Test your basic knowledge |

Supply Chain Strategy Management

Instructions:

Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can study here.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.

1. Inventory Management
intensive - selective - exclusive
man to selling agent to industrial distributor to user
do not take title - independently owned
Just-in-time - safety stock - inventory theft

2. Administered Vertical Marketing Systems
bringing buyers and sellers together for the sale
coverage strategy for manufacturer
middleman who sells majority of sales to organizations
size and power- conflict: Coke vs Costco

3. Control Distribution Choice
power struggle bt the manufacturer and intermediaries
offers complete wholesaling service
cost of distribution
Continental airlines - Walmart stores

4. Disintermediation Examples
Warehouses - shipping containers - Port
middleman who sells majority of sales to consumers
size and power- conflict: Coke vs Costco
Amazon.com - airlines tickets online - Zappos

5. Storage Management
Amazon.com - airlines tickets online - Zappos
Warehouses - shipping containers - Port
collect premiums - invest float - pay cost of repairs
Tiffany - Rolex - Cheesecake Factory

6. Examples of not selling through Mass Merchants
Sysco - Cardinal health
bringing buyers and sellers together for the sale
Stihl chain saws - Snappen lawnmowers - John Deere lawnmowers
Kenyan produce shipped daily to europe - days from harvest until arrival to Europe 2 days

7. Cost Distribution Choice
cost of distribution
time lag from suppliers to final buyers - uncertainty in supply and demand - economy of scale in cheaper unit cost of inventory
power struggle bt the manufacturer and intermediaries
collect premiums - invest float - pay cost of repairs

8. Physical Distribution Function
Amazon.com - airlines tickets online - Zappos
do not take title - independently owned
bringing product from original sellers to final buyer
expanding in global distribution reduction of small wholesaler major cost efficiencies

9. Channels of Distribution
Raw materials and component parts - Manufacturing/Assembly - Channels of Distribution - Consumers/Users
buying/breaking bulk
intermediary business and consumer buyers
consumer - business

10. Buying
Transaction - Physical
expanding in global distribution reduction of small wholesaler major cost efficiencies
moving products
intermediary business and consumer buyers

11. One Intermediary Consumer Channel
storing products
offers complete wholesaling service
middleman who sells majority of sales to organizations
man to retailers to consumer

12. Inventory
Pepsi Cola - cigarettes - M&Ms
Warehouses - shipping containers - Port
physical count of products
bringing product from original sellers to final buyer

13. Retailer Working Capital
coal broker - eBay - infomercial products
no upfront inventory purchases positive cash flow cycle business can operate out of home
buy product - sell to customers on credit - receive revenue
Amazon.com - airlines tickets online - Zappos

14. Assorting/sorting
time lag from suppliers to final buyers - uncertainty in supply and demand - economy of scale in cheaper unit cost of inventory
buying/breaking bulk
offers complete wholesaling service
Branding - pricing - promotion

15. Selling
manufactures - assemblers - and intermediary selling to business and consumer buyers
Oracle - grocery supply - Kroger
Raw materials and component parts - Manufacturing/Assembly - Channels of Distribution - Consumers/Users
power struggle bt the manufacturer and intermediaries

16. Supply Chain Process
size and power- conflict: Coke vs Costco
coal broker - eBay - infomercial products
Raw materials and component parts - Manufacturing/Assembly - Channels of Distribution - Consumers/Users
Branding - pricing - promotion

17. Coverage Distribution Choice
storing products
coverage strategy for manufacturer
man to user
Branding - pricing - promotion

18. Exclusive Distribution Examples
storing products
Tiffany - Rolex - Cheesecake Factory
man to wholesaler to retailer to consumer
Branding - pricing - promotion

19. Corporate Vertical Marketing Systems
ownership- no conflict
Toyota - Burger king - Holiday inn
collect premiums - invest float - pay cost of repairs
no upfront inventory purchases positive cash flow cycle business can operate out of home

20. A sample Shirt Replacement Process
Warehouses - shipping containers - Port
man to industrial distributor to user
furniture - shoes - clothes
customer buys a new shirt in a US city - hong kong computer operator processes order - worker in taiwan ships shirt to pennys store

21. No Intermediary Consumer Channel
man to consumer
Continental airlines - Walmart stores
man to user
Just-in-time - safety stock - inventory theft

22. Advantages of Drop Shipping
cost of distribution
no upfront inventory purchases positive cash flow cycle business can operate out of home
take title - independently owned
bringing product from original sellers to final buyer

23. Trends in Wholesaling
intensive - selective - exclusive
manufacturer - wholesaler - retailer
expanding in global distribution reduction of small wholesaler major cost efficiencies
no physical possessio

24. Contractual Vertical Marketing Systems
Sysco - Cardinal health
franchise/contract- conflict Dr pepper vs Dublin Dr. Pepper
storing products
man to wholesaler to retailer to consumer

25. Merchant Wholesaler
collect premiums - invest float - pay cost of repairs
take title - independently owned
cost of distribution
consumer - business

26. A sample agricultural produce supplier Business Model
customer buys a new shirt in a US city - hong kong computer operator processes order - worker in taiwan ships shirt to pennys store
Kenyan produce shipped daily to europe - days from harvest until arrival to Europe 2 days
Toyota - Burger king - Holiday inn
physical count of products

27. Limited Service Rack Jobber
man to user
eliminating the middleman
cost of production - sell to retailers on credit - receive revenue
provides and stocks racks

28. Auto Insurance Working Capital
collect premiums - invest float - pay cost of repairs
storing products
take title - independently owned
Book revenue when vehicle is sold to dealer - UAW contract pays workers not working - Make optimistic sales projections

29. No intermediary Business Channel
take title - independently owned
Pepsi Cola - cigarettes - M&Ms
man to user
man to retailers to consumer

30. Distribution Functions
Warehouses - shipping containers - Port
Transaction - Physical
manufactures - assemblers - and intermediary selling to business and consumer buyers
offers complete wholesaling service

31. Administered VMS Examples
Oracle - grocery supply - Kroger
Warehouses - shipping containers - Port
General electric - Costco - Sony
collect premiums - invest float - pay cost of repairs

32. Corporate VMS Examples
buy product - sell to customers on credit - receive revenue
coal broker - eBay - infomercial products
Oracle - grocery supply - Kroger
Pepsi Cola - cigarettes - M&Ms

33. Transaction Function
bringing product from original sellers to final buyer
man to consumer
bringing buyers and sellers together for the sale
manufactures - assemblers - and intermediary selling to business and consumer buyers

34. limited service
middleman who sells majority of sales to organizations
manufacturer - wholesaler - retailer
offers specialized wholesaling service
man to selling agent to industrial distributor to user

35. Selective Distribution Examples
furniture - shoes - clothes
man to wholesaler to retailer to consumer
Branding - pricing - promotion
franchise/contract- conflict Dr pepper vs Dublin Dr. Pepper

36. Assorting and Sorting Process
manufacturer - wholesaler - retailer
intensive - selective - exclusive
physical count of products
no upfront inventory purchases positive cash flow cycle business can operate out of home

37. Two Intermediary Business Channel
man to selling agent to industrial distributor to user
no physical possessio
expanding in global distribution reduction of small wholesaler major cost efficiencies
cost of production - sell to retailers on credit - receive revenue

38. Drop Shipping Examples
offers specialized wholesaling service
do not take title - independently owned
Tiffany - Rolex - Cheesecake Factory
coal broker - eBay - infomercial products

39. Need for Inventory
Warehouses - shipping containers - Port
do not take title - independently owned
time lag from suppliers to final buyers - uncertainty in supply and demand - economy of scale in cheaper unit cost of inventory
bringing product from original sellers to final buyer

40. Distribution Strategy
Warehouses - shipping containers - Port
Sysco - Cardinal health
expanding in global distribution reduction of small wholesaler major cost efficiencies
intensive - selective - exclusive

41. Wholesaler
no upfront inventory purchases positive cash flow cycle business can operate out of home
Oracle - grocery supply - Kroger
Sysco - Cardinal health
middleman who sells majority of sales to organizations

42. A sample car maker's Inventory Strategy
Book revenue when vehicle is sold to dealer - UAW contract pays workers not working - Make optimistic sales projections
Transaction - Physical
bringing buyers and sellers together for the sale
furniture - shoes - clothes

43. Avg. days in US for US product to arrive in stores
moving products
man to consumer
bringing buyers and sellers together for the sale
7 days

44. Intensive Distribution Examples
Pepsi Cola - cigarettes - M&Ms
Just-in-time - safety stock - inventory theft
Kenyan produce shipped daily to europe - days from harvest until arrival to Europe 2 days
Sysco - Cardinal health

45. Storage
buying/breaking bulk
manufacturing representatives - selling agent - commercial insurance agent
cost of distribution
storing products

46. Conflict in the Channels Examples
Branding - pricing - promotion
middleman who sells majority of sales to consumers
textbooks - prescription drugs - new automobiles
man to industrial distributor to user

47. Hub and Spoke Distribution Strategy Examples
coal broker - eBay - infomercial products
power struggle bt the manufacturer and intermediaries
Continental airlines - Walmart stores
no physical possessio

48. Transportation
no physical possessio
no upfront inventory purchases positive cash flow cycle business can operate out of home
moving products
textbooks - prescription drugs - new automobiles

49. Limited Service Drop Shipper
Kenyan produce shipped daily to europe - days from harvest until arrival to Europe 2 days
man to industrial distributor to user
no physical possessio
consumer - business

50. Wholesale Agents and Brokers
manufacturing representatives - selling agent - commercial insurance agent
provides and stocks racks
textbooks - prescription drugs - new automobiles
size and power- conflict: Coke vs Costco