Producers often shift some functions to intermediaries. Which of the following is the most significant benefit of doing this?
A. It increases customer loyalty.
B. It provides the producer with greater control over operations.
C. It reduces the amount of direct customer interaction.
D. It lowers the producer's costs and prices.
E. It ensures greater information security.
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Which of the following is an example of a zero-level channel (i.e. A direct marketing channel)?
A company takes online orders from customers and ships the products to them.
B. An organization uses a combination of direct salespeople and sales agencies to increase sales.
C. A company sells its products through wholesalers and retailers.
D. A company sells its products through chains of supermarkets and other large sellers.
E. A large company forms alliances with smaller companies to increase sales coverage.
A jobber in a three-level marketing channel is a(n) ________.
A. external broker
B. small-scale wholesaler
C. advertising agent
D. independent evaluator
E. communication channel
Door-to-door sales, home parties, mail order, telemarketing, TV selling, Internet selling, and manufacturer-owned stores are examples of ________.
A. zero-level channels
B. jobbers
C. wholesalers
D. manufacturer's representatives
E. consumers
Toyota has an advantage over Lexus due to the fact that there are more Toyota dealers, which helps customers save on transportation and search costs in buying and repairing an automobile. Which of the following service outputs relates to this competitive advantage?
A. lot size
B. service backup
C. spatial convenience
D. waiting time
E. delivery time
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