Multinationals are plagued by the gray market problem.The gray market consists of ________.
A) the marketing of products to older consumers
B) branded products diverted from normal distribution channels in the country of product origin
C) branded products diverted from one country to another
D) products being repackaged from the intended country to a diverted country
E) products not having full warranties by the manufacturer

Question

Quizplus · Accepted Answer

The gray market refers to branded products that are diverted from the normal distribution channels in the country of product origin. This can occur when products are intended for sale in one market but end up being sold in another market through unauthorized channels.

Multinationals Are Plagued by the Gray Market Problem