Edexcel-Distribution 1.3

Question 1

Distribution

Answer 1

To make products available in the right place,quantities and time

Question 2

What is distribution influenced by

Answer 2

Target market segment

Question 3

Distribution channel

Answer 3

Moves products from production to final consumption

Question 4

Retailers

Answer 4

Final step
Focus on consumers
Deal directly with consumers

Question 5

E.g. of retailers

Answer 5

department store
convenience store
Franchises

Question 6

Wholesaler

Answer 6

Buy large quantities at low prices from producers and sell smaller quantities with a profit margin to retailer

Question 7

E.g. of wholesalers

Answer 7

Newsagent

Question 8

Distributor

Answer 8

Distribute products and serve as local sales point. Holds stock and offer many products.

Question 9

E.g. of distributor

Answer 9

Building supplies

Question 10

Agent

Answer 10

specialist type of distributor, does not hold stock

Question 11

E.g. Of agent

Answer 11

Travel and insurance

Question 12

Online distribution

Answer 12

Allows consumers to directly purchase through online platforms

Question 13

Online distribution advantages

Answer 13

Lower costs
Wider reach of consumers

Question 14

Online distribution disadvantages

Answer 14

Increased competition
Consumers become dependent on only online platforms

Question 15

Changing from product to service Aspects that need to be considered

Answer 15

Clear understanding of consumers wants and needs
Focus on providing value to consumers

Question 16

Changing from product to service advantages

Answer 16

Flexibility
Wider choice of products

Question 17

Changing from product to service disadvantages

Answer 17

Expensive
Time consuming

Question 18

Three different types of distribution

Answer 18

Four stage
Three stage
Two stage

Question 19

Four stage

Answer 19

Used with groceries, electronics and clothing

Question 20

Three stage

Answer 20

Eliminates the Wholesaler stage
Often used with products with high demand or high costs of production

Question 21

Two stage

Answer 21

Eliminates both the wholesaler and retailer
Commonly used for selling products online

Question 22

Growth of Ecommerce

Answer 22

Online distribution increasingly popular due too convenience and accessibility
Drop shipping is used so businesses dont have to hold stock and sell directly from producer to consumer

Question 23

Shift from product to service based

Answer 23

Consumers value experience over material possessions
Involves delivering services to customers directly through apps and websites