Kell International manufactures air conditioners.It offers subsidies on the air conditioners to encourage retailers to sell higher volumes.Which of the following strategies best describes Kell's distribution channel strategy?

Question

Quizplus · Accepted Answer

Kell's strategy of offering subsidies to retailers to sell higher volumes aligns with a push distribution channel strategy. In push strategy, manufacturers offer incentives, such as discounts or subsidies, to intermediaries like retailers to push their products to the end customers. This is in contrast to a pull strategy, where manufacturers focus on creating demand among end customers to pull the products through the distribution channel.

Kell International Manufactures Air Conditioners