Thanks to a number of investors, you're ready to launch your new business manufacturing imported leather furniture, such as sofas, chairs, and ottomans. You can imagine your products selling in furniture stores, department stores, and maybe even some grocery superstores that also carry furniture, all across the country and beyond. Which type of distribution channel will work best for your objectives, and why?
A) Personal relationships will make or break your new business, so you should use a short distribution channel without any intermediaries.
B) Intermediaries will diminish your profit potential, so you should minimize the number of intermediaries involved and create a short distribution channel.
C) The fact that you are using imported leather means you are already part of the leather manufacturer's long distribution channel.
D) Given all of the logistical and marketing assistance you'll need to effectively reach so many customers over such a large territory, a long distribution channel involving multiple intermediaries would be best for you.

Question

Quizplus · Accepted Answer

Given the scale and scope of the business—aiming to distribute across the country and potentially beyond—a long distribution channel involving multiple intermediaries would be most effective. This approach allows for better handling of logistics, marketing, and distribution efforts, making it easier to reach a wide customer base in various retail settings.

Thanks to a Number of Investors, You're Ready to Launch