Logistics cost factors against customer service factors

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Reference no: EM132279833

1. One consideration in choosing a marketing channel is profitability, which is determined by the margins earned for each channel member and for the channel as a whole. Based on this information, which of the following statements would be most accurate?

The more responsibilities a channel member takes in terms of distribution, advertising, and selling expenses, the greater the potential for manufacturer profitability.

The more responsibilities the manufacturer assumes relative to its channel members, the greater the potential for profitability.

The extent to which channel members share costs determines the margins received by each member and by the channel as a whole.

While channel members can increase profitability by taking on distribution and selling expenses, advertising expenses should always remain with the manufacturer if a firm is looking for the greatest profitability.

Profitability is not related to the length or nature of the distribution chain but determined by the manufacturer.

2. Expenses associated with transportation, materials handling and warehousing, inventory, stockouts (being out of inventory), order processing, and return products handling are referred to as __________.

supplier service cost

manufacturing cost

total logistics cost

social responsibility cost

total supply chain cost

3. An intermediary who sells to consumers is referred to as a(n) __________.






4. Inspecting, testing, or judging products and assigning them quality grades would be an example of a __________ function.





risk taking

5. Supply chain managers balance total logistics cost factors against customer service factors. Customer service factors include

reliability, flexibility, consistency, and dependability.

time, dependability, communication, and convenience.

consistency, responsiveness, durability, and communication.

time, assurance, responsiveness, and dependability.

convenience, flexibility, time, and value.

6. Direct marketing channels refer to

the distribution of goods and services directly from the manufacturer's production site to end-users.

the traditional chain of distribution from manufacturer to retailer to consumer.

the use of agents who represent a single producer and are responsible for the entire marketing function of that producer.

a method of distribution that allows consumers to buy products by interacting with various advertising media without a face-to-face meeting with a salesperson.

a method of distribution that allows consumers to buy products through direct personal interaction with the manufacturer's representatives in order to provide more personalized service.

7. Customer convenience is an important consideration when choosing a marketing channel. A commonly held view among website developers is the "__________" where consumers will abandon their efforts to enter or navigate a website if download time exceeds this amount of time.

five second rule

six second rule

seven second rule

eight second rule

ten second rule

8. Which statement regarding efficient supply chains is most accurate?

Efficient supply chains use common platforms and common components across several products.

Efficient supply chains rely on large geographically dispersed inventory warehouses.

Efficient supply chains traditionally use expensive, but faster, modes of transportation.

Efficient supply chains may utilize cross-docking.

Efficient supply chains emphasize economies of scale by increasing the variety of system configurations offered.

9. Dependability is the consistency of replenishment. This is important to all firms in a supply chain and to consumers. It can be broken into three elements: safe delivery, complete delivery, and __________.

honest and accurate pricing

quality products

consistent lead time

a well-informed delivery staff

product warranties

10. Hart Schaffner & Marx is a producer of fine men's suits and sports coats that operates 100 menswear stores. Hart Schaffner & Marx uses __________.

dual distribution

backward integration

forward integration

horizontal integration

strategic channel alliances

Reference no: EM132279833

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