What Is a Primary Difference Between an Industrial Distributor and a Manufacturers

question 124

Multiple Choice

What is a primary difference between an industrial distributor and a manufacturers' agent?

• A) A manufacturers' agent does not acquire title nor usually take possession of the products whereas an industrial distributor does.
• B) A manufacturers' agent is employed by the manufacturers while an industrial distributor is independent.
• C) An industrial distributor is employed by the manufacturers while a manufacturers' agent is independent.
• D) A manufacturers' agent rarely adds any value to the marketing channel while an industrial distributor reduces costs significantly.
• E) An industrial distributor does not form relationships with customers for repeat business whereas a key asset of a manufacturers' agent is his knowledge of his customers.

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Definitions:

Telemarketer

An individual or company that markets products or services over the telephone.

Unfair Practices

Acts or behaviors considered to be unjust, deceptive, or harmful to consumers or business competition.

Federal Trade Commission

The Federal Trade Commission (FTC) is a U.S. federal agency tasked with consumer protection and the prevention of anti-competitive business practices.

Consumer Protection

refers to laws and regulations designed to ensure the rights of consumers as well as fair trade, competition, and accurate information in the marketplace.