Which of the Following Is True of Brokers

question 142

Multiple Choice

Which of the following is true of brokers?

• A) Brokers represent buyers or sellers on a semipermanent basis.
• B) Most brokers are small businesses with a few skilled salespeople.
• C) Brokers bring buyers and sellers together and assist in negotiation.
• D) Selling brokers have contractual authority to sell a manufacturer's entire output.
• E) Purchasing brokers make purchases for buyers and often receive, inspect, warehouse, and ship merchandise.

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Definitions:

Selective Distribution

A level of distribution density whereby a firm selects a few retailers in a specific geographic area to carry its products.

Distribution Extremes

The varying strategies in distributing products, ranging from intensive distribution, where products are available everywhere, to exclusive distribution, where products are available only in select outlets.

Geographical Area

A defined physical region or space characterized by certain geographical features or boundaries.

Financial Service

Economic services provided by the finance industry, which encompasses a broad range of businesses that manage money.