Asked by Torri James on Sep 28, 2024

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What is the most significant problem associated with a multiple channel distribution system?

A) inadequate distribution intensity
B) unclear channel ownership
C) channel functionality
D) channel conflict

Channel Conflict

Disagreements or disputes among marketing channel members, often caused by competing interests or disagreements on roles.

Multiple Channel Distribution

The practice of using more than one sales and distribution channel to reach the customer with products or services.

Distribution Intensity

Distribution Intensity refers to the level of market coverage a product achieves, ranging from intensive (available widely) to selective or exclusive distribution strategies.

  • Identify the key challenges and considerations in managing multiple channel distribution systems.
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Shanaya Singhaniya1 day ago
Final Answer :
D
Explanation :
Channel conflict is the most significant problem associated with a multiple channel distribution system. Multiple channel distribution involves using various methods to reach customers, such as online portals, retailers, and wholesalers, among others. Therefore, conflict among channels is a common occurrence, with each channel seeking to serve its interests best, which could potentially result in channel members competing with one another. This conflict could negatively impact sales, profits, customer relationships, and the firm's overall reputation.