18 terms

Chapter 21 (Channels of Distribution)

Set #1
STUDY
PLAY

Terms in this set (...)

channel of distribution
The path a product takes from its producer or manufacturer to the final user.
intermediaries
"middlemen", people or businesses that move products between producers and final users
wholesalers
Business that buy large quantities of goods from manufacturers, store the goods and then resell them to other businesess
rack jobbers
wholesalers that manage inventory and merchandise for retailers by counting stock and filling when needed
drop shippers
own goods that the sell but do not physically handle the actual products
retailers
sell goods to the final customer for personal use
brick-and-mortar retailers
sell goods from a physical store
merchant intermediary
an intermediary that takes title (ownership) of the goods and services
agent intermediary
an intermediary that does not take title (ownership) of goods and services; they are paid a commission
e-tailing
Involves retailers selling products over the Internet to the consumer.
agents
intermediaries who bring buyers and sellers together and do not own the goods they sell.
direct distribution
goods or services are sold by the producer directly to the final user; no intermediaries are involved
indirect distribution
involves one or more intermediaries
exclusive distribution
giving a limited number of dealers the exclusive right to distribute the company's products in their territories
integrated distribution
A manufacturer acts as a wholesaler and retailer for its own products by owning and running their own retail operations.
selective distribution
distribution that sends products to only a preferred group of retailers in an area
intensive distribution
involves the use of all suitable outlets to sell a product
e-marketplace
an online shopping location.