Question 1

When an intermediary in the channel of distribution owns the merchandise and controls the terms of the sale,this is referred to as:

Accepted Answer

This is the definition of taking title.

Question 2

YKK slide fasteners (zippers)are made in Macon,Georgia,yet manufactures all over the world use zippers to manufacture,clothes,luggage,shoes,and other items.Wholesalers around the world primarily help to overcome a(n)_____ discrepancy.

Accepted Answer

Markets are often scattered over large geographic regions,yet a manufacturer may only have one location in the country.This creates a spatial discrepancy.

Question 3

The efficient and cost-effective forward and reverse flow and storage of goods,services,and related information into,through,and out of channel member companies is called:

Accepted Answer

Logistical functions include physically distributing,storing,and sorting products.

Question 4

W.W.Grainger,Inc. ,is one of the world's largest business-to-business distributors of equipment,component parts,and supplies in the United States and Canada.It has ownership title to over 220,000 products,which are stocked in one national and nine regional warehouses to guarantee product availability and quick service to the many manufacturers who are its customers.W.W.Grainger is an example of a(n):

Accepted Answer

A merchant wholesaler is an institution that buys goods from manufacturers and resells them to other wholesalers and retailers.Merchant Wholesalers receive and take title to the goods,own warehouses,and ship the products they sell.

Question 5

A(n)_____ is an institution that buys goods from manufacturers,takes title to these goods,and resells them to businesses,government agencies,and/or other wholesalers or retailers.

Accepted Answer

This is the definition of a merchant wholesaler.

Question 6

Which of the following intermediaries sell mainly to consumers?

Accepted Answer

Retailers are firms that sell mainly to consumers.

Question 7

Marketing channels make distribution simpler by reducing the number of transactions required to get products from manufacturers to consumers.This is called:

Accepted Answer

Marketing channels provide contact efficiencies by reducing the number of stores customers must shop in to complete their purchases.

Question 8

_____ are intermediaries who facilitate the sales of a product from producer to end user by representing retailers,wholesalers,or manufacturers and providing little input as to the terms of the sale.

Accepted Answer

Agents and brokers simply facilitate the sale of a product from producer to end user.

Question 9

Marketing channels perform all of the following logistical activities EXCEPT:

Accepted Answer

Risk taking is a transactional activity.

Question 10

The three basic functions channel intermediaries perform are:

Accepted Answer

The three basic functions of channel intermediaries are transactional (buying and selling), logistical (transportation and storage), and facilitating (communication and risk-taking). Option A correctly lists these primary functions. Options B, C, D, and E either miss or include additional functions that are not part of the basic functions of channel intermediaries.

Question 11

Which of the following is a transactional function performed by intermediaries?

Accepted Answer

Transactional functions include contacting and promoting,negotiating,and risk taking.

Question 12

Agents and brokers:

Accepted Answer

Agents and brokers represent retailers,wholesalers,or manufacturers in sales situations,but the agent or broker generally has little input into the terms of the sale.Agents and brokers generally receive a fee or commission and do not take title,control,or risk concerning the merchandise.

Question 13

Retailers and merchant wholesalers are examples of intermediaries that:

Accepted Answer

Retailers and merchant wholesalers own the merchandise and control the terms of its ultimate sale.

Question 14

The major characteristic that is used to differentiate among types of intermediaries is whether they:

Accepted Answer

Taking title means they own the merchandise and control the terms of the sale.

Question 15

Transactional channel functions include all of the following activities EXCEPT:

Accepted Answer

Physical distribution and sorting are logistical functions, not transactional channel functions. Transactional functions involve activities directly related to the sale and transfer of ownership of the product.

Question 16

All of the following are sorting activities EXCEPT:

Accepted Answer

Sorting activities involve organizing or separating items based on specific criteria. Assorting, accumulation, sorting out, and allocation all involve some form of organization or distribution. Possession, however, refers to the act of owning or having something, which does not inherently involve any sorting activity.

Question 17

Which of the following is a logistical function performed by intermediaries?

Accepted Answer

Logistical functions include physically distributing,storing,and sorting products.

Question 18

A Target store is an example of a(n):

Accepted Answer

Retailers are firms that sell mainly to consumers.

Question 19

_____ considerations affecting the wholesaler choice include how often a product is purchased and how long a customer is willing to wait to receive the product.

Accepted Answer

The question describes buyer considerations.

Question 20

Generally,_____ determine what type of intermediary a manufacturer should use.

Accepted Answer

The correct answer combines both internal and external elements.The internal elements can be controlled by the manufacturer,while external environmental factors cannot.

Quiz 13: Marketing Channels