Strand 7: Distribution Channels

What is a channel of distribution?

• The method for setting the price of a product.

• The process of designing new product packaging.

• The network used to get a product to customers.

• The system used to advertise products online.

What does direct channel mean?

• Shipping products internationally by air or sea.

• Partnering with wholesalers to distribute products.

• Using automated systems to track inventory levels.

• Selling products directly to customers without intermediaries.

What is an example of an indirect channel?

• Offering free shipping directly from your warehouse.

• Delivering products to customers in-person.

• Partnering with a retailer to sell your products.

• Selling products on your company’s website.

What is the purpose of a Just-In-Time (JIT) system?

• To create advertising campaigns for product launches.

• To ensure fast international delivery using airplanes.

• To track competitors' pricing strategies in real time.

• To reduce inventory costs by delivering products as needed.

Which of the following is an example of automated inventory management?

• Partnering with online retailers for distribution.

• Using software to track product levels and restocking.

• Manually counting stock in a warehouse.

• Delivering products directly to the end user.

Which transportation method is typically the fastest?

• Transporting by ship.

• Using rail systems.

• Shipping by air.

• Delivering by trucks.

What is a benefit of using rail transport for distribution?

• It allows same-day delivery for local orders.

• It is the least expensive method for heavy goods.

• It ensures delivery within hours to customers.

• It is the fastest way to ship products globally.

Why are international distribution channels important?

• They increase costs for shipping products abroad.

• They eliminate the need for local retail stores.

• They simplify the process of manufacturing goods.

• They enable products to reach global markets.

What can happen if a global distribution channel is disrupted?

• Customers switch to using direct distribution only.

• Prices of products increase due to advertising costs.

• Manufacturers stop making products permanently.

• Supply chains experience delays in product delivery.

What is the main goal of same-day delivery services?

• To eliminate the need for indirect distribution channels.

• To reduce costs associated with packaging products.

• To increase customer satisfaction by quick delivery.

• To improve relationships with international retailers.