321. A national grocery store chain has decided to sell an assortment of hobby, gardening, and cook

321. A national grocery store chain has decided to sell an assortment of hobby, gardening, and cook

321.
A national grocerystore chain has decided to sell an assortment of hobby, gardening, and cookbooks. Buyers in the chain’s main office are not certain what to stockbecause they think that consumers in different areas of the country willprobably be interested in different books. The store managers have said theydon’t know what to order either. The chain should probably get help froma
A.
broker.
B.
cash-and-carrywholesaler.
C.
specialtywholesaler.
D.
rack jobber.
E.
manufacturers’agent.
322.
Meg O’Brien is juststarting as a rack jobber. She will:
A.
do what a lotof grocery store managers don’t want to do.
B.
need a lot ofmoney to get started, since all her customers will expect 30 days to paytheir bills.
C.
not have toknow very much about the preferences of the consumers who buy the productsshe handles.
D.
neveractually handle or deliver the products in her line.
E.
probably gettired of visiting farmers’ markets.
323.
Capitol PeriodicalDistributors is a wholesaler providing assistance to retailers that want tocarry books and magazines. A retailer provides Capitol with a certain amountof floor space, and Capitol uses the space to install display racks. Capitolfills the racks with magazines and books that would be suitable for theretailer’s target market. Every week a representative from Capitol comes into remove any outdated publications and refill the racks. This practice helpsthe retailer serve its customers better than if the retailer tried to managethe books and magazines itself. Capitol Periodical Distributors is a:
A.
Specialtywholesaler.
B.
Drop-shipper.
C.
Catalogwholesaler.
D.
Rack jobber.
E.
Cash-and-carrywholesaler.
324.
Will Bishop sells awide assortment (in small quantities) of “emergency” home repairitems (fuses, electrical tape, small packets of nails) to grocery andconvenience stores. He owns the products he handles, and displays them forhis customers. Bishop is a:
A.
manufacturers’agent.
B.
sellingagent.
C.
rack jobber.
D.
cash-and-carrywholesaler.
E.
truckwholesaler.
325.
A grocery storechain has decided to sell a small assortment of fast moving auto repairitems–but is not certain what stock to carry in which stores and does notwant to leave the decision to the local store manager. The chain shouldprobably get help from a
A.
broker.
B.
cash-and-carrywholesaler.
C.
specialtywholesaler.
D.
rack jobber.
E.
manufacturers’agent.
326.
______________ sellhardware, jewelry, and sporting goods out of a catalog to small industrial orretail customers that other wholesalers may not call on.
A.
Specialtywholesalers
B.
Cash-and-carrywholesalers
C.
Sellingagents
D.
Catalogwholesalers
E.
Truckwholesalers
327.
Which of thefollowing statements about limited-function wholesalers is TRUE?
A.
Cash-and-carrywholesalers serve small retailers but don’t provide credit.
B.
Truckwholesalers sell perishable products which other wholesalers prefer not tocarry.
C.
Rack jobbersspecialize in nonfood products that sell in small quantities.
D.
Catalogwholesalers sell hardware, jewelry, sporting goods, and generalmerchandise–often catering to small industrial or retailer customers.
E.
All of thesestatements about limited-function wholesalers are TRUE.
328.
Agent wholesalersare:
A.
mainlyconcerned with buying and selling.
B.
used by smallcompanies that want a wholesaler to assume all of the risk of carryinginventory.
C.
specialistsin certain geographic areas, rather than specializing by product orcustomer type.
D.
at adisadvantage because manufacturers expect them to pay for products beforethey are shipped.
E.
None of thesealternatives are correct for agent wholesalers.
329.
The main differencebetween agent wholesalers and merchant wholesalers is:
A.
the kind ofselling they do.
B.
that agentwholesalers do not own the products they sell–while merchant wholesalersdo.
C.
that no agentwholesalers physically handle products–while all merchant wholesalers do.
D.
theirattitudes regarding the marketing concept.
E.
There is nodifference–an agent wholesaler IS a merchant wholesaler.
330.
Agentwholesalers:
A.
Own theproducts they sell.
B.
Provide morefunctions than merchant wholesalers.
C.
Focus onbuying and selling merchandise.
D.
Have highercosts of operation than merchant wholesalers.
E.
All of thesealternatives are correct for agent wholesalers.
331.
Which of thefollowing statements about agent wholesalers is FALSE?
A.
Agentwholesalers do not own the products they sell.
B.
Their mainpurpose is to help in buying and selling.
C.
They normallyspecialize by customer type and by product or product line.
D.
They are morecommon in international trade than in domestic trade.
E.
They usuallyprovide a larger number of functions than limited-function wholesalers.
332.
Which of thefollowing is a characteristic of agent wholesalers?
A.
They are morecommon in domestic trade than in international trade.
B.
They operateat relatively high costs.
C.
They own theproducts they sell.
D.
They normallyspecialize by customer type and by product or product line.
E.
None of theseis a characteristic of agent wholesalers.
333.
Which of thefollowing is NOT an agent wholesaler?
A.
Adrop-shipper
B.
An auctioncompany
C.
A sellingagent
D.
A broker
E.
Amanufacturers’ agent
334.
Which of thefollowing wholesalers own (take title to) the products they sell?
A.
Sellingagents
B.
Combinationexport managers
C.
Brokers
D.
Manufacturers’agents
E.
None of thesewholesalers owns the products they sell.
335.
A manufacturers’agent:
A.
sellsnoncompeting products for several manufacturers in a limited territory.
B.
is oftenreplaced by a manufacturer’s own sales force when sales rise.
C.
is paid acommission on sales.
D.
can beespecially useful to a small manufacturer with a narrow line of newproducts.
E.
All of thesealternatives are correct for a manufacturers’ agent.
336.
Manufacturers’agents usually work for:
A.
manufacturers’sales branches.
B.
only onemanufacturer.
C.
sellingagents.
D.
severalmanufacturers of noncompeting lines.
E.
servicewholesalers.
337.
A manufacturers’agent sells
A.
similarproducts for several noncompeting producers for a commission on what isactually sold.
B.
different productsfor several noncompeting producers for a commission on what is actuallysold.
C.
similarproducts for several competing producers for a commission on what isactually sold.
D.
differentproducts for several competing producers for a commission on what isactually sold.
E.
differentproducts for several competing producers for a fixed salary irrespective ofsales.
338.
Which of thefollowing wholesalers would be most helpful to a small manufacturer ofcomputer components who wants to obtain distribution in several major marketsand still retain control of the marketing of its products?
A.
Manufacturers’agents
B.
Rack jobbers
C.
Sellingagents
D.
Brokers
E.
Manufacturers’sales branches
339.
Manufacturers’ agents:
A.
arefrequently used by manufacturers to help introduce a new product.
B.
typicallyhave a temporary relationship with a manufacturer, until a specific item issold.
C.
usuallyhandle products for only a few companies since the cost of addingadditional lines is quite high.
D.
usuallyhandle a full assortment of products from competing manufacturers.
E.
buy largeinventories from small manufacturers–helping them acquire working capital.
340.
Manufacturers’agents:
A.
don’t costthe producer anything until something sells.
B.
aren’t veryuseful for introducing new products.
C.
usuallyperform storing and transporting functions.
D.
usuallyhandle the competing lines of several manufacturers.
E.
All of these alternativesare correct for manufacturers’ agents.
341.
Jason Eversonrepresents producers of several noncompeting industrial product lines. Whenhe visits his clients, he carries a catalog from each one of the producers herepresents. He goes through the catalogs with his clients and then placesorders on their behalf with the producers, who pay Jason a commission basedon what he sells. Jason is a(n):
A.
Auctioneer.
B.
Broker.
C.
Sellingagent.
D.
Rack jobber.
E.
Manufacturer’sagent.
342.
Debbie Wood sellsfood products to grocery wholesalers and large supermarket chains inTallahassee. She sells for several manufacturers with noncompeting lines offood products–earning a 5 percent sales commission. She neither handles norowns the products she sells. Debbie is a:
A.
manufacturers’agent.
B.
rack jobber.
C.
broker.
D.
truckwholesaler.
E.
sellingagent.
343.
Dolly Westin callson the many gift shops in Savannah and sells a variety of unique decorative glassitems, wind chimes, and picture frames produced by the companies that sherepresents. The store owners can order from Dolly rather than from the threedifferent producers she represents. Apparently, Dolly is a
A.
sellingagent.
B.
rack jobber.
C.
drop-shipper.
D.
broker.
E.
manufacturers’agent.
344.
___________ arebasically manufacturers’ agents who specialize in international trade.
A.
Sellingagents
B.
Auctioncompanies
C.
Brokers
D.
Export orimport agents
E.
Drop-shippers
345.
A broker’s“Product” is:
A.
financialskills–and perhaps credit.
B.
marketcontacts for new products.
C.
informationabout what buyers need and what supplies are available.
D.
good storageand transportation facilities.
E.
All of theseare included in a broker’s “Product.”
346.
All of the followingare true of brokers except
A.
they bringbuyers and sellers together.
B.
they areespecially useful when buyers and sellers do not come into the market veryoften.
C.
they usuallyhave a permanent relationship with the buyer and seller.
D.
the broker’sproduct is information about what buyers need and what supplies areavailable.
E.
they earncommissions based on completion of transactions between buyers and sellers.
347.
Until recently,Triad Equipment, Inc. took trade-ins when it sold new equipment tomanufacturers. Now, Triad has a new owner who wants to sell the inventory ofused equipment quickly to the best available buyer. He should look for:
A.
amanufacturers’ sales branch.
B.
a broker.
C.
a sellingagent.
D.
amanufacturers’ agent.
E.
a salesfinance company.
348.
Sebastian and ClereFranklin bought a tire recapping facility from a man who had decided toretire. They were going to convert the building to a studio for dancelessons–so they wanted to sell off the inventory of recapped tires andequipment for whatever they could get. The Franklins don’t know any buyerswho might be interested in these products. Which of the following types ofwholesalers would be most helpful?
A.
Rack jobbers
B.
Brokers
C.
Specialtywholesalers
D.
Sellingagents
E.
Manufacturers’agents
349.
Which of thefollowing is unique to export-import brokers, differentiating them fromgeneral brokers?
A.
They usuallyhave a temporary relationship with the buyer and seller while a particulardeal is negotiated.
B.
Theyspecialize in bringing together buyers and sellers from differentcountries.
C.
They areespecially useful when buyers and sellers do not come into the market veryoften.
D.
They earn acommission from whichever party hired them when the transaction iscompleted.
E.
The broker’sproduct is information about what buyers need and what supplies areavailable.
350.
____________ takeover the whole marketing job of producers, not just the sellingfunction.
A.
Brokers
B.
Sellingagents
C.
Auctioncompanies
D.
Export andimport brokers
E.
Servicewholesalers
351.
A wholesaler whotakes over the whole marketing job NATIONALLY for one or a few manufacturersis called a:
A.
merchantwholesaler.
B.
manufacturers’agent.
C.
broker.
D.
specialtywholesaler.
E.
sellingagent.
352.
Which of the followingstatements about selling agents is FALSE?
A.
They takeover the whole marketing job for a producer.
B.
They mayhandle the entire output of one or more producers, even competingproducers.
C.
They mayprovide a producer with working capital.
D.
They may eventake over the affairs of the producer’s whole business.
E.
None of thesestatements about selling agents is FALSE.
353.
A producer is mostlikely to use a “selling agent” if:
A.
he lacksmarketing know-how and working capital.
B.
he produces abroad product line.
C.
he mainlyneeds aggressive selling.
D.
his targetcustomers are concentrated in a small geographic area.
E.
he sells atechnical product that needs a lot of follow-up service.
354.
Sandi Barefoot sellsthe entire output of several small companies based in Silicon Valley. Each ofthe companies designs and produces remote control devices. Sandi has almostcomplete control of pricing and selling–because the engineers who startedthe companies are mainly interested in inventing things. In addition, Sandioften provides working capital to the producers, who have very limitedfinancial resources. Sandi is paid a substantial commission on all sales.Sandi is a:
A.
broker.
B.
sellingagent.
C.
fieldwarehouser.
D.
manufacturers’agent.
E.
factor.
355.
Regardingwholesalers, which of the following descriptions is TRUE?
A.
MANUFACTURERS’AGENT: does not own the products, usually carries stocks, representsseveral competing manufacturers within a geographic area.
B.
MERCHANTWHOLESALER: does not take title to products, takes possession, providesfull service, and usually handles a broad variety of products.
C.
BROKER: doesnot own the products, does not take possession, major function is selling,and does not anticipate customer needs.
D.
SELLINGAGENT: does not own the products, does the whole marketing job nationally,and may handle competing lines.
E.
All of thesedescriptions of different wholesalers are TRUE.
356.
A(n) _____ is ablend of manufacturers’ agent and selling agent–handling the entire exportfunction for several producers of similar but noncompeting lines.
A.
import broker
B.
auctioncompany
C.
export broker
D.
combinationexport manager
E.
export orimport agent
357.
Which of thefollowing statements about agent wholesalers is FALSE?
A.
Agentwholesalers based in a foreign market can be helpful in working throughgovernment red tape because they know the local business customs.
B.
Export andimport brokers bring together buyers and sellers from different countries.
C.
Manufacturers’agents can call on international customers at no cost to the producer untilsomething sells.
D.
Export and importagents are basically selling agents who specialize in international trade.
E.
Agentwholesalers are common in international trade.
358.
If a small U.S.producer with limited financial resources and little marketing know-how wantsto sell its products in international markets, it should use:
A.
an exportcommission house.
B.
a factor.
C.
an exportagent.
D.
a combinationexport manager.
E.
an exportbroker.
359.
The major functionof auction companies is to:
A.
deliver theproducts they handle.
B.
help financeby owning products.
C.
take title tothe products they sell.
D.
provide aplace where buyers and sellers can complete a transaction.
E.
All of theseare major functions of auction companies.
360.
Auctioncompanies:
A.
Take over thewhole marketing job of producers.
B.
Work almostas members of a company’s sales force.
C.
Take title tothe products they resell.
D.
Provide aplace where buyers bid to complete a transaction with a seller.
E.
All of thesealternatives are correct for auction companies.