Name and define the four types of utility created by marketing channels.
What will be an ideal response?
Marketing channels create four types of utility: time, place, possession, and form. Time utility refers to making products available when the customer wants them. Place utility is making products available in locations where customers wish to purchase them. Possession utility means that the customer has access to the product to use or to store for future use. Possession utility can occur through ownership or through arrangements that give the customer the right to use the product, such as a lease or rental agreement. Channel members sometimes create form utility by assembling, preparing, or otherwise refining the product to suit individual customer needs.
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Information systems that support a dynamic process will restrict user behavior and innovation
Indicate whether the statement is true or false
Answer the following statements true (T) or false (F)
1. The premium for a warrant would increase if its underlying common stock has a negative market outlook. 2. A warrant's speculative premium equals the market price of the underlying common stock minus the option price. 3. A warrant is of huge benefit to the warrant holder when the stock rises far above the exercise price. 4. A warrant is of huge benefit to the company when the stock rises far above the exercise price. 5. As a financing device for creating common stock, warrants are usually more desirable than convertible bonds.
One method to avoid conflicts between partners is to solicit the services of a lawyer to create a well-written partnership agreement.
Answer the following statement true (T) or false (F)
If annual demand is 35,000 units, the ordering cost is $50 per order, and the holding cost is $0.65 per unit per year, which of the following is the optimal order quantity using the fixed-order-quantity model?
A. 2,133 B. 2,320 C. 2,004 D. 1,866 E. 5,060