Question $8$

Last week in class, we discussed a case that compared channels of distribution with independent wholesalers to channels with distribution centers. What was a focus of the case?

a$.$ The company decided the best course of action would be to vertically integrate the channel, combining manufacturing, wholesaling, and retailing in one corporation.

b$.$ By eliminating wholesalers from a channel, the marginal profit of the entire channel increases.

c$.$ Wholesalers are like economic parasites that do not add value to the marketing channel.

d$.$ Direct distribution from manufacturer to consumer provides the optimum channel structure.

e$.$ A firm can eliminate middlemen form a channel, but it cannot eliminate the functions the middlemen perform.