Question 1

RS Associates is a firm that is engaged in buying, taking title to, and physically handling goods.The firm also resells the goods.RS Associates is an example of a:

Accepted Answer

RS Associates is a wholesaler because it buys, takes title to, and physically handles goods, and then resells them, typically to retailers or other businesses.

Question 2

Arbex Stores is located in Prince Albert, a city in Saskatchewan.The store displays different types of home furniture and most of the store's business comes from individual consumers.The firm displays products of many manufacturers.Arbex Stores is best referred to as a(n):

Accepted Answer

Arbex Stores is best referred to as a retailer because it sells products directly to individual consumers.

Question 3

Subexo Stores is a small firm that sells its products directly to consumers.The company stores many brands of consumer goods and other low-value items.Subexo Stores is best referred to as a(n):

Accepted Answer

Subexo Stores is best referred to as a retailer because it sells products directly to consumers. Retailers are businesses that sell goods to the end-user for personal use.

Question 4

Distribution channels add value to customers because they:

Accepted Answer

Distribution channels add value by ensuring that products reach customers quickly and efficiently, often at a lower cost due to economies of scale and established logistics networks.

Question 5

Retail stores that sell multiple brands help brands obtain competitive intelligence about customers or other channel members.Which of the following intermediary functions does this relate to?

Accepted Answer

Retail stores gather information about customer preferences and competitor activities, which helps brands gain competitive intelligence.

Question 6

Firms that buy products from manufacturers and resell them to firms that sell products directly to consumers are called:

Accepted Answer

Wholesalers purchase products in bulk from manufacturers and sell them to retailers or other businesses, who then sell the products directly to consumers.

Question 7

Retailers promote the products of a manufacturer to attract consumers.This is an example of a(n) function of retailers.

Accepted Answer

Retailers promoting products to attract consumers is an example of the transactional function, as it involves activities related to buying, selling, and marketing products to consumers.

Question 8

Firms that sell products directly to consumers are called:

Accepted Answer

Retailers are firms that sell products directly to consumers.

Question 9

FS Computers is a manufacturer of personal computers.The company sells all its products by allowing customers to select the configuration of computer they want and place orders online.This is an example of:

Accepted Answer

FS Computers uses direct distribution as they sell their products directly to customers through their online platform without involving intermediaries.

Question 10

Which of the following is an example of a facilitating function that intermediaries perform?

Accepted Answer

Extending credit to customers is a facilitating function because it helps ease the purchase process for customers, making it easier for them to buy products.

Question 11

Sober Inc.is a manufacturer of high-definition televisions.The firm sells its products through external resellers.The resellers transport the products to the buyers' location and take care of the installation.The functions performed by the reseller exemplifies the function of intermediaries.

Accepted Answer

The resellers are performing logistical functions by transporting and installing the products for the buyers.

Question 12

Charles Cycles is the largest seller of Rober Bicycles in Manitoba.The firm ships products directly from Rober's manufacturing plant and sells the products to smaller firms across Manitoba.Charles Cycles is best referred to as a:

Accepted Answer

Charles Cycles acts as an intermediary that buys products in bulk from the manufacturer and sells them to smaller firms, which is characteristic of a wholesaler.

Question 13

Which of the following is an example of a transactional function that intermediaries perform?

Accepted Answer

Transactional functions involve activities related to buying, selling, and risk-taking. Purchasing goods for resale is a buying activity, which is a key part of transactional functions.

Question 14

Maintaining inventory and protecting goods of manufacturers is an example of a function of intermediaries.

Accepted Answer

Logistical functions of intermediaries include activities such as storing, sorting, and transporting goods, which involves maintaining inventory and protecting goods.

Question 15

Most U.S.companies pay listing fees to get shelf space in retail outlets.Which of the following factors have contributed the most to the advent of listing fees?

Accepted Answer

The introduction of many new products each day increases competition for shelf space, leading retailers to charge listing fees to manage and prioritize the products they choose to display.

Question 16

Which of the following describes the integration of two or more activities to plan, implement, and control the efficient flow of raw materials, in-process inventory, and finished goods from the point of origin to the point of consumption?

Accepted Answer

The answer of Which of the following describes the integration...

Question 17

FSX sells office furniture.The firm procures merchandise from different manufacturers in Canada and sells it to smaller sellers in Lethbridge.FSX is an example of a:

Accepted Answer

FSX is a wholesaler because it buys merchandise from manufacturers and sells it to smaller sellers, rather than directly to consumers.

Question 18

Which of the following is an example of a logistical function that intermediaries perform?

Accepted Answer

Maintaining inventory is a logistical function as it involves managing the storage and movement of goods.

Question 19

The institutions that transfer the ownership of and move goods from the point of production to the point of consumption are called the:

Accepted Answer

Distribution channels are responsible for transferring ownership and moving goods from production to consumption.

Question 20

Logistics was traditionally the responsibility of:

Accepted Answer

Logistics has traditionally been a part of operations management, focusing on the efficient movement and storage of goods within the supply chain.

Quiz 12: Retailing and Multichanneled Marketing