Multiple Select QuestionSelect all that applyRetailers can compete with online retailers by using which of the following distribution systems to be more efficient?Multiple select question.CorporateContractualInternalAdministered
Question
Multiple Select QuestionSelect all that applyRetailers can compete with online retailers by using which of the following distribution systems to be more efficient?Multiple select question.CorporateContractualInternalAdministered
Solution
Retailers can compete with online retailers by using the following distribution systems to be more efficient:
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Corporate: This system involves the ownership of all the elements of the distribution channel by a single firm. This allows for greater control over the distribution process, which can lead to increased efficiency.
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Contractual: This system involves independent firms at different levels of the distribution channel joining together through contracts. This can lead to increased efficiency through cooperation and coordination.
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Administered: This system involves one member of the distribution channel controlling the activities of the other members through its size and power. This can lead to increased efficiency through the control and coordination of activities.
The internal system is not typically used to increase efficiency in competing with online retailers.
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