QUESTION If Super Shop Market sells apples directly to you, the customer, then what role is Super Shop playing in the distribution channel? A) retailer B) wholesaler C) agent D) producer E) consumer ANSWER Answer: A Explanation: A) In this scenario, Super Shop Market is playing the role of retailer in the distribution channel.
QUESTION Tyrone runs a small retail store and buys his goods from an intermediary from whom he picks them up directly. What kind of intermediary does Tyrone use? A) manufacturer’s branch office B) manufacturer’s sales office C) drop shipper D) cash-and-carry wholesaler E) rack jobber ANSWER Answer: D Explanation: D) Cash-and-carry wholesalers are limited-function […]
QUESTION What is the name given to intermediaries who sell products to other businesses for resale to ultimate customers or to institutions and businesses for use in their operations? A) producers B) agents C) wholesalers D) brokers E) retailers ANSWER Answer: C Explanation: C) Wholesalers, also known as middlemen, are intermediaries who sell products […]
QUESTION Which of the following products is MOST likely to be handled by a drop shipper? A) breakfast cereal B) automobiles C) gravel D) clothing E) racks of snacks and candy ANSWER Answer: C Explanation: C) A drop shipper is a limited-function wholesaler who owns the products but does not have physical custody of […]
QUESTION Which of the following is NOT an example of intermediaries? A) agents B) brokers C) wholesalers D) producers E) retailers ANSWER Answer: D Explanation: D) Intermediaries are the people or firms that move products between producer and customers. Agents, brokers, retailers, and wholesalers are all intermediaries. Producers and consumers are NOT intermediaries. If […]
QUESTION Which of the following is the BEST example of a rack jobber? A) a candy vendor who puts racks of candy inside gas stations and shares the profits B) an automobile dealer who sells the cars that are sold to him from the manufacturer C) a large discount wholesaler, such as Costco, that sells […]
QUESTION Which of the following is NOT an example of a distribution channel? A) farmstand tomatoes being sold directly to consumers from the producer B) T-shirts moving from producer to wholesaler to retailer to consumer C) canned beef moving from producer to packager to wholesaler to restaurant to consumer D) a producer using unpaid coverage […]
QUESTION Which of the following BEST defines the distribution mix? A) the system for conveying goods or services from producers to customers B) the variety of products that are sold by a company C) the methods a company uses to produce its products D) the combination of tools that a company uses to promote its […]
QUESTION Which of the following is the most likely example of a distribution channel with three intermediaries? A) producer to agent/broker to wholesaler to retailer to consumer B) producer to wholesaler to retailer to agent/broker to consumer C) producer to retailer to wholesaler to agent/broker to consumer D) producer to agent/broker to retailer to wholesaler […]
QUESTION If Volkswagen sells cars to a dealer, who, in turn, sells to you, which of the following correctly describes the distribution strategy for this process? A) No intermediaries were involved. B) One intermediary was involved. C) Three intermediaries were involved. D) This was a direct channel. E) There was no distribution strategy. ANSWER […]
