Question 1

_________ utility adds value to goods by having them available where people want them.

Accepted Answer

A) Spatial 
B) Location specific 
C) Place 
D) Geographic 
A) Spatial 
B) Location specific 
C) Place 
D) Geographic

Question 2

A category killer is an extremely successful product that kills the sales of other products in its category in a retail store.

Accepted Answer

A) True 
 B)False

Question 3

Limited-function wholesalers are a type of merchant wholesaler.

Accepted Answer

A) True 
 B)False

Question 4

Water transportation has declined to the point where it now accounts for a very small part of transporting goods.

Accepted Answer

A) True 
 B)False

Question 5

Frank Crimmins was driving on Interstate 85 in eastern Alabama when he noticed he was running low on fuel.Frank was relieved when he found a gas station open at the next exit just 2 miles ahead.This is an example of the value place utility provides to a consumer.

Accepted Answer

A) True 
 B)False

Question 6

About 80 percent of all wholesalers are classified as merchant wholesalers.

Accepted Answer

A) True 
 B)False

Question 7

Clay Gates is a distribution specialist who has been looking at ways to improve the flow of parts and materials from his company's warehouses to the production line,and the movement of work in process throughout the company's factories.These efforts suggest that Clay's primary interest is in improving his company's inbound logistics.

Accepted Answer

A) True 
 B)False

Question 8

___________ are limited-function wholesalers who furnish shelves full of merchandise to retailers who sell these items on consignment.

Accepted Answer

A) Cash-and-carry wholesalers 
B) Rack jobbers 
C) Merchandise forwarders 
D) Consignment agents 
A) Cash-and-carry wholesalers 
B) Rack jobbers 
C) Merchandise forwarders 
D) Consignment agents

Question 9

In order to succeed in today's tough economic times all retailers must compete with low prices.

Accepted Answer

A) True 
 B)False

Question 10

In administered distribution systems,retailers:

Accepted Answer

A) are reluctant to cooperate because they must perform many marketing functions for an uncertain payment. 
B) receive a great deal of marketing help from producers. 
C) are really subsidiaries of a manufacturer. 
D) sign a contract agreeing to cooperate with wholesalers in the channel of distribution. 
A) are reluctant to cooperate because they must perform many marketing functions for an uncertain payment. 
B) receive a great deal of marketing help from producers. 
C) are really subsidiaries of a manufacturer. 
D) sign a contract agreeing to cooperate with wholesalers in the channel of distribution.

Question 11

An)____________ consists of the marketing intermediaries that transport and store goods as they move through their path from producer to final user.

Accepted Answer

A) channel of distribution 
B) marketing network 
C) input-output matrix 
D) mode of distribution 
A) channel of distribution 
B) marketing network 
C) input-output matrix 
D) mode of distribution

Question 12

Small-timers,Incorporated is a small manufacturer of charm bracelets that include watches as well as keepsake items and trinkets.The company seldom has shipments large enough to be transported cost-efficiently by filling an entire truck or railcar.Small-timers could benefit by relying on a freight forwarder to help it distribute its goods.

Accepted Answer

A) True 
 B)False

Question 13

Marketing intermediaries:

Accepted Answer

A) are unlikely to survive in a competitive global economy. 
B) have survived because they can often perform marketing functions faster and at lower cost than producers. 
C) create value,but this value is seldom great enough to justify the added cost they charge for their services. 
D) tend to increase the number of exchange relationships producers and consumers must deal with in order to buy and sell goods. 
A) are unlikely to survive in a competitive global economy. 
B) have survived because they can often perform marketing functions faster and at lower cost than producers. 
C) create value,but this value is seldom great enough to justify the added cost they charge for their services. 
D) tend to increase the number of exchange relationships producers and consumers must deal with in order to buy and sell goods.

Question 14

Discount stores owe much of their success to a competitive strategy based on:

Accepted Answer

A) low prices. 
B) extra service. 
C) special credit arrangements. 
D) a wide selection in a limited number of categories of goods. 
A) low prices. 
B) extra service. 
C) special credit arrangements. 
D) a wide selection in a limited number of categories of goods.

Question 15

An)___________ distribution strategy distributes a product through only a preferred group of retailers in a given are A.

Accepted Answer

A) intensive 
B) selective 
C) exclusive 
D) restrictive 
A) intensive 
B) selective 
C) exclusive 
D) restrictive

Question 16

In multilevel marketing,salespeople not only sell the product,they also recruit other people to sell the product.

Accepted Answer

A) True 
 B)False

Question 17

Marketing intermediaries must charge a price for the functions they perform.Thus,a surefire way to reduce distribution costs is to eliminate marketing intermediaries from the channel of distribution.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following activities would a drop shipper be most likely to perform?

Accepted Answer

A) Provide delivery services from a wholesaler's warehouse to a retailer's store 
B) Solicit orders from a retailer and arrange for the producer to make the deliveries 
C) Manage a large stock of items in a single product category,and make large volume shipments to other intermediaries using rail or truck 
D) Provide brokerage services by helping other wholesalers negotiate deals 
A) Provide delivery services from a wholesaler's warehouse to a retailer's store 
B) Solicit orders from a retailer and arrange for the producer to make the deliveries 
C) Manage a large stock of items in a single product category,and make large volume shipments to other intermediaries using rail or truck 
D) Provide brokerage services by helping other wholesalers negotiate deals

Question 19

A channel of distribution consists of the marketing intermediaries who join together to transport and store goods in their path from producers to consumers.

Accepted Answer

A) True 
 B)False

Question 20

When truck trailers are placed on rail cars to travel long distances,the process is known as leapfrogging.

Accepted Answer

A) True 
 B)False

Exam 15: Distributing Products

_________ utility adds value to goods by having them available where people want them.

A category killer is an extremely successful product that kills the sales of other products in its category in a retail store.

Limited-function wholesalers are a type of merchant wholesaler.

Water transportation has declined to the point where it now accounts for a very small part of transporting goods.

Frank Crimmins was driving on Interstate 85 in eastern Alabama when he noticed he was running low on fuel.Frank was relieved when he found a gas station open at the next exit just 2 miles ahead.This is an example of the value place utility provides to a consumer.

About 80 percent of all wholesalers are classified as merchant wholesalers.

___________ are limited-function wholesalers who furnish shelves full of merchandise to retailers who sell these items on consignment.

In order to succeed in today's tough economic times all retailers must compete with low prices.

In administered distribution systems,retailers:

An)____________ consists of the marketing intermediaries that transport and store goods as they move through their path from producer to final user.

Marketing intermediaries:

Discount stores owe much of their success to a competitive strategy based on:

An)___________ distribution strategy distributes a product through only a preferred group of retailers in a given are A.

In multilevel marketing,salespeople not only sell the product,they also recruit other people to sell the product.

Marketing intermediaries must charge a price for the functions they perform.Thus,a surefire way to reduce distribution costs is to eliminate marketing intermediaries from the channel of distribution.

Which of the following activities would a drop shipper be most likely to perform?

A channel of distribution consists of the marketing intermediaries who join together to transport and store goods in their path from producers to consumers.

When truck trailers are placed on rail cars to travel long distances,the process is known as leapfrogging.

Taking Risks and Making Profits Within the Dynamic Business Environment

Understanding Economics and How It Affects Business

Doing Business in Global Markets

Demanding Ethical and Socially Responsible Behavior

How to Form a Business

Entrepreneurship and Starting a Small Business

Management and Leadership

Structuring Organizations for Todays Challenges

Production and Operations Management

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Union and Employeemanagement Issues

Marketing: Helping Buyers Buy

Developing and Pricing Goods and Services

Using Effective Promotions

Understanding Accounting and Financial Information

Financial Management

Using Securities Markets for Financing and Investing Opportunities

Money,financial Institutions,and the Federal Reserve

test Planning Table for Bonus Chapter A

Using Technology to Manage Information

Managing Risk

Managing Personal Finances

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