Which of the following statements about vertical marketing systems (VMSs) is True?
A) The horizontal marketing system is much more efficient than the VMS.
B) VMSs tend to increase duplication of marketing services.
C) There is a trend away from the use of VMSs.
D) VMSs give manufacturers monopolistic control over the channel.
E) None of the above statements about VMSs is True.

Question

Quizplus · Accepted Answer

Vertical Marketing Systems (VMSs) are designed to improve efficiency and reduce duplication in the distribution process, not increase it. They involve a more unified approach to distribution, with different members of the distribution chain working closely together, which contrasts with the statement that they increase duplication. VMSs are actually becoming more common, not less, as companies seek to streamline distribution and improve coordination among different levels of the supply chain. They do not inherently give manufacturers monopolistic control over the channel; rather, they can involve various forms of cooperation and control among manufacturers, wholesalers, and retailers. Therefore, none of the provided statements about VMSs are true, making E the correct choice.

Which of the Following Statements About Vertical Marketing Systems (VMSs)