Which of the following is NOT a reason for using intermediaries in distribution?

Study for the PlayPosit Principles of Marketing Test. Engage with interactive content, flashcards, and detailed explanations. Gear up to ace your exam!

Using intermediaries in distribution serves several important functions that can enhance efficiency and effectiveness in getting products to consumers. One of the primary reasons for utilizing intermediaries is cost reductions. Intermediaries such as wholesalers and distributors can achieve economies of scale, reducing overall distribution costs by managing logistics, storage, and inventory more effectively than individual manufacturers might be able to on their own.

Increased product variety is another significant advantage provided by intermediaries. They allow a broader assortment of products to be available at retail locations, making it easier for consumers to find what they need without having to shop from multiple manufacturers.

Similarly, intermediaries can enhance the consumer experience by providing valuable services such as product knowledge, support, and convenience. These services facilitate a smoother purchasing process and can lead to greater customer satisfaction.

In contrast, decreased product demand does not fit into the rationale for using intermediaries. This factor would be detrimental—any scenario that suggests a decline in product demand does not serve as a reason to involve intermediaries. Instead, intermediaries aim to increase demand through better distribution strategies and enhanced accessibility for consumers.

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