Marketing Unit 3: Place

^{Top-Notch Wheels buys thousands of different brands of mountain bikes from The Great Colorado Mountain Bike Company and sells them to local bike shops. Top-Notch Wheels is an example of a(n)}

• agent

• retailer

• producer

• wholesaler

The path(s) a product takes from the producer/manufacturer to the final user is:

• Channels of distribution

• Multiple channels

• E-tailing

• Selective distribution

This channel member buys large quantities of goods from manufacturers, stores them and resells them to other businesses.

• Agent

• Retailer

• Wholesaler

• Common Carrier

This channel member sells goods to the final consumer.

• Wholesaler

• Agent

• Retailer

• Executive distributor

All the following are reasons producers use indirect channels of distribution EXCEPT:

• Reduces the number of transactions they have to make.

• Can reach more people efficiently

• Can keep control of the brand the entire way

• Costs for the business are lower

True or False: If a product changes ownership between companies during the distribution process, it is officially an indirect channel of distribution.

• True

• False

All of the following are reasons to use a direct channel of distribution EXCEPT:

• It is cheaper for the business

• Being able to control the brand and product image the entire way

• The product is new to the market and needs better customer service attached to it

• It keeps the price of the product down for the consumer

distribution aimed at maximum market coverage

• Intensive

• Selective

• Exclusive

Screening retailers so not everyone can sell your product but giving enough room to put your product in a good amount of vendors.

• Intensive distribution

• Selective distribution

• Exclusive distribution

Only one dealer within a given area are allowed to sell the product.

• Intensive distribution

• Selective distribution

• Exclusive distribution