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How Do the ‘Market-related Factors’ Affect the Choice of Channels of Distribution? Explain. - Business Studies

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प्रश्न

How do the ‘market-related factors’ affect the choice of channels of distribution? Explain.

उत्तर

There are various market-related factors such as the size of the market, geographical concentration of potential buyers and volume of demand which determine the choice of channels of distribution which the company opts. For instance, if potential buyers are concentrated in only a small geographical area, then the shorter channels of distribution would be more suitable.

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2014-2015 (March) Foreign Set 1
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