Which distribution network design is being used when inventory is stored at the manufacturer or distributor warehouse but customers place their orders online or on the phone and then come to designated pickup points to collect their orders?
A)Manufacturer storage with direct shipping
B)Manufacturer/distributor storage with customer pickup
C)Distributor storage with package carrier delivery
D)Distributor storage with last mile delivery

Question

Quizplus · Accepted Answer

This distribution design is known as "Manufacturer/distributor storage with customer pickup." It involves storing inventory at a manufacturer or distributor warehouse and allowing customers to place orders online or via phone, then picking up their orders from designated locations. Option A, "Manufacturer storage with direct shipping," involves shipping products directly from the manufacturer to the customer, which is not stated in the scenario. Option C, "Distributor storage with package carrier delivery," involves storing inventory at a distributor warehouse and delivering to customers via package carriers, which is not mentioned in the scenario. Option D, "Distributor storage with last mile delivery," involves delivering products directly to the customer's doorstep, which is not mentioned in the scenario.

Which Distribution Network Design Is Being Used When Inventory Is