Question 1

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

Accepted Answer

A) True 
 B)False

Question 2

Retailers such as jewelry stores, shoe stores, and bicycle shops are:

Accepted Answer

A)  department stores. 
B)  discount stores. 
C)  warehouse clubs. 
D)  specialty stores. 
A)  department stores. 
B)  discount stores. 
C)  warehouse clubs. 
D)  specialty stores.

Question 3

An effective channel of distribution does more than simply ensure that goods are transported efficiently from producer to buyer.

Accepted Answer

A) True 
 B)False

Question 4

Once the final customer has taken title to a good, marketing intermediaries no longer are involved in providing utility to the customer.

Accepted Answer

A) True 
 B)False

Question 5

Retailers that participate in an exclusive distribution strategy will have a strong incentive to carry a large inventory of the good and provide exceptional service to customers.

Accepted Answer

A) True 
 B)False

Question 6

__________ utility is usually provided by producers rather than marketers.

Accepted Answer

A)  Possession 
B)  Time 
C)  Place 
D)  Form 
A)  Possession 
B)  Time 
C)  Place 
D)  Form

Question 7

Although air transport currently accounts for only a small percentage of all shipments, it has become a critical mode in many industries.

Accepted Answer

A) True 
 B)False

Question 8

__________ deals with moving finished products and information to business buyers and ultimate consumers.

Accepted Answer

A)  Inbound logistics 
B)  Outbound logistics 
C)  Final stage logistics 
D)  Wholesale distribution 
A)  Inbound logistics 
B)  Outbound logistics 
C)  Final stage logistics 
D)  Wholesale distribution

Question 9

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

Accepted Answer

A)  Electronic retailing 
B)  B2B distribution 
C)  E-selling 
D)  Intercommerce 
A)  Electronic retailing 
B)  B2B distribution 
C)  E-selling 
D)  Intercommerce

Question 10

Providing buyers with credit terms such as "90 days same as cash" is a way marketing intermediaries can provide time utility to customers.

Accepted Answer

A) True 
 B)False

Question 11

Vending machines are used primarily to sell goods where consumers have little interest in convenience.

Accepted Answer

A) True 
 B)False

Question 12

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 13

A value of shipping by truck is that trucks can deliver small shipments to remote locations.

Accepted Answer

A) True 
 B)False

Question 14

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 15

Currently, in the United States the greatest volume of goods and services is shipped by:

Accepted Answer

A)  trucks and vans. 
B)  pipelines. 
C)  rail. 
D)  water. 
A)  trucks and vans. 
B)  pipelines. 
C)  rail. 
D)  water.

Question 16

One advantage of a franchise system of distribution is that it results in a consistent level of quality and service.

Accepted Answer

A) True 
 B)False

Question 17

Stores that remain open 24 hours a day, seven days a week are providing _________ utility to their customers.

Accepted Answer

A)  possession 
B)  time 
C)  service 
D)  schedule 
A)  possession 
B)  time 
C)  service 
D)  schedule

Question 18

The major disadvantage of multilevel marketing is that the high entry cost for most sellers means that only relatively wealthy individuals can use this approach.

Accepted Answer

A) True 
 B)False

Question 19

Retailers who have stores at convenient locations are trying to add value by:

Accepted Answer

A)  using a horizontal distribution strategy. 
B)  using a broad resource allocation strategy. 
C)  providing place utility. 
D)  achieving market concentration. 
A)  using a horizontal distribution strategy. 
B)  using a broad resource allocation strategy. 
C)  providing place utility. 
D)  achieving market concentration.

Question 20

The primary difference between retailers and wholesalers is that:

Accepted Answer

A)  retailers sell consumer goods, while wholesalers sell industrial goods. 
B)  retailers operate in local areas, while wholesalers operate over a wide geographic area. 
C)  retailers sell to final consumers, while wholesalers sell to other organizations, such as retailers or manufacturers. 
D)  retailers have sales of less than $100 million, while wholesalers have sales of $100 million or more. 
A)  retailers sell consumer goods, while wholesalers sell industrial goods. 
B)  retailers operate in local areas, while wholesalers operate over a wide geographic area. 
C)  retailers sell to final consumers, while wholesalers sell to other organizations, such as retailers or manufacturers. 
D)  retailers have sales of less than $100 million, while wholesalers have sales of $100 million or more.

Exam 15: Distributing Products

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

Retailers such as jewelry stores, shoe stores, and bicycle shops are:

An effective channel of distribution does more than simply ensure that goods are transported efficiently from producer to buyer.

Once the final customer has taken title to a good, marketing intermediaries no longer are involved in providing utility to the customer.

Retailers that participate in an exclusive distribution strategy will have a strong incentive to carry a large inventory of the good and provide exceptional service to customers.

__________ utility is usually provided by producers rather than marketers.

Although air transport currently accounts for only a small percentage of all shipments, it has become a critical mode in many industries.

__________ deals with moving finished products and information to business buyers and ultimate consumers.

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

Providing buyers with credit terms such as "90 days same as cash" is a way marketing intermediaries can provide time utility to customers.

Vending machines are used primarily to sell goods where consumers have little interest in convenience.

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:

A value of shipping by truck is that trucks can deliver small shipments to remote locations.

Marketing intermediaries:

Currently, in the United States the greatest volume of goods and services is shipped by:

One advantage of a franchise system of distribution is that it results in a consistent level of quality and service.

Stores that remain open 24 hours a day, seven days a week are providing _________ utility to their customers.

The major disadvantage of multilevel marketing is that the high entry cost for most sellers means that only relatively wealthy individuals can use this approach.

Retailers who have stores at convenient locations are trying to add value by:

The primary difference between retailers and wholesalers is that:

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

Managing the Marketing Mix: Product, Price, Place and Promotion

Extension: Working Within the Legal Environment

Extension: Using Technology to Manage Information

Extension: Managing Risk

Extension: Managing Personal Finances

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