Which of the following statements is true of nondirect distribution?
A) A product's final price is more than the manufacturing cost if intermediaries are involved.
B) An agent sells products to consumers or end-users,typically in small quantities.
C) Distributors and wholesalers tend to take on start-up products due to zero setup charges.
D) A retailer represents a manufacturer's product to other business-to-business middleman firms.

Question

Quizplus · Accepted Answer

Nondirect distribution involves the use of intermediaries such as wholesalers, distributors, and retailers, who add their own markups to the product price. This results in the final price being higher than the manufacturing cost.

Which of the Following Statements Is True of Nondirect Distribution