Question: A theme that appears in advertisements for stores owned by manufacturers is: Buy factory direct at our store. You'll save money. We can offer you

A theme that appears in advertisements for stores owned by manufacturers is: "Buy factory direct at our store. You'll save money. We can offer you low prices because we cut out the middleman."

(a) What are the advantages of using middleman? (15 marks)

(b) Would you expect a factory store to offer lower prices? Why or why not? (5 marks)

(c) Are there other differences you would expect to find between a manufacturer-owned store and an independent retailer? (5 marks)

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