Which term refers to cooperation among levels of a distribution channel?

Prepare for the WGU BUS2050 D077 Concepts in Marketing, Sales, and Customer Contact Test. Engage with multiple choice questions enriched with hints and explanations. Ready yourself for success now!

The term that refers to cooperation among levels of a distribution channel is vertical marketing systems. This concept involves the alignment and collaboration of different stages in the marketing channel, such as manufacturers, wholesalers, and retailers, working together to achieve mutual goals. Vertical marketing systems can take various forms, including corporate systems where one entity owns multiple levels of the channel, and administered systems where a dominant firm coordinates the activities of other firms to create a more effective distribution network.

In contrast, horizontal marketing systems refer to cooperation among companies at the same level, such as two or more retailers collaborating to market their products. Integrated marketing systems typically involve the unification of various marketing channels or communications strategies rather than focusing specifically on the cooperation across different levels of distribution. Contractual marketing systems involve agreements between various channel members but do not inherently imply the level of cooperation across different stages inherent in vertical marketing systems.

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