Question 1

Which of the following would be the best example of a broker?

Accepted Answer

A) Tri-State Lumber Supply does not actually store,handle,or deliver lumber,but rather solicits orders from retail hardware and home improvement stores,takes title to the lumber,then arranges for it to be shipped directly from sawmills to the retail stores. 
B) Jill Moon helps buyers and sellers of used heavy construction equipment negotiate the terms and conditions of their transactions,but does not actually take title to any of the equipment,nor does she develop long-term relationships with the buyers or sellers. 
C) Hal Hinton is not an employee of Hyloft Golf Clubs,but he does solicit sales for their products at golf and sporting goods stores in a fairly large sales territory. 
D) Spence Coker is employed by a vacuum cleaner company,and goes door-to-door selling products produced by his company. 
A) Tri-State Lumber Supply does not actually store,handle,or deliver lumber,but rather solicits orders from retail hardware and home improvement stores,takes title to the lumber,then arranges for it to be shipped directly from sawmills to the retail stores. 
B) Jill Moon helps buyers and sellers of used heavy construction equipment negotiate the terms and conditions of their transactions,but does not actually take title to any of the equipment,nor does she develop long-term relationships with the buyers or sellers. 
C) Hal Hinton is not an employee of Hyloft Golf Clubs,but he does solicit sales for their products at golf and sporting goods stores in a fairly large sales territory. 
D) Spence Coker is employed by a vacuum cleaner company,and goes door-to-door selling products produced by his company.

Question 2

Logistics is concerned with the flow of information as well as with the flow of goods.

Accepted Answer

A) True 
 B)False

Question 3

Telemarketing,catalog sales,and online shopping are all examples of direct marketing.

Accepted Answer

A) True 
 B)False

Question 4

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

Accepted Answer

A) True 
 B)False

Question 5

In ____________,salespeople are independent contractors who not only sell the product,but also recruit additional salespeople.

Accepted Answer

A) telemarketing 
B) two-stage marketing 
C) hierarchical marketing 
D) multilevel marketing 
A) telemarketing 
B) two-stage marketing 
C) hierarchical marketing 
D) multilevel marketing

Question 6

The use of pipelines should decline in the future because this mode is suitable only for shipping petroleum.

Accepted Answer

A) True 
 B)False

Question 7

Vending machines are most often used to sell:

Accepted Answer

A) shopping goods. 
B) convenience goods. 
C) specialty goods. 
D) inferior goods. 
A) shopping goods. 
B) convenience goods. 
C) specialty goods. 
D) inferior goods.

Question 8

Limited-function wholesalers that mainly serve small businesses by selling them a limited assortment of goods are known as:

Accepted Answer

A) backdoor wholesalers. 
B) consolidated wholesalers. 
C) cash-and-carry wholesalers. 
D) agency wholesalers. 
A) backdoor wholesalers. 
B) consolidated wholesalers. 
C) cash-and-carry wholesalers. 
D) agency wholesalers.

Question 9

Which of the following statements about service utility is most accurate? Service utility is:

Accepted Answer

A) becoming less important to retailers in this age of self-service marketing. 
B) the one type of utility that online firms provide more efficiently than traditional retailers. 
C) more likely to be provided by wholesalers than by retailers. 
D) becoming crucial to traditional retailers as they try to prevent their customers from defecting to firms using direct marketing. 
A) becoming less important to retailers in this age of self-service marketing. 
B) the one type of utility that online firms provide more efficiently than traditional retailers. 
C) more likely to be provided by wholesalers than by retailers. 
D) becoming crucial to traditional retailers as they try to prevent their customers from defecting to firms using direct marketing.

Question 10

In the Thinking Green box in the chapter,news stories reporting the benefits of keeping the carbon footprint low clearly show:

Accepted Answer

A) that buying locally produced products is the best way to support green causes. 
B) the process used in growing food has little to do with reducing our carbon footprint. 
C) methods of transportation used can have a major effect on lowering the carbon footprint. 
D) until Americans quit relying on foreign made goods like French wine there is little we can do to reduce our carbon footprint. 
A) that buying locally produced products is the best way to support green causes. 
B) the process used in growing food has little to do with reducing our carbon footprint. 
C) methods of transportation used can have a major effect on lowering the carbon footprint. 
D) until Americans quit relying on foreign made goods like French wine there is little we can do to reduce our carbon footprint.

Question 11

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 12

Retail distribution strategies can take three different forms.Identify the three forms and give examples of products that would be marketed using each strategy.

Accepted Answer

The three categories of retail distribut

Question 13

Salespeople can be important providers of information utility.

Accepted Answer

A) True 
 B)False

Question 14

Barbara Dixon operates a small business out of her home.She makes a trip to a local Riteprice Office Supply about once a month to buy computer and office supplies for her business.The prices at the Riteprice are very low,but it does not offer credit or delivery services.Riteprice is a cash-and-carry wholesaler.

Accepted Answer

A) True 
 B)False

Question 15

Producers normally provide form utility,but retailers sometimes also provide this type of utility.

Accepted Answer

A) True 
 B)False

Question 16

Delacroix Shoes produces top-quality high-fashion shoes,designed for the person concerned about style.Delacroix gives only a few preferred retailers in a given market area the right to market its product.Delacroix Shoes uses:

Accepted Answer

A) intensive distribution. 
B) selective distribution. 
C) exclusive distribution. 
D) limited function distribution. 
A) intensive distribution. 
B) selective distribution. 
C) exclusive distribution. 
D) limited function distribution.

Question 17

Although drop shippers own merchandise they have shipped to buyers,they do not actually handle,stock,or deliver this merchandise themselves.

Accepted Answer

A) True 
 B)False

Question 18

In retail cooperatives,the members of the distribution system are bound to cooperate by a contractual agreement.

Accepted Answer

A) True 
 B)False

Question 19

About __________ of the cost of things we buy are marketing costs that go to pay for distribution costs of intermediaries.

Accepted Answer

A) 25 percent 
B) 30 percent 
C) 75 percent 
D) 90 percent 
A) 25 percent 
B) 30 percent 
C) 75 percent 
D) 90 percent

Question 20

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

Accepted Answer

A) True 
 B)False

Exam 15: Distributing Products

Which of the following would be the best example of a broker?

Logistics is concerned with the flow of information as well as with the flow of goods.

Telemarketing,catalog sales,and online shopping are all examples of direct marketing.

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

In ____________,salespeople are independent contractors who not only sell the product,but also recruit additional salespeople.

The use of pipelines should decline in the future because this mode is suitable only for shipping petroleum.

Vending machines are most often used to sell:

Limited-function wholesalers that mainly serve small businesses by selling them a limited assortment of goods are known as:

Which of the following statements about service utility is most accurate? Service utility is:

In the Thinking Green box in the chapter,news stories reporting the benefits of keeping the carbon footprint low clearly show:

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

Retail distribution strategies can take three different forms.Identify the three forms and give examples of products that would be marketed using each strategy.

Salespeople can be important providers of information utility.

Producers normally provide form utility,but retailers sometimes also provide this type of utility.

Delacroix Shoes produces top-quality high-fashion shoes,designed for the person concerned about style.Delacroix gives only a few preferred retailers in a given market area the right to market its product.Delacroix Shoes uses:

Although drop shippers own merchandise they have shipped to buyers,they do not actually handle,stock,or deliver this merchandise themselves.

In retail cooperatives,the members of the distribution system are bound to cooperate by a contractual agreement.

About __________ of the cost of things we buy are marketing costs that go to pay for distribution costs of intermediaries.

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

Taking Risks and Making Profits Within the Dynamic Business Environment

Understanding How Economics 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

Adapting Organizations to Todays Markets

Production and Operations Management

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Employee-Management Issues and Relationships

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

Bonus A: Using Technology to Manage Information

Bonus B: Managing Risk

Bonus C: Managing Your Personal Finances

Appendix: Working Within the Legal Environment

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