MCQ Sales and Distribution Management to boost your knowledge.
Sales and Distribution Management forms the backbone of any company’s go-to-market strategy. It bridges the gap between production and customer through effective sales planning, channel management, logistics, and relationship building. Testing knowledge through Multiple Choice Questions (MCQs) is a great way to reinforce learning and prepare for exams or interviews.
Below are 50 MCQs covering core concepts—from sales organization to distribution channels, forecasting, and promotional strategies—with four options each and clear answers for quick self-assessment.
50 MCQ Sales and Distribution Management
1. Which is NOT a function of sales management?
A. Planning
B. Staffing
C. Logistics
D. Controlling
Answer: C
2. SFA stands for
A. Sales Force Activation
B. Sales Force Automation
C. Sales Factor Achievement
D. Sales Force Allocation
Answer: B
3. Distribution involves ensuring product availability through the marketing mix’s ______ element.
A. Product
B. Price
C. Place
D. Promotion
Answer: C
4. Direct distribution means
A. Through wholesalers
B. Manufacturer to consumer
C. Through retailers
D. Through agents
Answer: B
5. A Level 2 distribution channel includes
A. Manufacturer → consumer
B. Manufacturer → retailer → consumer
C. Manufacturer → wholesaler → retailer → consumer
D. Manufacturer → agent → consumer
Answer: C
6. In Sales & Distribution Management, “place” refers to
A. Product design
B. Sales forecasting
C. Distribution channels
D. Pricing strategy
Answer: C
7. An example of an indirect distribution channel is
A. Manufacturer delivering directly to customer
B. Selling via e-commerce
C. Selling through wholesalers/retailers
D. Direct selling team
Answer: C
8. Sales force structure by product line is called
A. Territorial structure
B. Customer structure
C. Product structure
D. Functional structure
Answer: C
9. SFA helps in
A. Sales planning only
B. Automating sales tasks
C. Logistics planning
D. HR recruitment
Answer: B
10. The short distribution path is
A. Zero-level channel
B. One-level channel
C. Two-level channel
D. Multi-level channel
Answer: A
11. Sales forecasting helps in
A. Ignoring data
B. Budgeting & planning
C. Hiring only
D. Customer feedback
Answer: B
12w. Exclusive distribution gives rights to
A. All retailers
B. Single retailer in area
C. Only online sellers
D. Multiple wholesalers
Answer: B
13. Selective distribution is common in
A. FMCG
B. Luxury products
C. Commodity goods
D. None
Answer: B
14. Push strategy focuses on
A. Direct to consumer
B. Creating customer demand
C. Promoting through intermediaries
D. Product improvements
Answer: C
15. Pull strategy focuses on
A. Direct advertising to customers
B. Sales through intermediaries
C. Lowering prices
D. Reducing distribution
Answer: A
16. Vertical marketing system (VMS) denotes
A. Horizontal integration
B. Channel cooperative system
C. Whole-food distribution
D. Vertical supply control
Answer: B
17. Territorial structure assigns sales reps by
A. Product
B. Customer type
C. Geography
D. Price bracket
Answer: C
18. Channel management includes
A. Designing channels
B. Monitoring performance
C. Motivating partners
D. All of the above
Answer: D
19. Distribution adds value by
A. Raising prices
B. Holding inventory
C. Reducing customer access
D. None
Answer: B
20. ERP in Sales Management stands for
A. Enterprise Resource Planning
B. Enterprise Resale Planning
C. Enterprise Research Planning
D. Enterprise Resource Process
Answer: A
21. Barter system is
A. Money-based exchange
B. Goods-for-goods exchange
C. Digital payment system
D. Credit transaction
Answer: B
22. Marketing management vs sales management
A. Marketing broader, includes sales
B. Sales broader
C. Synonym
D. No relation
Answer: A
23. Sales & distribution management focuses on
A. Producing
B. Selling
C. Buying
D. Stocking
Answer: B
24. Distributor is part of
A. Production chain
B. Marketing/distribution chain
C. Logistics only
D. HR department
Answer: B
25. Hybrid distribution channel uses both
A. Direct and indirect channels
B. Direct only
C. Indirect only
D. None
Answer: A
26. Intermediaries add value by
A. Delaying delivery
B. Bringing product closer to consumer
C. Increasing cost only
D. Reducing quality
Answer: B
27. Single-tier distribution =
A. Manufacturer → consumer
B. Manufacturer → retailer → consumer
C. Manufacturer → wholesaler → retailer → consumer
D. Manufacturer → agent → wholesaler → consumer
Answer: B
28. Distributor management systems (DMS) help in-
A. Manual order taking
B. Automating orders/inventory insights
C. Reducing internet usage
D. None
Answer: B
29. Forecasting using Bayesian networks helps with
A. Promotions impact on demand
B. Only historical sales
C. Ignoring market change
D. None
Answer: A
30. Assuming leadership role in a team is called
A. Stepping up
B. Stepping stone
C. Follow the leader
D. None
Answer: A
31. Delegation is a key management skill
A. True
B. False
Answer: A
32. Difference between sales and marketing
A. Sales narrower focus
B. Sales broader
C. Synonyms
D. Unrelated
Answer: A
33. Sales force structure by customer is
A. Territorial
B. Product
C. Customer
D. Functional
Answer: C
34. Logistics is part of
A. Upstream supply chain
B. Marketing only
C. Sales management
D. HR
Answer: A
35. Mass distribution is for
A. Niche products
B. Mass-market goods
C. Luxury brands
D. None
Answer: B
36. Retail selling is
A. Personal selling
B. Mass media promotion
C. Indirect distribution
D. None
Answer: A
37. Sales promotion tools target
A. Customers, intermediaries, salesforce
B. Only customers
C. Only salesforce
D. None
Answer: A
38. Customer Lifetime Value refers to
A. Profit from one sale
B. Long-term value of customer
C. Cost of product
D. None
Answer: B
39. Direct marketing aims to
A. Persuade purchase
B. Ignore customers
C. Focus on brokering
D. None
Answer: A
40. Lifetime customer value defines
A. Assessment
B. Value
C. Follow-up
D. Forecast
Answer: B
41. Sales promotion is
A. Only digital
B. Tools to boost short demand
C. Only offline
D. None
Answer: B
42. Sales objectives include
A. Only increasing profit
B. Building relationships
C. Forecasting
D. All of above
Answer: D
43. Role of CRM in SDM
A. Manage customer interaction
B. Ignore feedback
C. Increase complaints
D. None
Answer: A
44. Cross-selling means
A. Selling more to same customer
B. Discount only
C. Telemarketing
D. None
Answer: A
45. Lead conversion rate measures
A. Customer churn
B. Sales conversion
C. Satisfaction score
D. None
Answer: B
46. Sales quota is
A. Max product per customer
B. Target for salesperson
C. Product price
D. Call duration
Answer: B
47. Customer acquisition cost means
A. Sale price
B. Cost to gain customer
C. Lifetime value
D. None
Answer: B
48. Average deal size is metric for
A. Sales frequency
B. Value per sale
C. Churn
D. None
Answer: B
49. Sales cycle refers to
A. Production process
B. Buyer journey stages
C. Manufacturing time
D. None
Answer: B
50. Customer churn rate means
A. Retainment
B. Acquisition
C. Attrition
D. Value
Answer: C
Sales and Distribution Management MCQ with Answers
Conclusion
These 50 MCQs cover foundational and advanced concepts within Sales and Distribution Management—from channels to metrics, strategies, and systems. Ideal for students preparing for marketing exams or professionals brushing up their knowledge.