Which of the Following Statements About Direct-To-Customer Channels Is False

question 204

Multiple Choice

Which of the following statements about direct-to-customer channels is False?

• A) Most consumer products are sold via direct-to-customer channels.
• B) Producers must sometimes use direct-to-customer channels because suitable intermediaries are not available.
• C) Many business products are sold via direct-to-customer channels.
• D) Service firms often use direct-to-customer channels.
• E) "Direct marketing" does not mean that a firm uses direct-to-customer channels.

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Definitions:

Price-Earnings Ratio

A valuation metric for stocks, calculated by dividing the market price of a stock by its earnings per share, indicating the dollar amount an investor can expect to invest in a company to receive one dollar of that company’s earnings.

Common Stock

Equity ownership in a corporation, with shareholders entitled to vote on corporate matters and receive dividends when declared.

Market Price

The present cost at which a product or service can be purchased or sold on the market.

Return on Total Assets

A measure of profitability that indicates how efficiently a company is using its assets to generate earnings.