Question

Difficulty: EasyChannels of Distribution

Which sequence correctly represents a direct channel of distribution where goods move from the producer to the final buyer without the involvement of any intermediaries?

  1. Producer → ConsumerAnswer
  2. B
    Producer → Wholesaler → Consumer
  3. C
    Wholesaler → Retailer → Consumer
  4. D
    Producer → Retailer → Wholesaler

Answer

Producer → Consumer is the correct sequence representing a direct channel of distribution without intermediaries.
A direct channel of distribution, also known as a zero-stage channel, occurs when the producer sells directly to the ultimate user or consumer without employing intermediaries such as wholesalers, agents, or retailers.

Step-by-Step Solution

1
Identify the key requirement in the question.
The question asks for a direct channel of distribution with no intermediaries (middlemen).
Direct distribution means goods travel directly from the creator of the goods to the end user.
2
Evaluate the channel paths.
The sequence Producer → Consumer connects the manufacturer directly to the end customer without any wholesalers or retailers involved.
Eliminating intermediaries defines the direct (zero-level) channel.

Key Concept

Direct Channel of Distribution (Zero-Level Channel)
Estimated Time:45s
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