In deciding on the firm's distribution strategy in the United Kingdom,Arlene Smith of Wendell Products found that the country's retail sector was very concentrated.When the retail sector is very concentrated
A)it is more expensive for a firm to make contact with each individual retailer.
B)it makes sense for a firm to deal directly with retailers,cutting out wholesalers.
C)a relatively large sales force is required to deal with the retail sector.
D)the channels of distribution tend to be long.
E)the growth of wholesalers is promoted.

Question

Quizplus · Accepted Answer

When the retail sector is very concentrated, it makes sense for a firm to deal directly with retailers, cutting out wholesalers. This is because dealing with a concentrated retail sector can reduce the number of intermediaries needed to reach the end consumer, thereby reducing costs and increasing efficiency. Directly dealing with retailers can also give a firm more control over its products' pricing, placement, and promotion.

In Deciding on the Firm's Distribution Strategy in the United