Question 1

Weaver & Sharpe,Inc.,a firm that manufactures home and kitchen appliances,uses an intensive distribution strategy.However,the firm finds that the retailers in the same marketing area compete with each other for greater market share,which negatively affects the sale of Weaver & Sharpe products.Which of the following can help Weaver & Sharpe,Inc.to resolve the problem of channel conflict?

Accepted Answer

A)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.
B)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.
C)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.
D)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.
E)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.

Question 2

TechSource Inc.is a wholesaler of electronic components,such as connectors and semiconductors.The firm purchases electronic components directly from technology manufacturers,has physical possession of the products,takes legal title to the goods,and then resells it to organizational customers for internal operations or the production of other goods.TechSource Inc.does not sell products to retailers for resale.TechSource Inc.can be classified as a(n)________.

Accepted Answer

A)Distributors refer to merchant wholesalers that sell products to organizational customers for internal operations or the production of other goods, rather than to retailers for resale.
B)Distributors refer to merchant wholesalers that sell products to organizational customers for internal operations or the production of other goods, rather than to retailers for resale.
C)Distributors refer to merchant wholesalers that sell products to organizational customers for internal operations or the production of other goods, rather than to retailers for resale.
D)Distributors refer to merchant wholesalers that sell products to organizational customers for internal operations or the production of other goods, rather than to retailers for resale.
E)Distributors refer to merchant wholesalers that sell products to organizational customers for internal operations or the production of other goods, rather than to retailers for resale.

Question 3

Which of the following is a defining characteristic of drop shippers?

Accepted Answer

A)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.
B)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.
C)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.
D)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.
E)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.

Question 4

M&K Wholesalers,owned by Jonathan McCloud,sells rough lumber to furniture manufacturers.M&K Wholesalers take ownership,but not physical possession,of the goods they handle.The firm does not keep goods in stock,but instead transfers customer orders and shipment details to American Timber and Lumber Inc.,a producer and manufacturer of quality hardwood lumber.M&K Wholesalers can be classified as ________.

Accepted Answer

A)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.
B)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.
C)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.
D)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.
E)Natural resources such as lumber, grain, and coal are usually marketed through a class of limited-service wholesalers called drop shippers, which take ownership, but not physical possession, of the goods they handle.

Question 5

PetCare is a retail store based in New York that offers only pet supplies and pet accessories.The shop stocks a limited number of product lines such as dog and cat products (canned and dry food,and hard goods),and bird,fish and small animal products (fish tanks,stands,aquarium decorations,cages,bowls,perches,etc.).The shop stocks several brands of varying prices rages within these product lines.PetCare can be classified as a(n)________.

Accepted Answer

A)Specialty stores refer to stores that carry only a particular type of goods, often with deep selection in those specific categories.
B)Specialty stores refer to stores that carry only a particular type of goods, often with deep selection in those specific categories.
C)Specialty stores refer to stores that carry only a particular type of goods, often with deep selection in those specific categories.
D)Specialty stores refer to stores that carry only a particular type of goods, often with deep selection in those specific categories.
E)Specialty stores refer to stores that carry only a particular type of goods, often with deep selection in those specific categories.

Question 6

Which of the following is an example of disintermediation?

Accepted Answer

A)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.
B)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.
C)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.
D)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.
E)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.

Question 7

Unlike drop shippers,rack jobbers ________.

Accepted Answer

A)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise. Drop shippers take ownership, but not physical possession, of the goods they handle.
B)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise. Drop shippers take ownership, but not physical possession, of the goods they handle.
C)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise. Drop shippers take ownership, but not physical possession, of the goods they handle.
D)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise. Drop shippers take ownership, but not physical possession, of the goods they handle.
E)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise. Drop shippers take ownership, but not physical possession, of the goods they handle.

Question 8

Off-price retailers differ from discount stores in that off-price retailers ________.

Accepted Answer

A)Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices. Discount stores feature a wide variety of aggressively priced everyday merchandise.
B)Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices. Discount stores feature a wide variety of aggressively priced everyday merchandise.
C)Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices. Discount stores feature a wide variety of aggressively priced everyday merchandise.
D)Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices. Discount stores feature a wide variety of aggressively priced everyday merchandise.
E)Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices. Discount stores feature a wide variety of aggressively priced everyday merchandise.

Question 9

PopArt,an American manufacturer of music and pop culture-related clothing and accessories,sells its products to selected retail stores,who then resell them to consumers.However,the firm finds that the retail stores do not market their products effectively.PopArt begins to market its products directly to the consumers to have greater control over pricing,promotion,service,and delivery of their products.Thus the firm replaces the retailers.This exemplifies ________.

Accepted Answer

A)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.
B)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.
C)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.
D)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.
E)Disintermediation refers to the replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently.

Question 10

InfiniTea,Inc.is a manufacturer of a range of organic teas.The firm provides free samples of their products in stalls at retail stores that stock their products to increase their brand awareness.In this example,InfiniTea,Inc.uses ________.

Accepted Answer

A)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.
B)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.
C)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.
D)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.
E)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.

Question 11

________ refers to a type of specialty store that focuses on specific products on a massive scale and dominates retail sales in respective products categories.

Accepted Answer

A)Huge specialty stores such as The Home Depot and Bed Bath & Beyond that tend to dominate those sectors of retail are known as category killers.
B)Huge specialty stores such as The Home Depot and Bed Bath & Beyond that tend to dominate those sectors of retail are known as category killers.
C)Huge specialty stores such as The Home Depot and Bed Bath & Beyond that tend to dominate those sectors of retail are known as category killers.
D)Huge specialty stores such as The Home Depot and Bed Bath & Beyond that tend to dominate those sectors of retail are known as category killers.
E)Huge specialty stores such as The Home Depot and Bed Bath & Beyond that tend to dominate those sectors of retail are known as category killers.

Question 12

Which of the following is a key feature of a supermarket?

Accepted Answer

A)Supermarket is a large, self-service store that offers a wide selection of food and non-food merchandise.
B)Supermarket is a large, self-service store that offers a wide selection of food and non-food merchandise.
C)Supermarket is a large, self-service store that offers a wide selection of food and non-food merchandise.
D)Supermarket is a large, self-service store that offers a wide selection of food and non-food merchandise.
E)Supermarket is a large, self-service store that offers a wide selection of food and non-food merchandise.

Question 13

Large stores that carry a variety of products in multiple categories,such as clothing,house wares,gifts,bedding,and furniture are termed as ________.

Accepted Answer

A)Department stores refers to large stores that carry a variety of products in multiple categories, such as clothing, house wares, gifts, bedding, and furniture.
B)Department stores refers to large stores that carry a variety of products in multiple categories, such as clothing, house wares, gifts, bedding, and furniture.
C)Department stores refers to large stores that carry a variety of products in multiple categories, such as clothing, house wares, gifts, bedding, and furniture.
D)Department stores refers to large stores that carry a variety of products in multiple categories, such as clothing, house wares, gifts, bedding, and furniture.
E)Department stores refers to large stores that carry a variety of products in multiple categories, such as clothing, house wares, gifts, bedding, and furniture.

Question 14

Stores that carry only a particular type of goods,often with deep selection in those specific categories,are called ________.

Accepted Answer

A)Specialty stores such as jewelers and bicycle shops offer a limited number of product lines but an extensive selection of brands, styles, sizes, models, colors, materials, and prices within each line.
B)Specialty stores such as jewelers and bicycle shops offer a limited number of product lines but an extensive selection of brands, styles, sizes, models, colors, materials, and prices within each line.
C)Specialty stores such as jewelers and bicycle shops offer a limited number of product lines but an extensive selection of brands, styles, sizes, models, colors, materials, and prices within each line.
D)Specialty stores such as jewelers and bicycle shops offer a limited number of product lines but an extensive selection of brands, styles, sizes, models, colors, materials, and prices within each line.
E)Specialty stores such as jewelers and bicycle shops offer a limited number of product lines but an extensive selection of brands, styles, sizes, models, colors, materials, and prices within each line.

Question 15

MacyPools is a firm that distributes pool chemicals,pool equipment,and pool supplies.The firm purchases the products from manufacturers,takes legal title to the goods,and then resells it to companies and government agencies.MacyPools also sells its products to small-business owners who then resell it to individuals for their own personal use.MacyPools can be classified as ________.

Accepted Answer

A)The majority of wholesalers are merchant wholesalers, independently-owned businesses that buy from producers, take legal title to the goods, and then resell them to retailers or to organizational buyers.
B)The majority of wholesalers are merchant wholesalers, independently-owned businesses that buy from producers, take legal title to the goods, and then resell them to retailers or to organizational buyers.
C)The majority of wholesalers are merchant wholesalers, independently-owned businesses that buy from producers, take legal title to the goods, and then resell them to retailers or to organizational buyers.
D)The majority of wholesalers are merchant wholesalers, independently-owned businesses that buy from producers, take legal title to the goods, and then resell them to retailers or to organizational buyers.
E)The majority of wholesalers are merchant wholesalers, independently-owned businesses that buy from producers, take legal title to the goods, and then resell them to retailers or to organizational buyers.

Question 16

Discount stores differ from off-price retailers in that discount stores ________.

Accepted Answer

A)Discount stores feature a wide variety of aggressively priced everyday merchandise. Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices.
B)Discount stores feature a wide variety of aggressively priced everyday merchandise. Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices.
C)Discount stores feature a wide variety of aggressively priced everyday merchandise. Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices.
D)Discount stores feature a wide variety of aggressively priced everyday merchandise. Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices.
E)Discount stores feature a wide variety of aggressively priced everyday merchandise. Off-price retailers offer limited selections of higher-end products such as designer label clothing at steeply discounted prices.

Question 17

When the role of an intermediary is taken over by manufacturers upstream or customers downstream,________ occurs.

Accepted Answer

A)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.
B)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.
C)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.
D)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.
E)The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently is called disintermediation.

Question 18

________ refers to an evolutionary process by which stores that feature low prices gradually upgrade until they no longer appeal to price-sensitive shoppers and are replaced by a new generation of leaner,low-price competitors.

Accepted Answer

A)Wheel of retailing refers to an evolutionary process by which stores that feature low prices gradually upgrade until they no longer appeal to price-sensitive shoppers and are replaced by a new generation of leaner, low-price competitors.
B)Wheel of retailing refers to an evolutionary process by which stores that feature low prices gradually upgrade until they no longer appeal to price-sensitive shoppers and are replaced by a new generation of leaner, low-price competitors.
C)Wheel of retailing refers to an evolutionary process by which stores that feature low prices gradually upgrade until they no longer appeal to price-sensitive shoppers and are replaced by a new generation of leaner, low-price competitors.
D)Wheel of retailing refers to an evolutionary process by which stores that feature low prices gradually upgrade until they no longer appeal to price-sensitive shoppers and are replaced by a new generation of leaner, low-price competitors.
E)Wheel of retailing refers to an evolutionary process by which stores that feature low prices gradually upgrade until they no longer appeal to price-sensitive shoppers and are replaced by a new generation of leaner, low-price competitors.

Question 19

JustBooks Company is a U.S.-based international wholesaler specializing in Afro-American books and children's literature.The firm purchases books from publishers,has physical possession of the books,takes legal title to them,and sells them to retailers for resale.The firm also offers a wide variety of services including setting up displays in retail outlets,and marking prices on books.JustBooks Company can be classified as a(n)________.

Accepted Answer

A)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise.
B)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise.
C)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise.
D)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise.
E)Rack jobbers are full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and perform other services such as marking prices on merchandise.

Question 20

Communication efforts directed at consumers while they are in the retail setting are referred to as ________.

Accepted Answer

A)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.
B)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.
C)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.
D)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.
E)The term shopper marketing refers to communication efforts directed at consumers while they are in the retail setting. These efforts can range from printed signs to in-store video screens to smartphone apps that help shoppers find products or stores in a mall.

Quiz 15: Distribution and Marketing Logistics