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Vocab Quiz 3

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AB
direct distributionsales of goods or services directly to the customer, with no intermediaries
indirect distributionsales of goods or services to the customer through one or more intermediaries.
integrated distributiona distribution system in which manufacturer’s act as a wholesaler and retailer for their own products.
common carrierstrucking companies that provide transportation services to a business.
contract carriersFor‐hire trucking companies that provide equipment and drivers for specific routes.
private carrierstransport goods for one specific business
exempt carriersUsually carry agricultural products, but are FREE FROM DIERECT REGULATIONS OF RATES AND OPERATING PROCEDURES
bonded warehousestore products that require a payment of a federal tax.
drop shippersbusinesses that own the goods they sell but do not physically handle the products.
rack jobbersare wholesalers that manage inventory and merchandising for retailers by counting stock, filling it when needed and maintaining store displays
retailerssell goods to the final consumer for personal use.
distribution centerwarehouse designed to speed delivery of goods and to minimize storage costs. Main focus is on moving products not storing them
wholesalersa merchant middleman who sells chiefly to retailers, other merchants, or industrial, institutional, and commercial users mainly for resale or business use
brick and mortar retailerstraditional retailers that sell goods to the customer for their own physical stores
vending servicecompanies buy manufacturers’ products and sell them through machines that dispense goods to consumers.
e-tailinginvolves retailers selling products over the Internet to the customer.
agentsdo not own the goods they sell. Agents act as intermediaries by bringing buyers and sellers together.
exculsive distributioninvolves protected territories for distribution of a product in a given geographic area. Dealers are assured that they are the only ones within a certain geographic radius that have the right to sell the manufacturer’s or wholesaler’s products.
selective distributionmeans that a limited number of outlets in a given geographic area are used to sell the product. The objective is to select channel members that can maintain the image of the product and are good credit risks, aggressive marketers, and good inventory planners.
intensive distributioninvolves the use of all suitable outlets to sell a product. The objective is complete market coverage, and the ultimate goal is to sell to as many customers as possible, wherever they choose to shop. Ex: batteries


Marketing Essentials Teacher
Cypress Bay High School

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