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Answer:
The type of marketing channel described in the scenario where an electronics store buys products from various manufacturers and resells them to its customers is:
b) Indirect
An indirect marketing channel involves intermediaries (in this case, the electronics store) between the producer (manufacturers) and the consumer (customers). This contrasts with a direct marketing channel where the producer sells directly to the consumer without any intermediaries.
Explanation:
Let me explain it in simpler terms:
- Vertical Marketing Channel: This involves a single company owning or controlling multiple levels of the production and distribution process. For example, a manufacturer might also own the retail stores where their products are sold.
- Indirect Marketing Channel: This involves intermediaries between the producer and the consumer. In the case of the electronics store, the store acts as an intermediary by purchasing products from various manufacturers (like TVs, computers, smartphones, and gaming system makers) and then selling them to customers. So, customers are not buying directly from the manufacturers but from the store.
- Direct Marketing Channel: This is when the producer sells directly to the consumer without any intermediaries. For example, if you buy a smartphone directly from the manufacturer's website, that’s a direct marketing channel.
- Horizontal Marketing Channel: This involves companies at the same level in the marketing channel working together. For instance, two or more retailers might collaborate to reach a broader audience.
So, the electronics store buying from manufacturers and selling to customers fits the description of an indirect marketing channel because it involves an intermediary (the store) between the producers and the consumers.