Companies deciding on the number of intermediaries to use at each channel level have three strategies available to them.They can use exclusive distribution,________ distribution,and intensive distribution.

Question

Quizplus · Accepted Answer

Selective distribution allows for a balance between control and market reach. By working with a limited number of intermediaries, companies can have some control over how their products are marketed and sold, while still reaching a significant market. This strategy also allows companies to maintain some level of exclusivity and differentiation for their products. Extensive distribution, while reaching a larger market, may result in the loss of control and differentiation. Exclusive distribution may limit the market reach and potentially result in missed opportunities for sales. Intensive distribution may result in oversaturation of the market and lower profit margins. Therefore, selective distribution is the best choice.

Companies Deciding on the Number of Intermediaries to Use at Each