QUESTION Distribution channels are systems for conveying goods from producers to consumers. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: A distribution channel, also known as a marketing channel, is a system for conveying goods or services from producers to consumers.
QUESTION Which of the following observations, if true, strengthens the CEO’s argument? A) Profits would come from support, maintenance, and sale of applications that are compatible with the operating system. B) Customers frequently complain about the number of bugs in the initial releases of operating systems. C) The promised technology behind the new operating system […]
QUESTION Among the different types of distribution channels, there must always be at least one intermediary. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: There are four types of distribution channels for consumer goods and services, which range in intermediaries from zero to three or even more. A direct channel […]
QUESTION If intermediaries are eliminated, their functions are also eliminated. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: If intermediaries are eliminated, their functions must still be provided. For instance, if there’s no wholesale wine broker to warehouse wine, the winemaker or the retail stores will have to do it.
QUESTION The general rule for knowing which distribution channel is best is: Make the product available in whatever number of locations, great or small, is needed to satisfy customers. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: This is a way to maximize sales by matching distribution to customers as […]
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 Which of the following, if true, best supports the argument that Zappos should move toward a mass marketing campaign? A) Zappos’ competitors in Web retailing tend to adopt mass marketing campaigns. B) Zappos’ customers who buy shoes are more loyal to Zappos than Zappos’ customers who buy accessories. C) Zappos’ market research reveals that […]
QUESTION Which of the following, if true, most strengthens the senior manager’s argument? A) Research suggests that consumers are looking for more variety in this product category. B) The majority of India’s consumer market is located at the bottom of the pyramid. C) Few competitors in the market offer basic cell phones because of increasing […]
QUESTION All of the following questions are relevant to Zappos’ decision to move toward a mass marketing campaign EXCEPT which one? A) Will Zappos be able to convince customers who have no history with Zappos that Zappos will provide excellent customer service? B) Are the potential customers who view Zappos’ advertisements in magazines and newspapers […]