Which of the Following Statements Concerning How Market Factors Affect

question 54

Multiple Choice

Which of the following statements concerning how market factors affect channel decisions is true?

• A) Industrial customers tend to buy in larger quantities and require more customer service
• B) Geographically concentrated target markets should be served with an indirect sales force
• C) Widely dispersed markets require fewer intermediaries
• D) New firms in extremely competitive markets will be more successful if they use indirect channels
• E) A very large market requires fewer intermediaries

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Definitions:

Fair Competition Act

Legislation aimed at ensuring a level playing field among businesses by preventing monopolies and promoting healthy competition.

Traditions

Customs or beliefs passed from generation to generation, often forming an integral part of a culture or community identity.

Purchase Behaviors

Refers to the decision-making processes and actions of consumers regarding the search for, selection, purchase, use, and disposal of goods and services.

Actions

Activities or steps taken by individuals or organizations towards achieving a specific goal.