Some Economists Would Say That Intermediaries Add Costs to the Channel

question 265

True/False

Some economists would say that intermediaries add costs to the channel of distribution and need to be eliminated.

Recognize how the UCC addresses good faith purchases and sales involving minors or entities lacking authority.

Comprehend the specifics of contractual obligations, risk of loss, and the effects on third parties in goods transactions.

Understand the principles of liability and risk of loss in sales transactions.

Identify and explain the concept of title and good faith purchasing.

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Definitions:

Sales Force Incentives

Rewards or compensation given to sales personnel to motivate them to achieve sales targets, including bonuses, commissions, and non-monetary benefits.

Supply Chain

The network of all entities involved in producing and delivering a product or service to the consumer, including suppliers, manufacturers, and retailers.

Allocation

The process of distributing resources or items to specific areas, activities, or tasks based on a plan or system.

Bullwhip Effect

A phenomenon where fluctuations in demand at the retail level cause progressively larger fluctuations in demand at the wholesale, distributor, and manufacturer levels.