UGBA 106: LECTURE 9
What is a channel of distribution? - correct answer A group of individuals and organizations that directs
the flow of products from producers and consumers
What is a market intermediary? - correct answer A link between producers and other intermediaries or
to the ultimate users of the product
From a producer's perspective, what do the different distribution channels provide you? - correct answer
An avenue to different customer segments
Do channels add any value to a business? How so? - correct answer Yes; they improve efficiency in
making goods available to target markets
What intangible thing do channels increase? - correct answer A company's reach—different channels let
you distribute to different customers you might not have been able to get to before!
In what way do channels increase synergy with other marketing decisions (namely the 4Ps)? - correct
answer Channels lead to many competitive advantages; eg: selling to Costco adds value by getting access
to different prices, access to different markets, and reducing transaction costs!
How do intermediaries increase efficiency? - correct answer They reduce the number of contacts from
the producer to the consumer
You can eliminate the middleman, but not the middleman's ____? - correct answer Function
When does channel conflict occur? - correct answer When channels don't beg as according to
manufacturer wishes
What are the 3 types of channel conflicts. - correct answer 1. Horizontal channel conflicts 2. Vertical
channel conflicts 3. Multichannel conflicts
What is a channel of distribution? - correct answer A group of individuals and organizations that directs
the flow of products from producers and consumers
What is a market intermediary? - correct answer A link between producers and other intermediaries or
to the ultimate users of the product
From a producer's perspective, what do the different distribution channels provide you? - correct answer
An avenue to different customer segments
Do channels add any value to a business? How so? - correct answer Yes; they improve efficiency in
making goods available to target markets
What intangible thing do channels increase? - correct answer A company's reach—different channels let
you distribute to different customers you might not have been able to get to before!
In what way do channels increase synergy with other marketing decisions (namely the 4Ps)? - correct
answer Channels lead to many competitive advantages; eg: selling to Costco adds value by getting access
to different prices, access to different markets, and reducing transaction costs!
How do intermediaries increase efficiency? - correct answer They reduce the number of contacts from
the producer to the consumer
You can eliminate the middleman, but not the middleman's ____? - correct answer Function
When does channel conflict occur? - correct answer When channels don't beg as according to
manufacturer wishes
What are the 3 types of channel conflicts. - correct answer 1. Horizontal channel conflicts 2. Vertical
channel conflicts 3. Multichannel conflicts
