A Manufacturer Utilizing an Intensive Form of Distribution Coverage

question 33

Multiple Choice

A manufacturer utilizing an intensive form of distribution coverage:

• A) gains the maximum degree of control over wholesalers and retailers.
• B) attempts to gain exposure through as many wholesalers and retailers as possible.
• C) severely limits distribution; intermediaries are provided exclusive rights within a territory.
• D) limits the use of intermediaries to the ones believed to be the best available in the geographic area.

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Definitions:

Management Rights

Decisions regarding organizational operations over which management claims exclusive rights.

Collective Agreement

A written contract negotiated between an employer and a union representing the employees, outlining their rights and duties.

Exclusive Rights

Special privileges granted to an individual or organization, allowing them to use, produce, or sell a particular product or service, often protected by law.

Rights Arbitration

Arbitration over interpretation of the meaning of contract terms or employee work grievances