A Common Trait of Corporate Distribution Systems, Administered Distribution Systems

question 269

Multiple Choice

A common trait of corporate distribution systems, administered distribution systems, contractual distribution systems, and supply chains is that they all

• A) are arrangements which seek to distribute goods more efficiently by eliminating most functions performed by marketing intermediaries.
• B) seek to consolidate and control the distribution system by having one firm own all of the distribution functions.
• C) attempt to improve the efficiency of distribution systems by linking the firms together in a formal relationship.
• D) have been replaced by more efficient distribution systems relying heavily on online linkages.

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Definitions:

Profit Sharing

A company's practice of distributing a portion of its earnings to employees, usually based on the company's profitability, as an incentive and reward for their contributions.

Psychological Ownership

The feeling of possession and personal attachment that individuals feel for an object, place, or idea, even if they do not legally own it.

Gain-sharing Plan

A compensation strategy where employees receive bonuses for performance improvements or cost savings they contribute to.

Piece Rate

A compensation system where workers are paid a fixed sum for each unit of production completed, rather than by the hour or salary.