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Entrepreneurship - Distribution Channels - 4.01

Total questions: 12

Worksheet time: 6mins

Name
Class
Date
1.

A channel of distribution begins with the

a)

industrial user.

b)

producer.

c)

intermediary.

d)

ultimate consumer.

2.

Which of the following is an example of an industrial user?

a)

A family buying a new home computer

b)

A teacher buying a book to read on vacation

c)

A hairstylist buying new scissors to perform haircuts

d)

A parent buying a picture frame for their desk

3.

Quality Distributors buys electrical equipment and supplies from ABC Electric and sells them to local electrical contractors. Quality Distributors is an example of a(n)

a)

agent.

b)

producer.

c)

retailer.

d)

intermediary.

4.

Walmart, Domino's, and Avis Rent-a-Car are examples of

a)

retailers.

b)

wholesalers.

c)

agents.

d)

industrial distributors.

5.

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

a)

agent.

b)

retailer.

c)

producer.

d)

wholesaler.

6.

Which of the following intermediaries never actually owns the products they promote and sell?

a)

Retailers

b)

Wholesalers

c)

Agents

d)

Industrial Users

7.

Producers are able to match their production to the needs and wants of consumers or industrial users because intermediaries

a)

develop assortment of goods.

b)

increase distribution costs.

c)

enable producers to promote goods.

d)

extend credit services to consumers.

8.

The most common route of distribution for an industrial good is

a)

producer to retailer to consumer

b)

producer to industrial user

c)

producer to agent to user

d)

producer to wholesaler to ultimate consumer

9.

Which of the following is NOT a type of intermediary?

a)

Retailer

b)

Wholesaler

c)

Agent

d)

Producer

10.

Which of the following retailers would be most likely to be part of the producer-to-retailer-to-consumer channel?

a)

Small Boutique

b)

Larger Retail Chain

c)

Specialty Shop

d)

Locally Owned Pharmacy

11.

Which indirect channel of distribution is used to reach larger retailers when the producer does not want responsibility for the selling activities?

a)

Producer to retailer to consumer

b)

Producer to wholesaler to retailer to consumer

c)

Producer to consumer

d)

Producer to agent to retailer to consumer

12.

Which of the following services would be distributed by a producer-to-agent-to-consumer channel?

a)

Healthcare

b)

Vehicle repair

c)

Income tax preparation

d)

Travel Planning