NABTEB QUESTIONS

Explain FIVE reasons why a wholesaler can be eliminated from the chain of distribution. – NABTEB QUESTION

Reasons why a wholesaler can be eliminated from the chain of distribution:

(i) Where perishable goods are involved

(ii) Where the manufacturer has well-branded goods

(iii) Where the goods are of a technical value requiring well-qualified technicians for sales, installation, advice and service.

(iv) Where consumers order to specification

(v) Where the rate of turn over is low

(vi) Where there are large single retailers with enough capital to deal directly with the producer

(vii) Where goods can be sold by mail order

(viii) Where the producer has his own retail outlet.

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