Faber Motors manufactures three lines of cars: high-end security cars for government agencies, commercial cars for consumers and individuals, and professional racing cars. The high-end security cars are sold directly to government buyers by the company. The consumer cars are sold through dedicated dealers who only sell Faber's lines at their outlets. For its professional racing cars, Faber collaborates with Radium Tires, an innovative and renowned tire manufacturer. Faber provides the engine and body, while Radium provides the tires and its expertise on the racing industry. Which term best describes Faber's channel arrangements?

Question

Quizplus · Accepted Answer

Faber Motors has different channels for each line of cars, with direct sales to government agencies for high-end security cars, dedicated dealers for consumer cars, and collaboration with Radium Tires for professional racing cars. This makes it a multichannel distribution system.

Faber Motors Manufactures Three Lines of Cars: High-End Security Cars