Question : Which of the following statement is correct? Statement 1: According to similar channel policy a company choose the same channel of distribution as is being used by its competitive company.
Statement 2: According to separate channel policy a company choose a channel of distribution which is different from the channel being used by its competitive company.
Option 1: Both are true
Option 2: Both are false
Option 3: Statement 1 is true and statement 2 is false.
Option 4: Statement 1 is false and statement 2 is true.
Correct Answer: Both are true
Solution : According to similar channel policy a company choose the same channel of distribution as is being used by its competitive company. According to separate channel policy a company choose a channel of distribution which is different from the channel being used by its competitive company.
Hence, option A is correct.
Question : Which of the following statement is correct? Statement 1: During inflation, business considers choosing small channel of distribution. Statement 2: The government rules affect the choice of the channel of distribution.
Question : Which of the following statement is correct? Statement 1: Manufacturers goodwill does not affect the selection of channel of distribution. Statement 2: A company which has a strong financial base can evolve its own channels.
Question : Which of the following statement is correct? Statement 1: Promotion of a product is affected by rate of profit, price of competitive product and policy of the government. Statement 2: Promotion means informing the consumers about the products of the company.
Question : Which of the following statement is correct? Statement 1: Channel of distribution includes mainly agents,wholesaler and retailers. Statement 2: Channel distribution refers to that path through which the ownership as well as possession of goods transfer to the consumer from the producer.
Question : Which of the following statement is correct? Statement 1: A manufacturer should choose minimum channel of distribution for such an item or product which is a highly perishable nature. Statement 2: If a product is of a technical nature then it is better to supply directly to the consumer.
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