Page 589 - Business Principles and Management

Unit 6

ORDER PROCESSING
Customers place orders in person or by mail, telephone, computer, or fax. When
an order reaches the business, employees must process the paperwork to fill the
order and bill the customer. If customers have questions or problems with the
order, employees must handle them in a friendly and courteous fashion. Some
employees are responsible for tracking orders until they reach the customers to
make sure the customers receive what they expect.
Most companies have automated some or all of the order-processing system.
Orders entered into a computer system can be easily tracked. Some companies
make computer records available to channel members and customers so they can
also track orders at any time from their own computers.

CHECKPOINT
Describe how manufacturers or channel members store products
at points along the way from producer to consumer.

21.3 Assessment

UNDERSTAND MANAGEMENT CONCEPTS
Circle the best answer for each of the following questions.
1. The transportation method in which truck trailers are placed on
railroad cars is called
a. railback
b. piggyback
c. truck to rail
d. trainback
2. Buildings used to store large quantities of products until they can
be sold are called
a. distribution centers
b. storage houses
c. warehouses
d. wholesalers

THINK CRITICALLY
Answer the following questions as completely as possible.
3. Describe some of the common problems related to transportation.
4. Why is product handling an important part of
the distribution process?

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