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Question
From the following, identify the channel of distribution in which goods pass from the 'manufacturer to the retailers who in turn, sell them to the final users.
Options
One level channel
Two level channel
Three level channel
Zero level channel
Solution
One level channel
Explanation:
Manufacturer-Retailer-Customer (One Level Channel).
This distribution channel uses only one intermediary, namely retailers, between manufacturers and customers, which reduces the cost of selling goods to the customer and is frequently suited for distribution of specially goods or high-valued products such as expensive watches, appliances, and so on.
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