1. Which of the following is FALSE concerning Integrated Marketing Communication (IMC)?   

IMC creates a single unified “voice.”

IMC focuses on communication with stakeholders, including customer audiences.

IMC seeks to develop long-term relationships with customers.

IMC involves two-way communication.

IMC’s primary communication medium is personal selling.

2. The National Advertising Division:

is an agency of the federal government.

is primarily concerned with product safety.

can rule that if an advertising campaign is boring it cannot be rerun.

responds to customer and competitor complaints about advertisements.

serves as an advertising agency for small businesses.

3. Which of the following is FALSE concerning distribution channels?

a. Distribution channels break bulk by purchasing large quantities of goods from manufacturers and selling only one or a few items to consumers.

b. Distribution channels create assortments by providing a variety of products in one location to meet the needs of consumers.

c. Distribution channels increase the number of transactions between manufacturers and consumers.

d. Distribution channels also perform a number of facilitating functions, such as providing credit to customers or grading products.

e. Distribution channel members often assist manufacturers by providing repair and maintenance services.

4. Compaq sells its products through its own web site and also through authorized independent retailers. This strategy is best described as:

a. indirect distribution

b. dual (multiple) distribution

c. direct distribution

d. industrial distribution

e. none of the above.

5. Which of the following is FALSE?

a. A manufacturer’s agent provides services in exchange for commissions but does not take title to the product.

b. A retailer is the final intermediary in the distribution channel where goods are sold to end consumers for their personal use.

c. A wholesaler is a firm that handles the flow of products from the manufacturer to the retailer.

d. A retailer is the final intermediary in the business channel.

e. Channels may operate in reverse.

6. Columbia Sportswear practices a selective distribution strategy to sell its clothing and footwear lines. This means that they:

a. move their product through every retailer who was willing and able to stock and sell it.

b. sell their product through just one outlet in every region.

c. carefully choose a few outlets in each region to sell their products.

d. believe that product availability is the most important factor in the customer’s purchase decisions.

e. sell high priced items to a limited number of end users who require a considerable amount of service.

8. Which of the following statements about a vertical marketing system (VMS) is true?

a. A VMS is a channel in which there is cooperation among channel members at two or more different levels of the channel.

b. Members of a VMS operate totally independently of each other outside of buying and selling each other’s products.

c. The three types of VMS are authorized, conventional, and customized.

d. Channel conflict is a serious problem for many vertical marketing systems.

e. Conventional marketing systems are more efficient than vertical marketing systems.