What is a primary difference between an industrial distributor and a manufacturers' agent?
A) A manufacturers' agent does not acquire title nor usually takes possession of the products whereas an industrial distributor does.
B) A manufacturers' agent is employed by the manufacturers while an industrial distributor is independent.
C) An industrial distributor is employed by the manufacturers while a manufacturers' agent is independent.
D) A manufacturers' agent rarely adds any value to the marketing channel while an industrial distributor reduces costs significantly.
E) An industrial distributor does not form relationships with customers for repeat business whereas a key asset of a manufacturers' agent is his knowledge of his customers.

Question

Quizplus · Accepted Answer

A manufacturers' agent typically does not take title or possession of the products they sell, acting as a sales representative for the manufacturer, while an industrial distributor usually takes title and possession of the products, buying and reselling them.

What Is a Primary Difference Between an Industrial Distributor and a Manufacturers