Arrange the following into a two-level channel distribution network.
(A) Wholesaler
(B) Customer
(C) Retailer
(D) Manufacturer
Choose the correct answer from the options given below:
Arrange the following into a two-level channel distribution network.
(A) Wholesaler
(B) Customer
(C) Retailer
(D) Manufacturer
Choose the correct answer from the options given below:
Solution
Option 1 -> (B), (D), (C), (A) places Customer first and ends with Wholesaler, which reverses the distribution flow and is incorrect.
Option 2 -> (A), (C), (D), (B) starts with Wholesaler before Manufacturer, disrupting the logical production-to-consumption sequence.
Option 3 -> (B), (A), (C), (D) begins with Customer and ends with Manufacturer, completely reversing the distribution channel flow.
Option 4 -> (D), (A), (C), (B) follows the correct sequence: Manufacturer → Wholesaler → Retailer → Customer, representing a proper two-level channel with two intermediaries.
Hence, Option 4: (D), (A), (C), (B) -> In a two-level distribution channel, products flow from Manufacturer (D) to Wholesaler (A) as the first intermediary, then to Retailer (C) as the second intermediary, and finally reach the Customer (B). This structure has exactly two intermediary levels between producer and end consumer. -> correct
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