Marketing Essentials Chapter 21 and 22
intermediaries
Middleman business involved in sales transactions that move products from the manufacturer to the final user
public warehouse
Offers storage and handling facilities to any individual or company that will pay for its use.
agents
One who acts as an intermediary by bringing buyers and seller together
rack jobbers
One who manages inventory and merchandise for retailers by counting stock, filling the shelves when needed, and maintaining store displays
drop shippers
One who owns the goods he or she sells, but does not physically handle the actual products
e-tailing
Online retailing that involves retailers selling products over the Internet to customers
freight forwarders
Private companies that combine less than carload or truckload shipments from several businesses and deliver them to their destinations.
common carriers
Provide transportation services to any business in their operating area for a fee.
Channel of distribution
The path a product takes from its producer or manufacturer to the final user
private carriers
Transport goods for an individual business.
exclusive distribution
Using a single outlet in a fairly large geographic area to distribute a product
storage
holding of goods until they are sold
transportation
is the marketing function of moving a product from the place it is made to the place where it is sold.
retailers
A business that buys goods from wholesalers or directly from manufacturers and resells them to consumers
wholesalers
A business that obtains goods from manufacturers and resells them to organization users, other wholesalers, and retailers, also called distributors
indirect distribution
A channel of distribution that involves one or more intermediaries
direct distribution
A channel of distribution that occurs when the producer sells goods or services directly to the customer with no intermediaries
private warehouse
A facility designed to meet the specific needs of its owner.
commission
A fee for services rendered based on a percentage of an amount received or collected or agreed to be paid (as distinguished from a salary)
brick-and-mortar retailers
A traditional retailer who sells goods to customers from a physical store
integrated distribution
A type of distribution in which manufacturers own and run their own retail operations, acting as wholesaler and retailer for their own products
distribution center
A warehouse designed to speed delivery of goods and to minimize storage costs.
e-marketplace
An online shopping outlet
physical distribution
Comprises all the activities that help to ensure that the right amount of product is delivered to the right place at the right time.
selective distribution
Distribution in which a limited number of outlets in a given geographic area sell a manufacturers product
intensive distribution
Distribution that involves the use of all suitable outlets to sell a product
bonded warehouses
Either public or private store products that require the payment of a federal tax.
contract carriers
For-hire carriers that provide equipment and drivers for specific routes, according to agreements between the carrier and the shipper.
exempt carriers
Free from direct regulation of rates and operating procedures.
carload
the minimum number of pounds of freight needed to fill a boxcar
ton mile
the movement of one ton (2,000 pounds) of freight one mile
