Multichannel Distribution

question 5

Multiple Choice

Multichannel distribution

• A)may involve using both direct and indirect channels simultaneously.
• B)may offer producers a way to reach customers they would not be able to reach with a single channel.
• C)is becoming more common.
• D)may create channel conflict.
• E)All these answers are correct.

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Definitions:

Medigap

Private insurance that Medicare recipients can purchase to reduce the gap in coverage—the amount they would have to pay from their own pockets after receiving Medicare benefits.

Relative Value

A measure of the worth of something in comparison to the price, quantity, or value of another item or measure.

Prepayment

The act of paying for goods, services, or expenses in advance before receiving or using them.

Capitation

A payment structure in which a health maintenance organization pre-pays an annual set fee per patient to a physician.