Question 12
Distributive TradeWhich of the following correctly illustrates the chain of distribution?
- A.Manufacturer → wholesaler → retailer → consumer
- B.Consumer → retailer → wholesaler → manufacture
- C.Wholesaler → manufacturer → retailer → consumer
- D.Distributor → consumer → wholesaler → manufacturer
- E.Producer → manufacturer → wholesaler → retailer
Show the answer and explanation
Answer: A (Manufacturer → wholesaler → retailer → consumer)
Explanation
Goods move from the manufacturer to the wholesaler, then to the retailer and finally to the consumer.