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CHAPTER 15 – DISTRIBUTING PRODUCTS
LEARNING GOALS
After you have read and studied this chapter, you should be able to:
1. Explain the concept of marketing channels and their value.
2. Demonstrate how intermediaries perform the six marketing utilities.
3. Identify the types of wholesale intermediaries in the distribution system.
Compare the distribution strategies retailers use.
Explain the various kinds of nonstore retailing.
6. Explain the various ways to build cooperation in channel systems.
7. Describe logistics and outline how intermediaries manage the transportation modes and storage of goods.
LEARNING THE LANGUAGE
Listed below are important terms found in the chapter. Choose the correct term for the definition and write it in the space provided.
Administered distribution system Inbound logistics Rack jobbers Agents/brokers Information utility Retailer Cash-and-carry wholesaler Intensive distribution Reverse logistics Channel of distribution Intermodal shipping Selective distribution Contractual distribution system Logistics Service utility Corporate distribution system Marketing intermediaries Supply chain (or value chain) Direct marketing Materials handling Supply-chain management Direct selling Merchant wholesalers Telemarketing Drop shippers Outbound logistics Time utility Electronic retailing Place utility Wholesaler Exclusive distribution Possession utility Freight forwarder
1. The area of logistics called ____________________brings raw materials, packaging, other goods and services, and information from suppliers to producers.
2. A marketing intermediary known as a ______________________ sells to other organizations.
3. A(n) ___________________________is a distribution system in which producers manage all the marketing functions at the retail level.
4. The movement of goods within a warehouse, from warehouses to the factory floor, and from the factory floor to various workstations is _________
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