When would a manufacturer use an exclusive distribution strategy to market a product?
A) When there is a need to create promotional advantage
B) When the manufacturer has a low-cost product that is new for the market
C) To build a strong relationship between the manufacturer and the wholesaler
D) When the manufacturer wants to break into a new geographic location
E) When the item is a high-cost or prestige product

Question

Quizplus · Accepted Answer

An exclusive distribution strategy is best used for high-cost or prestige products because it allows the manufacturer to control the distribution and maintain a certain level of brand image and exclusivity. This strategy is not necessary for low-cost products or for breaking into new markets, and it may not be effective for creating a promotional advantage or building a strong relationship with wholesalers.

When Would a Manufacturer Use an Exclusive Distribution Strategy to Market