The Step Down Method Requires a Ranking of Support Departments

question 44

True/False

The step down method requires a ranking of support departments based on the amount of service provided to other support departments.

---

Definitions:

Marketing Intermediary

refers to businesses or individuals that act as intermediaries within the distribution channel, facilitating the sale of products from producers to end consumers.

Raw Materials

Basic materials that are used in the production process to manufacture goods, often transformed or combined with other materials in the manufacturing process.

Automatic Merchandising

A retailing strategy that involves the use of self-service and vending machines for selling products directly to customers.

Direct Selling

A sales strategy in which products are marketed directly to consumers, bypassing traditional retail locations.