Which of the Following Is True of Distribution Centers

question 52

Multiple Choice

Which of the following is true of distribution centers?

• A)They are designed to facilitate the flow of products through the channel.
• B)They are the same as public warehouses.
• C)They are not places where regrouping activities such as bulk-breaking are performed.
• D)They increase storing costs.
• E)They are designed to eliminate all storage.

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Definitions:

Profit-Maximizing

A strategy where a firm adjusts production and sale levels to generate the highest profit possible.

Market Structure

The organization and characteristics of a market, including the level of competition, number of producers, and type of products.

Demand Curve

A graphical representation showing the relationship between the price of a good or service and the quantity demanded for a given period.

Elastic

Describes the responsiveness of demand or supply to changes in price or income.