The idea that wholesalers can spread their costs across different manufacturers,and therefore,perform the selling function at a lower cost than can these manufacturers is known as:

Question

Quizplus · Accepted Answer

The idea described in the question is a concept of functional efficiency, where wholesalers specialize in performing the selling function for multiple manufacturers and can spread their costs across these manufacturers, allowing them to perform the function at a lower cost than each individual manufacturer would be able to do. Scale efficiency refers to reducing costs through increasing production levels, transactional efficiency refers to reducing costs through streamlining transactions, and agent efficiency refers to reducing costs through hiring efficient agents. These concepts are not directly related to the scenario described in the question.

The Idea That Wholesalers Can Spread Their Costs Across Different