Entrepreneurship 6.1 Review (Practice)

Which of the following is an example of intellectual property? a. Inventions b. Songs c. Artistic designs d. All of these**

d. All of these**

Which of the following service businesses would use a retailer to distribute their services? a. Lawyer b. Electrician c. Accountant d. Film developer**

d. Film developer**

In which channel of distribution option does the manufacturer not get involved in selling? a. Manufacturer to wholesaler to retailer to consumer. b. Manufacturer to retailer to consumer. c. Manufacturer to consumer. d. Manufacturer to agent to wholesaler to retailer to consumer.**

d. Manufacturer to agent to wholesaler to retailer to consumer.

Storing products a. typically reduces their cost. b. eliminates the risk that they will be stolen. c. increases their shelf-life. d. helps balance supply and demand of products.**

d. helps balance supply and demand of products.**

The most cost-effective channel of distribution option is a. manufacturer to retailer to consumer. b. manufacturer to wholesaler to retailer to consumer. c. consumer to retailer. d. manufacturer to consumer.**

d. manufacturer to consumer.**

Channels of distribution are the routes that products take from the time they are produced to the time they arrive at a retail store.

False

If you are shipping a large item to another country, you would likely use the U.S. Postal Service.

False

No intermediaries are involved in the manufacturer to retailer to consumer channel option.

False

Service businesses do not have a single, direct channel of distribution if there is more than one store in the chain.

False

A product may move through several channel members by various forms of transportation to get it to the point where it will ultimately be sold to consumers.

True

Even businesses that do not sell goods to customers must receive goods from suppliers.

True

Most entrepreneurs who own service businesses sell their services directly to consumers.

True

Retail stores can distribute their products to consumers by having convenient hours for customers, shipping directly to consumers, and being accessible through the Internet.

True

Manufacturers a. have a single, direct channel of distribution.** b. distribute their products both broadly and through selected outlets. c. usually sell directly to consumers. d. all of these

a. have a single, direct channel of distribution.**

Physical distribution includes all of the following except a. transportation. b. branding.** c. handling of products. d. packaging of products.

b. branding.**

Intermediaries are used in a. direct channels of distribution. b. indirect channels of distribution.** c. the manufacturer-to-consumer channel option. d. all of these

b. indirect channels of distribution.**

Distribution is an important component of a. market research b. supply chain management** c. networking d. a business

b. supply chain management