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Corporate distribution systems consist of several independently owned intermediaries,all of them organized as multinational corporations.

A) True
B) False

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Which of the following assessments of electronic retailing is most accurate?


A) Electronic retailing has two major advantages over traditional businesses: simplicity and very low startup costs.
B) One of the reasons electronic retailing firms have been so successful has been their ability to deal with customer complaints and provide personalized services more efficiently than traditional firms.
C) Traditional retailers seldom find much success when they attempt to incorporate online selling into their businesses.
D) The line between electronic retailing and traditional retailing is blurring as traditional retailers go online.

E) A) and C)
F) C) and D)

Correct Answer

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Denise Shipman works in the marketing department of a major manufacturing firm.She spends a great deal of time trying to coordinate the movement of materials,parts,finished goods,and information through all of the organizations involved in the distribution process.These activities suggest that Denise's job responsibilities focus on supply chain management.

A) True
B) False

Correct Answer

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McDonald's,KFC,Baskin-Robbins,and AAMCO all make use of the __________ form of contractual distribution system.


A) wholesale-sponsored chain
B) franchise
C) retail cooperative
D) horizontally administered

E) A) and C)
F) B) and D)

Correct Answer

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The air freight industry is starting to focus on global distribution.

A) True
B) False

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The basic transportation service criteria are speed,cost,dependability,flexibility,frequency,and reach.

A) True
B) False

Correct Answer

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

A) True
B) False

Correct Answer

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Although air transport currently accounts for only a small percentage of all shipments,it has become a critical mode in many industries.

A) True
B) False

Correct Answer

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The use of pipelines should decline in the future because this mode is suitable only for shipping petroleum.

A) True
B) False

Correct Answer

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The two main types of merchant wholesalers are storage wholesalers and distribution wholesalers.

A) True
B) False

Correct Answer

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Mall owners tend to like kiosks because they create a marketplace atmosphere.

A) True
B) False

Correct Answer

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Mardelay Industries has discovered a defect in one of its products that may result in injury to users.The company believes it must quickly develop and implement a recall program.It is likely that Mardelay soon will be placing a great deal of emphasis on:


A) inbound logistics.
B) materials handling.
C) reverse logistics.
D) third-party logistics.

E) B) and C)
F) A) and B)

Correct Answer

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Discount stores,department stores,supermarkets,and specialty stores are all among the major types of retail stores.

A) True
B) False

Correct Answer

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Category killer stores tend to compete mainly on the basis of carrying a wide array of products,superior service,and low prices.

A) True
B) False

Correct Answer

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Organizations that assist in moving goods and services from producers to business and consumer users are called supply-side transition specialists.

A) True
B) False

Correct Answer

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One way a store selling high-def televisions might add ________ utility is to provide convenient delivery and set up to customers.


A) possession
B) distributive
C) conditional
D) time

E) B) and C)
F) All of the above

Correct Answer

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

A) True
B) False

Correct Answer

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Retailers are marketing intermediaries who sell to ultimate consumers.

A) True
B) False

Correct Answer

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In the terminology of multilevel marketing,downliners:


A) are the intermediaries who are responsible for handling the shipping of goods down the channel of distribution from the producer to the retailer.
B) are salespeople who have been recruited by other salespeople known as upliners to market the product.
C) sell through a telemarketing arrangement,while upliners use direct selling.
D) are experienced salespeople who are allowed to sell in more than one franchise area by the distributor.

E) B) and D)
F) None of the above

Correct Answer

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In multilevel marketing,salespeople have little incentive to recruit new salespeople,because the new salespeople may compete against them and reduce their income.

A) True
B) False

Correct Answer

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