Question

In: Operations Management

Gavina places products in several of the marketing channel categories. Two examples of this are placement...

Gavina places products in several of the marketing channel categories. Two examples of this are placement in McDonald's in a(n) ________ utility category and placement in Costco in the ________ utility category.

A) place; form

B) form; information

C) information; place

D) form; place

E) place; information

Gavina's placement in supermarkets such as Safeway, Publix, and Kroger's is an example of one of its ________.

A) peer-to-peer marketing channels

B) direct-to-consumer sales efforts

C) channels of distribution

D) channels of trade

E) franchises

Which key factor led to Gavina's decision to differentiate products by high quality and expand to global markets?

A) Commodity pricing and economic factors

B) Lack of national distributor options

C) Lack of global competition

D) High home-country labor costs

E) Government regulations on coffee production nationally

Gavina creates the private label, Jose's, for Costco. The products are then offered at a
fraction of the price that supermarkets consumers typically pay. Costco represents a ware-house club that could be described as which of the following types of retail operations?

A) Shopping mall

B) Department store

C) Discount retailer

D) Specialty retailer

E) Convenience store

Solutions

Expert Solution

1. D) form; place

Marketing the product to McDonalds means that the product will sold as a finished product in the form of coffee which will be ready for drinking and marketing to Costco mans that the consumers will get a place to but the product from which is the example of a place utility.

2. C) channels of distribution

All the there organizations mentioned are retail chain or supermarkets who actually sell the product directly to customers hence this is a way of doing business for Gavina by distributing their products so that they reach the end customers.

3. A) Commodity pricing and economic factors

These factors was very important because the market was not what it is today and the economy was an important factor initially, hence commodity pricing and economy factors contributed lot to these factor for Gavina.

4. C) Discount retailer

In this case Costco is a discount retailer because they sell products at a lower price than that in supermarkets and normal store and hence because of this discount that they offer, they are considered as discount retailer.


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