Exam 12: Distribution and Pricing: Right Product, Right Person, Right Place, Right Price

Merchant wholesalers are independent distributors who take legal possession, or title, of the goods distributed.

Intensive, selective, and exclusive are the three key strategic distribution strategies retailers use.

People magazine incurs salaries for reporters and photographers as fixed costs regardless of how many magazines are sold.

What is the goal of a distribution strategy? Name and describe its key elements. Explain the difference between a direct channel and channel intermediaries.

Which method is used to determine the number of units a firm must sell at a specific price to cover all costs?

A selective distribution strategy involves establishing a single retailer as the sole provider of a product in a given area.

Door-to-door selling is a popular type of direct response retailing.

Providing credit, cashing cheques, and delivering products are all examples of how distributors provide ownership utility.

Depending on factors such as warehousing, docking facilities, and accessibility, some distributors use several different modes of transportation.

Direct selling includes all methods of selling directly to customers at home and work.

Profits may be increased either by increasing revenue or by decreasing costs.

Bruno's Bakery sells gourmet cupcakes for $5. The variable cost per cupcake is currently $3 and fixed costs are $10,000. What is Bruno's breakeven point?

Distributors reduce the costs associated with moving goods from producers to consumers.

The Alpine Shop is a store that specializes in selling equipment for camping and other outdoor activities. The store has many employees who love to camp, hike, hunt, and fish. These employees often go out of their way to provide honest and helpful advice about the good and bad features of the products they sell. Which type of utility is created by the efforts of these employees?

Building profitability and boosting volume are two common objectives that influence marketers' pricing decisions.

Grocery stores and department stores often use high/low pricing.

Mary Kay Cosmetics, Tupperware, and The Pampered Chef all use multilevel marketing as a means to sell products directly to consumers.

Which of the following dominates the market by offering a huge variety of one type of product?

Which of the following pricing techniques would be most appealing to a firm that wanted to establish an image of quality and prestige?

Define and describe the terms supply chain, supply chain management, and logistics.