Which of the following strategies is likely to increase the average size of orders received by a manufacturer?
A) encourage customers to institute a just-in-time (JIT) inventory system
B) institute a small-order handling charge
C) discontinue the use of wholesalers and sell directly to customers
D) change from selective to intensive distribution
E) decrease the size of the quantity discounts

Question

Quizplus · Accepted Answer

Instituting a small-order handling charge can encourage customers to place larger orders to avoid the extra fees, thereby increasing the average size of orders received by the manufacturer.

Which of the Following Strategies Is Likely to Increase the Average