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WAEC Commerce 1996 Question 52

Question 52

Wholesale Trade

Which of the following may not be considered when choosing an appropriate channel of distribution for a new product?

  1. A.Nature of the product
  2. B.Identification of potential consumers
  3. C.Operating costs
  4. D.Existing local channel of distribution
  5. E.Provision of credit facilities to customers
Show the answer and explanation

Answer: E (Provision of credit facilities to customers)

Explanation

The product, customers, costs and existing channels decide the channel; credit to customers does not.