Which of the following statements about fragmented retail systems is true?
A) Countries with fragmented retail systems tend to have short channels of distribution.
B) The more fragmented the retail system, the less expensive it is for a firm to make contact with each individual retailer.
C) Fragmented retail systems tend to promote the growth of wholesalers to serve retailers.
D) When the retail sector is very fragmented, it makes sense for the firm to deal directly with retailers.

Question

Quizplus · Accepted Answer

Fragmented retail systems tend to promote the growth of wholesalers to serve retailers, which lengthens channels. The more fragmented the retail system, the more expensive it is for a firm to make contact with each individual retailer.

Which of the Following Statements About Fragmented Retail Systems Is