Inventory and Physical Distribution

19501 Words79 Pages
ch11 Student: ___________________________________________________________________________ 1. The railroad service which picks up truck trailers at a producer 's location, loads them onto rail flatcars, hauls them close to the customer, and then delivers them to the buyer 's door is: A. truck service. B. fast freight. C. trailer service. D. piggyback service. E. pool car service. 2. Air express companies place many small packages into specially designed cylinders that conform to the interior dimensions of a cargo airplane. This practice protects the smaller packages and helps to reduce distribution costs. The air express companies are practicing: A. Containerization. B. Piggybacking. C. Freight forwarding. D.…show more content…
Higher physical distribution service levels are not a source of differentiation. True False 23. Advance information on product availability affects physical distribution (PD) service levels. True False 24. The total cost approach involves evaluating each possible PD system and identifying all the transportation costs associated with each alternative. True False 25. The "total cost approach" to physical distribution focuses exclusively on the total cost of transporting a product. True False 26. The "total cost approach" to physical distribution management involves evaluating all the costs of alternative physical distribution systems, including transporting, storing, and handling costs. True False 27. Most marketing functions can be shared in a channel, but the storing function is almost always handled by the producer. True False 28. JIT shifts greater responsibility for physical distribution activities forward in the channel. True False 29. Just-in-time delivery reduces storing and handling costs for business customers. True False 30. Just-in-time delivery systems typically shift more responsibility for PD activities to the customer rather than the supplier. True False 31. Every firm should try to use the just-in-time approach to physical distribution. True False 32. A channel of distribution is part of a broader network of relationships called a supply chain. True False 33. A
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