Which of the Following Statements Identifies a Key Advantage of Direct

question 257

Multiple Choice

Which of the following statements identifies a key advantage of direct marketing?

• A) Direct marketing enables salespeople to close a non-refundable sale in the customer's home or place of work.
• B) Direct marketing allows firms to expand their markets by selling to both ultimate consumers and other marketing intermediaries.
• C) Direct marketing is popular with consumers because it is so convenient to shop from home or work.
• D) Direct marketing creates a strong incentive for salespeople to recruit additional salespeople in order to gain the greatest possible market coverage.

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Definitions:

Credit

The ability of a borrower to obtain goods or services before payment, based on the trust that payment will be made in the future.

Cash Only Credit Policy

A policy where a company or business does not extend credit to customers and requires payment in cash at the point of sale.

Monthly Interest Rate

The interest rate applied to a loan or debt for one month, often used to calculate the monthly interest payments.

Variable Cost

A variable cost varies with the level of output or sales, meaning it increases as production increases and decreases as production decreases.