When retailers buy more cases than are needed in a region in which the manufacturer offered a deal and ship the surplus to their stores in nondeal regions,is known as ________.
A) forward buying
B) purchasing intent
C) de facto buying
D) trade buying
E) diverting

Question

Quizplus · Accepted Answer

This practice is known as diverting, where the surplus inventory is diverted from the intended region to non-deal regions to take advantage of better profit margins. Forward buying refers to buying inventory in advance, purchasing intent is the intention to buy, de facto buying is a term that does not exist, and trade buying refers to buying goods for resale.

When Retailers Buy More Cases Than Are Needed in a Region