Matthew made a purchase online of a Fender speaker system from a retailer. When the shipment of his purchase arrived at his home, he noticed that the product was shipped to him directly from Fender. The retailer and vendor are utilizing a system of __________.
A) cross-docking
B) vendor-managed inventory
C) third party logistics
D) outsourcing
E) drop-shipping

Question

Quizplus · Accepted Answer

Drop-shipping is a retail fulfillment method where the retailer does not keep the products it sells in stock. Instead, when a retailer sells a product, it purchases the item from a third party (in this case, Fender) and has it shipped directly to the customer.

Matthew Made a Purchase Online of a Fender Speaker System