Review M2 DC

An international company wants to move their product with the smallest cost and the greatest volume possible, no matter the time it takes. What transportation means would be the most convenient?

• Air transportation

• Maritime transportation

• Ground transportation – Truck

“Hello”, a cellphone company, has reduced its sales by 30% in the last semester, and realized that their competitor has increased their sales in the same period of time, now having a reputation of having better cellphones. Due to this, the company has decided to evaluate their products and services in order to improve their sales. This kind of case is an example of:

• Competitive benchmarking

• Internal benchmarking

• Information technology

If a company spends the following per order: $ 15.00 on indirect expenses $ 2.00 on printing formats, orders, etc. $ 8.00 on staff expenses $ 2.00 on food that each employee brings from home. What would be the order’s total cost, then?

• $25.00

• $27.00

• $17.00

If you buy a franchise which specifies that the franchiser is the one who supplies you with all your raw materials, but all of a sudden, they decide to increase the price of raw materials by 20%, what will happen in this situation?

• You engage in a vertical conflict

• You engage in a horizontal conflict

• Both parties will have greater profits

Mr. Lau bought a mattress lot to a manufacturer and he sells them in his own store. What kind of contract would apply for this situation?

• Agency

• Manufacturer-Consumer

• Distribution

Net purchases + initial inventory indicates:

• Net purchases

• Available stock

• Gross purchases

Polyethylene bubble wraps are used for:

• Cushioning

• Packaging

• Testing

Raw materials, finished products and products in process are considered:

• Current liabilities

• Fixed assets

• Working capital

The cleaning supplies company “Clean Duck” wants to correctly choose their distribution channel. The following are factors they must take into account for this decision, EXCEPT for:

• Level of conflict among the parties

• The function of distribution

• The kind of channel

Choose which is the correct sequence for the evolution of distribution channels: 1.- Permanent markets (shopkeepers and wholesalers) 2.- Manufacturers, wholesalers, retailers and a series of combinations 3.- Supermarkets, discount stores, convenience stores 4.- Exchange principles 5.- Department stores 6.- Online sales 7.- Mobile markets in fairs and religious festivals 8.- Specialized markets

• 4-7-2-1-3-8-5-6

• 4-7-1-8-2-5-3-6

• 4-1-8-7-5-3-2-6