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UI Post-UTME Commerce 2025 (Model questions) Question 7

Question 7

Wholesale Trade

The factors that determine the channel of distribution chosen by a manufacturer include:
I. Nature of the product
II. Target market size and location
III. Availability of middlemen
IV. Government trade restrictions only

  1. A.I, II and III only
  2. B.I and IV only
  3. C.II, III and IV only
  4. D.All of the above
Show the answer and explanation

Answer: A (I, II and III only)

Explanation

The product, the market and the middlemen available decide the channel; 'government restrictions only' is wrong because it claims to be the sole factor.