The physical distribution concept seeks to minimize the cost of distribution for a given customer service level.

Question

Quizplus · Accepted Answer

The physical distribution concept indeed aims to optimize the cost of distribution while maintaining a satisfactory level of customer service. This involves various activities such as inventory management, transportation, warehousing, and order processing, among others. By streamlining these activities and adopting efficient practices, companies can reduce their distribution costs and improve profitability while still meeting customer expectations.

The Physical Distribution Concept Seeks to Minimize the Cost of Distribution