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Star Supplies, Inc.manufactures commercial-grade floor cleaners, such as vacuums and floor polishers.The company has recently begun manufacturing other janitorial-related product lines, such as paper products and chemical cleaners.Star Supplies distributes its products in two ways.It sells its vacuum, floor polisher and janitorial supply products to an independent business that takes title to the products and then sells them to various small businesses throughout the region.Also, Star has a list of large businesses that it distributes to directly, on an as-needed basis.These businesses purchase janitorial supplies in small quantities and keep very little inventory.Recently, Star decided to add new two new service product lines: paper shredding and a uniform hire service.Clint Rodriguez, the marketing manager, is conducting a meeting to discuss the ways in which Star can strategically manage these new businesses.Star has the choice of marketing the paper shredding service to its large business clients; it can pick up the paper other janitorial supplies are delivered, or it can buy an existing small paper shredding business and market it to both large and small business customers.With regard to the uniform hire service, Star can either pick up and deliver the uniforms to the small businesses themselves or contract that out to a third party.
-Clint's suggestion for the uniform hire service was either picking up and delivering the uniforms themselves, or contracting this to a third party.If Star decides to pick up and deliver the uniforms with its own trucks, this is an example of a __________ channel.If Star contracts this action to a third party, it is called __________.
A)long; industrial distribution
B)direct; industrial distribution
C)long; outsourcing
D)direct; outsourcing
E)exclusive; outsourcing

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Star Supplies, Inc.manufactures commercial-grade floor cleaners, such as vacuums and floor polishers.The company has recently begun manufacturing other janitorial-related product lines, such as paper products and chemical cleaners.Star Supplies distributes its products in two ways.It sells its vacuum, floor polisher and janitorial supply products to an independent business that takes title to the products and then sells them to various small businesses throughout the region.Also, Star has a list of large businesses that it distributes to directly, on an as-needed basis.These businesses purchase janitorial supplies in small quantities and keep very little inventory.Recently, Star decided to add new two new service product lines: paper shredding and a uniform hire service.Clint Rodriguez, the marketing manager, is conducting a meeting to discuss the ways in which Star can strategically manage these new businesses.Star has the choice of marketing the paper shredding service to its large business clients; it can pick up the paper other janitorial supplies are delivered, or it can buy an existing small paper shredding business and market it to both large and small business customers.With regard to the uniform hire service, Star can either pick up and deliver the uniforms to the small businesses themselves or contract that out to a third party.
-Clint's suggestion for the uniform hire service was either picking up and delivering the uniforms themselves, or contracting this to a third party.If Star decides to pick up and deliver the uniforms with its own trucks, this is an example of a __________ channel.If Star contracts this action to a third party, it is called __________.
A)long; industrial distribution
B)direct; industrial distribution
C)long; outsourcing
D)direct; outsourcing
E)exclusive; outsourcing

Quizplus · Accepted Answer

If Star decides to pick up and deliver the uniforms with its own trucks, it is an example of direct channel. If they contract this action to a third party, it is called outsourcing. Therefore, the best choice is D) direct; outsourcing.

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