Exam 15: Distributing Products

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.

Which of the following assessments of electronic retailing is most accurate?

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

Candy,gum,cigarettes,and popular magazines are usually distributed using a selective distribution strategy.

Pipelines are used primarily to transport water,petroleum,and petroleum products.

Zintelle,Inc.is a large manufacturing firm.It has recently reached an agreement with an intermodal marketing company to significantly reduce the cost of shipping its finished goods to some major business customers.This agreement will help Zintelle reduce the costs associated with outbound logistics.

Even though all of the hardware stores that operate under the name of Hardie's Hardware are independently owned and managed,they have signed an agreement to participate in chain promotions,and cooperate as a unified system of stores.The Hardie's Hardware stores are using a distribution system known as a wholesaler-sponsored chain.

In the Reaching Beyond Our Borders box in the chapter,soft drink producers like Coca-Cola have found that:

The two basic types of merchant wholesalers are:

A key way for traditional retailers to compete with direct marketing is by providing outstanding service utility.

Warehouse clubs are usually smaller than supermarkets.

Traditional retailers that have begun using the Internet to supplement their physical stores are finding that the Internet not only provides a new way to sell goods,it also requires a new system to distribute goods.

Because some of its key suppliers have been late with their shipments of materials and parts,Marnex Enterprises has had to shut down its manufacturing plant for several hours twice in the past week.These difficulties indicate that Marnex has done a poor job in managing its inbound logistics.

Retailers agree to cooperate with producers in administered distribution systems because the producers provide extensive marketing services to the retailer for free.

A sales agent is an agent who represents the interests of the consumer in a particular territory when negotiating terms of purchases made directly from a producer.

In the Spotlight on Small Business box in the chapter,Copart's process of salvaging cars doesn't end until:

Logistics involves planning,implementing,and controlling the physical flow of materials,final goods,and related information from points of origin to points of consumption.

A retail sale is a sale to a consumer of products for his or her own use.

Hartselle Home Products,Inc. ,manufactures a variety of inexpensive household gadgets.The company has decided to cut costs by eliminating all of the marketing intermediaries who help distribute its products.Hartselle will be able to reduce its total marketing costs by eliminating the marketing functions these intermediaries perform.

___________ means selling goods and services to ultimate consumers over the Internet.