Which of the Following Statements About Marketing Intermediaries Is True

question 67

Multiple Choice

Which of the following statements about marketing intermediaries is true?

• A) All channels of distribution must contain at least one marketing intermediary.
• B) Marketing intermediaries and their functions can be eliminated.
• C) Marketing intermediaries survive because they can perform marketing functions faster and more cheaply than producers and consumers.
• D) The costs added to products by marketing intermediaries usually exceed the value they add to products.

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Definitions:

Trading Gains

Profits realized from buying and selling financial instruments within a short period, aiming to benefit from market price movements.

Minority Passive Investments

Investments in which the investor holds a non-controlling stake and does not actively participate in management.

Trading Securities

Securities that are purchased by a company not for long-term investment but rather with the intent to trade for short-term gains.

Available-For-Sale Securities

Financial assets that are intended to be sold before their maturity but are not classified as trading securities.