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MKT 320F Exam 3 Questions and Answers
(Expert Solutions)
Q: Marketing channels
ANS 🗹🗹: Combo of organizations and individuals who perform the required
activities to link producers to users to accomplish marketing objectives
Q: Channel objectives
ANS 🗹🗹: Specifically stated, measurable, and consistent with firm's marketing
objectives
Q: Channel strategy
ANS 🗹🗹: An expression of a general action plan and guidelines for allocating
resources to achieve the channel objective
Q: Factors in channel strategy
ANS 🗹🗹: 1. Buyer preference
2. Relationship orientation
3. Market coverage
Q: Buyer preference
ANS 🗹🗹: Letting the customers buy the way they want to
Q: Relationship orientation
ANS 🗹🗹: Building strong relationships with customers
Q: Market coverage
ANS 🗹🗹: Number of outlets marketing the product
Q: Specialization and division of labor
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ANS 🗹🗹: -Creates greater efficiency
-Provides production costs
-Achieves economies of scale
-Aids producers who lack resources to market directly
-Builds good relationships with customers
Q: Channel intermediaries
ANS 🗹🗹: 1. Retailer
2. Merchant wholesaler
3. Agents + brokers
Q: Retailer
ANS 🗹🗹: Channel intermediary that sells mainly to customers
Q: Merchant wholesaler
ANS 🗹🗹: Institution that buys goods from manufacturers, takes title to goods,
stores them, and resells and ships them
Q: Agents + brokers
ANS 🗹🗹: Wholesaling intermediaries who facilitate the sale of a product by
representing channel members
Q: Factors suggesting type of wholesaling intermediary to use
ANS 🗹🗹: 1. Product characteristics
2. Buyer considerations
3. Market characteristics
Q: Product characteristics
ANS 🗹🗹: Aspects of a product such as standardization and customization,
complexity, and gross margin
Q: Buyer consideration
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ANS 🗹🗹: Purchase frequency and how long the buyer is willing to wait for a
product
Q: Market characteristics
ANS 🗹🗹: Number of buyers and buyer concentration levels
Q: Direct channel
ANS 🗹🗹: Distribution channel in which producers sell directly to consumers (no
intermediaries)
Q: Direct channel examples
ANS 🗹🗹: Telemarketing, catalog shopping, online shopping, television shopping
networks
Q: Agent/broker channel
ANS 🗹🗹: Used in markets with small manufacturers/retailers that lack resources
to find each other; brings manufacturers and wholesalers together for negotiations,
but do not take title to merchandise
Q: Retailer/wholesaler channel
ANS 🗹🗹: Most consumer products are sold through these channels
Q: Reasons for choosing direct channels
ANS 🗹🗹: 1. Greater control
2. Lower cost
3. Internet makes distribution easier
4. Direct contact with customers
5. Suitable intermediaries not available
Q: Regrouping activities
MKT 320F Exam 3 Questions and Answers
(Expert Solutions)
Q: Marketing channels
ANS 🗹🗹: Combo of organizations and individuals who perform the required
activities to link producers to users to accomplish marketing objectives
Q: Channel objectives
ANS 🗹🗹: Specifically stated, measurable, and consistent with firm's marketing
objectives
Q: Channel strategy
ANS 🗹🗹: An expression of a general action plan and guidelines for allocating
resources to achieve the channel objective
Q: Factors in channel strategy
ANS 🗹🗹: 1. Buyer preference
2. Relationship orientation
3. Market coverage
Q: Buyer preference
ANS 🗹🗹: Letting the customers buy the way they want to
Q: Relationship orientation
ANS 🗹🗹: Building strong relationships with customers
Q: Market coverage
ANS 🗹🗹: Number of outlets marketing the product
Q: Specialization and division of labor
, Page | 2
ANS 🗹🗹: -Creates greater efficiency
-Provides production costs
-Achieves economies of scale
-Aids producers who lack resources to market directly
-Builds good relationships with customers
Q: Channel intermediaries
ANS 🗹🗹: 1. Retailer
2. Merchant wholesaler
3. Agents + brokers
Q: Retailer
ANS 🗹🗹: Channel intermediary that sells mainly to customers
Q: Merchant wholesaler
ANS 🗹🗹: Institution that buys goods from manufacturers, takes title to goods,
stores them, and resells and ships them
Q: Agents + brokers
ANS 🗹🗹: Wholesaling intermediaries who facilitate the sale of a product by
representing channel members
Q: Factors suggesting type of wholesaling intermediary to use
ANS 🗹🗹: 1. Product characteristics
2. Buyer considerations
3. Market characteristics
Q: Product characteristics
ANS 🗹🗹: Aspects of a product such as standardization and customization,
complexity, and gross margin
Q: Buyer consideration
, Page | 3
ANS 🗹🗹: Purchase frequency and how long the buyer is willing to wait for a
product
Q: Market characteristics
ANS 🗹🗹: Number of buyers and buyer concentration levels
Q: Direct channel
ANS 🗹🗹: Distribution channel in which producers sell directly to consumers (no
intermediaries)
Q: Direct channel examples
ANS 🗹🗹: Telemarketing, catalog shopping, online shopping, television shopping
networks
Q: Agent/broker channel
ANS 🗹🗹: Used in markets with small manufacturers/retailers that lack resources
to find each other; brings manufacturers and wholesalers together for negotiations,
but do not take title to merchandise
Q: Retailer/wholesaler channel
ANS 🗹🗹: Most consumer products are sold through these channels
Q: Reasons for choosing direct channels
ANS 🗹🗹: 1. Greater control
2. Lower cost
3. Internet makes distribution easier
4. Direct contact with customers
5. Suitable intermediaries not available
Q: Regrouping activities
