Question 1

A manufacturer prefers to produce and ship in large quantities to take advantage of economies of scale. Final consumers often want to purchase in small quantities. This difference between the producer and consumer is a:
A) Discrepancy of assortment.
B) Discrepancy of quantity.
C) Regrouping activity.
D) Discrepancy adjustment.
E) Marketing discrepancy.

Accepted Answer

Discrepancy of quantity means the difference between the quantity of products it is economical for a producer to make, and the quantity final users or consumers normally want.

Question 2

Consumers usually want to shop for milk, meat, vegetables, and fruits at one convenient location. Grocery stores that offer all of these products help to alleviate this ___________.
A) discrepancy of quantity
B) accumulation deficit
C) sorting error
D) discrepancy of assortment
E) bulk-breaking

Accepted Answer

Discrepancy of assortment means the difference between the lines a typical producer makes and the assortment final consumers or users want. Wholesalers and retailers are required to adjust these discrepancies.

Question 3

Discrepancy of quantity is
A) the difference between the lines a typical producer makes and the assortment final consumers or users want.
B) adjusting the quantities of products handled at each level in a channel of distribution.
C) collecting products from many small producers.
D) the difference between the quantities of products that it is economical for a producer to make and the quantity final users or consumers normally want.
E) usually seen with producers who specialize by product.

Accepted Answer

Discrepancy of quantity means the difference between the quantity of products it is economical for a producer to make, and the quantity final users or consumers normally want.

Question 4

"Discrepancies of quantity" means:
A) there are more producers than consumers.
B) there are more consumers than producers.
C) the difference between the product lines the typical producer makes and the assortment wanted by consumers or final users.
D) consumers want more products than producers can make.
E) the difference between the quantity of products it is economical for an individual producer to make and the quantity normally wanted by individual consumers or users.

Accepted Answer

Discrepancy of quantity means the difference between the quantity of products it is economical for a producer to make, and the quantity final users or consumers normally want.

Question 5

A publisher of photography books finds that it is cost-effective to print 10,000 or more at a time. But a bookstore orders only a few copies of each book since its customers want to select from a wide variety. This example shows
A) why discrepancies of quantity occur.
B) why both discrepancies of quantity and assortment occur.
C) neither discrepancies of assortment or quantity.
D) why discrepancies of assortment occur.
E) multichannel distribution.

Accepted Answer

The assortment and quantity of products customers want may be different from the assortment and quantity of products companies produce leading to discrepancies of assortment and quantity.

Question 6

"Discrepancies of quantity" means:
A) some consumers buy more products than others.
B) there are more consumers than producers.
C) some manufacturers can produce more products than others.
D) the difference between the quantity of products it is economical for an individual producer to make and the quantity normally wanted by individual consumers or users.
E) that demand is greater than what a company can supply.

Accepted Answer

Discrepancy of quantity means the difference between the quantity of products it is economical for a producer to make, and the quantity final users or consumers normally want.

Question 7

Since music, movies, books, and TV programs now exist in digital form, such products:
A) have the same distribution methods as physical products.
B) have lower distribution costs.
C) do not require "intermediaries."
D) do not need distribution.
E) do not face discrepancies of quantity or assortment.

Accepted Answer

Since music, television programs, movies, books, and more now exist in digital form, their distribution costs can be very low, as there is often no physical good to distribute. Even without a physical form, distribution remains an important marketing strategy decision for firms with digital products.

Question 8

The CBS network offers consumers hundreds of hours of television viewing each month, but the typical consumer wants to watch only a few programs. What type of discrepancy does this create?
A) Discrepancy of assortment
B) Discrepancy of quality
C) Discrepancy of image
D) Discrepancy of variety
E) Discrepancy of quantity

Accepted Answer

Discrepancy of quantity means the difference between the quantity of products it is economical for a producer to make, and the quantity final users or consumers normally want.

Question 9

All of the following are regrouping activities EXCEPT
A) accumulating.
B) bulk-breaking.
C) sorting.
D) assorting.
E) channeling.

Accepted Answer

There are four regrouping activities: accumulating, bulk-breaking, sorting, and assorting.

Question 10

Dividing large quantities into smaller quantities as products get closer to the final market is called _____.
A) accumulating
B) bulk-breaking
C) sorting
D) assorting
E) dividing

Accepted Answer

Dividing larger quantities into smaller quantities as products get closer to the final market is called bulk-breaking. For example, wholesalers may sell smaller quantities to other wholesalers or directly to retailers. Retailers continue breaking bulk as they sell individual items to their customers.

Question 11

"Discrepancies of assortment" means:
A) some producers can produce more products than others.
B) some consumers buy more products than others.
C) consumers want more output than producers can make.
D) there are more producers than wholesalers.
E) the difference between the product lines the typical producer makes and the assortment wanted by final consumers or users.

Accepted Answer

Discrepancy of assortment means the difference between the lines a typical producer makes and the assortment final consumers or users want.

Question 12

"Discrepancies of assortment" means:
A) there are more producers than consumers.
B) consumers want more output than producers make.
C) the difference between the product lines the typical producer makes and the assortment wanted by final consumers or users.
D) there are more consumers than producers.
E) the difference between the quantity of products the typical producer makes and the quantity wanted by individual consumers.

Accepted Answer

Discrepancy of assortment means the difference between the lines a typical producer makes and the assortment final consumers or users want.

Question 13

"Discrepancies of quantity" occur because
A) producers seek economies of scale.
B) most intermediaries specialize in selected product lines and buy in large enough quantities to get a good price.
C) adding intermediaries in a channel of distribution increases the cost of getting products to consumers.
D) consumers want the convenience of buying many different types of products at one time.
E) all of these reasons are correct.

Accepted Answer

Discrepancy of quantity means the difference between the quantity of products it is economical for a producer to make, and the quantity final users or consumers normally want.

Question 14

Which of the following is NOT one of the "regrouping activities?"
A) Assorting
B) Ranking
C) Sorting
D) Bulk-breaking
E) Accumulating

Accepted Answer

There are four regrouping activities: accumulating, bulk-breaking, sorting, and assorting.

Question 15

When Fresh Produce Wholesaler Inc. buys fruits and vegetables from a variety of different farmers, and then takes large bushels and breaks them into smaller package sizes, Fresh Produce is addressing
A) discrepancies of time.
B) discrepancies of quantity.
C) discrepancies of assortment.
D) discrepancies of place.
E) discrepancies of need.

Accepted Answer

Specialists adjust quantity discrepancies by the regrouping activities of accumulating and bulk-breaking.

Question 16

Channel specialists use the regrouping activities of sorting and assorting to resolve:
A) discrepancies of time
B) discrepancies of quantity
C) discrepancies of assortment
D) discrepancies of place
E) discrepancies of need

Accepted Answer

Specialists adjust assortment discrepancies by the regrouping activities of sorting and assorting.

Question 17

Sony manufactures clock radios in quantities of more than 100,000 in a given time period-but the average consumer wants only one clock radio at a time. This difference is an example of
A) a regrouping activities.
B) a discrepancy of assortment.
C) a discrepancy of quantity.
D) a sorting error.
E) re-assorting.

Accepted Answer

Discrepancy of quantity means the difference between the quantity of products it is economical for a producer to make, and the quantity final users or consumers normally want.

Question 18

Which of the following best illustrates adjusting "discrepancies of assortment?"
A) General Motors makes Hummer for one product-market and Chevrolet for another product-market.
B) A hardware store sells all the hardware items wanted by most people.
C) Over 310 million U.S. consumers are served by approximately 330,000 manufacturers.
D) RCA sold more than 2,000,000 TVs last year.
E) Three firms produce over 60 percent of all the DVD players sold in the United States.

Accepted Answer

Discrepancy of assortment means the difference between the lines a typical producer makes and the assortment final consumers or users want. Wholesalers and retailers are required to adjust these discrepancies.

Question 19

Which of the following best illustrates "discrepancies of quantity"?
A) Michelin makes tires, but most consumers also want a large selection of car-care services.
B) Some stores sell large quantities of Michelin tires, but only small quantities of tires made by other companies.
C) There are over 310 million consumers in the U.S. but only a small portion buy tires in any given year.
D) Four firms make over 90 percent of all the tires sold in the United States.
E) Michelin made millions of tires last year-but most customers bought only one set.

Accepted Answer

Discrepancy of quantity means the difference between the quantity of products it is economical for a producer to make, and the quantity final users or consumers normally want.

Question 20

ESPN cable television offers numerous sports programs. What type of discrepancy does this create for sports fans who want to watch only a few of the programs?
A) Discrepancy of assortment
B) Discrepancy of information
C) Discrepancy of quantity
D) Discrepancy of quality
E) Discrepancy of image

Accepted Answer

Discrepancy of quantity means the difference between the quantity of products it is economical for a producer to make, and the quantity final users or consumers normally want.

Quiz 10: Place and Development of Channel Systems

A manufacturer prefers to produce and ship in large quantities to take advantage of economies of scale. Final consumers often want to purchase in small quantities. This difference between the producer and consumer is a:

Consumers usually want to shop for milk, meat, vegetables, and fruits at one convenient location. Grocery stores that offer all of these products help to alleviate this ___________.

Discrepancy of quantity is

"Discrepancies of quantity" means:

A publisher of photography books finds that it is cost-effective to print 10,000 or more at a time. But a bookstore orders only a few copies of each book since its customers want to select from a wide variety. This example shows

"Discrepancies of quantity" means:

Since music, movies, books, and TV programs now exist in digital form, such products:

The CBS network offers consumers hundreds of hours of television viewing each month, but the typical consumer wants to watch only a few programs. What type of discrepancy does this create?

All of the following are regrouping activities EXCEPT

Dividing large quantities into smaller quantities as products get closer to the final market is called _____.

"Discrepancies of assortment" means:

"Discrepancies of assortment" means:

"Discrepancies of quantity" occur because

Which of the following is NOT one of the "regrouping activities?"

When Fresh Produce Wholesaler Inc. buys fruits and vegetables from a variety of different farmers, and then takes large bushels and breaks them into smaller package sizes, Fresh Produce is addressing

Channel specialists use the regrouping activities of sorting and assorting to resolve:

Sony manufactures clock radios in quantities of more than 100,000 in a given time period-but the average consumer wants only one clock radio at a time. This difference is an example of

Which of the following best illustrates adjusting "discrepancies of assortment?"

Which of the following best illustrates "discrepancies of quantity"?

ESPN cable television offers numerous sports programs. What type of discrepancy does this create for sports fans who want to watch only a few of the programs?