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Terms in this set [4]
3 major types of vertical marketing systems
corporate, contractual, administered
Corporate
combines successive stages of production and distribution under a single ownership
Contractual
exists when independent production and distribution firms integrate their efforts to be more successful than they would alone
Administered
achieves coordination of production and distribution by the size and influence of one channel member instead of through ownership
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9] Channel members add value by bridging the major gaps of ________ that separate goods and services from those who would use them.
A] time, need, and form
B] place, possession, and form
C] time, place, and possession
D] place, time, and need
E] place, need, and distribution
27] Which of the following are the three major types of vertical marketing systems?
A]
corporate, contractual, and chain
B] contractual, corporate, and independent
C] contractual, corporate, and administered
D] administered, independent, and franchised
E] contractual, corporate, and task
41] When a company is identifying its major channel alternatives, it should consider its choices in terms of ________ of intermediaries.
A] size, power, and profitability
B] power, cooperativeness, and location
C] types, number, and
responsibilities
D] capacity, creativity, profitability
E] types, breadth, depth
Miller Meat Company contracts with several Midwestern farmers to raise beef and pork for its meat processing center. To guarantee freshness, Miller Meat Company relies on a vast distribution network. For delivery to local grocers in Indiana, Miller Meat uses its own fleet of refrigerated trucks; delivery to these Indiana grocers constitutes 65 percent of Miller Meat's business. For deliveries in Illinois, Wisconsin, and points directly west of the Mississippi River, Miller Meat Company contracts with a refrigerated fleet that specializes in expediting smaller shipments. For faster delivery during peak times, Miller Meat Company often uses its own trucks to deliver to the expedited fleet's consolidation point from its distribution warehouse in Indiana. During the holiday season, however, several specialty distributors contract with Miller Meat Company to package specialty meats in gift boxes, then ship them directly to the recipients. For these specialty shipments within Indiana, Illinois, and Wisconsin, Miller uses its normal delivery mode. For all other specialty shipments, Miller ships from its distribution warehouse via air, then contracts with expedited carriers in various cities to deliver to the recipients.
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