Which statement about distribution intensity is true?

Which statement about distribution intensity is true?

• A. It describes the number of channel members at each level.
• B. It measures promotional effectiveness.
• C. It equals the number of product lines offered.
• D. It relates to payment terms with suppliers.

Answer: (A)

Distribution intensity refers to how widely a product is made available through the channel, which comes down to how many channel members operate at each level. The statement that distribution intensity describes the number of channel members at each level is the best answer because it directly reflects the reach and coverage of the product in the market—the more outlets involved, the higher the distribution intensity. Promotional effectiveness is about how well marketing efforts persuade customers, not about how broadly a product is distributed. The number of product lines offered speaks to product assortment breadth, not distribution reach. Payment terms with suppliers pertain to procurement and supply chain finances, not how widely the product is distributed.

Distribution intensity refers to how widely a product is made available through the channel, which comes down to how many channel members operate at each level. The statement that distribution intensity describes the number of channel members at each level is the best answer because it directly reflects the reach and coverage of the product in the market—the more outlets involved, the higher the distribution intensity.

Promotional effectiveness is about how well marketing efforts persuade customers, not about how broadly a product is distributed. The number of product lines offered speaks to product assortment breadth, not distribution reach. Payment terms with suppliers pertain to procurement and supply chain finances, not how widely the product is distributed.