Selective Distribution

question 213

Multiple Choice

Selective distribution:

• A) is likely to reduce high administrative expenses caused by a large proportion of small orders.
• B) may be suitable for all categories of products.
• C) is becoming more popular.
• D) is a good idea if some of the available intermediaries are not financially solid.
• E) All of these alternatives are correct.

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Definitions:

Allocation

The process of distributing resources or assigning tasks among people, projects, or various components of an organization.

Scarce Means

The limited resources available to meet unlimited wants and needs in an economy, necessitating choices and priorities.

Production

The process of creating goods and services.

Human Wants

The desires and needs of individuals or society that drive demand for products, services, and resources.