Chapter:

30+ Unit 5 Solved MCQs

in Agricultural and Rural Marketing

These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Commerce (B Com) .

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1.	Rural marketing problem is essentially a
A.	product problem
B.	pricing problem
C.	distribution problem
D.	promotion problem
Answer» C. distribution problem

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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

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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

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4.	Which of the following is an activity of physical distribution?
A.	Order processing
B.	Warehousing
C.	Advertising
D.	Transportation
Answer» D. Transportation

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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

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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

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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

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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

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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

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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

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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

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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

discuss

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

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14.	Cooperative Societies are utilised the most for the distribution of:
A.	Durable goods
B.	FMCG
C.	Fertilizers
D.	Farm tools
Answer» C. Fertilizers

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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

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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

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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

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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

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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

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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

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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

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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

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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

discuss

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

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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

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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

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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

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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

discuss

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

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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

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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

discuss

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

discuss

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

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34.	Rural retailers practise
A.	Social marketing
B.	Relationship marketing
C.	Scarcity marketing
D.	Cause marketing
Answer» B. Relationship marketing

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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

discuss

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

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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

discuss

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

discuss

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

discuss

30+ Unit 5 Solved MCQs

Rural marketing problem is essentially a

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

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

Which of the following is an activity of physical distribution?

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

Wholesalers perform several functions except

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

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?

Redistribution Stockists are responsible for supplying stocks to:

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

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

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

Cooperative Societies are utilised the most for the distribution of:

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

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

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

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

The benefits of marketing channels are

Consumer product channels tend to be ______ industrial product channels.

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

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

Intermediaries play an important role in matching:

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

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

A company‟s channel decisions directly affect every _____________.

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

The biggest challenge in reaching rural markets is

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

Low population density of villages leads to

Large number of villages remain untapped as

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

A rural marketer needs to understand:

Rural retailers practise

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

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

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

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?