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Value delivery network is a network composed of the company, suppliers, distributors and customers.
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Marketing channel consists out of interdependent organisations that help to make a product (or service) available for use
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Promotion is the act of finding and communicating with possible buyers.
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When Matching, the offers are shaped and fitted dependent on the buyers needs
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"Contact" is a way that cannel members add value
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An agreement on price and other terms can be reached through Matching.
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Fulfilling completed transactions include
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physical distribution
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financing
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risk taking
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The channel level is a channel that has no intermediary levels.
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Direct marketing channel is a marketing channel that has [blank_start]no intermediary levels.[blank_end]
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Indircet marketing channel is a channel containing [blank_start]one or more intermediary levels[blank_end].
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Conventional distribution channel is a distribution channel structure in which producers, wholesalers and retailers act as a unified system.
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Horizontal marketing system is a channel consisting of oner or more independent producers, that seek to maximiser their own profits, even if it is at the expense of profits for the system as a whole.
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Vertical marketing system (VMS) is a channel arrangement where two or more companies join together in order to follow a new marketing opportunity.
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Corporate VMS: a vertical marketing system that combines back-to-back stages of production under single ownership- yet the channel leadership is established through common ownership
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Contractual VMS: independent firms at different levels of production and distribution join together though contracts.
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Administered VMS: system that coordinates successive stages of production through the size and power of one of the parties (e.g. Walmart)
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Multichannel Distribution System is a system in which a single firm sets up two or more marketing channels to reach one or more stroker segments.
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Channel design decisions are evaluated by factors like customer needs, channel objectives and identifying major channel alternatives.
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Major channel alternatives are price and color of a product.
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Number of Intermediaries are
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Intensive distribution, Exclusive distribution, Selective distribution
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Intensive creations, Exclusive creations, Selective creations
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Intensive positioning, Exclusive positioning, Selective positioning
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Selective distribution: giving the product to only a limited number of dealers.
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Channel Management Decisions include
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Selecting, managing, motivating channel members and evaluating their performance
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Searching, finding, analyzing and evaluating research
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Marketing logistics: managing upstream and downstream value-added flows of good among the suppliers, company, resellers and final consumers.
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Supply chain management: managing upstream and downstream value-added flows of good among the suppliers, company, resellers and final consumers.
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Retailing includes all activities that are involved in selling goods or services for personal, nonbusiness use.
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Retailer's are businesses whose sale come primarily from retailing
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There are different types of retailers.
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having self-service (e.g. self checkout) vs. full-service retailers is part of the criteria of the Amount of service
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Possible examples for the Product line are speciality stores, departments stores and supermarkets.
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Possible examples for Relative prices are franchise and voluntary chains
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Possible examples for Organization would be discount stores and outlets
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Pop-up Stores are a trend in retailing.
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Wholesaling: All activities included in selling goods and services.
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Wholesalers are primarily engaged in wholesaling activities.
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Wholesalers buy mostly from retailers and sell to producers.
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Many of the nation's largest and most important wholesalers are largely unknown to final customers.
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Merchant wholesalers are independently owned but take title of the merchandise that it handles
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A Broker is a wholesaler that does not take title to goods and brings buyers and sellers together as well as assets in negotiating.
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An Agent is a wholesaler that checks if the goods are treated correctly.
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Promotion Mix can also be called Marketing Communication Mix
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"The specific blend of promotion tools that the company uses to persuasively communicate customer value and build customer relationships."
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Five Major Promotion tools are advertising, sales promotion, personal selling and public relations
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Marketing communication
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Master Classes
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My culture
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Recent developments have been that the customers are better informed and empowered and a shift in both traditional and mass media has been prominent.
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Promotion mix strategies include the Push as well as the pull strategy.
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The push strategy "pushes" the product on to the customer.
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The pull strategy waits for the demands of the customers as a marketing activity
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The affordable method is per se the most expensive
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Competitive-parity method sets the promotion budget at a certain percentage.
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Percentage-of-sale method sets the promotion budget to match the competitors outlays.
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Objective-and-task develops the promotion budget with 3 steps
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The message strategy sets the notion for the message execution. It is the "big idea" that will make the advertisement especially memorable.
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The message execution focusses on the approach, style, tone, and format used for executing the advertised message.
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Strong impact comes with less control.
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Building public relations are more expensive than advertising.
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a salesperson is an individual that represents the company
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salesforce links the company with its customers.
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Consumer promotions boost short-term buying and involvement. They can also enhance long-term customer relationships.
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Trade promotions objective is it to persuade resellers to carry their product.
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Disadvantages of social media are
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Targeted and personal
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Immediate and timely
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Cost effective
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Engagement and social sharing capabilities
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User involved/controlled, campaigns can backfire
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Companies sill learn how tu use it
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Results are hard to measure
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Advantages of social media marketing
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Targeted and personal
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Immediate and timely
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Cost effective
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engagement and social sharing capabilities
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User involved/controlled, campaigns can backfire
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Companies still learn how tu use it
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Results are hard to measure
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public policy issues in direct and digital marketing are irritation, unfairness, deception and fraud as well as a invasion of consumer privacy
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REVIEW QUESTIONS (1):
A distribution channel structure in which producers, wholesalers and retailers act as a unified system is called a vertical marketing system.
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REVIEW QUESTIONS (2):
Retailing refers to all the activities involved in selling goods or services directly to final consumers for their personal, nonbusiness use.
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REVIEW QUESTIONS (3):
Advertising refers to a short-term incentives to encourage the purchase or sale of a product or service.
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REVIEW QUESTIONS (3):
The affordable method in advertising budget setting refers to setting the budget in a way that it matches competitors outlays.