When Considering the Best Channel to Use, All of the Following

question 160

Multiple Choice

When considering the best channel to use, all of the following are true with regard to larger firms except they

• A) can use an extensive product mix as a competitive tool.
• B) may be better able to negotiate better deals with vendors or other channel members.
• C) may have more distribution centers.
• D) may have the resources to develop their own sales force.
• E) may be better suited to serve customers in a particular region.

---

Definitions:

Present Value

The current worth of a future sum of money or stream of cash flows given a specified rate of return, used in discounting to assess investment opportunities.

Number of Periods

A figure representing the count of time intervals, such as months or years, in various financial calculations.

Compounded Annually

Refers to the process whereby the interest earned on an investment is added to the principal at the end of each year, and the following year's interest calculation includes the added interest from the previous year.

Annual Interest Rate

The percentage of principal charged by the lender for the use of its money expressed as an annual rate.