Marketing 201 [Swenson] Ch. 15-17 questions
and answers with solutions
Physical Distribution - ANSWER activities that move the finished goods inventory of the firm to
customers. These activities include transportation, warehousing, inventory, and order
processing.
Channel of Distribution - ANSWER the network of agencies and institutions which, in
combination, perform all the functions required to link producers with end customers.
Time Utility - ANSWER making the product available at a convenient time
Place Utility - ANSWER making products available at a convenient location
Form Utility - ANSWER making product available in the form the customers want
Possession Utility - ANSWER transferring product ownership to the customer
Distribution Strategy - ANSWER selecting marketing channels to get products to customers
(delivering value) in a way that maximizes sales and profits.
Channel members add value by - ANSWER increasing customer benefits and by reducing costs
Direct channel of distribution - ANSWER Manufacturers sell products directly to consumers
w/no intermediaries (Internet sales, catalog sales)
Indirect channel of distribution - ANSWER manufacturers sell products to customers through
intermediaries, such as distributors, wholesalers, original equipment manufacturers (OEMs),
and retailers. (ex: potato farmers--> sell to distributors who sort & bag the potatoes)
and answers with solutions
Physical Distribution - ANSWER activities that move the finished goods inventory of the firm to
customers. These activities include transportation, warehousing, inventory, and order
processing.
Channel of Distribution - ANSWER the network of agencies and institutions which, in
combination, perform all the functions required to link producers with end customers.
Time Utility - ANSWER making the product available at a convenient time
Place Utility - ANSWER making products available at a convenient location
Form Utility - ANSWER making product available in the form the customers want
Possession Utility - ANSWER transferring product ownership to the customer
Distribution Strategy - ANSWER selecting marketing channels to get products to customers
(delivering value) in a way that maximizes sales and profits.
Channel members add value by - ANSWER increasing customer benefits and by reducing costs
Direct channel of distribution - ANSWER Manufacturers sell products directly to consumers
w/no intermediaries (Internet sales, catalog sales)
Indirect channel of distribution - ANSWER manufacturers sell products to customers through
intermediaries, such as distributors, wholesalers, original equipment manufacturers (OEMs),
and retailers. (ex: potato farmers--> sell to distributors who sort & bag the potatoes)
