Question 1

Cash-and-carry wholesalers are limited-function wholesalers that serve mostly smaller retailers with a limited assortment of products.

Accepted Answer

A) True 
 B)False

Question 2

Direct selling is a distribution strategy that makes extensive use of the Internet and telephone.

Accepted Answer

A) True 
 B)False

Question 3

Water transportation is the least expensive way to send goods overseas.

Accepted Answer

A) True 
 B)False

Question 4

The main difference between storage warehouses and distribution warehouses is that storage warehouses are relatively small,specialized facilities used to store one particular type of good for short periods while distribution warehouses are large facilities used to store a wide variety of goods for longer periods of time.

Accepted Answer

A) True 
 B)False

Question 5

The part of logistics that is most concerned with the flow of goods as well as work in process within the manufacturing firm is:

Accepted Answer

A) inbound logistics. 
B) materials handling. 
C) reverse logistics. 
D) outbound logistics. 
A) inbound logistics. 
B) materials handling. 
C) reverse logistics. 
D) outbound logistics.

Question 6

At Stockman's Butcher Shop the butchers will hand cut steaks to the thickness their customers specify and trim off the excess fat.This extra service provides ________ utility.

Accepted Answer

A) possession 
B) form 
C) secondary 
D) alterational 
A) possession 
B) form 
C) secondary 
D) alterational

Question 7

Marketers claim that intermediaries add value to the channel of distribution that outweighs the cost.

Accepted Answer

A) True 
 B)False

Question 8

Some marketing intermediaries make both wholesale and retail sales.

Accepted Answer

A) True 
 B)False

Question 9

Water transportation has benefits and drawbacks;for example it is inexpensive but slow.

Accepted Answer

A) True 
 B)False

Question 10

Chris Cole is a salesperson for Green Scene Lawn Care products.Chris' job requires him to sell Green Scene products,but he is also expected to recruit more salespeople for the company.He will earn a commission on all of the sales earned by the salespeople he recruits.Green Scene is using a retail distribution strategy known as multilevel marketing.

Accepted Answer

A) True 
 B)False

Question 11

Retail organizations employ more than 11 million people in the U.S.

Accepted Answer

A) True 
 B)False

Question 12

A common trait of corporate distribution systems,administered distribution systems,contractual distribution systems and supply chains is that they all:

Accepted Answer

A) are arrangements which seek to distribute goods more efficiently by eliminating most functions performed by marketing intermediaries. 
B) seek to consolidate and control the distribution system by having one firm own all of the distribution functions. 
C) attempt to improve the efficiency of distribution systems by linking the firms together in a formal relationship. 
D) have been replaced by more efficient distribution systems relying heavily on online linkages. 
A) are arrangements which seek to distribute goods more efficiently by eliminating most functions performed by marketing intermediaries. 
B) seek to consolidate and control the distribution system by having one firm own all of the distribution functions. 
C) attempt to improve the efficiency of distribution systems by linking the firms together in a formal relationship. 
D) have been replaced by more efficient distribution systems relying heavily on online linkages.

Question 13

Those organizations that assist in the movement of goods and services from producer to industrial and consumer users are known as:

Accepted Answer

A) directed marketers. 
B) distributive specialists. 
C) marketing intermediaries. 
D) supplementary marketers. 
A) directed marketers. 
B) distributive specialists. 
C) marketing intermediaries. 
D) supplementary marketers.

Question 14

Marketing intermediaries:

Accepted Answer

A) add value that exceeds the cost of their services. 
B) add cost that exceeds the value they provide. 
C) increase the number of exchange relationships in the channel. 
D) complicate the distribution process. 
A) add value that exceeds the cost of their services. 
B) add cost that exceeds the value they provide. 
C) increase the number of exchange relationships in the channel. 
D) complicate the distribution process.

Question 15

In the terminology of multilevel marketing,which of the following statements about the relationship between upliners and downliners is most accurate? In multilevel marketing,

Accepted Answer

A) upliners are intermediaries who deal directly with final customers,while downliners are intermediaries who coordinate the transportation and storage services the upliners need to move the goods they sell through the channel of distribution. 
B) upliners are salespeople who act as independent contractors,earning commissions on their own sales and also on the sales of downliners,who are additional salespeople that they recruit. 
C) upliners sell through electronic retailing arrangements,while downliners use more traditional methods of retail selling. 
D) upliners use intensive distribution strategies to sell a good,while downliners use either a selective or exclusive distribution strategy to sell the same type of good. 
A) upliners are intermediaries who deal directly with final customers,while downliners are intermediaries who coordinate the transportation and storage services the upliners need to move the goods they sell through the channel of distribution. 
B) upliners are salespeople who act as independent contractors,earning commissions on their own sales and also on the sales of downliners,who are additional salespeople that they recruit. 
C) upliners sell through electronic retailing arrangements,while downliners use more traditional methods of retail selling. 
D) upliners use intensive distribution strategies to sell a good,while downliners use either a selective or exclusive distribution strategy to sell the same type of good.

Question 16

Marketers provide a total of four types of utility: primary,secondary,marginal,and total.

Accepted Answer

A) True 
 B)False

Question 17

Producers who use an exclusive distribution strategy for their products can expect retailers who carry the products to do which of the following?

Accepted Answer

A) Carry a large inventory of their products 
B) Provide limited service and delivery for their products 
C) Sell their products at substantially discounted prices 
D) Pay attention to the multiple competing brands that they carry 
A) Carry a large inventory of their products 
B) Provide limited service and delivery for their products 
C) Sell their products at substantially discounted prices 
D) Pay attention to the multiple competing brands that they carry

Question 18

In the distribution process,the largest percentage of the retail price goes to:

Accepted Answer

A) profits. 
B) warehouse costs. 
C) labor. 
D) transportation. 
A) profits. 
B) warehouse costs. 
C) labor. 
D) transportation.

Question 19

An)______________ distribution strategy uses only one retail outlet in a given geographic are A.

Accepted Answer

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

Question 20

In an)___________,independently owned and managed stores sign an agreement to use the same name,participate in chain promotions,and cooperate as a unified system.

Accepted Answer

A) administered distribution system 
B) corporate distribution system 
C) wholesaler-sponsored chain 
D) cash-and-carry chain 
A) administered distribution system 
B) corporate distribution system 
C) wholesaler-sponsored chain 
D) cash-and-carry chain

Exam 15: Distributing Products

Cash-and-carry wholesalers are limited-function wholesalers that serve mostly smaller retailers with a limited assortment of products.

Direct selling is a distribution strategy that makes extensive use of the Internet and telephone.

Water transportation is the least expensive way to send goods overseas.

The part of logistics that is most concerned with the flow of goods as well as work in process within the manufacturing firm is:

At Stockman's Butcher Shop the butchers will hand cut steaks to the thickness their customers specify and trim off the excess fat.This extra service provides ________ utility.

Marketers claim that intermediaries add value to the channel of distribution that outweighs the cost.

Some marketing intermediaries make both wholesale and retail sales.

Water transportation has benefits and drawbacks;for example it is inexpensive but slow.

Retail organizations employ more than 11 million people in the U.S.

A common trait of corporate distribution systems,administered distribution systems,contractual distribution systems and supply chains is that they all:

Those organizations that assist in the movement of goods and services from producer to industrial and consumer users are known as:

Marketing intermediaries:

In the terminology of multilevel marketing,which of the following statements about the relationship between upliners and downliners is most accurate? In multilevel marketing,

Marketers provide a total of four types of utility: primary,secondary,marginal,and total.

Producers who use an exclusive distribution strategy for their products can expect retailers who carry the products to do which of the following?

In the distribution process,the largest percentage of the retail price goes to:

An)______________ distribution strategy uses only one retail outlet in a given geographic are A.

In an)___________,independently owned and managed stores sign an agreement to use the same name,participate in chain promotions,and cooperate as a unified system.

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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