Mix it Up
Which element of the marketing mix is easiest to change?
Price
Is a retailer considered a direct or indirect channel member?
Indirect
If there is a INCREASE in market supply, what is likely to happen to price?
Price will DECREASE
What percent of U.S. imports come through ocean shipping?
90%
Which transportation method is the most common in the U.S?
Truck
Distribution accounts for more than what percent of marketing costs?
50%
What distribution intensity does Coke use? (Use the specific marketing term)
Intensive Distribution
Which has more inelastic demand? Rent for a Boston apartment or demand for Amoxicillin (antibiotic)?
AMOXICILLIN
If Long-Haul Truckers went on strike, how long would it be before grocery stores ran out of food?
3 days
The biggest advantage of air shipping is:
SPEED
Which kind of mismatch between producers and consumers is fixed by Target selling: books, food, toys, T.V.s, beauty products?
Mismatch of ASSORTMENT
What do we call a company that assists with distribution activities (buying in bulk, warehousing, transport). They do NOT work with the final customer.
Wholesalers
When Apple launches its newest iphone at a VERY high price, this is referred to as a _______ PRICE strategy.
SKIM PRICE
How large is the trucking industry in billions of dollars?
$700 Billion
What is the specific term for when more than one kind of transportation is used to get a product to the final consumer? M_______ M____________
Multi Modal
Which element of the marketing mix arguably is the most complex? (According to slides)
Distribution or Place
What's the specific (marketing term) associated with a retailer that offers products from ONE category of merchandise or closely related items (florists, jewelers, etc.)
Limited Line Store
Product X is currently at $4 and sells 50 units. When the firm raises the price to $5 they sell 45 units. Is demand elastic or inelastic?
INElastic: revenue rises from $200 ($4x50) to $225 ($5x45) with the price increase.
Who's the # 1 global cargo (ocean) shipper?
MAERSK
What's the name of the cargo ship that got stuck in the Suez Canal?
The Ever Given
Distribution channels impact 4 potential mismatches between consumers and producers: what are these 4?
quantity, assortment, location, timing
What factors should a company consider when determining whether to use direct or indirect distribution?
Cost (indirect more expensive), Do you have the in-house expertise (warehousing, inventory management, transportation, etc.), Need for quality or image control, and more potentially, etc.
What are 2 specific ways that government impacts prices?
Many possible, but taxation, subsidy, regulation.
Is Apple or Amazon bigger according to 2021: a) Market Cap, b) Sales, c) Profit
Market Cap: Apple 2.3T > Amazon 1.1 T, Sales: Amazon 322B > Apple 273B, Profit: Apple 153B > Amazon 33B
What does 3PL mean and what do they do?
Third Party Logistics (partner) who handles: order inventory, warehousing, packaging, transportation, etc.