Producing a product or service and making it available to buyers requires building relationships not just with customers, but also with key suppliers and resellers in the company’s supply chain.

• A) True
• B) False
• C)
• D)

If the pull strategy is effective, consumers will then demand the product from channel members, who will in turn demand it from producers.

• A) False
• B) True
• C)
• D)

The key to managing inventory is to balance the costs of carrying larger inventories against resulting sales and profits.

• A) True
• B) False
• C)
• D)

The franchise organization is the second most common type of contractual relationship wherein a channel member called a franchiser links several stages of the production-distribution process.

• A) False
• B) True
• C)
• D)

Members of the marketing channel perform many key functions, such as helping to complete information, promotion, contact, matching, and negotiation transactions. They can also help to fulfill the completed transactions like e-procurement, financing, and risk-taking.

• A) False
• B) True
• C)
• D)

A company’s total marketing communications mix is also called its promotion mix.

• A) False
• B) True
• C)
• D)

A growing trend is to use a direct marketing channel, which has no intermediary levels, so the company sells directly to consumers.

• A) True
• B) False
• C)
• D)

Supply chain is a common term used for a channel of distribution.

• A) False
• B) True
• C)
• D)

A specific communication task to be accomplished with a specific target audience during a specific period of time is called an advertising objective.

• A) True
• B) False
• C)
• D)

The most expensive consumer promotion tool is sampling.

• A) False
• B) True
• C)
• D)

Today, almost all companies, large and small, outsource most of their logistics to third-party logistics (3PL) providers.

• A) False
• B) True
• C)
• D)

It is safe to say that distribution channels are complex behavioral systems in which people and companies interact to accomplish individual company and channel goals.

• A) False
• B) True
• C)
• D)

Percentage-of-sales method wrongly views sales as the cause of promotion rather than the result.

• A) True
• B) False
• C)
• D)

An e-mail from a company that offers free shipping on your next purchase of more than Rs3000/= is an example of sales promotion.

• A) False
• B) True
• C)
• D)

The media planner has to know the reach, frequency, and impact of each ad.

• A) False
• B) True
• C)
• D)