Chapter: Unit 5
1.

Rural marketing problem is essentially a

A. product problem
B. pricing problem
C. distribution problem
D. promotion problem
Answer» C. distribution problem
2.

Carrying and Forwarding Agents (CFAs) are the_________ link with the company depot for supplying products to channel members

A. first
B. second
C. third
D. last
Answer» A. first
3.

Distribution that involves no intermediaries to make products available to final buyers is classified as

A. Intensive distribution
B. Direct distribution
C. Exclusive distribution
D. None of the above
Answer» B. Direct distribution
4.

Which of the following is an activity of physical distribution?

A. Order processing
B. Warehousing
C. Advertising
D. Transportation
Answer» D. Transportation
5.

A system where essential commodities are distributed through a network of fair price shops:

A. Cooperative Societies
B. Public Distribution System
C. The SHG Model
D. Hub and Spokes Method
Answer» B. Public Distribution System
6.

Wholesalers perform several functions except

A. Buying and assortment building sorting
B. Warehousing
C. Financing
D. None of these
Answer» D. None of these
7.

e-Distribution represents application of Internet based technologies as a tool, to facilitate efficient and effective exchange with and from:

A. the rural market
B. the urban market
C. both rural and urban market
D. none of the above
Answer» A. the rural market
8.

Consider the following statements regarding rural markets:
i. Small number of small markets
ii. Poor availability of suitable dealers
iii. Low density of shops per village and high variation in their concentration
iv. Inadequate bank and credit facilities to rural retailers
Which statement is incorrect?

A. i
B. ii
C. iii
D. iv
Answer» A. i
9.

Consider the following statements regarding rural markets:
i. Dispersed population and trade
ii. Inadequate power supply
iii. High visibility of product on rural shelves
iv. Poor communication of offers and schemes
Which statement is incorrect?

A. i
B. ii
C. iii
D. iv
Answer» C. iii
10.

Redistribution Stockists are responsible for supplying stocks to:

A. Rural retailers
B. Urban retailers
C. Both rural and urban retailers
D. Carrying and Forwarding Agents
Answer» C. Both rural and urban retailers
11.

Under the Hub and Spokes method of distribution, the manufacturer appoints main distributors in:

A. small markets
B. large markets
C. villages
D. none of the above
Answer» B. large markets
12.

Which emerging method of distribution uses the channels from main distributors to sub-distributors to retailers to consumers?

A. SHG Model
B. Hub and Spokes Method
C. Public Distribution System
D. Mobile traders
Answer» B. Hub and Spokes Method
13.

A channel of distribution which uses a network of FPS (fair price shops) is called:

A. Cooperative Societies
B. Youth Entrepreneurship Model
C. Public Distribution System
D. Hub and Spokes Methods
Answer» C. Public Distribution System
14.

Cooperative Societies are utilised the most for the distribution of:

A. Durable goods
B. FMCG
C. Fertilizers
D. Farm tools
Answer» C. Fertilizers
15.

A rural retail initiative taken up by the Indian Oil Corporation with over 6000 outlets set up is known as:

A. KisanSeva Kendra
B. e-Choupal
C. Nature‟s Basket
D. Food Bazar
Answer» A. KisanSeva Kendra
16.

________________launched „GaonChalo‟, a rural distribution initiative where villagers were roped in to sell products to other people in the village.

A. Dabur
B. HUL
C. P&G
D. Tata Tea
Answer» D. Tata Tea
17.

In which type of market would a rural consumer usually buy products like cloth or cosmetics?

A. shandies
B. feeder towns
C. district headquarters
D. city markets
Answer» A. shandies
18.

Transporting and storing goods is part of which of the following marketing channel functions?

A. negotiation
B. physical distribution
C. contact
D. matching
Answer» B. physical distribution
19.

The benefits of marketing channels are

A. Cost saving
B. Time saving
C. Financial support given
D. All of above
Answer» D. All of above
20.

Consumer product channels tend to be ______ industrial product channels.

A. longer than
B. identical to
C. shorter than
D. the same length as
Answer» A. longer than
21.

What are businesses that represent, and sell goods on behalf of, other businesses in a specified market called?

A. resellers
B. traders
C. agents
D. stockists
Answer» C. agents
22.

Which of the following is not a typical distribution channel member?

A. resellers
B. consumers
C. intermediaries
D. government agencies
Answer» D. government agencies
23.

Intermediaries play an important role in matching:

A. dealer with customer
B. supply and demand
C. product to region
D. information and promotion
Answer» B. supply and demand
24.

Channel members add value by bridging the major gaps of ______________ that separate goods and services from those who would use them.

A. time, place and form
B. place, possession and form
C. time, place and possession
D. place, need and distribution
Answer» C. time, place and possession
25.

Which of the following is not a key function that intermediaries play in reaching the consumers?

A. promotion
B. information
C. financing
D. negotiation
Answer» D. negotiation
26.

A company‟s channel decisions directly affect every _____________.

A. Marketing decision
B. Competitors action
C. Channel member
D. customers choices
Answer» A. Marketing decision
27.

_________________ help the company to promote, sell, and distribute its goods to final buyers.

A. Marketing intermediaries
B. Competitor networks
C. Suppliers
D. Service representatives
Answer» A. Marketing intermediaries
28.

The biggest challenge in reaching rural markets is

A. physical distribution of products
B. educating the rural consumers
C. pricing products for rural consumers
D. hesitation of rural consumers to accept new products
Answer» A. physical distribution of products
29.

The urban marketing strategy that does not work in rural markets is

A. deep and intensive retailing
B. heavy advertisements
C. customer-pull through promotion
D. all of the above
Answer» D. all of the above
30.

Low population density of villages leads to

A. escalating inventory holding
B. low inventory holding
C. less number of retailers
D. lower number of intermediaries
Answer» A. escalating inventory holding
31.

Large number of villages remain untapped as

A. they have low education level
B. they are not aware of products
C. it is economically not viable
D. none of the above
Answer» C. it is economically not viable
32.

According to studies, the following trends are seen in rural markets

A. acceptability among consumers have grown
B. availability of products have increased
C. infrastructural development have risen
D. all of the above
Answer» D. all of the above
33.

A rural marketer needs to understand:

A. where rural consumers buy
B. what retail behaviour is
C. stocking pattern of retailers
D. all of the above
Answer» D. all of the above
34.

Rural retailers practise

A. Social marketing
B. Relationship marketing
C. Scarcity marketing
D. Cause marketing
Answer» B. Relationship marketing
35.

An intermediary who helps the ultimate rural consumer in identification and selection of brands:

A. CFA
B. Redistribution stockists
C. Wholesaler
D. Retailer
Answer» D. Retailer
36.

Consider the following statements regarding wholesalers:
i. Wholesalers do not grant credit to its cusomers
ii. Wholesalers absorb some risk by taking title
iii. Wholesalers supply information to suppliers and customers
iv. Wholesalers can often provide quicker delivery to buyers
Which statement is incorrect?

A. i
B. ii
C. iii
D. iv
Answer» A. i
37.

Consider the following statements regarding retailers:
i. Retailers provide credit to the consumers
ii. Retailers understands needs and buying habits of consumers
iii. Retailers buy large carload lots and break the bulk into smaller units
iv. Retailers make the products available to the ultimate consumers
Which statement is incorrect?

A. i
B. ii
C. iii
D. iv
Answer» C. iii
38.

An initiative that has resulted in increase in rural woman entrepreneurs:

A. PDS
B. Youth Entrepreneurship Model
C. Self Help Groups
D. Cooperative Societies
Answer» C. Self Help Groups
39.

When a company decides to sell its products and services in a rural market, one of the most important decisions it will make is

A. the number of products to launch
B. the design of its distribution network
C. the number of sales force required
D. the pricing of products
Answer» B. the design of its distribution network
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Question and answers in Unit 5, Unit 5 multiple choice questions and answers, Unit 5 Important MCQs, Solved MCQs for Unit 5, Unit 5 MCQs with answers PDF download