21) Which of the following most likely occurs when a channel member is the exclusive distributor for a manufacturer? A) The channel member gains reward power over the manufacturer. B) The manufacturer attempts to influence the channel member’s behavior. C) The manufacturer gains idiosyncratic knowledge about the channel member. D) The manufacturer allows the channel member to make all marketing decisions. E) The channel member and the manufacturer form a joint partnership to share profits. 22) Carmen’s Department Store is a downstream channel member that has a selective distribution arrangement with Winston Leather, a manufacturer of shoes and accessories. Which of the following would Carmen’s LEAST likely receive from Winston Leather? A) better credit terms B) more reward power C) lower wholesale prices D) more marketing support E) more promotional materials 23) How does a manufacturer encourage a downstream channel member to acquire brand-specific assets? A) using intensive distribution B) increasing service outputs C) forming a new franchise D) offering selective distribution E) obtaining idiosyncratic knowledge 24) ________establishes relationship stability between a manufacturer and a downstream channel member by making it unprofitable for either side to exploit the other. A) Opportunism B) Niche branding C) Reward power D) Product assortment E) Mutual dependence 25) Which action by a distributor would most likely increase the distributor’s leverage over a manufacturer? A) increasing direct selling efforts B) selling more than one brand C) limiting brand assortment D) increasing display space E) using pull strategies 26) A manufacturer would most likely be reluctant to limit the number of downstream trading partners in a highly competitive market because of ________. A) industrial requirements B) service output needs C) economies of scale D) channel strategies E) opportunity costs 27) By limiting the number of trading partners, a manufacturer is most likely able to reduce transaction costs for all of the following reasons EXCEPT having________. A) lower travel expenses B) fewer but larger transactions C) lower reseller turnover rates D) fewer but larger sales promotions E) lower inventory holding costs 28) A manufacturer that uses a branded variants strategy is most likely trying to ________. A) minimize the transaction costs associated with branded service outputs B) offer downstream channel members near exclusivity of the brand C) encourage downstream channel members to carry new brands D) reduce turnover among downstream channel members E) alter brand equity among key end users 29) Which of the following is NOT a method used by manufacturers to distribute more intensively while retaining some benefits of selective distribution? A) expanding channels B) building brand equity C) introducing branded variants D) setting up separate service-only facilities E) providing information in conjunction with new products 30) Which statement is most likely true about the arrangement between Tupperware and Target? A) Tupperware parties hosted in Target stores were as successful as private parties. B) The social atmosphere of Tupperware parties held in private homes helped boost sales. C) Tupperware increased its dealer network and customer base by hosting parties in Target. D) The joint partnership between Target and Tupperware failed due to high distribution costs. E) Tupperware’s party format is rarely successful in societies where women work outside of the ho