Tag: middlemen

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Questions Related to middlemen

Multiple choice organisation of commerce and management channels of distribution elements of marketing mix middlemen physical distribution and channels

Under ___________ the product reaches the customers from the manufacturers via distributors.

  1. network marketing

  2. direct trade

  3. franchising

  4. none of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Network marketing (or multi-level marketing) is a business model where products are sold through a network of distributors rather than through traditional retail stores.

Multiple choice organisation of commerce and management channels of distribution elements of marketing mix middlemen physical distribution and channels

'Intensive distribution method' is referred to ______.

  1. minimum expansion

  2. maximum expansion

  3. minimum contraction

  4. maximum contraction
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Intensive distribution is a marketing strategy that aims to provide saturation coverage of the market by using all available outlets. This maximizes the expansion of the product's reach.

Multiple choice organisation of commerce and management marketing mix elements of marketing mix middlemen physical distribution and channels

Out of these what is not considered an unacceptable business practices?

  1. Door-to-door sales.

  2. False advertising

  3. Referral selling.

  4. Abusive debt collection methods.
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

False advertising, referral selling, and abusive debt collection are widely recognized as unethical or illegal business practices. Door-to-door sales is a legitimate, though traditional, method of selling.

Multiple choice organisation of commerce and management marketing mix elements of marketing mix middlemen physical distribution and channels

Two-level channel of distribution is most suited for goods like ________.

  1. rice, sugar and pulses

  2. soaps, oil

  3. clothes

  4. all of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A two-level channel involves a manufacturer, a wholesaler, and a retailer. This is common for consumer goods like food items, soaps, and clothing where wide distribution is required.

Multiple choice organisation of commerce and management marketing mix elements of marketing mix middlemen physical distribution and channels

Choose the product related factor(s) that affect the choice of channels of distribution.

  1. Adoption of newer channels.

  2. Whether the product is perishable or a non-perishable.

  3. Financial strength of the company.

  4. Management want to have greater control on the channel members.
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Perishability is a key product-related factor. Perishable goods require shorter channels to ensure they reach the consumer before spoiling, whereas non-perishables can use longer channels.

Multiple choice organisation of commerce and management marketing mix elements of marketing mix middlemen physical distribution and channels
Which option is incorrect among the following?
Functional wholesalers are classified into _______.

  1. brokers

  2. service wholesalers

  3. commission men

  4. selling agents
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Functional wholesalers include merchant wholesalers who take title to goods. The categories are brokers, commission merchants, and selling agents (all of whom facilitate without taking title), and service wholesalers who take title and provide services. The question asks for the incorrect option.

Multiple choice organisation of commerce and management marketing mix elements of marketing mix middlemen physical distribution and channels

Manufacturer- Agent- Wholesaler- Retailer- Consumer. This is the ________ channel of distribution. 

  1. Zero level

  2. One level

  3. Two level

  4. Three level
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Channels of distribution is a chain of business or intermediaries through which goods or services until it reaches the end customer .

Manufacturer-Agents-Wholesaler-Retailer-Consumer . This is the three level channel of distribution.