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Exam 15: Distributing Products

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Question 81

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Marketers provide a total of four types of utility: primary, secondary, marginal, and total.

A) True
B) False

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verified

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Question 82

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The costs added by marketing intermediaries usually outweigh the value they create.

A) True
B) False

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Question 83

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Even though all of the hardware stores that operate under the name of Hardie's Hardware are independently owned and managed, they have signed an agreement to participate in chain promotions, and cooperate as a unified system of stores. The Hardie's Hardware stores are using a distribution system known as a wholesaler-sponsored chain.

The characteristic that all forms of direct marketing have in common is that they:

Agents are marketing intermediaries who take title to the goods they distribute and provide credit to customers who need it.

Although there have been some unethical firms involved in multilevel marketing, this form of retailing remains quite successful.

Some economists would say that intermediaries add costs to the channel of distribution and need to be eliminated.

A common trait of corporate distribution systems, administered distribution systems, contractual distribution systems and supply chains is that they all:

Qwikship is a new delivery company that wants to compete against FedEx and UPS in the United States, Canada, and Mexico. One of the keys to Qwikship's success will be the ability to establish large storage warehouses at a few key locations throughout North America.

___________ is the sale of goods and services by telephone.

Wholesalers are marketing intermediaries who sell goods or services to ultimate consumers.

Which of the following statements about marketing intermediaries is true?

A broker can expect to earn a fixed amount of profit for her efforts regardless of the dollar value of the contract she negotiated.

Nina Corby owns a card shop in a small shopping center where she sells cards produced by a national company. Nina sells to final customers, so she is a:

Railroads are an energy-efficient mode of transporting many types of goods.

Companies who send salespeople to customers' homes or places of work are making use of __________ selling.

Merchant wholesalers do not take title to the goods they handle.

Department stores offer a wide variety of products that are sold in separate departments.

In retail cooperatives, the members of the distribution system are bound to cooperate by a contractual agreement.

Delivery, installation, and follow-up services are the most common ways that marketing intermediaries provide information utility.