over different stages of the supply chain.</p> Signup and view all the answers

    In the context of distribution channels, what is a main function of wholesalers?

    <p>Providing credit facilities to retailers.</p> Signup and view all the answers

    What is a characteristic of a franchise agreement between a franchisor and a franchisee?

    <p>Franchisors provide ongoing support and guidance to franchisees in advertising and promotions.</p> Signup and view all the answers

    What distinguishes a manufacturer's wholesaler from a merchant wholesaler in distribution channels?

    <p>Manufacturer's wholesalers represent only one specific product line, while merchant wholesalers offer a variety of products.</p> Signup and view all the answers

    What is a key advantage of vertical marketing systems (VMS) in distribution channels?

    <p>Enhanced control and coordination throughout the distribution channel resulting in improved efficiency.</p> Signup and view all the answers

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