Final answer:
Efficiency in distribution centers relies on strategic location, technological advancements, effective transportation methods, and proper labor policies. Locations near less congested routes, adoption of cutting-edge technology, and maintaining supply chains and labor rights contribute to enhanced efficiency.
Step-by-step explanation:
Efficiency in distribution centers is primarily based on several key factors, including the location relative to transportation infrastructure, advancements in technology, transportation methods, and the safeguarding of labor rights. Ideal locations are those near uncrowded freeways, which enable efficient travel of workers and materials and minimize costs linked with congested transport networks. Furthermore, leveraging technology in warehouses, such as the use of robots and computerized systems as demonstrated by Amazon, contributes to lowering average costs per sale through economies of scale. Policies ensuring the maintenance of supply chains during emergencies and protecting labor rights are also crucial for uninterrupted and ethical operations. Lastly, distribution strategies such as that of Coca-Cola, which focus on bulk gaining and market orientation, exemplify how products can be manufactured and assembled closer to consumer markets to reduce transportation costs.