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As the level of customer service increases,what happens to total logistics costs?

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What reasons do companies use to justify the carrying of extensive inventories?

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According to the text,which of the following sales growth strategies will Amazon most likely be using in the future?


A) sales of consulting services
B) sales of fast food
C) selling Amazon's distribution centers
D) sales of books, CDs, and videos

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A contractual arrangement between a parent company and an individual or firm that allows the individual or firm to operate a certain type of business under an established name and according to specific rules is called:


A) a corporate vertical marketing system.
B) a wholesaler-sponsored voluntary chain.
C) a retailer-sponsored cooperative.
D) franchising.

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Hi-Tech Recycling Canada,a computer and electronics recycling firm based in Toronto,is a lucrative business that focuses on the disposal of obsolete computer systems.Every monitor has four to six pounds of lead,which is mixed with phosphorous to protect users from radiation.The problem is that if the computers are thrown away in landfills,the lead and the phosphorous can get into the water supply,which is why many landfills won't accept computers.Hi-Tech Recycling Canada is divided into different divisions for taking care of computer board and memory recovery (which can often be recycled) .The monitors it disposes of in accordance with legal regulations.Hi-Tech Recycling Canada has made a business out of:


A) the green movement.
B) the millennium waste-reduction initiative.
C) reverse materials handling.
D) reverse logistics.

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Ford is having issues with some dealer-owned retail stores from a marketing perspective.Which type of conflict is Ford experience?


A) Corporate conflict
B) Horizontal conflict
C) Vertical conflict
D) Administered conflict

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Dramatic cost savings are possible when efficient transportation and information systems can reduce _____ costs.


A) advertising
B) personal selling
C) publicity
D) inventory

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Which of the following statements describes a major benefit of distribution centres?


A) Distribution centres hold goods economically for extended periods of time.
B) Distribution centres achieve the low costs by locating in remote sites, far removed from transportation access.
C) Distribution centres emphasize speed and moving stored goods out as soon as possible.
D) Distribution centres are typically used to increase lead time.

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Replenishment time may be more important to retailers or wholesalers than consumers.Replenishment time is sometimes referred to as:


A) physical distribution sequence.
B) total logistics cycle.
C) logistical support time.
D) order cycle time.

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Spring Creek Careers has an area on their website,a secured portal,for customers to log into and place a pickup/delivery order.This portal is referred to as (an) :


A) Extranet
B) customized search engine
C) electronic downloadable information (EDI)
D) customized database management system

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The just-in-time concept requires very low inventories but fast,on-time delivery.When must parts needed for production arrive from suppliers?


A) neither before nor after they are needed
B) at least the day before they are needed
C) three to four days before they are needed
D) one week before they are needed

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Which of the following types of vertical marketing systems is likely to experience the least channel conflict?


A) corporate vertical marketing system
B) wholesaler-sponsored voluntary chain
C) retailer-sponsored cooperative
D) franchise system

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Dual distribution is considered illegal if:


A) both channels are corporate owned.
B) one channel is a direct channel and the other is not.
C) there is an attempt to lessen competition by eliminating wholesalers or retailers.
D) channels are operated from two different states.

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Canada has gone from producing and marketing no diamonds to being the third-largest producer of diamonds in the world.This is largely due to the construction of a(n) _____________.


A) just-in-time inventory system
B) railway system
C) confederate bridge
D) ice road

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Lab Safety Supply is a large distributor of MRO items and a channel captain.It requires its suppliers to meet strict quality standards.It now wants greater price breaks from its suppliers so it can promote lower prices in its newest catalogue.The source of Lab Safety Supply's power is:


A) its economic influence.
B) its expertise.
C) its identification with a particular channel member.
D) its legitimate rights through contracts.

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The three basic functions performed by intermediaries are:


A) accommodating functions, logistical functions, and transactional functions.
B) implementation functions, accommodating functions, and contractual functions.
C) contractual functions, facilitating functions, and logistical functions.
D) transactional functions, logistical functions, and facilitating functions.

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An intermediary that performs a variety of marketing channel functions involving selling,stocking,and delivering a full product assortment as well as providing financing for industrial goods and services is known as a(n) :


A) business distributor
B) wholesaler
C) disintermediary
D) channel captain

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Business distributors perform functions that are most like which intermediary in the consumer goods marketing channel?


A) manufacturers
B) retailers
C) agents
D) wholesalers

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Which type of distribution density is used by Rolls Royce when the car manufacturer maintains only one dealership in any large metropolitan area?


A) intensive distribution
B) extensive distribution
C) selective distribution
D) exclusive distribution

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Facebook,Amazon.ca,Expedia.ca,and Dell.ca are all examples of:


A) Internet distribution channels
B) Electronic marketing channels
C) Virtual marketing channels
D) Consumer-responsive channels

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