A Common Trait of Corporate Distribution Systems, Administered Distribution Systems

question 269

Multiple Choice

A common trait of corporate distribution systems, administered distribution systems, contractual distribution systems, and supply chains is that they all

• A) are arrangements which seek to distribute goods more efficiently by eliminating most functions performed by marketing intermediaries.
• B) seek to consolidate and control the distribution system by having one firm own all of the distribution functions.
• C) attempt to improve the efficiency of distribution systems by linking the firms together in a formal relationship.
• D) have been replaced by more efficient distribution systems relying heavily on online linkages.

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Definitions:

Par Value

The nominal or face value of a bond, share, or other financial instrument, as stated on the certificate or instrument.

Stockholders' Equity

The ownership interest of shareholders in a company, represented by the amount of capital contributed plus retained earnings minus liabilities.

Treasury Stock

Shares that were issued and subsequently reacquired by the issuing company, reducing the amount of outstanding stock.

Common Stock

A form of investment indicating partial ownership in a company, granting the holder the right to vote and possibly receive dividends.