Retail price competition is generally lowest in ________ distribution.
A) dual
B) exclusive
C) intensive
D) selective

Question

Quizplus · Accepted Answer

Exclusive distribution allows manufacturers to limit the number of retailers who can sell their products. This tends to result in higher retail prices and lower price competition since there are fewer retailers selling the same product. Dual distribution involves selling products through both company-owned stores and independent retailers, which may lead to more price competition. Intensive distribution involves placing products in as many retail outlets as possible, which can also result in more price competition. Selective distribution involves limiting the number of retailers who can sell a product, but not to the extent of exclusive distribution, so price competition may still exist.

Retail Price Competition Is Generally Lowest in ________ Distribution