Marketing Channels Make Distribution Simpler by Reducing the Number of Transactions

question 150

Multiple Choice

Marketing channels make distribution simpler by reducing the number of transactions required to get products from manufacturers to consumers.What is this called?

• A) contact efficiency
• B) forward integration
• C) reciprocity
• D) elimination of temporal discrepancies

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Definitions:

Annual Fixed Costs

Costs that do not vary with the level of production or sales volume within a certain range and time period, such as rent, salaries, and insurance.

Turnover

A financial metric indicating the rate at which a company's inventory or assets are replaced through sales in a given period.

Minimum Required Rate

This is the lowest rate of return or interest rate that investors are willing to accept for investment in a project, often influenced by risk and market conditions.

Net Operating Income

The profit realized from a business's operational activities, after deducting operating expenses but before interest and taxes.