LOGISTICS MANAGEMENT TEST 1 (CHAPTERS 1-5) QUESTIONS AND
CORRECT ANSWERS
Logistics clearly contributes to ___________ and ___________ utility. -
ANSWER time; place
___________ utility refers to the value or usefulness that comes from a
customer being able to take possession of a product. - ANSWER
Possession
___________ utility refers to having products available where they are
needed by customers. - ANSWER Place
All of the following are types of economic utility, except:
a. Time
b. Production
c. Place
d. Possession
e. All of the above are types of economic utility - ANSWER Production
"How well a company does what it says it's going to do" represents
___________. - ANSWER effectiveness
What concept refers to "how well company resources are used to
achieve what a company promises it can do?" - ANSWER Efficiency
Every customer getting the same type and level of logistics service
refers to ___________. - ANSWER mass logistics
Which of the following is not a reason for the increased importance of
logistics?
a. growing power of manufacturers
b. reduction in economic regulation
c. globalization of trade
d. technological advances
e. all of the above are reasons - ANSWER growing power of
manufacturers
,Widespread reductions in economic regulation of US transportation
carriers occurred in ____. - ANSWER 1970s and 1980s
The ____ concept suggests that the customer desires a product offering
that is highly tailored to the customer's exact preferences. - ANSWER
customized customer
Approximately ____ percent of US adult women are currently in the
workforce. - ANSWER 60
____ refers to the removal of intermediaries between producer and
consumer. - ANSWER disintermediation
____ are stores with large amounts of both floor space and product for
sale. - ANSWER big-box retailers
World trade grew at an average annual rate of approximately ____
percent between 1991 and 2011. - ANSWER 5.5
The ____ approach indicates that a company's objectives can be
realized by recognizing the mutual interdependence of major functional
areas. - ANSWER systems
The movement and storage of materials into a firm refers to: - ANSWER
materials management
Which concept refers to the storage of finished product and movement
to the customer? - ANSWER physical distribution
Logistics managers use the ____ approach to coordinate materials
management and physical distribution in a cost-efficient manner. -
ANSWER total cost
A cost trade-off is a situation where: - ANSWER some costs increase
and some costs decrease
The ____ department often measures inventory in terms of its cost or
value in dollars, whereas ____ tends to measure inventory in terms of
units. - ANSWER finance; logistics
____ refers to the delay of value-added activities such as assembly,
production, and packaging to the latest possible time. - ANSWER
postponement
, The four basic components of the marketing mix include all of the
following except:
a. price
b. production
c. place
d. promotion - ANSWER production
Co-branding allows customers to purchase products from two or more
name-brand retailers at one store location. Which of the following
statements about co-branding is false?
a. they offer potential customers convenience by satisfying needs at
one place
b. they boost brand awareness
c. they create relatively few logistical challenges
d. they increase customer spending per transaction
e. all of the above are true - ANSWER they create relatively few
logistical challenges
Landed costs refer to: - ANSWER a price that includes both the cost of
the product plus transportation to the buyer
____ refers to being out of an item at the same time there is demand for
it. - ANSWER stockout
Which of the following is not part of the marketing channel?
a. the logistics channel
b. the negotiations channel
c. the promotion channel
d. the finance channel
e. all are part of the marketing channel - ANSWER all are part of the
marketing channel
The ownership channel consists of all parties except:
a. customers
b. manufacturers
c. wholesalers
d. retailers - ANSWER customers
Which channel covers the movement of title to the goods? - ANSWER
ownership
CORRECT ANSWERS
Logistics clearly contributes to ___________ and ___________ utility. -
ANSWER time; place
___________ utility refers to the value or usefulness that comes from a
customer being able to take possession of a product. - ANSWER
Possession
___________ utility refers to having products available where they are
needed by customers. - ANSWER Place
All of the following are types of economic utility, except:
a. Time
b. Production
c. Place
d. Possession
e. All of the above are types of economic utility - ANSWER Production
"How well a company does what it says it's going to do" represents
___________. - ANSWER effectiveness
What concept refers to "how well company resources are used to
achieve what a company promises it can do?" - ANSWER Efficiency
Every customer getting the same type and level of logistics service
refers to ___________. - ANSWER mass logistics
Which of the following is not a reason for the increased importance of
logistics?
a. growing power of manufacturers
b. reduction in economic regulation
c. globalization of trade
d. technological advances
e. all of the above are reasons - ANSWER growing power of
manufacturers
,Widespread reductions in economic regulation of US transportation
carriers occurred in ____. - ANSWER 1970s and 1980s
The ____ concept suggests that the customer desires a product offering
that is highly tailored to the customer's exact preferences. - ANSWER
customized customer
Approximately ____ percent of US adult women are currently in the
workforce. - ANSWER 60
____ refers to the removal of intermediaries between producer and
consumer. - ANSWER disintermediation
____ are stores with large amounts of both floor space and product for
sale. - ANSWER big-box retailers
World trade grew at an average annual rate of approximately ____
percent between 1991 and 2011. - ANSWER 5.5
The ____ approach indicates that a company's objectives can be
realized by recognizing the mutual interdependence of major functional
areas. - ANSWER systems
The movement and storage of materials into a firm refers to: - ANSWER
materials management
Which concept refers to the storage of finished product and movement
to the customer? - ANSWER physical distribution
Logistics managers use the ____ approach to coordinate materials
management and physical distribution in a cost-efficient manner. -
ANSWER total cost
A cost trade-off is a situation where: - ANSWER some costs increase
and some costs decrease
The ____ department often measures inventory in terms of its cost or
value in dollars, whereas ____ tends to measure inventory in terms of
units. - ANSWER finance; logistics
____ refers to the delay of value-added activities such as assembly,
production, and packaging to the latest possible time. - ANSWER
postponement
, The four basic components of the marketing mix include all of the
following except:
a. price
b. production
c. place
d. promotion - ANSWER production
Co-branding allows customers to purchase products from two or more
name-brand retailers at one store location. Which of the following
statements about co-branding is false?
a. they offer potential customers convenience by satisfying needs at
one place
b. they boost brand awareness
c. they create relatively few logistical challenges
d. they increase customer spending per transaction
e. all of the above are true - ANSWER they create relatively few
logistical challenges
Landed costs refer to: - ANSWER a price that includes both the cost of
the product plus transportation to the buyer
____ refers to being out of an item at the same time there is demand for
it. - ANSWER stockout
Which of the following is not part of the marketing channel?
a. the logistics channel
b. the negotiations channel
c. the promotion channel
d. the finance channel
e. all are part of the marketing channel - ANSWER all are part of the
marketing channel
The ownership channel consists of all parties except:
a. customers
b. manufacturers
c. wholesalers
d. retailers - ANSWER customers
Which channel covers the movement of title to the goods? - ANSWER
ownership
