Question

Morocco Corporation manufactures disposable thermometers that are sold to hospitals through a network of independent sales agents located in the United States and Canada. These agents sell a variety of other products in addition to Morocco's thermometers.

Is this an example of a selective distribution channel?
a. Yes
b. No
c. Cannot be determined from the information given

Answer 1

Morocco Corporation uses a selective distribution strategy by selling its disposable thermometers through a network of independent sales agents in the United States and Canada, indicating that it chooses specific intermediaries for product distribution.

Step-by-step explanation:

The question "Is Morocco Corporation's use of independent sales agents in the United States and Canada for selling disposable thermometers to hospitals an example of a selective distribution channel?" refers to a type of distribution strategy that businesses employ to sell their products. Selective distribution is a strategy where a company chooses to use a limited number of intermediaries to sell its products. Given that Morocco Corporation uses a network of independent sales agents to sell its disposable thermometers, and these agents also sell a variety of other products, it seems like an example of selective distribution. This is because the corporation is not distributing the product ubiquitously; rather, it is being sold by selected agents who are likely chosen because of their strategic fit for the product and market segments the company wants to target.