Many products, such as candy, soft drinks, and gum, are sold via intensive distribution. However, this strategy has a major drawback. What is it?
A) It maximizes profit margin rather than sales volume.
B) It encourages customers to shop around for the lowest price.
C) It promotes a very high degree of brand switching.
D) The manufacturer must give up a good degree of control over pricing and product display.
E) It gives customers fewer opportunities to find the product.

Question

Quizplus · Accepted Answer

Intensive distribution involves placing a product in as many outlets as possible. This strategy can lead to manufacturers losing some control over how their products are priced and displayed because they must negotiate and comply with the practices of numerous retailers.

Many Products, Such as Candy, Soft Drinks, and Gum, Are