Question 1

If the item is not in stock, referred to as a(n)_______________, then inbound replenishment processes are triggered.

Accepted Answer

A "stock out" occurs when an item is not in stock. This triggers inbound replenishment processes to fill the empty shelf. Choices A, C, and E are not relevant to this scenario.

Question 2

Light-Tech creates highly technological lighting systems for theaters and entertainment venues.They have just hired a company to handle most of their supply-chain functions.Light-Tech is demonstrating which approach?

Accepted Answer

The answer of Light-Tech creates highly technological lighting systems for...

Question 3

What are the differences between a direct and an indirect channel?

Accepted Answer

The answer of What are the differences between a direct...

Question 4

George overheard two men at a business conference talking about the need for companies to be nimble these days.George does not quite understand what they meant by nimble.How would you explain it to him?

Accepted Answer

The answer of George overheard two men at a business...

Question 5

A franchise organization is an excellent example of which VMS.How do franchise organizations fall into this category?

Accepted Answer

The answer of A franchise organization is an excellent example...

Question 6

Jimmy is going to be taking over the family's manufacturing company.His father Riley is explaining why the family company does not have its own transportation and warehousing facilities.Why do you think Riley has made this decision?

Accepted Answer

The answer of Jimmy is going to be taking over...

Question 7

A (n)_______________ protects an intermediary from having to compete with others selling a producer's goods.

Accepted Answer

Exclusive Territory agreements protect an intermediary by granting them the sole right to sell a producer's goods in a specific geographic area, reducing competition from others selling the same goods.

Question 8

________________ deals with how to get goods back to a manufacturer or intermediary after purchase.

Accepted Answer

Reverse logistics deals with the process of getting goods back to the manufacturer or intermediary after purchase. Outbound logistics deals with the process of delivering goods to the customer, inbound logistics deals with the process of getting goods to the company from suppliers, order processing deals with the process of receiving and fulfilling orders, and ERP systems are software designed to manage various aspects of a company's operations.

Question 9

In New York City it is common for independent retailers to band together to form retailer cooperatives (co-ops).Why are co-ops beneficial to the retailers?

Accepted Answer

The answer of In New York City it is common...

Question 10

To ensure that inventories of both raw materials and finished goods are sufficient to meet customer demand without undue delay, firms utilize sophisticated ________________.

Accepted Answer

Just-in-time inventory control systems are designed to ensure that inventories of both raw materials and finished goods are sufficient to meet customer demand without undue delay.

Question 11

Explain why breaking bulk is an important function within the channel for retailers.

Accepted Answer

The answer of Explain why breaking bulk is an important...

Question 12

If a seller requires an intermediary to purchase a supplementary product to qualify to purchase the primary product the intermediary wishes to buy, a ______________ is in place.

Accepted Answer

This scenario describes a tying contract where the seller requires the intermediary to purchase a supplementary product (the tied product) in order to qualify to purchase the primary product (the tying product). Tying contracts are often considered anti-competitive and may be illegal under certain circumstances. Just-in-time inventory control systems and materials requirement planning are supply chain management techniques unrelated to this scenario. Exclusive dealing and exclusive territory refer to agreements where a seller restricts a buyer's ability to purchase from or sell to competing suppliers/customers, which is not the case here.

Question 13

___________________ is a software application designed to integrate information related to logistics processes throughout the organization.

Accepted Answer

Enterprise Resource Planning Systems (ERP Systems) are designed to integrate information related to logistics processes throughout the organization. They provide a centralized database and integrated set of applications that can manage various aspects of logistics such as inventory management, supply chain management, transportation management, and more. With ERP systems, organizations can streamline their logistics operations and improve efficiency across the board.

Question 14

When a supplier creates a restrictive agreement that prohibits intermediaries that handle its product from selling competing firms' products, _______________ has occurred.

Accepted Answer

The situation described is an example of exclusive dealing, where a supplier requires intermediaries to only sell its products and not those of competitors. Just-in-time inventory control systems and materials requirement planning (MRP) are inventory management techniques. Exclusive territory refers to a supplier designating a specific geographic area for a particular intermediary to operate in. A tying contract refers to a supplier requiring a customer to purchase one product in order to obtain another.

Question 15

A manufacturer employing a pull strategy would engage in _____________.

Accepted Answer

A pull strategy is one where the focus is on drawing customers towards the product or brand. This is typically done through advertising and other promotional activities that reach a broad audience, such as mass media. Contests can also be used to attract attention and engage customers. Therefore, the best choice is E, as both mass media and contests fall under the category of pull strategy activities. Sales force contests and store displays are more associated with a push strategy, which is focused on pushing products towards customers through the efforts of the sales force and point-of-sale displays.

Question 16

Sylvia runs a successful sunglasses manufacturing company.Last year she started to purchase the companies that she bought her raw materials from, and this year she is looking to purchase both a transportation and warehousing company so that she can control her product from start to finish.What is Sylvia demonstrating?

Accepted Answer

The answer of Sylvia runs a successful sunglasses manufacturing company.Last...

Question 17

Mistakes easily occur at the ______________ step of moving through the supply chain.

Accepted Answer

Order processing involves receiving and transmitting customer orders, which can easily lead to mistakes if not properly managed.

Question 18

Janice has a supplier that will sell her printers, but only if she agrees to buy the replacement ink cartridges from that supplier.This is demonstrating a(n)_____________.

Accepted Answer

This situation is demonstrating a tying contract, which is a type of contract that requires a buyer to purchase one product in order to be able to purchase another product from the same supplier. In this case, the supplier will only sell printers to Janice if she agrees to buy replacement ink cartridges from that same supplier, which is an example of a tying contract.

Question 19

Carrie is the marketing manager at University Sporting, where she works with many intermediaries to get University Sports teams their uniforms and equipment.She is trying to explain to her boss that they should be operating in a value network.Explain elements of a value network.

Accepted Answer

The answer of Carrie is the marketing manager at University...

Question 20

You have always wanted to start a company selling golf clubs.You start to look at putting a business plan together and determining the best companies to use as manufacturers, transporters, retailers, etc.How could a channel of distribution help you?

Accepted Answer

The answer of You have always wanted to start a...

Quiz 15: Managing Marketing Channels and the Supply Chain

If the item is not in stock, referred to as a(n) _______________, then inbound replenishment processes are triggered.