Though Newton Coal Supply actually takes possession of coal from local mining companies, it never stores a single ounce of coal on its premises. Instead, it simply arranges for the coal to be shipped directly from the mining company to its customers. This type of arrangement suggests that Newton is a drop shipper.

Question

Quizplus · Accepted Answer

A drop shipper is a company that takes orders and transfers them to a third-party supplier or manufacturer for fulfillment, without actually handling or storing the products themselves. Since Newton Coal Supply takes possession of the coal only to arrange for its direct shipment to customers, it fits the definition of a drop shipper.

Though Newton Coal Supply Actually Takes Possession of Coal from Local