Basic Marketing A Marketing Strategy Planning Approach 18th Edition By Perreault – Test Bank

Chapter 11 Place and Development of Channel Systems Answer Key
True / False Questions

1. (p. 284) Place decisions make goods and services available in the right quantities and locations, when customers want them.
TRUE

AACSB: Reflective Thinking
Bloom’s: Knowledge
Difficulty: Easy
Learning Objective: 11-01 understand what product classes suggest about Place objectives.

2. (p. 284) Place is concerned with the selection and use of marketing specialists–intermediaries and collaborators–and making goods and services available in the right quantities and locations when customers want them.
TRUE

AACSB: Analytic
Bloom’s: Knowledge
Difficulty: Easy
Learning Objective: 11-01 understand what product classes suggest about Place objectives.

3. (p. 284) A channel of distribution is a series of firms or individuals participating in the flow of products from the producer to the consumer.
TRUE

AACSB: Analytic
Bloom’s: Comprehension
Difficulty: Easy
Learning Objective: 11-01 understand what product classes suggest about Place objectives.

4. (p. 285) Product classes help marketing managers understand how much market exposure will be needed in each geographic area.
TRUE

AACSB: Analytic
Bloom’s: Comprehension
Difficulty: Medium
Learning Objective: 11-01 understand what product classes suggest about Place objectives.

5. (p. 286) Place decisions are easier to change in the short-run than Product, Price, and Promotion decisions.
FALSE

AACSB: Analytic
Bloom’s: Comprehension
Difficulty: Easy
Learning Objective: 11-01 understand what product classes suggest about Place objectives.

6. (p. 287) The Internet is making it possible for firms to reach customers that were impossible to reach before.
TRUE

AACSB: Technology
Bloom’s: Knowledge
Difficulty: Easy
Learning Objective: 11-02 understand why some firms use direct channel systems while others work with intermediaries and indirect systems.

7. (p. 287) With the Internet, even very small specialized firms can draw customers from all over the world.
TRUE

AACSB: Technology
Bloom’s: Knowledge
Difficulty: Easy
Learning Objective: 11-02 understand why some firms use direct channel systems while others work with intermediaries and indirect systems.

8. (p. 287) The Internet gives large firms access to repeat customers, but it does little for small firms trying to develop an initial base of customers.
FALSE

AACSB: Technology
Bloom’s: Knowledge
Difficulty: Easy
Learning Objective: 11-02 understand why some firms use direct channel systems while others work with intermediaries and indirect systems.

9. (p. 287) Firms that use direct distribution can usually adjust their marketing mixes faster than firms that use indirect distribution.
TRUE

AACSB: Reflective Thinking
Bloom’s: Knowledge
Difficulty: Easy
Learning Objective: 11-02 understand why some firms use direct channel systems while others work with intermediaries and indirect systems.

10. (p. 287) Aggressive, market-oriented intermediaries are almost always available and eager to handle the distribution of innovative, new products.
FALSE

AACSB: Analytic
Bloom’s: Knowledge
Difficulty: Easy
Learning Objective: 11-02 understand why some firms use direct channel systems while others work with intermediaries and indirect systems.

11. (p. 287) Some firms are forced to use direct distribution when they can’t find intermediaries willing to carry innovative, new products.
TRUE