Question

QUESTION 44

1. Which of the following is an example of forward integration in a corporate vertical marketing system?

   		A car manufacturer acquiring a retail showroom
   		A car dealer achieving a direct channel of distribution without ownership
   		A grocery wholesaler buying a sugar manufacturer
   		A laptop distributor buying a computer chip maker

1 points   

QUESTION 45

1. Which of the following is true of pricing objectives?

   		Pricing objectives should not be derived from overall marketing objectives.
   		Pricing to achieve a target return on investment is a common pricing objective.
   		Pricing objectives are not devised to meet or prevent competition.
   		The basic pricing objective is solely concerned with short-run profits.

1 points   

QUESTION 46

1. A retail cooperative organization, a wholesaler-sponsored voluntary chain, and various franchising programs are the three major types of _____ vertical marketing systems.

   		administered
   		contractual
   		structured
   		corporate

1 points   

QUESTION 47

1. Which of the following is a form of psychological pricing that involves charging a high price to create a signal that a product is exceptionally fine?

   		Odd pricing
   		Bundle pricing
   		Prestige pricing
   		Predatory pricing

1 points   

QUESTION 48

1. In the context of channels of distribution, _____ are used in organizational markets when there is a large number of buyers but each purchases a small amount of a product.

   		wholesalers
   		distributors
   		agents
   		retailers

1 points   

QUESTION 49

1. Which of the following kinds of pricing strategies would you expect producers to use for pricing homogeneous products, such as wool, tomatoes, wheat, coal, and bone meal?

   		Penetration pricing
   		Going-rate pricing
   		Skimming pricing
   		Sealed-bid pricing

1 points   

QUESTION 50

1. Which of the following products is most likely to require a direct channel of distribution?

   		Coal
   		Lighting fixtures
   		Tropical flowers
   		Wooden picture frames

Answer 1

Ans 44) A car manufacturer acquiring a retail showroom is an example of forward integration in a corporate vertical marketing system.

Forward integration is the process when a manufacturer acquires its retailers or the distribution channel through which they were distributing their products so as to gain control over them and here the car manufacturer is the company who sells its cars through the distribution channel of retail showroom and then it acquired the retail showroom so it is case of forward integration only.