When Kraft Foods Uses the Distribution System of Ajinomoto, a Major

question 143

Multiple Choice

When Kraft Foods uses the distribution system of Ajinomoto, a major Japanese food company, to market its Maxwell House coffee in Japan. It is employing a(n) __________ strategy.

• A)strategic channel alliance
• B)industrial distributor
• C)direct marketing channel
• D)dual distribution system

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Definitions:

Expiration Date

The last day on which an options or futures contract is valid and can be exercised.

Striking Price

Also known as the exercise price, it is the price at which the holder of an option can buy (call) or sell (put) the underlying asset.

Option Contract

A financial contract giving the buyer the right, but not the obligation, to buy or sell an asset at a set price on or before a certain date.

Exercise Price

The specified price at which an option holder can buy (in a call option) or sell (in a put option) the underlying asset.