Question 1

If a business needs bids on installing a wastewater treatment centre, it can visit Korony.com, an Internet company, list its requirements, and ask for bids.Because the purpose of this website is to put buyers and sellers together so that a sale can be made, this site can be categorized as a(n) _____.

Accepted Answer

Brokers are independent firms or individuals whose principal function is to bring buyers and sellers together to make sales.

Question 2

Which of the following is true about cash and carry wholesalers?

Accepted Answer

Cash and carry wholesalers take title to merchandise but sell only to buyers who call on them, pay cash for merchandise, and furnish their own transportation for the merchandise.They carry a limited product assortment and do not make deliveries, extend credit, or supply market information.

Question 3

Which type of wholesaler carries a broad assortment of merchandise and performs all channel functions?

Accepted Answer

General merchandise (or full-line) wholesalers carry a broad assortment of merchandise and perform all channel functions.This type of wholesaler is most prevalent in the hardware, drug, and clothing industries.

Question 4

Smartphones are being integrated into the shopping experience and have a variety of tools to make it easy for the consumer to make the exchange. While shopping, Ann uses her smartphone to scan _____ codes that are encoded with information ranging from text, to photos, to website addresses.

Accepted Answer

QR (quick response) codes are two-dimensional images that look like blobs of black on a white background.They are similar to standard bar codes but have much more functionality.QR codes are encoded with information ranging from text, to photos, to website addresses and are scanned by smartphones.

Question 5

Cash and carry wholesalers:

Accepted Answer

Cash and carry wholesalers take title to merchandise but sell only to buyers who call on them, pay cash for merchandise, and furnish their own transportation for the merchandise.They carry a limited product assortment and do not make deliveries, extend credit, or supply market information.

Question 6

Which of the following is true about rack jobbers?

Accepted Answer

Rack jobbers furnish the racks or shelves that display merchandise in retail stores and perform all channel functions.They sell on consignment to retailers.

Question 7

In order to improve online order rates, a retailer should

Accepted Answer

Social media engagement has been shown to have a tremendous impact on consumer online purchases.While 7% of online shoppers make a purchase overall, that jumps to more than 70% when the consumer has been directed to the site through social media recommendations.

Question 8

Harry, upon arriving at a supermarket, researches for product reviews and prices on his smartphone using codes that are two-dimensional images that look like blobs of black on a white background.Harry is using a _____ scanner.

Accepted Answer

QR (quick response) codes are two-dimensional images that look like blobs of black on a white background.They are similar to standard bar codes but have much more functionality.

Question 9

Truck jobbers are wholesalers who:

Accepted Answer

Truck jobbers are small wholesalers that have a small warehouse from which they stock their trucks for distribution to retailers.

Question 10

For online shoppers under 35 years old, recommendations of social media friends are ____ important compared to celebrity endorsements.

Accepted Answer

Research suggests that 50% of online shoppers under 35 followed the recommendations of a social media friend.Only 17% indicated that they purchased based on a celebrity endorsement.

Question 11

Milky Way Inc., a regional manufacturer of dairy products, has developed a frozen soy-based yogurt product.The company feels that the choice of its distribution channel is critical to its new product's success, especially since the product is a perishable item, and the company wants to have it distributed across the nation.However, it will take some time before sales take off, and it wants to make sure the marketing program is consistent everywhere.It should use:

Accepted Answer

With a need for control and consistency, manufacturer's agents will be the best choice for Milky Way Inc.with this new product.

Question 12

Selling agents are agents who:

Accepted Answer

Selling agents represent a single producer and are responsible for the entire marketing function of that producer.

Question 13

Drop shippers are wholesalers who:

Accepted Answer

Drop shippers, or desk jobbers, are wholesalers that own the merchandise they sell but do not physically handle, stock, or deliver it.

Question 14

_____ furnish the racks or shelves that display merchandise in retail stores and perform all channel functions.They sell on consignment to retailers, which means they retain the title to the products displayed and bill retailers only for the merchandise sold.

Accepted Answer

Rack jobbers are limited-service wholesalers who furnish the racks or shelves that display merchandise in retail stores and perform all channel functions.They sell on consignment to retailers, which means they retain the title to the products displayed and bill retailers only for the merchandise sold.

Question 15

A manufacturer's branch office:

Accepted Answer

A manufacturer's branch office carries a producer's inventory and performs the functions of a full-service wholesaler.

Question 16

Which of the following are limited-service wholesalers?

Accepted Answer

Four major types of limited-service wholesalers exist: rack jobbers, cash and carry wholesalers, drop shippers, and truck jobbers.

Question 17

Play Along Inc., a new toy company, has launched Music Blocks at an initial price of $70.It is a set of electronic blocks that young children arrange in different combinations to create music and experiment with sound.To get the toy into the hands of the retailers, Play Along Inc.must choose to use a _____ to be principally responsible for the transactional channel functions.

Accepted Answer

Manufacturers' agents work for several producers and carry non-competitive, complementary merchandise in an exclusive territory.Manufacturers' agents act as a producer's sales arm in a territory and are principally responsible for the transactional channel functions, primarily selling.

Question 18

In order to be effective, online retailers must ensure that websites are well designed, easy to navigate and load images quickly.This is because

Accepted Answer

Consumers expect convenience in their online shopping experience.Retailers who recognize this and build web sites accordingly perform much better in online sales.

Question 19

Which of the following statements is true?

Accepted Answer

Unlike merchant wholesalers, agents and brokers do not take title to merchandise and typically provide fewer channel functions.

Question 20

Which of the following would most likely use truck jobbers to distribute its products?

Accepted Answer

Truck jobbers are small wholesalers that have a small warehouse from which they stock their trucks for distribution to retailers.They usually handle limited assortments of fast-moving or perishable items that are sold for cash directly from trucks in their original packages.Truck jobbers handle products such as bakery items, dairy products, and meat.

Quiz 11: Retailing and Wholesaling