WorksheetsUnit 5- Place
Total questions: 67
Worksheet time: 1hrs 26mins
A business who serves as a middle man and a stop along the route to get the product from manufacturer to
consumer is known as what?
intermediary
transportation
agent
distribution
Companies that offer their products in their name brand stores to preserve their product’s image are using what type of distribution?
exclusive
intensive
selective
integrated
Mary and John are a family owned pet breeding company. They sell their puppies to families who come to visit their farm. What distribution channel do they use?
manufacturer to agent to retailer to consumer
manufacturer to consumer
manufacturer to wholesaler to retailer to consumer
manufacturer to retailer to consumer
What is the most likely distribution channel for a manufacturer of cleaning supplies, dryer sheets, and chips designed for customer use?
manufacturer to retailer to consumer
manufacturer to consumer
manufacturer to wholesaler to retailer to consumer
manufacturer to agent to wholesaler to retailer to consumer
Manufacturers who want their product sold in every possible outlet to achieve mass coverage use this type of distribution.
intensive
direct
exclusive
selective
Sussex Baker sells its handmade bagels and muffins each morning in their company-owned retail store. What is this type of distribution called?
exclusive
integrated
selective
intensive
This channel member represents several related but noncompeting businesses.
agent
manufacturer
wholesaler
retailer
What intermediary stores goods for an extended period of time?
agent
producer
retailer
wholesaler
Lola owns and operates Lola’s Home Goods which manufacturers glass to be used in windows or light fixtures. Lola’s business is very small with only her and her husband employed. What is the channel that Lola would most likely use in marketing and selling her products?
manufacturer sells to agent who sells to wholesaler who sells to industrial user
manufacturer hires agent who represents her in selling to industrial user
manufacturer sells to wholesaler who sells to industrial user
direct distribution channel
What type of transportation is effected the most by accidents?
air
pipeline
water
trucking
Tammy works for Fanny’s Fashion. She sells clothing and accessories at parties given in private homes. What distribution channel is Tammy participating in?
manufacturer to retailer to consumer
manufacturer to consumer
manufacturer to agent to retailer to consumer
manufacturer to wholesaler to retailer to consumer
What distribution channel is used for high end fashion or time sensitive material?
manufacturer to wholesaler to retailer to consumer
manufacturer to agent to wholesaler to retailer to consumer
manufacturer to retailer to consumer
manufacturer to agent to retailer to consumer
What type of transportation is used for oil and natural gas and owned by the company using them?
pipeline
rail
air
water
What type of transportation is used for flowers, medicine and other high value items
water
rail
trucking
air
a business who sells goods to the final consumer through their brick and mortar store
traditional retailer
online retailer
vending retailer
wholesaler
Coverage used when a product is offered at a handful of stores
selective
intensive
exclusive
direct
often used by companies who cannot afford their own sales force
agent
retailer
manufacturer
wholesaler
The least commonly used channel
direct
indirect
selective
intensive
Coverage used when all possible retailers are utilized to sell a product
intensive
selective
exclusive
direct
anyone who is involved in moving the product from producer to consumer
channel member
distributor
wholesaler
retailer
occurs when intermediaries participate in the channel of distribution
indirect distribution
direct distribution
channel members
exclusive distribution
a business who sells goods to the final consumer through their online sites
electronic retailer
traditional retailer
vending retailer
wholesaler
the process of helping the consumer find, obtain and use the product
distribution
promotion
production
pricing
Coverage used by high end, brand name products who want to have control
exclusive
intensive
selective
one who buys, stores and resells large quantities of goods
wholesaler
agent
producer
consumer
Beats by Dre, iPhones, and Keurig coffee makers use selective distribution.
True
False
UPS and Visa are an example of a channel member.
True
False
The channel of distribution refers to the route followed and businesses involved in moving a product from wholesaler to final consumer.
True
False
Motor carriers are the most frequently used form of transportation.
True
False
Vending machines are a type of retailer.
True
False
Sometimes when retailers are large enough, they have their own wholesale buildings.
True
False
Agents are best used when the intermediary has a lot of money and has their own sales force.
True
False
Distribution channels take large quantities and breaks them into different locations and stores to give customer variety and convenience.
True
False
Distribution and place mean the same thing.
True
False
Water transportation is the best for perishable items.
True
False
The wholesaler is always the last stop in an indirect channel.
True
False
Direct distribution gives the producer control over its product.
True
False
Intensive distribution is used to luxury products that producers want to have control over.
True
False
Place is all about finding the best methods to help customers find, obtain, and sell a product.
True
False
Agents do not own the goods they sell.
True
False
UPS is considered an intermediary.
True
False
Indirect channels give other businesses (wholesalers, retailer, etc.) opportunities to handle transportation, sales and financing.
True
False
There are only two reasons for channels: differences in location and quantity.
True
False
Water transportation is the cheapest and the slowest.
True
False
Heavy, bulky items (like steel) are frequently moved by air.
True
False
Indirect distribution is the most commonly used channel.
True
False
There are three needs for channels: quantity, assortment, and
variety
location
quality
salient attribues
What is a channel of distribution?
the path a product takes from the manufacturer to the consumer
the trucks that deliver the products
different avenues used to promote the product
a system used to track inventory
Which is an example of a direct channel of distribution?
manufacturer - wholesaler - retailer - consumer
manufacturer - consumer
manufacturer - wholesaler - consumer
manufacturer - agent - wholesaler - retailer - consumer
An intensive distribution strategy aims to have a product available in
a few select outlets
as many outlets as possible
only one or two outlets
direct to consumer outlets
What is the purpose of channels of distribution?
To get products to consumers in an efficient, cost-effective way
To slow down the product delivery process
To mark up product prices at each level
To inform customers about where products originate
In which channel is there no intermediary involved?
Manufacturer -> Retailer -> Consumer
Manufacturer -> Agent -> Wholesaler -> Retailer -> Consumer
Manufacturer -> Wholesaler -> Retailer -> Consumer
Manufacturer -> Consumer
The _____ channel is the shortest path between manufacturer and consumer.
indirect
direct
dual
extensive
A selective distribution strategy involves utilizing:
a large number of outlets across all areas
only company-owned outlets
a few retailers that are carefully selected
a few intermediaries as possible
A company that sells its products through both online and brick-and-mortar retail channels is an example of:
horizontal distribution
vertical distribution
multiple distribution
exclusive distribution
If a manufacturer grants exclusive distribution rights to a wholesaler in a particular geographic region, this strategy is likely to result in:
Increase intrabrand competition
Decreased intrabrand competition
Horizontal channel conflict
Vertical channel conflict
A company that uses two different distribution channels to reach its target customers is practicing:
intensive distribution
exclusive distribution
selective distribution
dual distribution
Which of the following is a potential advantage of a longer distribution channel?
Increased control over the distribution process
Lower distribution costs
Broader market coverage
More profit for producer
What does the term "channel length" refer to in the context of distribution?
The physical length of the distribution channel
The number of intermediaries involved in the distribution process
The time it takes for a product to move through the distribution channel
The geographic distance covered by the distribution channel
An industrial user in the distribution channel refers to:
A company that purchases finished goods for resale
A company that purchases products for personal consumption
A company that purchases products for its own use in operations
A company that purchases raw materials for manufacturing
Which of the following is a common objective for manufacturers when offering incentives to retailers?
Encourage retailers to carry and promote their products
Improve their customer relationships
Build stronger relationships with retailers
Reduce inventory levels
A chargeback refers to:
A fee charged by the credit card company to the retailer
A refund issued to by retailer to the customer
A reversal of funds from the retailer to customer
A fee applied to an unpaid balance
In the context of the distribution function, what are sanctions primarily used for?
rewarding retailers
punishing non-compliance
promoting new products
improving customer service
What type of conflict is characterized by disagreements between members at the same level of the distribution channel?
horizontal conflict
vertical conflict
diagonal conflict
lateral conflict
What does multiple or dual distribution involve in the distribution function?
using multiple advertising channels
selling products to multiple customer segments
operating in multiple geographic locations
using multiple distribution channels
How are horizontal conflicts different from vertical conflicts in the distribution function?
Horizontal conflicts involve pricing issues, while vertical conflicts involve quality disputes
Horizontal conflicts occur within the same level, while vertical conflicts occur across different levels of the channel
Horizontal conflicts relate to product design, while vertical conflicts relate to promotion strategies
Horizontal conflicts are more common among retailers, while vertical conflicts are more common among manufacturers
Why is it important for companies to align incentives with channel objectives in the distribution function?
to reduce costs for consumers
to ensure fair competition
to motivate channel members
to discourage innovation
