Distribution centers:
A) Are designed to facilitate the flow of products through the channel.
B) Are the same as public warehouses.
C) Are not places where regrouping activities-such as bulk-breaking-are performed.
D) Increase storing costs.
E) Are designed to eliminate all storage.

Question

Quizplus · Accepted Answer

Distribution centers are designed to facilitate the flow of products through the channel. Unlike public warehouses, they may perform regrouping activities such as bulk-breaking. They can actually decrease storing costs due to their efficiency in moving products in and out quickly. They still involve storage, but the focus is on quickly moving products through the facility rather than long-term storage.

Distribution Centers