Which of the Following Statements Concerning Physical Distribution Trade-Offs Is

question 146

Multiple Choice

Which of the following statements concerning physical distribution trade-offs is NOT true?

• A) The trade-offs that must be made in the physical distribution area can be complicated.
• B) The lowest-cost approach may not be the best as customer service level varies from one market to the other.
• C) Many firms are trying to address trade-off complications with e-commerce.
• D) Most physical distribution decisions involve trade-offs between costs, customer service level, and sales.
• E) An efficient physical distribution system does not have to make trade-offs for customers.

---

Definitions:

Demand Curve

A graph showing the relationship between the price of a product and the quantity of the product that consumers are willing and able to purchase at various prices.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a specific price level within a certain period.

Income Response

The change in consumers' buying behavior resulting from a change in their income.

Price Elasticity

A measure of how much the demand for a product or service changes in response to a change in its price, indicating its sensitivity or responsiveness.