Question 1

All of the following are services provided by wholesalers to retailers except
A) buying in large quantities and selling in smaller quantities
B) promoting the product
C) supplying marketing information
D) manufacturing a wide selection of product
E) helping finance purchases

Accepted Answer

Wholesalers do not manufacture products, unlike manufacturers who create a wide selection of products. All other options listed are services provided by wholesalers to retailers.

Question 2

Trask,Inc.,sells luggage and other related equipment online.When it receives an order,the order automatically goes to Williams Distribution.Williams gets the merchandise from its warehouse and ships it to the customer.Trask is in charge of all other aspects of the purchase.Williams Distribution is a _____ wholesaler.
A) full-service
B) limited-service
C) specialty-line
D) limited-line
E) commission merchant

Accepted Answer

Williams Distribution only provides one service, which is shipping the merchandise from its warehouse to the customer. Therefore, it is a limited-service wholesaler.

Question 3

A functional middleman who does not take title to products and who is compensated by commissions paid by producers is called a(n)_____.
A) retailer
B) wholesaler
C) jobber
D) agent
E) limited-line wholesaler

Accepted Answer

An agent is a functional middleman who does not take title to products and earns commission by facilitating transactions between buyers and sellers. Retailers take title to products and sell them directly to consumers, wholesalers buy products in bulk from producers and sell them to retailers or other businesses, a jobber is a type of wholesaler that specializes in certain products or industries, and a limited-line wholesaler sells a narrow range of products within a specific industry.

Question 4

A middleman that carries a select group of products within a single line is called a(n)_____ wholesaler.
A) full-service
B) limited-line
C) limited-service
D) specialty-line
E) agent

Accepted Answer

The answer of A middleman that carries a select group...

Question 5

Wholesalers that perform the entire range of wholesaler functions are _____ wholesalers.
A) full-service
B) general merchandise
C) limited-line
D) limited-service
E) specialty-line

Accepted Answer

Full-service wholesalers perform a wide range of wholesaler functions, including purchasing, warehousing, selling, and delivering to retailers. They provide a comprehensive set of services to retailers and often specialize in specific product categories. General merchandise, limited-line, limited-service, and specialty-line wholesalers may not perform the entire range of wholesaler functions.

Question 6

A middleman that purchases goods in large quantities and then sells them to retailers is called a _____.
A) retailer
B) merchant wholesaler
C) commission merchant
D) manufacturer's agent
E) manufacturer's sales branch

Accepted Answer

A merchant wholesaler is a middleman who purchases goods in bulk from manufacturers or other suppliers and then sells them to retailers in smaller quantities.

Question 7

Harvey's Hardware store is located in a small town in the Midwest.This store would best be classified as a(n)_____.
A) chain retailer
B) discount store
C) independent retailer
D) superstore
E) convenience store

Accepted Answer

Harvey's Hardware store is referred to as an independent retailer which is a type of retailer that operates one or a few stores in a given area and is not part of a larger retail institution like a chain or franchise.

Question 8

A large restaurant with locations throughout the United States has a long-term partnership with Tyson for its poultry and a produce distributor for its fruits and vegetables.These relationships reduce inefficiencies and costs and result in higher customer satisfaction.This restaurant is successfully using _____.
A) exclusive distribution
B) vertical channel integration
C) supply chain management
D) intensive distribution
E) wholesale intermediaries

Accepted Answer

The restaurant is using supply chain management to maintain long-term partnerships with a poultry supplier and a produce distributor, which results in reduced inefficiencies and costs, and higher customer satisfaction.

Question 9

Simpson Micro owns warehouses that stock computer software.They offer net terms to retail stores,offer specials and promotions,and provide customer service.Simpson Micro is a(n)_____ wholesaler.
A) general specialty
B) general merchandise
C) rare-service
D) specialty-line
E) agent

Accepted Answer

Simpson Micro is a specialty-line wholesaler because they focus on a specific product category (computer software) and offer additional services such as net terms, promotions, and customer service.

Question 10

A sales agent provides all of the following advantages except
A) immediate entry into a territory
B) selling experience
C) a predetermined selling expense
D) a warehouse
E) regular calls on customers

Accepted Answer

A sales agent does not typically provide a warehouse for storing and distributing products.

Question 11

During certain special times,Jimmy actually works at the retail outlet where his employer sells a variety of manufacturer's food products.Jimmy is providing _____ in this role as a wholesaler.
A) financial aid
B) the assumption of credit risks
C) market information
D) promotion
E) intermediation

Accepted Answer

Jimmy is providing promotion in his role at the retail outlet by helping to sell and market the manufacturer's food products directly to consumers.

Question 12

Murphy Distributors,a wholesaler,buys large quantities of health and beauty care products,light bulbs,batteries,canned food,computer disks,and more,and sells them to retailers.Murphy is a(n)_____ wholesaler.
A) agent
B) limited-line
C) selected merchandise
D) specialty-line
E) general merchandise

Accepted Answer

Murphy Distributors buys and sells a variety of products from different categories, indicating that they are a general merchandise wholesaler.

Question 13

Whirlpool Appliances would most likely use _____ distribution to sell its products.
A) intensive
B) selective
C) patterned
D) exclusive
E) comprehensive

Accepted Answer

Whirlpool Appliances would most likely use selective distribution to sell its products as they are a popular brand and have a wide range of products. Selective distribution means that the company chooses a limited number of retailers to distribute their products to, based on specific criteria such as location and brand compatibility. This allows Whirlpool Appliances to maintain some control over their brand image and customer experience, while also ensuring that their products are readily available to consumers in relevant retail locations.

Question 14

Target is working with its suppliers using tools such as electronic billing,purchase order verification,bar-code technology,and the like to integrate data to improve overall performance.This is an example of _____.
A) supply chain management
B) vertical marketing systems
C) horizontal marketing systems
D) contractual vertical marketing systems
E) intensive distribution

Accepted Answer

Target working with its suppliers to integrate data and improve overall performance is an example of supply chain management, which is the coordination of all activities involved in the creation and delivery of a product or service from suppliers to customers. The other options are not applicable in this context.

Question 15

Manufacturers of furniture,clothing,and consumer electronics generally use _____ distribution.
A) patterned
B) exclusive
C) intentional
D) selective
E) intensive

Accepted Answer

Manufacturers of furniture, clothing, and consumer electronics generally use selective distribution, which involves selling goods through a limited number of intermediaries who are carefully chosen for their ability to reach target markets. This allows manufacturers to maintain greater control over their brand image and the quality of their products, while also ensuring that they reach the right customers through the right channels. Selective distribution is often used when manufacturers want to maintain a certain level of exclusivity or upscale image for their products.

Question 16

Products such as very expensive wristwatches are distributed using _____ distribution.
A) exclusive
B) patterned
C) selective
D) intentional
E) intensive

Accepted Answer

Exclusive distribution is the strategy used for products that are high-priced and considered luxury items. The limited availability of exclusive products in select stores adds to its prestige and enhances its image. Hence, very expensive wristwatches are distributed through exclusive distribution.

Question 17

Rolls-Royce uses _____ distribution on sell its automobiles.
A) selective
B) patterned
C) exclusive
D) intensive
E) prestige

Accepted Answer

Rolls-Royce uses exclusive distribution to sell its automobiles. This means that Rolls-Royce sells its cars through a limited number of exclusive dealerships, and its cars are not available through all dealerships. This helps to maintain the high-end prestige and exclusivity associated with the Rolls-Royce brand.

Question 18

Brandie is a specialist in crude oil.She represents buyers or sellers and is generally hired on a temporary basis.She is known for her expertise in crude oil.Brandie in a(n)_____.
A) agent
B) limited-line wholesaler
C) broker
D) commission merchant
E) full-service wholesaler

Accepted Answer

A broker is a specialist who represents either buyers or sellers on a temporary basis and is known for their expertise in a particular product or service. In this case, Brandie specializes in crude oil and is hired to represent either buyers or sellers, making her a broker. Agents are typically permanent representatives of a company, limited-line wholesalers deal with specific types of products, commission merchants sell goods on behalf of others, and full-service wholesalers offer a range of services beyond just selling products.

Question 19

Clothing manufacturers typically prefer _____ distribution.
A) selective
B) exclusive
C) intensive
D) patterned
E) direct

Accepted Answer

The answer of Clothing manufacturers typically prefer _____ distribution.
A) selective
B)...

Question 20

Nine West manufactures leather goods such as shoes and handbags.Which form of distribution is this company most likely to use ?
A) Exclusive
B) Intensive
C) Comprehensive
D) Agent-driven
E) Selective

Accepted Answer

Nine West is most likely to use selective distribution as they have a specific target market for their high-quality leather goods. This means they would carefully choose and limit the number of retailers that sell their products in order to maintain the brand image and exclusivity.

Quiz 13: Distributing and Promoting Products

All of the following are services provided by wholesalers to retailers except

A functional middleman who does not take title to products and who is compensated by commissions paid by producers is called a(n) _____.

A middleman that carries a select group of products within a single line is called a(n) _____ wholesaler.

Wholesalers that perform the entire range of wholesaler functions are _____ wholesalers.

A middleman that purchases goods in large quantities and then sells them to retailers is called a _____.

Harvey's Hardware store is located in a small town in the Midwest.This store would best be classified as a(n) _____.

Simpson Micro owns warehouses that stock computer software.They offer net terms to retail stores,offer specials and promotions,and provide customer service.Simpson Micro is a(n) _____ wholesaler.

A sales agent provides all of the following advantages except

During certain special times,Jimmy actually works at the retail outlet where his employer sells a variety of manufacturer's food products.Jimmy is providing _____ in this role as a wholesaler.

Murphy Distributors,a wholesaler,buys large quantities of health and beauty care products,light bulbs,batteries,canned food,computer disks,and more,and sells them to retailers.Murphy is a(n) _____ wholesaler.

Whirlpool Appliances would most likely use _____ distribution to sell its products.

Target is working with its suppliers using tools such as electronic billing,purchase order verification,bar-code technology,and the like to integrate data to improve overall performance.This is an example of _____.

Manufacturers of furniture,clothing,and consumer electronics generally use _____ distribution.

Products such as very expensive wristwatches are distributed using _____ distribution.

Rolls-Royce uses _____ distribution on sell its automobiles.

Brandie is a specialist in crude oil.She represents buyers or sellers and is generally hired on a temporary basis.She is known for her expertise in crude oil.Brandie in a(n) _____.

Clothing manufacturers typically prefer _____ distribution.

Nine West manufactures leather goods such as shoes and handbags.Which form of distribution is this company most likely to use ?