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WorksheetsChannels of Distribution Quiz
Total questions: 20
Worksheet time: 15mins
What is Direct Distribution?
Products are sold directly from the manufacturer to the consumer without any intermediaries.
Products are sold through intermediaries before reaching the consumer.
Distribution that only occurs online.
A method of distribution exclusively used by wholesalers.
Which of the following is an example of Indirect Distribution?
A farmer selling vegetables directly at a local market.
An author selling their book directly on their personal website.
A clothing brand selling its products through various retail stores.
A bakery selling bread directly to customers in its shop.
What role do Wholesalers play in the distribution channel?
They sell products directly to the end consumers.
They create the products to be distributed.
They buy large quantities of products and sell them to retailers or other intermediaries.
They only operate in e-commerce channels.
Which of the following best describes Retailers?
Entities that produce the goods.
Entities that buy goods in bulk and sell them in smaller quantities to consumers.
Entities that facilitate online transactions.
Entities that transport goods from one place to another.
What is a characteristic of E-commerce Channels?
They require a physical storefront to operate.
They allow consumers to buy goods and services online.
They do not allow for international sales.
They exclusively sell digital products.
Physical Distribution involves which of the following activities?
Designing the product.
Setting the price of the product.
Transporting and storing products.
Promoting the product through advertising.
Which distribution channel is typically the fastest for delivering goods directly to consumers?
Direct Distribution
Indirect Distribution through wholesalers
Indirect Distribution through retailers
E-commerce Channels
In which scenario would a company most likely use a wholesaler?
When selling customized products directly to consumers.
When needing to store large quantities of goods before distribution.
When selling digital products online.
When distributing perishable goods locally.
What advantage do e-commerce channels offer over traditional retail channels?
Higher costs due to shipping.
Limited reach to local markets.
24/7 availability to customers.
Requirement for physical inventory space.
Which of the following is NOT a function of physical distribution?
Product promotion
Inventory management
Order processing
Transportation
Which of the following is a reseller's permit?
A permit to purchase good's tax free from wholesaler's and collect sales tax from final buyers.
A permit to purchase good's tax free from retailers and collect sales tax from final buyers.
none of the choices are correct
Wholesaling and retailing business may sometimes be referred to as ................
Trade Businesses
Service Businesses
none of the choices are correct
Manufacturing Businesses
An intermediary is a bridge
between producer and a consumer and may include agents, brokers, wholesalers and retailers
only between two producers may include agents, brokers, wholesalers and retailers
none of the choices are correct
ONLY between Manufacturers and Wholesalers
An markup is a price increase imposed by each link in a distribution chain or channel
FALSE
TRUE
LOGISTICS is the handling and organizing of materials, equipment, goods and workers
FALSE
TRUE
Free on Board - Is a delivery term that means at a specific location the ownership responsibility for a shipment switches from the BUYER to the seller.
That is FALSE - Free on Board (FOB) Is a delivery term that means at a specific location the ownership responsibility for a shipment switches from the SELLER to the buyer.
That is TRUE
One of the primary characteristics of a MANUFACTURING business is that
they create things
they buy in bulk
they sell to customers in small/individual sizes
they provide a wide variety of professional, technical and everyday services that people need
One of the primary characteristics of a RETAIL business is that
they create things
they buy in bulk
they sell to customers in small/individual sizes
they provide a wide variety of professional, technical and everyday services that people need
One of the primary characteristics of a SERVICE business is that
they create things
they buy in bulk
they sell to customers in small/individual sizes
they provide a wide variety of professional, technical and everyday services that people need
One of the primary characteristics of a WHOLESALE business is that
they create things
they buy in bulk
they sell to customers in small/individual sizes
they provide a wide variety of professional, technical and everyday services that people need
