You're the marketing arm of your family's business, Happy Valley Farms, where you raise organic beef, pork, and lamb. Up until last year, you used a very short distribution channel - you were marketing and selling directly to your local customers. But now you've doubled the size of your farm and intend to sell to customers throughout the state, and you're not sure this approach still works for you. Which type of distribution channel will work best for your current and future needs, and why?
A) Given that your business has succeeded on personal relationships, you should continue to use a short distribution channel without any intermediaries.
B) If you involve intermediaries, you will lose all the profits you might gain from expanding your business, so you should continue to avoid any intermediaries.
C) Your business's need to warehouse and transport perishable products throughout the state mean that you will need to involve a couple of intermediaries in your new, still relatively short distribution channel.
D) Doubling the size of your business changes everything, and you'll now need a long distribution channel involving logistics and sales and marketing intermediaries who can assist you.
Correct Answer:
Verified
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