QUESTION Intermediaries consist of agents, brokers, wholesalers, and retailers. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: Intermediaries, or marketing intermediaries, are the people or firms that move products between producer and customers. They consist of agents or brokers, wholesalers, and retailers.
QUESTION Distributing a product in a few choice locations is a way to practice intensive distribution. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: Intensive distribution means the product is distributed among as many locations as possible.
QUESTION Luxury automobile makers are likely to use an intensive distribution strategy. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: Luxury automobile makers are likely to use an exclusive distribution strategy, that is, one that distributes their cars in only a few choice locations.
QUESTION The main difference between wholesalers and retailers is that retailers sell products directly to consumers. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: While wholesalers sell products to other businesses and institutions for resale to consumers, retailers sell these products directly to consumers.
QUESTION A rack jobber is a type of wholesaler who delivers goods directly to store displays. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: A rack jobber is a limited-function wholesaler who furnishes products and display racks or shelves in retail stores and shares profits with retailers.
QUESTION Which of the following, if true, weakens the senior manager’s argument? A) Producing a stripped-down model would alter high-end domestic customers’ view of the Personal Devices brand. B) A premium auto manufacturer who came out with economy cars suffered in the market. C) India recently blocked low-priced Chinese phones that did not have the […]
QUESTION Agents and brokers help negotiate transactions between buyers and sellers. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: Agents and brokers are specialists who bring sellers and buyers together and help negotiate a transaction.
QUESTION Which of the following, if true, most strongly supports a decision by Red Bull to produce a line of enhanced waters? A) Red Bull’s current customers drink enhanced waters at rates similar to the rates of customers of other energy drinks. B) Enhanced water typically has higher production costs than other drinks, but it […]
QUESTION Which of the following, if true, most strongly suggests that an enhanced-water product would NOT increase overall profits for Red Bull? A) Retailers would display the enhanced water near other enhanced-water drinks. B) Glacéau’s VitaminWater brand has a variety of endorsements from celebrities famous for being unconventional. C) The customers who would purchase Red […]
QUESTION Which of the following, if true, most strongly suggests that Red Bull should NOT produce a line of enhanced waters? A) To date, none of the successful enhanced-water manufacturers have shown a connection between consuming their products and improved health. B) Enhanced water is typically sold by the same retailers that sell energy drinks. […]
