Which of the Following Is True of Direct Distribution

question 161

Multiple Choice

Which of the following is true of direct distribution?

• A) It requires a significant investment in facilities.
• B) It reduces a producer's need for working capital.
• C) Direct distribution always serves customer needs better and at a lower cost.
• D) Most firms selling consumer products rely on direct distribution.
• E) It is easy to change customer buying patterns from indirect distribution to direct distribution.

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Definitions:

Actor-Observer Bias

A tendency to attribute one's own actions to external causes while attributing others' actions to their internal characteristics.

Illusory Correlation

The perception of a relationship between two variables when no such relationship actually exists.

Fundamental Attribution Error

The tendency to overemphasize personal characteristics and ignore situational factors in judging others' behavior.

Confirmation Bias

The tendency to interpret, favor, and recall information in a way that confirms one's preexisting beliefs or hypotheses.