Cooperative merchandising agreements are popular with manufacturers because the retailer performs a marketing function in order to receive the allowance or incentive.

Question

Quizplus · Accepted Answer

Cooperative merchandising agreements involve a partnership between the manufacturer and retailer, where the retailer helps promote and sell the manufacturer's products in exchange for a marketing allowance or incentive. This is beneficial for manufacturers as it allows them to reach a wider audience and increase sales, while the retailer benefits from the additional revenue generated by selling the manufacturer's products. Therefore, the statement is true.

Cooperative Merchandising Agreements Are Popular with Manufacturers Because the Retailer