Which of the Following Statements Is True Regarding the Nature

question 73

Multiple Choice

Which of the following statements is true regarding the nature of the business market?

• A) Distribution channels for business products are significantly longer than those for consumer products.
• B) As compared to business markets, customer relationships in consumer markets tend to last for longer duration.
• C) Personal selling plays a bigger role in business markets than in consumer markets.
• D) As compared to consumer markets, purchase decisions in business markets are relatively simple because of relatively less number of decision makers.

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Definitions:

Spot Rate

This is the current market price at which a particular currency can be bought or sold for immediate delivery.

Cash Flow Hedge

A financial strategy used to manage the risk of fluctuating cash flows due to changes in exchange rates, interest rates, or commodity prices.

Net Method

An accounting system that records transactions with their net effect, considering any discounts or allowances for prompt payment.

Loan Liability

A financial obligation representing borrowed funds that the borrower is legally required to repay to the creditor, typically with interest.