Adding lower-priced products or a product line to a product mix than had typically been offered in the past.
What is trading down?
100
The particular mix of products carried by any given channel member
What is an assortment?
100
Discounts “expected” to be offered by manufacturers and producers to channel members.
What are conventional norms in margins?
100
Sharing in the cost of advertising on a 50-50 basis up to some percentage of the retailer’s purchases from the manufacturer.
What is cooperative advertising?
100
Firms that specialize in performing most or all of the logistical tasks that manufactuers or other channel members would normally perform themselves.
What are third-party logistics providers?
200
Adding higher-priced products or a product line that is substantially more expensive than other products in the line or mix.
What is trading up?
200
Channel members purchase discounted products featured in a promotion, but pass on the lower price to customers for just a portion of the amount purchased.
What is forward buying?
200
Concept that addresses all the costs of logistics together, rather than the separate costs of individual components.
What is total cost approach?
200
Merchandise is immediately moved across the receiving dock to other trucks for immediate delivery to stores (rather than being stored in a warehouse and picked up later to fill orders).
What is cross-docking?
200
Time between when an order is placed and when it is received by the customer.
What is order cycle time?
300
The manufacturer’s attempt to portray a product or products as being different from competitive products and therefore more desirable to purchase, even though the price may be higher.
What is product differentiation?
300
Logistical systems that emphasize close cooperation and comprehensive inter-organizational management to integrate the logistical operations of the different firms in the channel.
What is supply chain management?
300
Building strong consumer (or industrial user) demand for a product in an effort to force channel members to promote the product because customers are demanding it.
What is pull strategy?
300
The management of product categories as business units, customizing them on a store-by-store basis to more precisely meet customer needs.
What is category management?
300
The point at which total costs (inventory carrying costs plus ordering costs) are lowest.
What is economic order quantity (EOQ)?
400
A model for describing the stages through which a product passes.
What is the product life cycle (PLC)?
400
The sale, usually at very low prices, of brand-name products by unauthorized distributors or dealers.
What is the Gray Market?
400
Mutual effort and cooperation between the manufacturer and channel members in the development and implementation of promotional strategies.
What is push strategy?
400
Direct cash payment or a certain percentage of the purchases on particular products to encourage retailers to buy more of the manufacturer's products.
What are promotional allowances?
400
Three key factors that significantly influence purchasing managers' perceptions of the quality of logistical service.
What are timeliness of deliveries, availability of products, and condition of products?
500
Introduction, Growth, Maturity, Decline
What are the stages of the product life cycle?
500
The behavior of distributors and dealers who offer extremely low prices but little if any service to customers.
What is Free Riding?
500
Payments (either in cash or merchandise) by manufacturers to persuade channel members, especially retailers, to stock, display, and support new products.
What are slotting fees or slotting allowances?
500
Activities of manufacturers salespeople who are sent specifically to convince distributors that they sould handle the manufacturer's new products (or salespeople specially assigned to supplement the selling activities of channel members)
What is missionary selling?
500
Having only enough inventory on hand to meet immediate production needs with no reserve stock.
What is a just-in-time (JIT) system of inventory management (or Kanban)?