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If an intermediary wants to carry Tide detergent and Procter & Gamble agrees only if the supplier purchases P&G's entire line of detergents as well, the company is engaging in which of the following channel management practices? Question 12 options: Exclusive dealing Dual distribution Tying agreement Refusal to ngotiate Restricted sales territories Large retailers such as Kmart, Wal-Mart, and Sears are most likely to participate in which of the following channels? Question 4 options: Producer, industrial distributors, retailers, consumer Producer, consumers Producer, public storage, retailers, consumer Producer, retailers, consumer Producer, agents, wholesalers, retailers, consumer
If an intermediary wants to carry Tide detergent and Procter & Gamble agrees only if the supplier purchases P&G's entire line of detergents as well, the company is engaging in which of the following channel management practices?
Question 12 options:
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Exclusive dealing |
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Dual distribution |
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Tying agreement |
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Refusal to ngotiate |
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Restricted sales territories |
Large retailers such as Kmart, Wal-Mart, and Sears are most likely to participate in which of the following channels?
Question 4 options:
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Producer, industrial distributors, retailers, consumer |
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Producer, consumers |
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Producer, public storage, retailers, consumer |
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Producer, retailers, consumer |
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Producer, agents, wholesalers, retailers, consumer |
Expert Solution
Tying Agreement: This is an arrangement which forces the intermediary to purchase other products in a particular product line in order to stock the product he actually wishes to obtain. In the above example, P&G is forcing the hand of the intermediary to purchase the entire detergent line just to stock Tide. This is the perfect example of a horizontal typing arrangement.
- Producer, Retailers, Consumers: Large departmental stores prefer to eliminate additional middlemen from the distribution channels. These stores have many locations, and large spaces, being able to carry large amounts of goods for sale. It is most beneficial for them to use a shorter distribution channel, recieve products directly from the producer and sell directly to the consumer.
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